Activision’s Great Deal

Activision Blizzard, Inc., the publisher of popular video games, allegedly tolerated a “frat boy” culture for years.

California’s Dept. of Fair Employment and Housing (DFEH) filed a lawsuit in 2021 alleging Activision executives knew about and failed to stop pervasive sexual harassment and then retaliated against women who complained.

But that lawsuit was effectively blitzed by an $18 million settlement approved this week by U.S. District Judge Dale S. Fischer.

The settlement between Activision and the Equal Employment Opportunity Commission (EEOC) requires Activision to pay $18 million and to hire a neutral equal opportunity consultant.

Activision, a Santa Monica company that publishes games like Call of Duty and World of Warcraft, earned about $8.8 billion dollars in 2021. It is ranked #373 on the Fortune 1000 Revenue Rank. The settlement amount, $18 million, is approximately 0.02 percent of the company’s annual earnings.

An $18 million settlement is a mere nuisance to the biggest producer of video games in the world. It is the proverbial slap on the wrist.

For example, a Los Angeles County jury assessed a $58.2 million verdict against entertainment executive Alki David of Hologram USA, Inc. for a sexual abuse of a female production assistant in 2019.

Judge Fischer said any claimant to the EEOC settlement must waive their right to pursue the DFEH lawsuit. So, it’s a bird in the hand kind of thing. Take the money now or take a chance (however small) of getting a higher amount in the future.

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Performance Reviews Should Assess Civility And Respect

A critical parameter is often ignored in management performance reviews – whether the manager treats others with civility and respect.

A large body of research in the past decade has shown that managers who display bias or engage in bullying and emotional harassment are a parasitic drain on the battery of an organization.

An abusive boss creates psychological stress for workers, leading to job dissatisfaction, turnover and a host of counter-productive behaviors (i.e., absenteeism, sabotage, litigation). S/he serves as a model for other employees, who also engage in bullying behaviors.

The American College of Cardiology recently issued a Health Policy Statement in the Journal of the American College of Cardiology proposing that cardiovascular organizations conduct performance reviews that include an “assessment on respect and civility.”

Culture of Respect

The recommendation is the outcome of an on-line survey conducted by the ACC in 2021 that found over one-third of resident doctors and faculty reported experiencing bias, discrimination, bullying and harassment at their main place of work.

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Federal Judiciary Recognizes Civility And Respect In Its Workplace

The federal judiciary routinely hears (and often dismisses) lawsuits filed by workers who have suffered soul crushing disrespect, humiliation and abuse from an employer.

This is one reason why the recommendations of The Federal Judiciary Workplace Conduct Group matter.

The group this week re-committed to the promotion of an “exemplary workplace” for the 30,000 employees of the federal court system “through engaged leadership and more expansive education in the areas of civility, respect and communication.”

Historically, federal judges have graduated from elite colleges and law schools to high-paid jobs in private law firms representing employers to the bench. There, they are exempt from federal discrimination laws. And they have lifetime tenure and can’t be forced to retire.

The federal judiciary’s workplace was the antithesis of democratic. Federal judges were the equivalent of kings in their chambers, and many young law clerks were treated more like serfs than workers.

After several high profile cases where staff complained of sexual harassment and workplace bullying by federal judges, U.S. Supreme Court Chief Justice John G. Roberts, Jr., in 2018 appointed the workplace conduct group to improve the environment in which federal employees work.

If federal judges must treat their workers with dignity and respect, perhaps they will expect this of other employers?

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Huge Step Forward For Sexual Harassment Victims

Sexual harassers in the past managed to slither undetected from workplace to workplace, thanks to the anonymity offered by forced arbitration.

But times are changing.

President Joe Biden this week signed into law the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act, landmark legislation that prevents employers from requiring workers to sign arbitration agreements that preclude them from filing in a lawsuit in court involving sexual assault or sexual harassment.

Biden called it a “momentous day for justice and fairness in the workplace.”

His assessment was affirmed by a rare lack of partisanship in Congress. The U.S. Senate approved the measure on a voice vote, which meant there was no opposition. There was a split roll call vote in the House of Representatives but it was approved by 222 Democrats and 113 Republicans. Yet, 97 House Republicans opposed the bill, including a number of women.

Clueless Dupes?

Why would a female legislator oppose something that protects women from violence in the workplace? The bill merely brings sexual harassment into the light of day by giving victims the right to go to court. Workers can still voluntarily opt to proceed with arbitration if they choose.

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Another Nail In The Coffin Of England’s Upper Class?

It’s hard to find a guy with less class than Prince Andrew, who allegedly raped a 17-year old American girl several times in 2001 while he was in his 40s.

When the girl, Virginia Roberts Giuffre, now 38, made public accusations against Andrew in 2015, he denied them. He claimed he couldn’t remember even meeting her, though a photo showed him with his arm around her bare midriff.

After Giuffre filed a civil lawsuit, Andrew, now 61, claimed he could not be held liable because pedophile Jeffrey Epstein, who allegedly trafficked Giuffre to Andrew, had entered a settlement with Giuffre in 2009. Although he wasn’t a party to the settlement, Andrew argued that it absolved “other potential defendants” like him. The judge disagreed and set a civil trial date.

Meanwhile, the royals began sweating that Andrew’s difficulties would cast a shadow on the upcoming Platinum Jubilee commemorating his mother, Queen Elizabeth’s, 70 years on the throne in June.

Reuters announced Tuesday that Andrew and Giuffre have reached a settlement in principle. The amount of the settlement was not disclosed but the New York Post reports it was $12 million. The settlement must be approved by the court.

It remains to be seen where the money will come from to pay the settlement, and whether public funds will be used.

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