One of Activision Blizzard's shareholders has gone on record criticising the company, saying they've failed to address the recent sexual harassment and discrimination lawsuit well. Having faced a lawsuit from the Californian State that alleged a "frat boy" culture and reports of widespread sexual harassment, a second lawsuit's since been filed by investors.
Now, that's gone a step further. Addressing a letter to CEO Bobby Kotick, SOC Investment Group sent a letter through to the company's lead independent director, Robert J. Morgado, sharply criticising their current response.
Activision Blizzard's Discrimination And Harassment Response Is Inadequate, Says Shareholder
Calling the response "inadequate", SOC Investment Group stated:
While we appreciate the improved tone and increased detail in CEO Kotick’s recent letter to Activision Blizzard employees, customers, and shareholders, the changes Mr Kotick has announced do not go nearly far enough to address the deep and widespread issues with equity, inclusion, and human capital management at the company.
Going further, this letter alleges three key failures Activision Blizzard's not acted upon. Firstly, they criticised the executive recruitment process, saying “No changes have been announced or proposed that would in any way alter the current process. Secondly, they target how nothing's been done about executive pay, which has been widely scrutinised in the past.
Finally, SOC Investment Group went after Kotick's decision to recruit law firm WilmerHale, calling this decision "deficient in a number of ways." At this time, Activision Blizzard's not offered a formal response to this letter, but we'll keep you informed as this story develops.