Four US senators have raised concerns about Microsoft buying Activision Blizzard for $69 billion and have urged the Federal Trade Commission to assess the impact on workers before approving the proposed merger. Elizabeth Warren, Bernie Sanders, Sheldon Whitehouse and Cory Booke addressed this in a joint letter to the FTC Chair yesterday. Considering that Actiblizz has faced many, many, many allegations of discriminatory and abusive working conditions, and that the CEO who reportedly stepped in to protect an alleged harasser is still happy with the company, they fear that the merger could aggravate the situation.
“Activision Blizzard workers have heard calls for more transparency and accountability in the gaming industry after years of rampant sexual misconduct and discrimination and unfair labor practices, and we are deeply concerned that this acquisition could further disenfranchise these workers and prevent them from having a voice.” the four said in their letter to FTC Chairwoman Lina Khan.
“As this proposed deal progresses in the review process, the [FTC] should assess whether the way in which these companies have failed to protect the rights and dignity of their workers is due to monopsony power or amounts to anti-competitive harm in our labor market and, if so, whether the merger will exacerbate these problems .”
They bet they fear the takeover could hurt unionization, not to mention that Activision Blizzard is already resisting efforts by Raven Software’s QA staff to form a union. Microsoft recently said they would recognize the outcome of these efforts, but senators urge caution and thought.
Senators are also concerned that Activision Blizzard CEO Bobby Kotick is staying through the merger and could get away with a “golden parachute” worth millions of dollars, despite strikes and petitions from employees and calls from shareholders wanting him out want.
“This lack of accountability, despite shareholders, employees and public demands to hold Kotick accountable for the culture he has created, would be an unacceptable outcome of the proposed acquisition of Microsoft,” the letter reads.
Activision Blizzard replied and said don’t worry it’s cool they’re going to be good.
“The company is committed to providing a safe and equitable work environment for all employees and has invested significant resources to ensure we create a model for the industry,” Actiblizz PR said in a statement to CNET. “The transaction between Microsoft and Activision Blizzard will not interrupt any of the actions that Activision Blizzard’s leadership team has implemented throughout 2021 and continues to implement toward improving our workplace in 2022.”
Well, if they say so!
The senators’ letter also included a bill Warren co-sponsored that would require the merger approval process to consider the impact on workers, ban the “biggest” mergers and give the government new powers to break up monopolies.