But critics worry it will cut down on other ongoing lawsuits.
A US judge has completed one of many discrimination lawsuits against the company by upholding Activision Blizzard's $18 million settlement with the Equal Employment Opportunity Commission (EEOC). The lawsuit outlined the details of sexual harassment, gender discrimination in its handling of pregnancy, and retaliation against female employees.
The deal was originally agreed in September 2021, but was put on hold the following month after objections from the Ministry of Employment and Housing. The two agencies scrap with each other, each with their own individual case. While the DFEH argued that the EEOC's settlement would cause "irreparable harm" in its case, the EEOC later countered by claiming that the DFEH had two attorneys operating under ethical violations. Former Blizzard employee Jessica Gonzelez also declined a request to intervene in the proposed deal.
Despite concerns that the EEOC agreement would undermine DFEH's own pursuit, District Judge Dale Fischer upheld the agreement. The court, which emerged from Tuesday's hearing, states: “The Court is generally satisfied that both monetary and non-monetary provisions were fair, reasonable and sufficient.”
The $18 million deal will go towards harassment and anti-discrimination programs at Activision Blizzard, under EEOC supervision. The remaining funds will be donated to charities selected by the EEOC with a focus on those involved with women in the gaming industry and those tackling gender equality issues. This marks the second-largest sexual harassment settlement for the EEOC (the largest is $20.5 million, reached with Jackson Insurance Co), but America's labor union Communications Workers described the total as "sadly inadequate" last year.
While this is one lawsuit that Activision Blizzard can now get behind, there are at least three other lawsuits currently open to the public, including one from DFEH. "He will continue to vigorously prosecute his action against Activision," said the agency's spokesperson, Fahizah Alim. The trial date is set for February 2023. Meanwhile, Microsoft's proposal to take over Activision-Blizzard continues.
