According to a report from Axios, multiple state treasurers are pressuring Activision Blizzard to take action over the misconduct allegations against the company.
The state treasurers of California, Massachusetts, Illinois, Oregon, Delaware and Nevada are requesting to meet with the board of Activision Blizzard by December 20. In a letter dated November 23, the treasurers called for the meeting, “to discuss your response to the challenges and investment risk exposures that face Activision.”
Illinois state treasurer Michael Frerichs told Axios, “We think there needs to be sweeping changes made in the company.” According to Frerichs, the treasurers are, “concerned that the current CEO and board directors don’t have the skillset, nor the conviction to institute these sweeping changes needed to transform their culture, to restore trust with employees and shareholders and their partners”.
State treasurers generally oversee the entirety of a state’s cash savings, debt and investments. And some states have investments in companies like Activision Blizzard, that are affected by stock prices, and in turn the public’s pension funds. So with the company’s stocks having fallen over the last six months, it makes sense that state treasurers will be adding to the pressure against Activision Blizzard.
the state of activision blizzard
If you aren’t aware, Activision Blizzard is currently dealing with a lawsuit that alleges company wide misconduct. The company was accused of fostering a “frat boy” culture of sexual harassment and unequal pay. It was also later accused of intimidating employees and union busting. And now the bosses of PlayStation, Xbox, and Nintendo of America have all sent internal statements condemning the events at Activision Blizzard.
Day-by-day, more pressure mounts on the company. CEO Bobby Kotick is refusing to resign, and received a vote of confidence in the board despite a huge number of employees calling for his resignation. The lawsuit was originally from the State of California itself. So hopefully more government pressure will force them to act faster.
Featured Image Credit: Activision Blizzard