Activision Blizzard has agreed to pay more than $50 million to settle a high-profile lawsuit brought by a California regulator. The lawsuit helped spur Microsoft’s acquisition of the video game company in October, according to people familiar with the matter.
The California Department of Civil Rights sued Activision in mid-2021, alleging that its leadership ignored numerous employee complaints about sexual harassment, discrimination and pay disparity.
The settlement resolves allegations that Activision discriminated against women at the company, including by denying them promotional opportunities and paying them less than men for substantially similar work, the department said Friday.
If finalized, the settlement would be the government agency’s second-largest, after a $100 million settlement with Riot Games, a smaller California video game manufacturer, over alleged gender discrimination. Riot apologized after the deal was announced.
A company representative did not immediately comment. The agency’s statements came after The Wall Street Journal I mentioned the agreement.
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