Jonathan M. Brenner, Member of the Firm in the Employment, Labor & Workforce Management practice, in the firm’s Los Angeles office, was quoted in the Bloomberg Daily Labor Report, in “Gaming Industry Nondisclosures Become Key Test of #MeToo Laws,” by Maeve Allsup and Paige Smith.
Following is an excerpt:
California regulators in their investigations into sexual harassment in the video game industry are targeting companies’ use of nondisclosure agreements, raising questions about whether they are preventing alleged victims from speaking to investigators or sharing their experiences publicly.
The state’s civil rights agency, the Department of Fair Employment and Housing, has accused Activision Blizzard Inc. and Riot Games Inc., a unit of Tencent Holdings Ltd., of using such agreements to hamper its investigations into harassment and discrimination.
In the wake of the #MeToo movement, California enacted laws which restrict the use of overly broad gag orders that critics say keep victims from speaking out about workplace abuses. The state’s NDA laws specifically prohibit settlements and other agreements that restrict what employees can say about discrimination and harassment claims.
Lawyers said the clash between the DFEH and the video game industry could be a test case for how regulators use those laws to rein in those practices, and impact how employers craft nondisclosure agreements across industries well beyond the tech world. …
Employer Impact …
Jonathan Brenner, a lawyer in Epstein Becker & Green P.C.’s Los Angeles office, said the impact of these cases could go far beyond the video game industry.
If the DFEH is successful with its arguments that these agreements are hampering its investigations, employers across the board could be more vulnerable to potential enforcement action, Brenner said. While neither case was sparked by NDA issues, but rather underlying allegations of harassment and discrimination, companies should take note of how the agency is using the laws on those issues to step up enforcement, he added.
“As you saw in both of those cases, the agencies have stood up and made a big deal about that,” said Brenner. He advised that employers review their templates for nondisclosure and separation agreements, especially provisions that mandate workers inform companies before speaking with law enforcement.
