Activision Blizzard shareholder group calls for the resignation of company CEO Bobby Kotick and two longtime members of its board of directors, one day after the the Wall Street newspaper reported that Kotick was aware of allegations of sexual assault and misconduct which he did not disclose to the board. The Washington Post reported Wednesday that shareholders, led by the Strategic Organizing Center Investment Group, in a letter requested to the board that Kotick, and board members Brian Kelly and Robert Morgado, retire by December 31.
According to the WaPo report, the letter from the investment group states that Kotick was “aware of numerous incidents of sexual harassment, sexual assault and gender discrimination at Activision Blizzard, but was unsuccessful in s. ‘ensure that the managers and managers responsible were fired or to recognize and resolve the problem. systematic nature of the corporate culture hostile to work.
This shareholder group, which includes SOC Investment Group and other investors, represents approximately 4.8 million shares held in Activision Blizzard – a small fraction of the game publisher’s 778.89 million shares outstanding. video.
SOC Investment Group also expressed a lack of confidence in Kotick in a letter to board member Robert Morgado in August, after the California Department of Employment and Housing sued Activision Blizzard, saying the CEO’s response to the misconduct allegations and proposed changes “does not go far enough to address the deep and widespread fairness issues, inclusion and management of human capital in the company. “
The investment group affirms in its mission statement that it “holds companies and their leaders accountable for irresponsible and unethical corporate behavior and excessive executive compensation, reflecting the long-term interests of workers and their families invested in union pension funds “. SOC already has disputed Kotick’s compensation, which is among the highest for general managers in the United States
Activision Blizzard board members Brian Kelly and Robert Morgado have served on the game publisher’s board for decades. Kelly has been with the company since 1991 and has been a member of the board since 1995 and president since 2013. Morgado has been a director since 1997.
The shareholder group joins calls from Activision Blizzard employees for Kotick’s resignation, as well as the resignations of Activision Blizzard Chief Compliance Officer Fran Townsend and COO Brian Bulatao. Employees staged a work strike on Tuesday, both virtually and in person, following the Wall Street Journal report that revealed new allegations of sexual assault, harassment and unequal pay at the game maker.