KEY HIGHLIGHTS
- $50 Million Settlement: Activision Blizzard will pay approximately $50 million to settle a 2021 lawsuit alleging discrimination against women employees.
- Allegations Withdrawn: The California Civil Rights Department will withdraw systemic sexual harassment allegations as part of the settlement agreement.
- Discrimination Claims Resolved: The settlement addresses allegations of denying promotion opportunities and underpaying women, resolving issues related to gender discrimination.
- Additional Measures: Activision commits to implementing measures for fair pay and promotion practices, including providing monetary relief to affected women in California.
- Acknowledgment of Investigation Results: The settlement notes that no court or independent investigation substantiated systemic or widespread sexual harassment at Activision Blizzard.
- Board and CEO Exonerated: Activision states that investigations found no evidence of improper actions by its board or CEO in handling workplace misconduct instances.
Linked to Microsoft Acquisition (Image: The Economic Times)
Activision Blizzard Settles Lawsuit for $50 Million
Activision Blizzard is set to pay around $50 million to settle a lawsuit filed in 2021 by California regulators, who accused the video game giant of treating its female employees unfairly. The California Civil Rights Department (CRD) took legal action after a two-year investigation, claiming that Activision routinely underpaid and overlooked promotions for female workers while tolerating instances of sexual harassment.
As part of the settlement agreement viewed by Reuters, the CRD will withdraw allegations of widespread sexual harassment, but other claims of discrimination against women, such as denial of promotion opportunities and unequal pay for similar work, will be addressed. Activision has committed to implementing measures to ensure fair pay and promotion practices. Additionally, monetary relief will be provided to women who were employees or contractors in California from October 12, 2015, to December 31, 2020, pending court approval, according to the CRD statement.
Acknowledgment of Claims and Response from Activision Blizzard
The settlement also highlights that the CRD expressly acknowledged that no court or independent investigation has substantiated claims of systemic or widespread sexual harassment at Activision Blizzard, as stated by the video game maker in their official response on Friday. Activision emphasized that investigations found no evidence of improper actions by its board or chief executive in addressing workplace misconduct.
It’s worth noting that Microsoft acquired Activision for nearly $69 billion in October 2022. In 2021, Activision had already agreed to pay up to $18 million to settle similar claims made by the Equal Employment Opportunity Commission.
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Source(s): Reuters
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