In a groundbreaking bit of news for the games industry, workers at Sega of America have ratified a new union contract that will provide them with not only a host of benefits, but protection against unjustified layoffs. While this is the second video game worker union in North America, it is the first at a major games company and sets a precedent for others to follow.
As reported by Bloomberg, the contract (which was ratified on Tuesday) will cover around 150 people across marketing and other divisions at Sega’s Southern California offices. Workers will all receive annual raises — 4% in 2024, 3% in 2025, and 2.5% in 2026 — in addition to other undisclosed benefits. Catalina Brennan-Garcia, a representative for the Communications Workers of America, stated to the press, “This is a watershed moment for workers in the video game industry.”
Additional details for the new SEGA union contracts
While we don’t have the full details of this contract, Bloomberg has confirmed that all unionized workers will receive health insurance, guaranteed credits for projects they have contributed to, advance notice of any layoffs, and a minimum of two weeks of severance pay to any impacted employees with a maximum cap of eight weeks.
In an additional report from GameDeveloper.com, SOA employee Jasmin Hernandez said that this new contract will “provide a more secure environment” for workers. She also expressed her relief for the new contract, stating, “I think it means that this is only the beginning and we’re really looking forward to how we can grow and build and expand on things in the future.”
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Written by Peter Glagowski
Peter has been a freelance gaming and film critic for over seven years. His passion for Nintendo is only matched by the size of his collection.
