Ubisoft Closes Newly Unionized Studio, Insists Decision Unrelated to Unionization
Ubisoft Halifax, the mobile development team located in Nova Scotia, announced its decision to unionize back in December. Ubisoft insists that the subsequent studio closure was planned prior to 61 of its 71 employees joining the Game & Media Workers Guild of Canada. If that’s true, it’s hard to ignore the timing, as the studio was shut down just weeks after the union was officially recognized.
In a statement, Ubisoft clarified that the closure was not a result of any anti-union efforts but rather part of a long-term cost-cutting strategy. “Over the past 24 months, Ubisoft has undertaken company-wide actions to streamline operations, improve efficiency, and reduce costs,” the statement noted. “As part of this, Ubisoft has made the difficult decision to close its Halifax studio. 71 positions will be affected. We are committed to supporting all impacted team members during this transition with resources, including comprehensive severance packages and additional career assistance.”
Regardless of the reasoning, the optics are certainly unfavorable. Ubisoft has been undergoing significant restructuring in recent years, with layoffs at various subsidiaries, including the developer of Star Wars Outlaws, and high-level departures as the company continues to drastically reduce its workforce following a $1.25 billion bailout from Tencent. So while it may not be outright union busting, the situation certainly invites criticism.
Ubisoft Halifax was responsible for two free-to-play titles based on major Ubisoft franchises: Rainbow Six Mobile and Assassin’s Creed Rebellion. The impact of this closure on Rainbow Six Mobile, which was scheduled for a global release on February 23, remains uncertain.