Judge Accepts Activision Blizzard Settlement With EEOC Over Sexual Harassment Claim

U.S. District Judge Dale Fisher said during a virtual Zoom hearing on the March 29 settlement that he couldn’t prevent anyone from filing appeals, but that he intended to sign the settlement.

“I will sign the consent decree, which will close this case,” Fisher told a representative from the DFEH on the call, which first sued Activision Blizzard and asked for a delay in reaching a settlement. “He has already made a proposal. His request is late. Talk to the Ninth Circuit.”

Anyone who has worked at Activision Blizzard from September 1, 2016 to the present can file a complaint, especially about sexual harassment, retaliation, or discrimination during pregnancy. The EEOC agreement is only optional, so claimants must submit documentation that will be considered for relief.

Those who choose to be part of the EEOC settlement will give up their rights to be part of a California agency’s lawsuit about specific issues related to pregnancy harassment, retaliation, or discrimination. If they have other claims, for example wage inequality, that the EEOC’s settlement with Activision Blizzard does not cover, those former or current Activision Blizzard employees can still file a lawsuit in California. The status of each individual will depend on her experiences in the company.

“You can’t dive twice. That is the reality of these agreements,” said Anna Park, Los Angeles District Attorney for the Equal Employment Opportunity Commission (EEOC). “There has been a lot of confusion about it. … We want to encourage everyone to make a well-informed decision.”

In a post-settlement press release Tuesday, Activision Blizzard CEO Bobby Kotick said the company’s goal is to become “a role model for the industry, and we will continue to focus on eliminating harassment and discrimination in our place.” of work. The judicial approval of this agreement is an important step “to ensure that our employees have redress mechanisms if they experience any type of harassment or retaliation.”

After the settlement, EEOC spokeswoman Nicole Saint-Germain said the committee was pleased with the outcome.

Two women who previously worked at Activision Blizzard but have left the company told The Post they would file a claim in the EEOC case because they wanted the company to be held accountable.

“For me, I just want a solution,” said a former Activision Blizzard employee from Texas who said she faced sexual harassment, discrimination and sexism while working for the company. “I don’t want it to last any longer. I think that’s the most important thing right now because I think people need to see that it has an ending and results.”

The EEOC, a federal agency, and the DFEH, a government agency, share jurisdiction over workplace sexual harassment cases, and both agencies received anonymous tips in 2018 to investigate Activision Blizzard. The two agencies fell out. With the amount to be paid to victims in the settlement and concerns that a settlement at the federal level between the EEOC and Activision Blizzard could prevent the DFEH from pursuing further damages statewide. Final approval of the September agreement was delayed until March, due to continued backlash between the agencies.

“The DFEH will continue to pursue a strong lawsuit against Activision in California state court,” DFEH spokeswoman Fahiza Alim said in a statement last week. “In recent weeks, the DFEH has denied Activision’s request that the court dismiss the DFEH case, and the DFEH has sought documents and other evidence of many years of sexual harassment, discrimination, and retaliation violations by Activision. The court has set a date for the trial. by February 2023.”

Critics of the EEOC settlement, in addition to the DFEH, include a large number of workers at Activision Blizzard and its ally, the Media Workers Union of America (CWA). They believe that 18 million dollars is not enough for hundreds or more of victims. on Letter to the EEOC dated October 6, CWA called the $18 million “woefully inadequate” and said Activision Blizzard and CWA employees have “serious concerns” about the settlement agreement. EEOC attorneys say $18 million is still a lot of money, and since most of Activision Blizzard’s 10,000 employees are men, it’s unlikely there will be thousands of plaintiffs to hand over the money. The $18 million settlement with the EEOC is the second largest sexual harassment settlement the agency has ever negotiated.

“We certainly believe there is more than enough money in this $18 million,” Elena Baca, a partner at the law firm Paul Hastings and legal counsel for Activision Blizzard in the EEOC lawsuit, told The Post. “When you look at other deals, people sometimes think ‘Okay, every employee is going to have to get paid.’ But that’s not the case here… to the extent that there are people with valid concerns and claims who want the EEOC to assess and do an assessment.”

Last December, Riot Games announced It was stabilizing in 2018 A class action lawsuit for gender discrimination with California state agencies and current and former female employees for $100 million. This lawsuit was raised as a point of comparison in court documents regarding the proposed settlement between Activision Blizzard and the EEOC.

“I know the focus has always been on money, but it’s not just about money and it can’t be about money,” Park said. “As an executive agency, it has to be about how to get the company to comply, because that affects the daily lives of many people.”

Andrew Torres, Law Firm Owner and Host of Opening Arguments Podcast, Owner Covered Activision Blizzard SuitLast week, he said the judge’s ruling is a victory for Activision Blizzard and could help invalidate the DFEH lawsuit.

Baka, Activision’s legal counsel, said it was “fair to describe” the deal as a win-win for the company.

“In fact, I think it would be more of a victory for the people who have the accusations,” Baca said. The idea of ​​waiting for different judgments, who knows what will happen with that judgment? People can always file their claims, they will never stop, they can file an arbitration claim, they can file a lawsuit, they can file whatever they see fit… and that really gives people purpose and a process that is not available anywhere else. . the rest.”

In addition to the $18 million to be paid to plaintiffs, Activision Blizzard must also create in-company harassment and discrimination prevention programs that will be reviewed by the Equal Employment Opportunity Commission (EEOC). The company announced that the remaining money can go to charities to promote women in gaming or raise awareness of gender equality issues. Investor press release last september. activision is Legal requirement To deposit funds into an escrow account within 30 days.

As part of the settlement with the EEOC, in addition to the $18 million, Activision is required to expand mental health counseling services and add a new employee screening process where employees can leave feedback about their superiors. An EEOC independent expert appointed by the company will report to the EEOC. The company must also provide mandatory live and interactive sexual harassment training.

The agreement will be valid for three years. If Activision fails to comply, the EEOC may seek all forms of redress, including financial penalties or in extreme cases. EEOC attorneys say if compliance falls short of standards, they can request an extension.

“I have a daughter who is a college student and another who graduated from high school and is entering the job market,” Park said. “And you never want it to be their first work experience where they are harassed. We try to create and improve a work environment. This is our job to serve that public interest.”

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