Activision Blizzard has agreed to pay approximately $54 million to settle a discrimination lawsuit brought by the California Department of Civil Rights on behalf of women employed by the video game maker.
The settlement, which is subject to court approval, states that the makers of Call of Duty, Overwatch, World of Warcraft and other video games will not be “denied opportunities for advancement or paid less than men for substantial accomplishments.” This will resolve allegations that the company discriminated against women within the company, including by lowering wages.Similar Initiatives,” California Department of Civil Rights. It was announced late Friday.
Allegations of workplace discrimination led to a drop in Activision’s stock price in 2021, ultimately paving the way for a takeover bid by Microsoft in January 2022. The software giant that owns the Xbox gaming system Completed $69 billion transaction It plans to acquire Activision in October, overcoming global opposition from antitrust regulators and rivals.
The California Department of Civil Rights sued Santa Monica-based Activision Blizzard in July 2021, alleging that female employees were subjected to constant sexual harassment and that few women were appointed to leadership roles. They claimed that even if they were appointed to a leadership role, they received less pay, incentives, and total compensation than their male counterparts. Friends.
Employees have spoken out about harassment and discrimination, criticized the company’s defensive response to the lawsuit, and signed a strike petition.
Under the terms of the settlement, women who worked for the company as employees or independent contractors between October 12, 2015 and December 31, 2020 may be eligible for compensation. Approximately $45.75 million of the settlement money will be used to make these payments, state officials said.
Activision Blizzard also agreed to take steps to ensure “fair pay and promotion practices” at the company.
Activision Blizzard said in a statement Saturday: “We highly appreciate the importance of the issues addressed in this agreement and are committed to fully implementing all new obligations we undertake as part of it.” Ta.
The company also noted that the California Department of Civil Rights has agreed to file an amended complaint dismissing the sexual harassment allegations.
The settlement agreement declares that “no court or independent investigation has substantiated any allegations” of systemic or widespread sexual harassment at Activision Blizzard, and that the company’s board of directors and CEO acted inappropriately. or that it ignored or tolerated a culture of harassment, retaliation, or discrimination. discrimination.
In September 2021, Activision Sexual harassment and discrimination claims settled The bill was introduced by the U.S. Equal Employment Opportunity Commission, which agreed to create an $18 million fund to compensate people who have experienced harassment or discrimination.
And earlier this year, the company agreed to pay $35 million To resolve Securities and Exchange Commission charges that we violated federal whistleblower protection rules by failing to maintain controls over the collection and evaluation of workplace complaints regarding disclosure requirements. In paying the settlement, Activision neither acknowledged nor denied the SEC’s findings and agreed to a cease-and-desist order.