Sega Of America Solidifies Union Benefits, Relic Entertainment Sold Off

Over at Sega, the Japanese publisher is going through a form of metamorphosis as the firm is exploring new routes for its releases. One of its biggest announcements was its ‘New Energy’ initiative to reboot a slew of legacy IPs. Shuji Utsumi went on to elaborate the approach is to rekindle the same momentum that the Dreamcast era offered decades ago. Additionally, Utsumi was also appointed president just this January.

Other power moves at Sega is the path for unionization. A topic that is beginning to pick up air especially in the United States, Sega of America in spring 2023 established a supermajority vote which configures the firm to form a union via The Allied Employees Guild Improving SEGA (AEGIS) alongside the Communication Workers of America (CWA).

In a new development reported by Game Developer, Sega of America with AEGIS have now bargained contractual benefits for its union. This consists of raises, just cause, and layoff protections as well. It is reported to be the first of its kind in North America.

“Some workers received regular raises, but some did not–this was often based on title or department. Also raises were wildly different person-to-person. These base building raises ensure that everyone gets a raise and Sega can always grant additional raises based on merit,” a CWA spokesperson said in one statement.

Jasmin Hernandez, an employee at Sega of America also stated that this has landed to “provide a more secure environment” for workers. The deal is also said to solidify other benefits including a ‘codified bonus plan’, health insurance, parental benefits, and retirement benefits. However, there is a more upsetting side for Sega in a separate development.

Reported by gamesindustry.biz, Relic Entertainment has been sold off for a new, independent venture. Moreover, Sega is to be reducing its headcount at multiple European divisions including Creative Assembly, Sega Europe, and Sega HARDlight.

What are you most surprised about this recent update for Sega?