King, the developer of Candy Crush and a Microsoft subsidiary, informed employees in June that it will not sign a Collective Bargaining Agreement (CBA) sought by workers represented by the Swedish unions Unionen and Sveriges Ingenjörer, ending roughly a year of negotiations.
Company cites current benefits and uniform operating model
In a message to staff, King president Todd Green said the decision was not made lightly and gave two main reasons for rejecting the CBA. First, the company says the existing benefits for its Swedish employees already exceed, in some respects, what a collective agreement would typically provide.
King listed several benefits it offers in Sweden, including a private health plan, extended parental leave, salary top-ups during sick leave, and pension benefits.
Second, the company argued it wants to preserve a uniform operating model across its European and U.S. studios. King said adopting a CBA would require substantial changes to internal processes and policies that would apply only to employees in Sweden.
“We believe our current operating model is the most appropriate for King at this time,” Todd Green wrote.
Unions and employees express disappointment
Unionen said workers received the decision with disappointment. According to the union, many employees backed the CBA as a way to secure greater transparency, safety and participation in decisions about working conditions.
Despite the rejection, Unionen said it will keep engaging with employees and plans to discuss next steps after the Swedish summer holiday period.
Effort followed removal of a health benefit and company changes
The push to organize began at the end of 2024, after King removed a benefit tied to private medical care. That decision prompted some staff to seek stronger representation in negotiations with the company.
Talks about a collective agreement started in 2025, a period when King also faced layoffs and was affected by cuts within Microsoft’s Xbox division.
King has not said whether it will resume negotiations over a CBA in the future.
