According to the official X account of the United Wizards of the Coast Teamsters-CWA (UWOTC-CWA), Wizards of the Coast's actions were entirely expected: "Yesterday, Wizards of the Coast informed us that it does not intend to voluntarily recognize the union for its Dungeons & Dragons and X Studios divisions before the vote takes place. We will strive to win the upcoming election and create a work environment that prioritizes employee well-being, transparency, and collaborative success."
This June, a union formed by employees from the Magic: The Arena development team was officially established, demanding that Wizards of the Coast formally recognize the union by May of the following year. Clearly, Wizards did not comply.
Later that June, Wizards of the Coast sent paper letters to its employees, urging them not to vote in favor of the union. Although Wizards' actions were legally compliant with the National Labor Relations Act, the letters nearly explicitly hinted that existing employee benefits would be "subject to renegotiation through bargaining." Reportedly, in addition to these letters, the company also sent related emails to employees daily.
Therefore, it is hardly surprising that Wizards of the Coast is unwilling to recognize the full United Wizards of the Coast Teamsters-CWA—now composed of employees from both the Dungeons & Dragons team and X Studios (the creative team behind Magic: The Gathering).
In a statement sent to gaming media outlet Wargamer (previously shared with all employees), Wizards of the Coast stated that it does not support union formation within the bounds of the law. The statement was filled with clichés, repeatedly emphasizing everyone's right to form a union:
"We believe that direct communication and collaboration with employees, rather than through a union, is the best way to continue creating great games and building a quality work environment. On this point, Wizards of the Coast is not neutral regarding unionization... Ultimately, however, we will respect the outcome of the election, regardless of the employees' choice."
The demands of the UWOTC-CWA union include "fair wages, clear career advancement paths, and job security," as well as remote work protections and "sustainable workloads: the company constantly asks us to take on more work while increasingly disregarding our personal lives." Other demands include healthcare benefits, protections related to AI, and legal ownership of creative works produced by employees outside their regular duties.
As Wargamer pointed out, the UWOTC-CWA union holds significant leverage. The core reason is that Dungeons & Dragons and Magic: The Gathering are highly profitable. Financial reports show that over the past six months, the operating profit (before adjustments) for "Wizards of the Coast and Digital Gaming" reached $568 million, while the Consumer Products division incurred a loss of $62 million, and the Entertainment division made only $23 million in profit.
In other words, if you are a major profit driver for the company, you naturally hold a stronger position during negotiations.