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.Continue reading “Activision’s Great Deal”