Riot CEO investigated for discrimination and sexual harassment

Riot Games continues to grapple with persistent workplace discrimination issues that have resurfaced through new legal challenges.

In January, former executive assistant Sharon O’Donnell initiated legal proceedings against the gaming giant, seeking compensation for medical expenses, lost wages, and employment-related damages. These allegations have triggered an internal investigation into CEO Nicolo Laurent concerning potential gender discrimination and sexual harassment violations, according to Daily Esports reporting.

Riot Games issued an official statement addressing the ongoing investigation:

“Establishing trust in our cultural transformation requires treating every harassment or discrimination claim with utmost seriousness, conducting comprehensive investigations, and implementing appropriate consequences for policy violations… Our chief executive has committed complete cooperation throughout this process, and we’re dedicated to ensuring all allegations receive thorough examination and proper resolution,” stated Riot Games representative Joe Hixson.

O’Donnell’s employment spanned from 2017 through July 2020, during which she alleges experiencing hostile treatment from Laurent. She reports being subjected to verbal outbursts and receiving instructions to “monitor her tone” from the CEO. The former assistant further contends she endured sexual harassment and that her dismissal occurred shortly after raising these concerns with Riot’s human resources department.

Beyond the sexual misconduct claims, O’Donnell accuses Riot Games of wage theft practices. She maintains she qualified as a non-exempt employee entitled to hourly compensation, but the company incorrectly classified her as exempt, making her ineligible for overtime payments. While Riot declined to address all specific allegations, the company vigorously disputed the connection between her termination and the complaints against Laurent.

“The individual involved was separated from our organization over seven months prior following numerous documented concerns from various colleagues. Claims suggesting alternative reasons are factually incorrect,” Riot stated officially.

Riot Games already under scrutiny for sexual discrimination

O’Donnell’s legal action emerges as Riot contends with previous gender discrimination litigation. The 2018 Kotaku investigative report exposed systemic gender discrimination within the company, highlighting patterns of denying women advancement to leadership roles and maintaining toxic cultural elements that created uncomfortable, discriminatory environments for female staff members. This exposure led to class-action litigation, ultimately resulting in Riot agreeing to a $10 million settlement arrangement.

California’s Department of Fair Employment and Housing challenged this settlement, asserting plaintiffs deserved potential damages reaching $400 million. Consequently, plaintiffs retracted their settlement motion and enlisted new legal representation headed by renowned anti-harassment attorney Genie Harrison.

The legal proceedings have continued through court systems, though Riot achieved a significant victory in January when a judicial ruling compelled certain plaintiffs into individual arbitration proceedings rather than participating in the class-action suit. This legal approach protects Riot from public trial exposure and will probably substantially reduce the company’s financial liability. Riot employees previously staged walkouts in 2019 protesting similar corporate legal tactics, though no public employee demonstrations have occurred regarding this recent development.

Industry analysts project 2021 will bring continued turbulence for the studio responsible for League of Legends and Valorant. Both legal cases will likely generate additional developments throughout upcoming months, potentially influencing broader gaming industry standards for workplace conduct and corporate accountability.

Legal Strategy Analysis: Riot’s pivot toward arbitration represents a calculated risk management approach that limits financial exposure but potentially damages employee relations and public perception. The gaming community has shown increasing awareness of developer workplace conditions, making these legal battles significant beyond immediate financial implications.

Corporate Culture Assessment: The recurrence of discrimination allegations suggests deeper systemic issues within Riot’s organizational structure that may require comprehensive cultural overhaul rather than incremental reforms.

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