News Bethesda Montréal Studio 23 Jul 2026, 12:312 min read

Bethesda Montréal studio layoffs: minimal severance and legal action

Bethesda Montréal studio layoffs: minimal severance and legal action

Intelligence Summary

  • Bethesda’s Montréal studio staff are getting the minimum legal severance after layoffs, prompting union legal action.

In brief

  • Bethesda’s Montréal studio informed employees of their layoffs on July 17.
  • The severance offered is the smallest amount legally possible, prompting legal action from the OneBGS union.
  • Employees immediately lose access to their group insurance and will receive only eight weeks of pay in lieu.

GAME-scanner analysis

The recent layoffs at Bethesda’s Montréal studio are a worrying development in the games industry, especially given how they were handled. Employees were told they would receive the minimum legal severance, which not only increases the financial impact on those affected, but also raises questions about the ethics of layoff procedures at major game companies like Bethesda, which sits under Microsoft’s umbrella. The OneBGS union has already taken legal action, which could lead to further complications for Bethesda and possibly for other studios in a similar situation.

What does this mean for players?

For gamers, this situation could have consequences for the development of Bethesda’s future titles. The layoffs may lead to delays in projects or even changes in the studio’s creative direction. Players looking forward to new Bethesda releases, such as the Elder Scrolls franchise, may need to brace for uncertain times.

Timeline

  • July 6: Rumors of possible layoffs begin to circulate.

  • July 17: Bethesda informs Montréal employees of their layoffs and the associated minimum severance.

  • September (expected): OneBGS is expected to take legal action against Bethesda.

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