Microsoft is facing backlash from some of its employees over the removal of the free Xbox Game Pass Ultimate benefit. According to sources familiar with the matter, Microsoft has started informing its employees that starting in January 2024, the benefit will no longer be available for most of its 238,000 employees who are not part of Xbox or Microsoft Gaming.
While Xbox employees will continue to enjoy the benefit, this decision affects the vast majority of Microsoft employees. Instead, they will have the option to purchase a discounted 12-month Xbox Game Pass Ultimate Subscription at the company’s internal store.
This news has sparked discontent among some Microsoft employees, who have taken to the company’s internal messaging platform to express their objections. In fact, the posts made by employees prompted Xbox chief Phil Spencer to respond, stating that he was not aware of the changes and would look into the situation.
As of now, Microsoft has not provided any official comment on the removal of the Game Pass benefit.
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This move comes a few months after Xbox Game Pass saw its first-ever price hike. Microsoft increased the monthly subscription fee for Xbox Game Pass Ultimate from $14.99 to $16.99. Furthermore, the price of the Xbox Series X console also increased in most markets outside the US.
In September, Microsoft launched Xbox Game Pass Core, which replaced Xbox Live Gold. This move indicates the company’s focus on PC Game Pass, as Xbox chief Phil Spencer had previously mentioned that Xbox Game Pass growth on console had slowed down.
It is worth noting that Microsoft has not provided updated subscriber numbers for Game Pass for almost two years. The company had announced in January 2022 that Game Pass had reached 25 million subscribers. However, since then, there have been no official updates on the subscriber count, despite the addition of popular games like Starfield and Forza Motorsport to the Game Pass library throughout 2023.
The decision to remove the free Xbox Game Pass Ultimate benefit for most Microsoft employees raises questions about the company’s strategy and priorities. Some employees may feel disappointed and perceive this move as a negative change in employee benefits.
However, it’s important to consider that companies often review and adjust their employee benefits package to align with their business goals and financial considerations. The removal of this benefit may allow Microsoft to allocate resources to other areas or invest in new initiatives.
Nevertheless, it would be wise for Microsoft to address the concerns raised by its employees and provide more clarity on the reasoning behind this decision. Open and transparent communication can help mitigate any negative sentiment and foster understanding among the workforce.
Ultimately, the removal of the Xbox Game Pass benefit for most Microsoft employees highlights the challenges companies face in balancing employee perks, business growth, and financial considerations. As the company moves forward, it will be crucial for Microsoft to ensure that its decisions are well-communicated and in line with the overall objectives of the organization.
