Ubisoft Shuts Down Halifax Studio After Unionization

Ubisoft has confirmed the closure of its Halifax studio, a decision that affects 71 positions. The announcement came just three weeks after a significant majority of the studio's workforce voted to unionize.

The company has stated that the closure is part of a larger, two-year effort to streamline operations and reduce costs. Despite the timing, Ubisoft insists the move is unrelated to the recent unionization drive. The studio was best known for its work on mobile titles such as Assassin's Creed: Rebellion.

Ubisoft announced the shuttering of its Halifax development studio, citing a need to improve efficiency across the company. In a statement, the publisher confirmed that 71 positions were impacted. The company described the closure as a necessary step in its ongoing restructuring efforts, which have included multiple layoffs and studio shutdowns over the last few years.

The decision is reportedly linked to declining revenues from specific projects. Ubisoft specifically mentioned Assassin's Creed: Rebellion as a title that will be winding down operations as part of this strategic pivot. The publisher has been facing financial headwinds, leading to the cancellation of several projects and a general reduction in workforce.

To assist those affected, Ubisoft stated it is committed to providing support during the transition. This includes offering comprehensive severance packages and additional career assistance to the impacted team members.

The closure of the Halifax studio occurred just weeks after a historic labor victory for its employees. Three weeks prior to the announcement, 61 out of 71 workers at the studio voted to unionize. This vote established the Game & Media Workers Guild of Canada, which is part of the Communications Workers of America (CWA), as the bargaining representative for the employees.

This unionization drive was notable as it marked the first Ubisoft union in North America. The certification came six months after employees first announced their intention to organize. The vote in favor of unionization was overwhelming, with 74% of eligible employees—ranging from producers and programmers to artists and researchers—voting yes.

Following the closure announcement, representatives for the union expressed their devastation. They noted the difficult timing and stated they are looking into all avenues to fight for the rights of our members. Ubisoft has maintained that the closure is strictly a business decision driven by economic factors and restructuring goals.

The Halifax facility has a complex history within the gaming industry. It began as a branch of Longtail Studios, a company founded in 2003 by Ubisoft co-founder Gérard Guillemot. Over the years, the studio expanded and eventually became a wholly owned subsidiary of Ubisoft in 2015, at which point it was rebranded as Ubisoft Halifax.

During its tenure as Longtail Studios, the facility was the subject of a previous unionization attempt in 2008-2009. According to historical accounts, that effort was ultimately unsuccessful due to management actions described as fairly open union-busting efforts, including mass layoffs attributed to economic conditions.

Under the Ubisoft banner, the studio shifted its focus primarily to mobile gaming. It played a key role in the development of titles such as Assassin's Creed Rebellion and Rainbow Six Mobile. Prior to the mobile focus, the studio was recognized for its work on the popular Rocksmith series and various games for the Nintendo DS.

The Halifax closure is not an isolated event but rather part of a wider trend of financial tightening at Ubisoft. The publisher has been navigating a difficult economic landscape, characterized by disappointing releases and falling revenues. In response, the company has implemented significant cost-cutting measures, including the cancellation of multiple in-development projects.

In an effort to stabilize its finances and focus on its core franchises, Ubisoft has sought external investment. Recently, the company created a new business entity to manage its most valuable properties, including Assassin's Creed, Far Cry, and Rainbow Six. This new entity secured a 25% stake from the Chinese tech giant Tencent, signaling a strategic shift in how Ubisoft manages its intellectual property.

This environment of restructuring and external partnership highlights the pressures facing major game publishers today. As companies look to streamline operations and secure funding, development studios often find themselves vulnerable to closure, regardless of their recent labor organization activities.