Investors Pressure Activision To Take Stronger Action On Abuse Claims
The SOC investment group, who represent a number of Activision Blizzard shareholders, has issued an open letter to the company, taking aim at the way it has handled allegations of widespread harassment and discrimination.
In addition, the group outlines a number of changes they feel will go some way in changing the current company culture.
As it stands, the group writes, the company’s responses “do not go nearly far enough to address the deep and widespread issues with equity, inclusion, and human capital management at the company.”
Addressed to Activision Blizzard Lead Independent Director Robert Morgado, the letter notes:
“No changes have been announced or proposed that would in any way alter the current process for filling vacancies either to the board of directors or to senior management.
“No changes have been announced with respect to executive pay, either with respect to clawing back compensation from executives who are found to have engaged in or enabled abusive practices, or to align executives with the equity goals Mr. Kotick articulated.”
It calls the review by law firm Wilmer Hale “deficient in a number of ways”, saying the firm “has a sterling reputation as a defender of the wealthy and connected, but it has no track record of uncovering wrongdoing”, adding that the scope of the investigation “fails to address the full range of equity issues.”
The commitments called for include increased board diversity and equity; future bonuses being “contingent on the company as a whole achieving clearly articulated and independently verified milestones for diversity and equity”; and a company-wide equity review.