A small group of Activision Blizzard shareholders called on CEO Bobby Kotick and two long-term members of the company’s board of directors to resign, and said they would not vote for the re-election of any current board members. If they refuse to step down, then At the company’s annual shareholder meeting next year.
SOC Investment Group, formerly known as CtW Investment Group, has been criticizing Kotick and other industry CEOs for overpaying for many years. The organization made the request after yesterday’s blockbuster report, which stated that Kotick knew that the company had been experiencing sexual abuse and harassment as early as 2006.
in a Letter to shareholdersThe investor organization said that Activision Blizzard is now facing “an unprecedented self-caused workplace crisis”, mainly because Kotick failed to take action against violators.
“Therefore, we call on Mr. Kotick to resign as the company’s chief executive officer, and call on the board to take responsibility for failing to recognize and resolve what the California Department of Fair Employment and Housing refers to as the’fraternity boys’ workplace culture flourishes,” SOC The investment group’s letter said. “In order to ensure that the board has the leadership that can lead this work, we urge Chairman Brian Kelly and lead independent director Robert J. Morgado to announce their retirement no later than December 31, 2021.”
The investment group also called on Activision Blizzard to retain “an independent corporate governance expert with a strong background in eradicating sexism and discriminatory workplace practices” in order to conduct a comprehensive review of the board’s failure to resolve issues and improve diversity and participation. The board of directors, including the addition of a non-executive employee as an employee director. If Kotick is not fired, the organization stated that his recent voluntary pay cut should be extended for at least five years, presumably to motivate him to move.
SOC Investment Group has also joined other shareholder organizations, including Future Super, NEI Investments, Research and Education Shareholders Association (SHARE), and Verve Super. Washington post; SHARE does not actually hold any interest in the company, but chooses to sign this letter to help “push reform”.
(3/5) Therefore, we call on Mr. Kotick to resign as CEO of @ATVI_AB, and urge Chairman Brian Kelly and lead independent director Robert J. Morgado to announce their retirement by December 31, 2021 at the latest. @ATVI_AB needs a new leadership to address its “fraternal” culture.November 17, 2021
In total, the investor community holds approximately 4.8 million shares of Activision Blizzard, which is not as important as it sounds, accounting for only 0.6% of the company’s total issued shares. Despite this, the SOC Investment Group is still influential: in August 2020, 74% of the voting shares rejected the company’s proposal in a non-binding ballot after a complaint against Electronic Arts’ executive salaries. The salary package and approaching to do so in June 2021 is also true at Activision.
There is no doubt that the organization’s efforts to remove Kotick will also be supported by public opinion. Kotic has previously positioned himself as an unwavering change agent, but it is reported that he has been aware of the company’s abusive behavior and dismissed it for years—in effect, threatening to kill an assistant—has been reported. Destroy this image. Activision Blizzard’s board of directors issued a statement yesterday expressing confidence in his leadership, but the ABK Workers’ Union is now asking Kotick to step down: more than 150 employees participated in a strike calling for his removal, and the organization said “will not be silent” until Kotick is killed. replace.
I have contacted Activision Blizzard for comments and I will update if I receive a response.