'This shows the power that comes from employees joining forces:' King signs collective bargaining agreement with union workers

King, the developer behind Candy Crush, has finalized a collective bargaining agreement with Swedish unions Engineers of Sweden and Unionen following months of stalled negotiations. The deal comes after employees at King’s Malmö and Stockholm offices threatened strike action, which was set to begin on September 25, 2026. The agreement follows nearly a year of discussions that began in May 2025, culminating in a resolution just before the planned industrial action. King, a subsidiary of Microsoft, had faced pressure from its workforce over unresolved terms regarding workplace conditions and job security.

The collective bargaining agreement grants employees greater influence over their work environment, including the right to organize and receive timely information about changes affecting their roles. It also addresses layoffs by ensuring workers are informed promptly during reorganizations. According to Engineers of Sweden, the deal provides a baseline of protections, described as a 'floor not a ceiling,' allowing employers to offer additional benefits beyond the agreement’s stipulations. The union represents approximately 100 of King’s roughly 500 employees across its Malmö and Stockholm studios.

Camilla Frankelius, head of negotiations at Engineers of Sweden, hailed the agreement as a significant step for King, the gaming industry, and Sweden’s labor model. She emphasized the importance of collective bargaining in securing job security for nearly nine out of ten Swedish workers. Frankelius also credited the engagement of King’s unionized members for enabling the breakthrough, highlighting the power of collective action in driving workplace improvements. The agreement is expected to foster stronger cooperation between King and its employees moving forward.

The news follows Microsoft’s recent layoffs in its video game division, underscoring the broader challenges facing the industry. King’s resolution contrasts with the ongoing workforce reductions at its parent company, signaling a commitment to labor stability within the subsidiary. The agreement applies to all employees at King, though union membership is required to access negotiation assistance. Engineers of Sweden noted that the deal ensures consistent basic conditions for all workers, regardless of individual circumstances.