Company culture spotlighted in litigation

On Behalf of | Aug 11, 2021 | business litigation

You know that your business’s success depends on both external and internal factors. The external factors of the public image and financial success combined with the internal factors of the company culture and workplace environment help a business thrive.

Lately, company culture has become even more of an issue, sparking concerns around legal violations and even leading to litigation.

What is happening in the Activision Blizzard dispute?

By now, news of the lawsuit against the gaming and tech giant Activision Blizzard has spread across the country. The creator of some of the most popular online games is facing accusations of a toxic and hostile work environment. Employees filed complaints alleging:

  • Discrimination
  • Sexual harassment
  • Unequal pay
  • Retaliation

Now, the California Department of Fair Employment and Housing (DFEH) is involved. DFEH filed a lawsuit against the gaming company for violating state employment laws. As CNN reports, this lawsuit could lead to a crackdown on other tech companies across the country – as well as throughout other industries in the corporate world that face accusations of a toxic corporate culture.

Company culture is of the utmost importance

The case against Activision Blizzard is not nearly the first involving issues in a company’s culture. Movements like #MeToo and even the transition to working remotely all placed emphasis on company culture – and its significance is only increasing.

Your business’s success and even compliance with the law could boil down to your company’s culture. Therefore, it is critical for business owners and employers to take responsibility and take steps to build a positive company culture.

What should you do?

Focusing on company culture might not seem important if businesses face the risk of litigation. However, concentrating on improving – and maintaining – the culture can be an important and proactive step to reduce that risk.

As a business owner and employer, you must:

  • Consider all of the factors influencing your company’s culture
  • Open lines of communication with employees to gain their perspectives
  • Implement creative solutions to foster a good company culture long-term

Creative strategies are essential, as the business world is everchanging. You must be ready to change with it to protect your company.