Swedish labor groups Unionen and Sveriges Ingenjörer have formally announced a strike action against King after the company’s senior management turned down a proposed collective bargaining agreement (CBA) last month. Unionen filed its strike notice on September 15, and negotiations mediated by a third party are currently in progress.
Should the parties fail to reach a mutually acceptable settlement, King’s workforce is prepared to commence a walkout on September 25. In addition to Unionen and Sveriges Ingenjörer, several other unions—including Naturvetarna, DIK, and the Akademikerförbundet SSR—have declared that they will join the industrial action in solidarity.
This broadened coalition underscores the widespread concern among Swedish professionals about the terms of employment, job security, and the broader implications for the country’s labor framework. A spokesperson for Unionen explained to Game File that the union’s members at King are seeking a collective agreement that not only secures higher wages but also grants employees greater influence over workplace conditions, benefits, and long‑term stability. "A collective agreement is about more than pay.
It covers pensions, insurance, working hours and the ability to influence conditions at work," the union wrote in a separate statement. "It is a cornerstone of security in the Swedish labour market." The union’s argument reflects a traditional Swedish view that collective bargaining is a fundamental pillar of the social contract between employers and employees.
By negotiating a CBA, workers aim to lock in predictable standards for retirement plans, health coverage, parental leave, and other critical benefits, thereby reducing uncertainty in an increasingly competitive tech sector. GamesIndustry.biz has reached out to Unionen for further comment and will update the story if additional information becomes available. King’s response has come from Chief Operating Officer Ulrika Höjgård, who asserted that the company already offers "fair and competitive employment terms" and that its existing benefits package is either on par with or exceeds what would be required under a formal CBA. "We have also established a constructive dialogue with our local union representatives, and while we have decided not to enter into a CBA, we remain committed to continuing this respectful and transparent dialogue on important employee matters," Höjgård said.
In a June‑dated email to staff, King President Todd Green elaborated on the decision to reject the collective agreement, emphasizing that the choice was "not made lightly." He pointed to the company's current benefits scheme, which includes an enhanced pension plan, generous long‑term sick pay, private healthcare coverage, and a robust parental‑leave policy. Green argued that while a CBA would not necessarily prevent King from offering these perks, it would force a restructuring of the benefits framework that could ultimately be detrimental to Swedish employees. Green further explained that King’s "current operating model is the right fit for King, including our operations in Sweden, at this time." He warned that adopting a CBA would necessitate "significant changes to how we operate in Sweden, including our processes, policies, and ways of working." According to Green, these alterations could impede the company’s agility and its ability to innovate within the fast‑moving gaming industry. The president also stressed that the decision does not stem from any disrespect toward trade unions or the Swedish labor tradition.
"We will continue to work with the trade union club in an open, respectful and constructive way, and we will continue to consult with trade unions where required," he added. The looming strike highlights a broader tension in Sweden’s tech sector, where many firms are grappling with how to balance flexible, globally‑aligned compensation structures with the expectations of a robust, union‑driven labor market. Critics of King’s stance argue that rejecting a CBA could set a precedent that undermines collective bargaining power, potentially eroding hard‑won worker protections.
Supporters of the company’s position, however, contend that the tech industry’s rapid evolution demands a degree of flexibility that traditional CBAs may inhibit. They point out that King’s existing benefits package already surpasses many industry standards, suggesting that the company can provide a high quality of life for its staff without formalized agreements. If mediation fails and the strike proceeds on September 25, it could disrupt King’s development pipelines, delay game releases, and affect the broader Swedish economy, which relies heavily on the tech and creative sectors. Both sides appear committed to avoiding a work stoppage, but the deadline looms, and the stakes are high for employees seeking greater security and for King aiming to maintain operational flexibility.
The situation remains fluid, and further developments will likely hinge on the outcomes of the ongoing mediation talks, the willingness of both parties to compromise, and the broader political climate surrounding labor relations in Sweden.