Activision Blizzard is now under investigation by the SEC for discrimination and poor workplace practices

Another wrinkle is added to the Activision Blizzard drama. After the California Department of Fair Employment and Housing (CDFH) filed a lawsuit against the company on July 20, a floodgate of information about the company’s poor workplace practices was unveiled to the public.

The company has been accused of having a “frat boy” mentality and has been called out for its mistreatment of the female employees on staff. Several employees have spoken about their discontent within the company, bringing up the discrimination women faced within the company.

Several employees have expressed their dislike of how Activision Blizzard is handling the situation, with over 1,000 employees staging a walkout. The president of Blizzard J. Allen Brack stepped down from his position and soon after the head of HR Jesse Meschuk also left. Julie Hodges was then hired as the new Chief People Officer to help oversee HR and hopefully make a better workplace experience for those still on staff.

This latest investigation will not lighten the pressure for the company any time soon. As reported by the Wall Street Journal, the Securities and Exchange Commission (SEC) has subpoenaed Activision. The subpoena includes CEO Bobby Kotick. The SEC is requesting communication logs from Kotick and other senior executives from the company. The SEC is also asking for documents for Activision board meetings from 2019 and personnel files for former employees.

The SEC is investigating Activision Blizzard to find details on how the company handles sexual allegations and discrimination in the workplace. The SEC investigation is separate from the CDFH lawsuit. Activision confirmed the SEC’s involvement in a statement to the Wall Street Journal and that they are cooperating with the SEC.