U.S. District Judge Dale Fischer has approved the settlement between Activision Blizzard and the U.S. Equal Employment Opportunity Commission (EEOC).
EEOC has been contacting Blizzard employees regarding their experience in the company, right after it was aware of allegations of “gender-based and/or sexual harassment.” EEOC finally filed a complaint in September 2021, and Activision Blizzard agreed to settle shortly after.
The recently approved settlement between Activision Blizzard and EEOC was for an $18 million fund that will compensate the victims of discrimination and harassment. The fund will also be used to expand mental health counseling and organize prevention programs.
While this may seem like good news at first sight, California’s Department of Fair Employment (DFEH) disagrees. Corporate lawyer P. Andrew Torrez stated that the recent settlement was a “clear win” for Activision Blizzard, allowing it to undercut the state law proceedings. The state agency will continue to pursue its lawsuit against Activision Blizzard, which has a trial date in 2023.
In the meantime, Activision Blizzard’s board of directors continues to face separate lawsuits regarding undue enrichment and violation of the Securities Exchange Act during the Microsoft deal. There are also other ongoing lawsuits regarding board members’ negligence toward the discrimination and sexual harassment reports.