To resolve a lawsuit filed by the U.S. Equal Employment Opportunity Commission, Activision Blizzard agreed to set up a $ 18 million fund for eligible prosecutors – meaning employees who have been harmed by discriminatory hiring and management practices in the company. The EEOC lawsuit was filed Monday, and the same afternoon Activision Blizzard announced a $ 18 million conclusion.
Activision Blizzard is the company behind blockbuster video game franchises including Call of Duty, World of Warcraft, Diablo and Overwatch. Activision Blizzard’s revenue for 2020 was $ 8.1 billion, with a profit of more than $ 2 billion.
Today’s $ 18 million agreement follows the EEOC’s three-year investigation into Activision Blizzard. The agreement is subject to court approval, and all remaining funds will be distributed among equality groups in the video game industry. The company is also upgrading its workplace policies and appointing an independent equal opportunities consultant to report to the Board of Directors and the EEOC.
This is just one of several lawsuits currently attacking Activision Blizzard. The first was filed by the California Department of Fair Employment and Housing on July 20, after years of investigation that Activision Blizzard executives nurtured a sexist brotherhood-style culture and the company routinely violated equal pay and labor laws. The SEC has since opened its own investigation into the company, investors have filed a separate lawsuit, and the National Labor Relations Committee is considering coercion complaints and questioning at Activision Blizzard in response to recent legal pressure. Several senior executives left the company.
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