King, the Microsoft-owned studio behind Candy Crush, has signed a collective bargaining agreement covering its Swedish employees, averting a strike that had been scheduled for the following day. The deal, reached with Unionen and Engineers of Sweden, follows months of talks that began in May 2025 and were prompted in part by the sudden removal of a private doctor benefit in 2024. The agreement takes effect on April 1, 2027.

King had previously resisted union recognition, arguing that its existing benefits were already stronger than what a CBA would provide. That stance echoed messaging used by other large tech employers facing organizing efforts. Under the new agreement, unions say employees gain more influence over working conditions and advance information about changes such as reorganizations.

The deal does not prevent layoffs, which remain a concern across Microsoft's gaming divisions after the latest round of Xbox cuts. But it brings King closer to Swedish norms: Engineers of Sweden notes that nearly nine out of ten employees in the country already have basic job security through collective bargaining agreements. Camilla Frankelius, the union's head of negotiations, called it an important step for King, the gaming industry, and the Swedish model.