In recent years, one organisation has been calling out some of the biggest companies in video games when it comes to executive pay.
Strategic Organizing Center (SOC) Investment Group — previously Change to Win (CtW) Investment Group — has been bringing attention to both Activision Blizzard and Electronic Arts over what they perceive as grossly overpaying their management.
This is a campaign in which the organisation has seen some degree of success to date. After calling upon shareholders to not back EA’s Say On Pay proposal — an advisory vote that sees whether investors support how execs at a company will be paid — in 2020, 68% voted against the plan. That’s a pretty stunning defeat.
In 2021, SOC put out a similar letter to shareholders, resulting in just 42% supporting the proposal. That might be marginally greater support than 12 months prior, but the organisation’s criticisms of how EA’s execs are compensated remain the same; too many potential overlapping awards for execs.
“The major concerns are that EA is paying [their execs] too much and that part of how they’ve gone about paying too much involves bonuses and other incentive payments that are special in character and not part of the regular order of issuing bonuses,” SOC’s research director Rich Clayton tells GamesIndustry.biz.
“We want them to get away from this somewhat haphazard pattern and stick to whatever plan that they’re going to establish.”