When playing an RPG, "working on" it means that a player is currently playing it with the intent of beating the game, unlocking everything, etc. Basically a fancy way of saying "playing."
Synonyms for work on
On this page, you will find 30 slang terms related to work on. Some of the top words include: ding, clock, skill, Broken at high levels of play, *sighs*, and 25 more.