Judge Approves $18 Million Settlement Between Activision and EEOC

A California judge approved an $18 million settlement between Activision Blizzard Inc. and the Equal Employment Opportunity Commission, defeating an objection from the State Department that seek to intervene in the matter.

Activision has previously agreed to settle with the EEOC, which had been investigating the videogame company for allegations of sexual harassment and retaliation. 

But the company and the federal agency became locked in a long battle with the California Department of Fair Employment and Housing after the state agency sought to block the settlement, claiming that it can ruin the department’s lawsuit against Activision. 

Judge Dale S. Fischer of California ruled against DFEH, saying that any approved claimants must have the right to recover any harassment, pregnancy discrimination or related retaliation stemming from the agency's case against Activision. 

Activision has agreed to engage a neutral, third party equal employment opportunity consultant, along with the $18 million funds to compensate eligible claimants. It will a nonemployee and must be approved by EEOC, who will oversee Activision’s compliance with its agreement, among other resolutions. 

Activision is known for its popular games franchises such as “Call of Duty,” “World of Warcraft” and “Candy Crush.” It has around 10,000 employees and has recorded merely $9 billion in revenue in 2021.

The DFEH’s case against Activision was filed in July and claims that the company ignored multiple complaints of female employees about harassment, discrimination and retaliation.