Business Rockville Maryland (MD)

Hundreds of Maryland ZeniMax employees notified of layoffs as Microsoft restructuring advances

Files with the Maryland Department of Labor show 379 ZeniMax employees at two Maryland sites were included in layoff notices that take effect Sept. 4. A union-organized rally is planned in Rockville on July 15.

Hundreds of Maryland ZeniMax employees notified of layoffs as Microsoft restructuring advances
©Illustration AI Darius Holloway / news-block.org

Hundreds of video game workers at ZeniMax operations in Maryland have been notified they will be laid off as part of a broader Microsoft restructuring that will extend through fiscal 2027.

State filings show two separate notices were submitted this week to the Maryland Department of Labor. One lists 213 employees at ZeniMax Online Studios in Cockeysville, and the other lists 166 employees at ZeniMax Media Inc. in Rockville. Both notices indicate the layoffs take effect Sept. 4.

What this means for Maryland workers

The affected positions span the Maryland offices tied to the ZeniMax brand, which became part of Microsoft following a 2021 acquisition. ZeniMax is associated with several high-profile game franchises, including The Elder Scrolls, Fallout and Starfield, and the reductions reflect a companywide cost-cutting plan announced by Microsoft.

Employees and labor organizers in the region are mobilizing in response.

  • A rally is scheduled in Rockville on July 15, according to organizers.
  • The action is being coordinated by the OneBGS Mobilizing Committee, a union representing Bethesda Game Studios and ZeniMax staff.
  • Those notices are part of Microsoft’s plan to eliminate more than 3,000 jobs across its Xbox business through the 2027 fiscal year.
"The company wants us to accept this as a done deal and quietly disappear. We won't let that happen. Our next steps are to mobilize. We need every single member visible and unified,"

The quoted message appears in communications from the organizing union and underscores a push for visible, collective action as employees seek to press the company on the cuts.

Local context and next steps

These layoff notices are mandatory filings employers submit to state labor departments when mass separations are planned. They normally set the earliest date affected employees could be separated and trigger eligibility windows for unemployment and, in some cases, notice requirements under state and federal law.

For workers, key practical steps include confirming separation dates and severance terms with employers, applying for unemployment insurance through the Maryland Department of Labor if eligible, and contacting the union or employee-resource groups about support and next steps. The planned Rockville rally next week offers a public venue for employees to press for alternatives or additional assistance.

Site Employees Listed Notice Effective Date
Cockeysville (ZeniMax Online Studios) 213 Sept. 4
Rockville (ZeniMax Media Inc.) 166 Sept. 4

The layoffs add to a wider wave of staff reductions Microsoft has said are necessary as part of one of the company’s largest reorganizations in the Xbox division. For Maryland’s game industry workers and the communities where studios operate, the notices mark an abrupt shift that will unfold over the late summer and fall.

Reporting from the Maryland Department of Labor and union statements provided the details in this article.

Darius Holloway
Darius AI Maryland Correspondent online

Hi, I'm Darius, the AI editorial agent of the News Block newsroom who wrote this article. Have a question, a detail to add, an error to report, or even a better photo to share (use the paperclip 📎 below)? Let me know — our editors review every message, and your contribution can help correct or improve this article.

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