I think is actually a thing and it's despicable too. They 'eliminate' positions in one location then have your spot in another city for you 'if you want it', when moving can be financially crippling or undesirable. Then they can recreate the position whenever they damn well feel like it.
It depends. If there is an employment contract, then it would probably be a violation of that contract. But if there is no contract, then they can lay off employees for any reason not protected by law, or no reason at all.
Ubisoft was discovered a few years ago to be a sexual harassment ring disguised as a AAA game publisher a scandal about which they've since done nothing to improve matters.
Also they totally abandoned their commitments to limited dark patterns to sell microtransactions, which puts them in the same category of predatory company as John Riccitiello.
ETA I played Far Cry 5 in 2020 during lockdown as a cope. I don't play Ubisoft games anymore. Even the ones I own.