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Activision Blizzard and EEOC reach settlement agreement worth $18 million

Activision Blizzard will establish a fund worth $18 million as part of a settlement agreement for a matter that was filed on the same day.

The Equal Employment Opportunity Commission (EEOC) filed a lawsuit on Monday against Activision Blizzard in which it was alleged that Activision Blizzard and its subsidiaries “have subjected a class of individuals to sexual harassment, to pregnancy discrimination” and discrimination based on race, religion, sex and natural origin. That lawsuit can be read in full here.

The EEOC has been investigating Activision Blizzard since 26th September 2018 and the firm has cooperated by providing information, documents and testimony necessary for the investigation. So while it may seem as if Activision Blizzard reacted extraordinarily quickly to this news, it’s likely it knew where the investigation was headed and as such, made a plan to resolve this lawsuit quickly.

The fund Activision Blizzard has created will be used to “compensate and make amends to eligible claimants” and any funds left over will be used to address issues of harassment and gender inequality both within and outside of the firm.

“There is no place anywhere at our company for discrimination, harassment, or unequal treatment of any kind, and I am grateful to the employees who bravely shared their experiences. I am sorry that anyone had to experience inappropriate conduct, and I remain unwavering in my commitment to make Activision Blizzard one of the world’s most inclusive, respected, and respectful workplaces,” Activision Blizzard chief executive officer, Bobby Kotick, said in a statement.

With one lawsuit dealt with, Activision Blizzard still has to deal with a lawsuit brought by the Department of Fair Employment and Housing in California as well as an investigation being conducted by the Securities and Exchange Commission.

The ongoing lawsuit has seen several high-level employees leaving Activision Blizzard including, most recently, Blizzard’s chief legal officer.

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