Activision Blizzard had a lawsuit brought against it by the US Equal Employment Opportunity Commission (EEOC) in September 2021, just two months after the California Department of Fair Employment and Housing (DFEH) filed its own lawsuit against the company. These were due to allegations of a frat boy work culture, sexism, and mistreatment of women in the workplace. The EEOC lawsuit has now been settled for $18 million, just one fifth of a percent of Activision's $8.8 billion in revenue last year.
As reported by VGC, the settlement amount has now been finalised, and employees can now claim for compensation if they were the victims of sexual harassment, retaliation, or pregnancy discrimination. This would, however, bar them from participating in the DFEH lawsuit against the company, which is why the organisation tried to block the settlement when it was first filed at the end of September 2021.
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The DFEH was against the settlement due to the way it impedes its own lawsuit. Activision has already been accused of destroying evidence related to its lawsuit, and this settlement could effectively allow for that to happen.
"The proposed consent decree also contains provisions sanctioning the effective destruction and/or tampering of evidence critical to the DFEH's case, such as personnel files and other documents referencing sexual harassment, retaliation, and discrimination."
There's also the settlement amount itself. Labour union Communications Workers of America claims $18 million would only grant the maximum settlement for 60 employees.
As noted by VGC, the DFEH has helped to raise the settlement amount in video game lawsuits
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