$100M Riot Games Workplace Gender Discrimination Settlement Granted Preliminary Approval

In recent news, the court granted preliminary approval to the proposed $100 million settlement to resolve workplace gender discrimination claims against Riot Games.

The Case: McCracken, et al. v. Riot Games, et al.

The Court: Superior Court of the State of California

The Case No.: 18STCV03957

The Plaintiff: McCracken, et al. v. Riot Games, et al.

In 2018, the plaintiffs in the case, Melanie McCracken and Jess Negrón, filed a class action lawsuit against Riot Games in California federal court, arguing their former employer violated the California Equal Pay Act due to the allegedly hostile workplace. The female employees claimed Riot Games fostered a workplace culture of gender discrimination and harassment.

The Defendant: McCracken, et al. v. Riot Games, et al.

The defendant in the case, Riot Games, was founded in 2006. The company develops, publishes, and supports player-focused games worldwide. In 2009, the company released its debut title, League of Legends, which received worldwide recognition. League has since become the most-played PC game in the world and a significant component in the explosive growth of esports.

The Case: McCracken, et al. v. Riot Games, et al.

Previously, McCracken and Negrón agreed to a $10 million settlement with Riot Games. However, California's Department of Fair Employment Housing (DFEH) and Division of Labor Standards Enforcement halted the settlement after determining the amount inadequate for the case. The new settlement agreement calls for Riot Games to pay at least $80 million of the settlement in compensation to current and former female employees and contractors (employed by Riot Games between November 6th, 2014 to the present). According to the agreement, Riot Games will also put $6 million in a cash reserve for the next three years to fund programs designed to improve diversity, equity, and inclusion. The settlement agreement also requires Riot Games to hire third-party experts to ensure it improves its workplace culture by incorporating compliance audits and gender-equity analyses for the company. Judge Elihu M. Berle, Los Angeles County Superior Court Judge, approved the $100 million settlement on July 22nd, 2022. The settlement resolves claims that Riot Games' workplace was filled with systemic gender discrimination and harassment against female employees and temp workers. Under the agreement, approximately 1,065 female Riot employees and about 1,300 temp contract workers will receive a minimum of $80 million (with an additional $20 million paid in attorneys fees).

If you have questions about California employment law or need to discuss workplace discrimination violations, please get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to assist you in various law firm offices in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.