Blizzard president J. Allen Brack has stepped down from the video-game company following a staff protest over the company's response to an equality lawsuit.
Activision's Blizzard is the developer of in-demand video games "Call of Duty" and "World of Warcraft."
Brack is stepping down weeks after Blizzard was slapped with a discrimination and sexual harassment lawsuit in California, including backlash from employees over their work environment, reports say.
Reuters quoted Tuesday Chief Executive Officer Bobby Kotick as saying the remains focused on their employees well being and that they are committed to ensuring Blizzard has a "welcoming, supportive and safe environment" where all of team members can thrive,
Replacing Brack will be Jen Oneal and Mike Ybarra, selections that were announced by company president and chief operating officer Daniel Alegre Tuesday.
Alegre said he is pleased to announce that effective immediately, Mike Ybarra and Jen Oneal have been picked to take the capacity of co-leaders of Blizzard, The Wrap said.
Employees at Blizzard's Irvine, California offices staged a mass walkout last week, a move meant to pressure the company into creating a better work environment for non-male personnel as well as equalize pay.
Based on a lawsuit, alleged gender discrimination and misconduct at Activision are rampant, including rape jokes, inappropriate commentary on female employees' bodies, and even groping at work, The Wrap reported.
The lawsuit also claims that few women are named to leadership roles and when they are, they are paid less, earn below minimum incentive pay and compensation compared to their male peers.
Stock prices of Blizzard have been in decline since third week of June, when news spread the company was being sued by the California Department of Fair Employment over a workplace culture that's fostered years of discrimination targeted at female employees.
With a second quarter earnings call happening Tuesday, investors are understandably feeling worried over the state of the company they have invested in.
Meanwhile, Blizzard's full-year forecast for adjusted sales missed market observers' projections Tuesday, as the loosening of restrictions weaken the pandemic-driven appetite for the company's popular video game franchises.
The company elevated its full-year adjusted revenue target to $8.64 billion from $8.60 billion, while analysts expected $8.76 billion, figures by IBES data from Refinitiv show.
