King, the developer behind the popular Candy Crush franchise, has officially rejected a collective bargaining agreement (CBA) proposed by employees through Swedish trade unions Unionen and Sveriges Ingenjörer. The decision, communicated to employees in June, marks the end of a year-long negotiation process.
In an email to staff, King president Todd Green stated that the decision was made after careful consideration, citing two primary reasons for the rejection. Firstly, King asserts that its current benefits package, which includes enhanced pensions, long-term sick pay, private health insurance, and parental leave, is superior to what could be guaranteed under a CBA. While acknowledging that a CBA would not necessarily prevent the company from offering these benefits, King believes a structural change would be detrimental to employees in Sweden.
Secondly, King emphasized its preference for maintaining its current operating model across all its global studios. Green explained that entering into a CBA in Sweden would necessitate significant alterations to the company's processes, policies, and overall ways of working, which King believes would disrupt the consistent and equitable experience for all its employees worldwide. The company aims to provide a unified experience across its European and U.S. offices.
Despite the rejection, Green assured employees that the decision was not a sign of disrespect towards trade unions or the Swedish labor model. He affirmed King's commitment to open and constructive dialogue with trade unions, including continued consultation where legally required. King also acknowledged a desire among employees for stronger dialogue, more opportunities for questions, and better context regarding company decisions that affect them.
Swedish labor laws differ from those in the U.S., allowing any eligible worker to join trade unions that negotiate sector-wide working conditions. Approximately 70 percent of Swedish employees are union members. However, employees at a specific company can form a union club to negotiate a company-specific CBA. While employers are obligated to negotiate in good faith, they can reject a proposed CBA. Companies like Paradox Interactive and Avalanche Studios have previously navigated this process. A rejection can potentially lead to collective action from employees, though no such action has been indicated at King.
The push for unionization at King reportedly began in late 2024 after the sudden removal of a private doctor benefit prompted discussions about greater employee influence over working conditions. Negotiations for the CBA commenced in 2025, a period that also saw King undergo significant layoffs, including staff impacted by Microsoft's broader cuts in June. The number of Swedish employees affected by these layoffs remains unclear.
Unionen expressed disappointment with King's decision, stating that many members supported the effort to secure the transparency, security, and influence that a collective agreement offers. The union remains committed to supporting its members at King and pursuing the goal of a collective agreement, planning further dialogue with members to determine the path forward. Unionen's broader objective is to see more employees in the Swedish labor market covered by collective bargaining agreements.
King reiterated its respect for the Swedish labor market model and collective agreements. The company stated it offers competitive employment terms and is confident its benefits meet or exceed CBA standards. King also affirmed its commitment to maintaining a transparent and respectful dialogue with local union representatives on important employee matters.