Laid off Bethesda Montreal staff allegedly told they'd get "smallest severance legally possible" the same day as those Fallout announcements - Rock Paper Shotgun

What the report says

Rock Paper Shotgun reported that OneBGS, the Bethesda Game Studios Union, says laid-off Bethesda Montreal employees were told they would receive only the minimum severance required by law, without bargaining with the union. The claim concerns Canadian staff affected by Microsoft’s latest layoffs across Xbox and Bethesda, and was posted by the union on Bluesky after new Fallout-related projects were announced.

According to the union account cited by Rock Paper Shotgun, dozens of Bethesda Game Studios workers in the United States and Canada were informed on July 6 by video call that their roles were being cut. The union said employees were initially told they would remain employed until September while severance was discussed with the union. It later alleged that, on July 17, affected Canadian staff instead received termination letters by email stating they would get eight weeks of pay in lieu of legal notice, plus outstanding vacation pay, and would lose group health benefits immediately.

OneBGS said it has filed a legal complaint accusing Bethesda of continuing to breach Canadian labor law. Rock Paper Shotgun linked the dispute to the timing of Xbox announcements that Fallout 5 is in preproduction, Fallout 3 and New Vegas remasters are planned, and Obsidian is working on another Fallout project.

The report matters because it places labor practices at a major game publisher alongside high-profile franchise news. The article did not include a response from Bethesda, Xbox or Microsoft in the provided text, so the union’s claims remain allegations pending any company reply or legal outcome.