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(SOUNDBITE OF TAME IMPALA SONG, "ENDORS TOI")Ĭopyright © 2021 NPR. But the other interesting thing here is, yes, that the SEC is looking into it because they are typically concerned not with workplace issues like this, right? They're more concerned about disclosure and investors.ĬORNISH: That's Kirsten Grind of The Wall Street Journal. The video game industry is sort of, unfortunately, notorious for some of these unfriendly cultural issues in that space. Now, Activision, they've gone after that company more than the others, but they've also looked at other companies for some of these same issues. GRIND: Well, that's a really interesting issue because you've seen regulatory agencies in recent years, and especially this year, really start to target video game companies. So by that measure, how bad is Activision, so to speak? Or is this a new age in terms of how people look at companies, how shareholders look at companies? And that is what they've said to the other investigations as well, including the SEC.ĬORNISH: Wall Street is not known for its sensitivity to women's issues in particular. And Activision had to kind of backtrack and say that they were taking the issues very seriously, they were looking into all of them. And that really angered the employees, and they staged a walkout actually after that happened.
GRIND: At first, when the state filed a lawsuit - the state of California in July - they kind of panned the lawsuit. So the SEC is really concerned about what the company released in terms of some of these workplace problems, right? Did they disclose them properly? Should they have told investors more? And so unlike some of the other agencies as well, they are going directly after Activision's board of directors as well as its high-level executives and its longtime CEO, Bobby Kotick.ĬORNISH: How has the company responded to any of this? So this is a really interesting development actually because the SEC looks at what companies are disclosing to investors and the public. What is happening now is that federal securities regulators also are interested, which significantly ratchets up the pressure on Activision.ĬORNISH: You said it ramps up the pressure, but can you talk about why the SEC has been called in? What are they investigating at this point? It also is quite rare that so many agencies would be looking at these workplace culture issues. GRIND: The National Labor and Relations Board (ph) also is looking into it, and then the SEC is the latest in that. Well, unfortunately, it means almost exactly what it sounds like - that at this very big video game giant, that there was a terrible culture, according to the state's lawsuit, that involved a lot of drinking, women not comfortable being at work, just a lot of allegations of Activision being not a good place to work.ĬORNISH: So you've had the Department of Fair Employment and Housing in California suing them, Equal Employment Opportunity Commission going after them. What does that mean? (Laughter) Like, can you give us an example? There were other investigations into the company about sexual harassment and what one complaint called a frat boy culture. KIRSTEN GRIND: Thanks so much for having me.ĬORNISH: Before the SEC got involved, there was a lawsuit. The Wall Street Journal's Kirsten Grind is here with more. Well, The Wall Street Journal broke the news on the SEC investigation, which comes after a summer of turmoil for Activision Blizzard. Now, if you're not familiar with the company, you may know the names of its popular game franchises - Call of Duty, World of Warcraft, or even Candy Crush. The Securities and Exchange Commission is investigating Activision Blizzard over its handling of sexual harassment and discrimination allegations. Regulatory and legal problems for one of the nation's biggest video game publishers are getting deeper.
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