Unintended consequence:
Wind turbines are impacting the health of Ontarians

ByM.Gaudin, North Stormont

There is a real possibility of a future with hundreds of Industrial Wind Turbines (IWTs) surrounding the greater Ottawa area. Quite a picture. Let me tell you a story.

I live in the small community of North Stormont, just south of Ottawa. I have lived and worked in the Ottawa area for 25 years. The call of a rural life was strong when I bought our home in this peaceful community. I had hoped to retire here. I loved it here.

But the joy is gone. I keep my windows closed to try to eliminate the unearthly noise from the turbines. The insidious infra-sound makes me queasy like seasickness and feel off-balance if I go outside.

In 2015, an international wind company came into our area and signed wind leases with a bunch of property owners to build an industrial wind project. Knowing what we all learned from years of peer-reviewed research since the Green Energy Act of 2009, many were opposed to the project so close to our homes.

During this time, people continued to object. Noise and health incident reports have been continuously filed with both Ministry of Environment Conservation and Parks (MECP) and the Eastern Ontario Health Unit. The turbines erected are prototype Enercon E138s, too big and too clustered by the homes in this high-density rural area with schools and seniors' residences. We also learned about the situation in other Ontario wind projects; none of it was protective of the people's health. The people in North Stormont are experiencing what so many in every other Ontario wind turbine project are experiencing with no help from any government agency. The Ministry of Health (MOH) states that the Ministry of Environment Conservation and Parks (MECP) has authority over the project; MECP refers people back to the MOH.

I continue to write to the Minister of Environment Conservation and Parks (MECP) to fix it while a stream of civil servants and Ontario ministers send the same boilerplate responses month after month, delay after delay of action, and meanwhile, people of all ages are harmed daily from the turbine emissions. At no point does any ministry take responsibility for helping the people. How is this possible in Canada?

The formal incident reports sent to the government are of cardiac events, sleep disturbance, high annoyance levels, vertigo, dizziness, migraine, and ringing in the ears. It’s just some of the noise nuisance issues reported. And it started happening in my community as soon as the project began operating.

Sure, industry types and government civil servants state that wind turbines aren’t the cause. That’s to protect the billion-dollar global wind industry. People who receive financial benefits for leasing their land may also be harmed, but their lips are sealed under a gag order from the wind company.

Also concerning is how government-paid regional Medical Officers of Health live in the same communities, hearing the same concerns saying there is ‘no evidence’ of health problems from wind turbines. But there is evidence. The people are the evidence, and it’s serious.

They are not NIMBYs, just ordinary everyday people in rural Ontario. In my community, too many health incidents occur almost simultaneously. So what should one think when the only new addition to our small, tight community was the giant 29 -turbine wind project? Evidence!

We knew that one older woman Stephana Johnston in the Clear Creek Ontario wind project, had said: “All the advice I have been given by everyone who has learned about the physical health effects which started …when the last six of the group of 18 IWT's surrounding my home within a 3 km radius were put into action is that I SHOULD NOT LIVE any longer in the home I had built in 2004….”

But no remedy was ever provided because of the decades-old promulgation of the notion that the projects are safe and benign on the Ontario landscape. Yes, some people love wind turbines. They say they are graceful and majestic and the answer to climate change. But they do not have them as neighbours.

So, part of your freshly minted Energy Evolution Strategy vision is to transform Ottawa into a thriving city powered by clean, renewable energy. The modelling draft document indicates that the minimum results required to meet the 100% scenario for the electricity sector shows wind generation reaching 3,218 MW by 2050. “That is approximately 710 large scale turbines”... in the Ottawa area, according to advocacy organization Wind Concerns Ontario.  How do the non-urban outer reaches of Ottawa feel about that?

Let’s look at the big picture here. As far back as the early 2000s, politicians have been lobbied, enticed, persuaded, or paid to promote “green energy.” Virtually every lawmaker in every major jurisdiction in the western world decreed they’d be the ‘leader in green energy’ production, mainly by Industrial Wind Turbines [IWT].

Former Ontario Premier Dalton McGuinty, with the advantage of a majority government; newly formed environmental organizations; wind industry investors; oil and gas companies, and supportive media outlets, grabbed this trend by the tail, cheering the creation of the Green Energy Act (GEA). Hundreds of millions of incentive dollars went to Liberal Party executive insiders to get the ball rolling.  Finally, in September 2009, McGuinty passed the industry-led law with much fanfare but also much concern.

Concern, you ask? Prior to the approval of the GEA, there were rural Ontarians already exposed to pre-GEA IWT projects sponsored by the Governments of Canada and Ontario, heavily influenced by lobby groups.

ABOVE: A wind turbine located roughly 0.5 miles from a rural Ontario home. (PHOTO: Bonny McKeough)

In 2009 those rural Ontarians bravely came forward to disclose what industrial wind had done to their health, homes, and livelihoods. Many were farmers. Some lost their livestock to strange and horrible health problems not seen before. Others residents were affected by massive pressure pulses emitted from the giant turbine blades near their homes. For some, sleep became such an impossibility that many abandoned their homes to survive. That doesn’t sound too environmentally friendly now, does it? That was 13 years ago.

Fast forward to today, where the outer Ottawa area will become part of the solution to the Energy Evolution Strategy. Here is the scenario: wind energy proponents will knock on your door and ask to lease your land for their turbines. If you lease property to ‘be green or make green,’ you will sign a non-disclosure agreement preventing you from declaring any medical issues that, more likely than not, will arise. If you complain to the proponent or the Ministry of Environment in charge, you will get no resolution of your problems. They will advise you to see a doctor, though. If you become ill and complain, you will be described as a NIMBY or anti-environment.

Recently Australian courts have sided with residents surrounded by a wind project who described their ongoing health symptoms and were believed.

On March 25, 2022, the Australia Supreme Court from Victoria issued a precedent-setting decision which held that operational noise from the Bald Hills Wind Farm was causing a nuisance to two local residents at night time and ordered the operator of the Bald Hills Wind Farm to: “...pay a total of AU$260,000 in damages to the two residents.”

“The Court applied established principles at common law to determine that operational noise from the wind turbines at night amounted to a private nuisance because it caused a substantial interference with the two residents' use and enjoyment of their land.”

So, this is no time to cheer if you live anywhere near where the gigantic turbines are to be located. Adverse health effects, including heart palpitations, vertigo, nausea, and chronic sleep disturbance, were reported to the government over ten years ago and are still a serious health scourge today as wind turbines in Ontario are still operating.

In Ontario today, over 6000 incident reports have been submitted to the Ontario Ministry of Environment. This calls for a remedy to the agonizing problem of wind turbines. So beware, Ottawa. The Australian Supreme Court also held that: The public interest in the operation of the wind farm did not outweigh the need to abate the nuisance.

History will show that if you do not pay attention to the details surrounding socially ‘acceptable’ solutions such as industrial wind projects, those green dreams will likely become a nightmare.

---

For more information on industrial wind farming, visit https://www.windconcernsontario.ca or https://www.wind-watch.org

Photo: iStock

By: OLM Contributor

CRIMINAL CAPITALI$M

Wells Fargo Ordered to Pay Advisor Nearly $1 Million for Its Role in Credit Suisse Deferred-Comp Spat

By Andrew Welsch
May 23, 2022 

Seven years ago, Credit Suisse struck an unusual arrangement with Wells Fargo , giving Wells the inside track on recruiting the Swiss bank’s nearly 300 U.S.-based financial advisors.

Credit Suisse was closing its U.S. wealth management operation, and these elite advisors, who managed $93 billion in collective assets at the time, needed a place to go. Wells Fargo executives made their pitch to the advisors during a virtual town hall meeting in October 2015.


“We want you,” Mary Mack, then head of Wells Fargo Advisors, said according to a transcript of the meeting. She said Wells Fargo was “prepared to offer everybody” recruiting bonuses up to 300% of their annual revenue as an incentive to make the move. Advisors could expect offers in about two weeks.


Signage at a Wells Fargo bankDavid Paul Morris/Bloomberg

Not every advisor got one, it seems.

Anthony Aris Dertouzos alleged that he was snubbed by Wells Fargo. In addition, Credit Suisse withheld millions of dollars of deferred compensation from advisors as part of its planned exit from its U.S. wealth management business, he also alleged.

On May 17, a Finra arbitration panel ordered Wells Fargo to pay Dertouzos nearly $1 million for “negligent misrepresentations, fraud, [and] aiding and abetting Credit Suisse’s scheme to steal the deferred compensation from its relationship managers,” according to the arbitration award.

“I think everyone assumed that, based on the public statements, Wells Fargo would make an offer to everyone,” says Kevin T. Hoffman, an attorney for Dertouzos. “But they retained discretion to hire who they wanted.”

Dertouzos, who now works for Morgan Stanley , is ranked among Barron’s Top 1,200 Advisors for 2022. He declined to comment on the arbitration award.

His arbitration case against Wells Fargo was a lengthy one. Dertouzos filed his claim in 2018; the panel issued its ruling after 59 hearing sessions.

It appears to be the first to allege a Wells Fargo role in helping Credit Suisse to withhold deferred compensation.


Credit Suisse was not named as a party in the Dertouzos/Wells Fargo arbitration. It reached a confidential settlement with Dertouzos in a separate case. Hoffman declined to comment on that case.

A spokesman for Credit Suisse declined to comment on the case.

Wells Fargo denied the allegations, according to the arbitration award. A spokeswoman for the bank could not be reached for immediate comment.

Former Credit Suisse advisors have filed dozens of arbitration claims against the Swiss bank for allegedly withholding millions in deferred compensation. The company has denied the allegations.

It has had a mixed record in Finra arbitration.

In January, a Los Angeles-based arbitration panel ordered Credit Suisse to pay $6.3 million to seven financial advisors who say the firm wrongly withheld their deferred compensation. The following month, a Houston-based panel sided with Credit Suisse in a similar dispute with three of its former advisors.

During the 2015 town hall, former Credit Suisse executive Phil Vasan told advisors that if they moved to Wells Fargo they would receive a “very compelling onboarding award.” If advisors did not “to Wells Fargo, that’s not available to you,” Vasan said according to the transcript, which was filed in a New York state court as part of litigation between two ex-Credit Suisse advisors and the Swiss bank.

Though Credit Suisse has lost some arbitrations to advisors, it won a raiding case against UBS, which poached roughly 100 of Credit Suisse’s advisors following the announcement of the recruiting arrangement with Wells Fargo.

Write to Andrew Welsch at andrew.welsch@barrons.com

Former Activision Blizzard employee appeals $18 million harassment settlement

Igor Bonifacic
·Weekend Editor
Mon, May 23, 2022

Mike Blake / reuters

Former Activision Blizzard employee Jessica Gonzalez is appealing the publisher’s recent $18 million settlement with the US Equal Employment Opportunity Commission (EEOC). On Monday, the Communications Workers of America (CWA) announced Gonzalez is challenging the settlement on the grounds that it prevents workers who apply as claimants from suing Activision Blizzard in the future.

When the settlement was first approved by a federal judge in late March, many Activision Blizzard employees criticized it for not going nearly far enough to hold the company accountable. The fact the settlement prevents claimants from taking part in future litigation against Activision Blizzard was seen as particularly problematic as it would make those individuals ineligible to participate in California’s sexual harassment lawsuit against the publisher.

Employees have also argued $18 million is far too little to compensate everyone who could come forward with a claim against the company. The sum means there’s only enough money for the EEOC to award 60 employees with the maximum settlement allowed.

"Today’s appeal continues efforts by CWA and DFEH to interfere with and delay an $18 million settlement that benefits eligible employees. This is the tenth attempt," an Activision Blizzard spokesperson said. "It is unfortunate that DFEH – both directly and through those working with it – continues the campaign of misinformation and inaccurate claims.”

“The court allowed Activision and the EEOC to keep the affected workers and others who had an interest in holding the company accountable out of the process. Eligible employees should not have to give up their right to pursue other legal remedies if they accept the settlement,” Gonzalez said.

There is a precedent for workers winning a better settlement in these types of situations. Following a 2018 class-action lawsuit alleging sexual harassment and discrimination at the studio, Riot Games was ordered to pay $10 million to eligible employees. California’s Department of Fair Employment and Housing later blocked that settlement, and the amount was eventually increased to $100 million.

Update 5:09PM ET: Added comment from Activision Blizzard.

'Call of Duty' workers at Activision Blizzard vote to form union

By Doyinsola Oladipo

Mon, May 23, 2022, 

(Reuters) -A small group of Activision Blizzard workers voted for unionizing at a studio that works on the popular "Call of Duty" franchise, the second victory in a push to organize the video gaming industry.

Employees in the quality assurance department at Raven Software in Middleton, Wisconsin, voted 19-3 for joining the Communications Workers of America (CWA), according to a tally by U.S. National Labor Relation Board (NLRB) officials on Monday.

The union must still bargain and reach a deal on a contract with Activision. The vote will not have to be re-certified if Microsoft succeeds in its plan to acquire Activision, according to the CWA.

“We respect and believe in the right of all employees to decide whether or not to support or vote for a union. We believe that an important decision that will impact the entire Raven Software studio of roughly 350 people should not be made by 19 Raven employees,” Activision said in a statement following the vote.

Wisconsin is a right-to-work state, meaning any worker can choose not to be a union member.

Employees are speaking up at Activision following multiple accusations of sexual harassment and misconduct. They have walked out in protest of the company response to the allegations and layoffs of quality assurance testers. Employees have circulated a petition calling for the removal of Chief Executive Officer Bobby Kotick.

In the broader market, workers are also becoming more vocal and active about better pay and working conditions.

"Employees in this sector tend to be overworked and underpaid and treated as disposable, which probably goes against the public image that people have of tech workers," said John Logan, a professor of labor and employment studies at San Francisco State University adding that many feel the only way to gain respect is by unionizing.

In December, Vodeo became the first video game studio in North America with workers to secure union representation.

Employees at an Amazon warehouse in Staten Island, New York, recently voted to unionize and workers at an Apple store in Atlanta filed a petition for a union election.

Workers at more than 58 U.S. Starbucks cafes have elected to join Workers United, while at least four stores voted against the union, out of more than roughly 262 that have sought to hold elections since last August.

"There's certainly a huge amount of energy and optimism, particularly amongst young workers at the moment," Logan said.

In Wisconsin, the organizers called for a healthier work environment with realistic development timelines, appropriate compensation and career development opportunities in an industry where quality assurance is undervalued, according to the organizers official Twitter account.

The number of ballots received was 24 of 28 eligible voters. There were two challenged ballots, which is not enough to change the outcome of the vote.

"Other workers in the video game industry will be excited and inspired by the success of the Raven Software workers in forming their union. We urge Activision to respect their decision and commit to bargaining a fair contract," said CWA Communications Director Beth Allen said in a statement before the vote.

U.S. labor board judge orders union vote at Activision studioANALYSIS-Microsoft faces challenge cleaning up Activision Blizzard’s culture

(Reporting by Doyinsola Oladipo in New York; Additional reporting by Hilary Russ; Editing by Lisa Shumaker)

A group of Activision Blizzard workers vote to unionize

Amanda Silberling
Mon, May 23, 2022


After months of organizing, the quality assurance testers at Raven Software, a division of gaming giant Activision Blizzard, have voted to unionize. This marks the first union at a major gaming company in the U.S.

Administered through the National Labor Relations Board (NLRB), the vote passed 19-3 and two ballots were challenged, so a total of 24 out of 28 eligible workers voted.

These workers announced their intent to unionize in December, just days after Microsoft announced its plans to buy Activision Blizzard for $68.7 billion, which would be one of the largest tech acquisitions in history. But as the news of the pending acquisition went public, these quality assurance (QA) testers -- who mostly work on Call of Duty -- had been on strike for about five weeks, protesting the layoffs of 12 contractors.

“On December 3, about a third of my department was informed that their contracts were going to be terminated early. And this was coming off of a five-week stretch of overtime, consistent work,” Raven Software QA tester Onah Rongstad told TechCrunch at the time, explaining the intent to organize. “We realized in that moment that our day-to-day work and our crucial role in the games industry as QA was not being taken into consideration."

This five-week stretch of overtime work that Rongstad describes is referred to as "crunch" in the gaming industry, which has been often cited as a huge cause of burnout and stress for gaming workers. The union, which goes by the name Game Workers Alliance and is represented by the Communications Workers of America (CWA), can now attempt to bargain with their employer to instate rules that circumvent "crunch" or unexpected layoffs.

But the problems run deeper at Activision Blizzard, which employs around 10,000 people. Following a two-year investigation, the state of California’s Department of Fair Employment and Housing filed a lawsuit against Activision Blizzard in July, alleging that the company fostered a “‘frat boy’ workplace culture,” calling it “a breeding ground for harassment and discrimination against women.” Plus, CEO Bobby Kotick reportedly knew for years about sexual misconduct and rape allegations at his company, but he did not act. Kotick has been rumored to step down amid ongoing SEC investigations and sexual harassment scandals in his company, but that may not happen until after the Microsoft acquisition closes in 2023, if at all.

When the Game Workers Alliance filed for a union election, Activision Blizzard tried to block the election by claiming that any union must include all 230 employees at Raven Software, which would have made it more difficult for the QA testers to win a vote. But the NLRB ruled that the QA department could vote to unionize on its own.

“Activision did everything it could, including breaking the law, to try to prevent the Raven QA workers from forming their union. It didn’t work, and we are thrilled to welcome them as CWA members,” said CWA Secretary-Treasurer Sara Steffens.

Activision Blizzard has made some effort to improve working conditions since then. In April, the company converted about 1,100 QA contractors to full-time staffers and increased the minimum wage to $20 per hour. But Activision Blizzard claimed that, due to laws under the National Labor Relations Act, the company wasn’t allowed to change the pay rate of its employees in the midst of a union effort. The CWA, however, said that this was a “disingenuous” attempt at union busting. Then, just yesterday, the NLRB found that among another group of workers, Activision Blizzard illegally threatened staff and upheld a social media policy that restricted workers' rights to collective action.

"Our biggest hope is that our union serves as inspiration for the growing movement of workers organizing at video game studios to create better games and build workplaces that reflect our values and empower all of us," the Game Workers Alliance said in a statement.

Last year, the 13-employee indie studio Vodeo Games became the first certified gaming union in North America. Now that a union has successfully formed at a major gaming studio, perhaps more pushes to unionize will follow.

“We respect and believe in the right of all employees to decide whether or not to support or vote for a union. We believe that an important decision that will impact the entire Raven Software studio of roughly 350 people should not be made by 19 Raven employees," an Activision Blizzard spokesperson said.

Within the next five business days, Activision Blizzard can file an objection. But since the NLRB has already ruled that the 28-person QA department had a right to organize independent of the rest of Raven Software, it's unlikely that the decision will be overturned on those grounds.

Activision Illegally Threatened Staff, Labor Officials Find

Josh Eidelson
Mon, May 23, 2022


(Bloomberg) -- US labor board prosecutors determined that Activision Blizzard Inc. illegally threatened staff and enforced a social media policy that conflicts with workers’ collective action rights, according to a government spokesperson. The finding is a setback for the company as it tries to fend off a unionization effort and finalize a $68.7 billion sale to Microsoft Corp.

Unless Activision settles, the Los Angeles-based regional director of the National Labor Relations Board will issue a complaint, the agency’s press secretary Kayla Blado said Monday. The NLRB enforces the National Labor Relations Act, the New Deal law establishing workers’ collective action and organizing rights.

Activision denied wrongdoing. “These allegations are false,” company spokesperson Jessica Taylor said in an emailed statement. “Employees may and do talk freely about these workplace issues without retaliation, and our social media policy expressly incorporates employees’ NLRA rights.”

The labor board is slated to count ballots on Monday from an election held among around 21 employees at Activision’s Raven studio in Wisconsin, which could establish a rare foothold for organized labor in the video game industry.

The allegations in the labor board case were brought to the agency last September by the Communications Workers of America, the same union organizing at Raven. CWA, which has increasingly focused in recent years on organizing non-union workers in the tech and video game industries, said in an emailed statement at the time that it was “very inspired by the bravery” of Activision employees and that it filed with the agency to ensure that violations by the company “will not go unanswered.” In an emailed statement Monday, CWA’s organizing director Tom Smith said the labor officials’ finding underscored the need for Activision’s CEO to change course: “In order to rebuild trust at Activision, Bobby Kotick needs to take the high road and start listening to workers instead of doing everything possible - including breaking the law - to silence them.”

Activision, the games-entertainment behemoth behind Call of Duty, has had a tumultuous year. It was hit last summer with an explosive complaint from California’s Department of Fair Employment and Housing, accusing the company of fostering a “bro culture” of sexism. Activision’s chief compliance officer, who served as Homeland Security adviser to President George W. Bush, called those claims “factually incorrect, old and out of context.” Workers there moved to unionize after news of job cuts in December 2021, which preceded weeks of strikes. In January, Activision agreed to the deal with Microsoft.

Complaints issued by labor board regional directors are considered by agency judges, whose rulings can be appealed to NLRB members in Washington, D.C., and from there to federal court. The agency can require remedies such as posting of notices and reversals of policies or punishments but has no authority to impose punitive damages. Jennifer Abruzzo, the labor board’s general counsel appointed by President Joe Biden, takes a much broader view of workers’ legal rights than her Trump-appointed predecessor. She has signaled she’ll seek to establish new precedents on numerous issues, including how much companies can restrict employees’ social media posts.

UPDATE 2-Videogame publisher Activision illegally threatened staff, U.S. agency says


Mon, May 23, 2022, 
By Kanishka Singh and Daniel Wiessner

WASHINGTON, May 23 (Reuters) - Videogame publisher Activision Blizzard Inc enforced a social media policy that conflicted with workers’ rights and illegally threatened staff in the policy's enforcement, a U.S. government agency said on Monday.

Unless Activision settles, the Los Angeles-based regional director of the National Labor Relations Board (NLRB) will issue a complaint, a spokesperson of the NLRB said in a statement.

The NLRB had been looking into allegations brought to the agency last September by labor union Communications Workers of America (CWA).

The announcement came on the same day that a small group of Activision employees at a Wisconsin studio that works on the popular "Call of Duty" franchise voted to join the CWA.

The union has increasingly focused in recent years on organizing non-union workers in the tech and video game industries.

The "Call of Duty" videogame maker said on Monday the allegations were false.

"These allegations are false. Employees may and do talk freely about these workplace issues without retaliation, and our social media policy expressly incorporates employees' NLRA rights," a company spokesperson said.

"Our social media policy explicitly says that it ‘does not restrict employees from engaging in the communication of information protected by law, including for example, rights of employees in the United States protected by the National Labor Relations Act,'" the spokesperson said.

In recent months, Activision Blizzard workers have banded together to try to influence the company's future, including staging a walkout and circulating a petition calling for the removal of Chief Executive Officer Bobby Kotick. Microsoft Corp announced plans to acquire Activision in January.

The company's labor issues come as it also faces claims from a California civil rights agency of widespread discrimination against female employees. Activision has denied wrongdoing and said the agency did not thoroughly investigate workers' discrimination complaints before suing.

Activision had faced similar claims from the U.S. Equal Employment Opportunity Commission, which it settled in March for $18 million.

(Reporting by Kanishka Singh in Washington and Daniel Wiessner in New York; Editing by Lisa Shumaker)

NLRB accuses Activision Blizzard of violating labor law by threatening employees

Kris Holt
·Contributing Reporter
Mon, May 23, 2022

Mike Blake / reuters


A regional director for the National Labor Relations Board has determined there's "merit to the allegations" that Activision Blizzard violated the National Labor Relations Act. It says there are indications the company and its subsidiaries Blizzard Entertainment and Activision Publishing maintained an "overbroad social media policy" and that Blizzard threatened employees who were exercising their right to organize. The findings were first reported by Bloomberg and confirmed to Engadget.

“These allegations are false. Employees may and do talk freely about these workplace issues without retaliation, and our social media policy expressly incorporates employees’ NLRA rights," an Activision Blizzard spokesperson told Engadget in a statement. "Our social media policy explicitly says that it ‘does not restrict employees from engaging in the communication of information protected by law, including for example, rights of employees in the United States protected by the National Labor Relations Act.’”

If the company does not settle the case, the NLRB's Los Angeles office will file a complaint. That will lead to a hearing in front of an NLRB Administrative Law Judge (unless a settlement is reached in the meantime).

While the agency can't impose punitive measures against a defendant, it can require them to reverse punishments or policies; reinstate fired workers and provide backpay; or post notices containing promises not to break the law. An NLRB regional director can petition a district court for a temporary injunction if workers' rights have been violated. The agency can also file cases in federal court.

The allegations were made in September by the Communications Workers of America (CWA). It accused Activision Blizzard in an Unfair Labor Practice filing of telling employees they can't discuss wages, hours or working conditions; enforcing an "an overly broad social media policy" against workers who "engaged in protected concerted activity" (i.e. their right to organize or discuss unionization); and threatening or suveilling such employees.

The news comes on the same day that votes will be counted in a Raven Software union election. Quality assurance workers at the Activision Blizzard studio, who are organizing with the CWA as the Game Workers Alliance, got the go-ahead from the NLRB to hold a vote. If they're successful, the group of 21 or so workers will form the first union at a AAA game publisher in North America, despite the company's reported attempts to stymie their efforts.

Activision Blizzard's labor practices came under intense scrutiny last July when California’s Department of Fair Employment and Housing accused it in a lawsuit of fostering a "frat boy" culture where sexual harassment and discrimination were present. Other suits have been filed against the company since, including a wrongful death case.

In the wake of the initial suit, Activision Blizzard workers formed an employee advocacy group called A Better ABK. They used social media to organize and share their concerns and demands publicly.

The company is the subject of a proposed $68.7 billion takeover by Microsoft. Its shareholders voted in favor of the deal last month, but regulatory approval is still required.

Update 5/23 3:10PM ET: Added Activision Blizzard's statement.

Former PlayStation employee files new gender discrimination lawsuit against company

Igor Bonifacic
·Weekend Editor
Mon, May 23, 2022, 3

NurPhoto via Getty Images

Former PlayStation employee Emma Majo has filed a new lawsuit against the company after her previous complaint was dismissed by a federal judge in April. According to Axios, Majo’s new filing includes many of the same gender discrimination allegations found in her original one, but the scope of the lawsuit is more limited.

Rather than seeking to represent all women employed by Sony’s PlayStation unit in the US as was previously her intent, the complaint instead seeks damages for those women who worked for the company in California. When judge Laurel Beeler dismissed the original case, she said Majo could file again with additional details. The new complaint incorporates allegations from the nine women who came forward to support the first suit.

“Sony tolerates and cultivates a work environment that discriminates against female employees, including female employees and those who identify as female,” the complaint reads. We’ve reached out to Sony for comment. In the meantime, we'll note the company previously asserted Majo’s claims were based on “unactionable allegations.”

Proxy advisor urges Exxon shareholders to oust Woods as chairman


Sabrina Valle
Mon, May 23, 2022

FILE PHOTO - People walk near the booth of the Exxon Mobil Corp at the Rio Oil and Gas Expo and Conference in Rio de Janeiro

HOUSTON (Reuters) -British proxy adviser PIRC on Monday urged Exxon Mobil Corp shareholders to vote against the re-election of five directors, including Chairman Darren Woods, at an annual general meeting on Wednesday.

PIRC, or Pensions & Investment Research Consultants, is the latest proxy firm to urge investors to oppose proposals by the oil major's board. Other large oil companies have enjoyed an so far in 2022 when compared with last year's meetings.

PIRC said Woods, which also serves as chief executive officer, should be held accountable as chairman for assuring the company's strategy to meet Paris-aligned goals to reduce carbon emissions. It also said his serving in the chairman and CEO roles represents "a concentration of power" potentially detrimental to board balance.

The Wednesday meeting includes a vote only on Woods's role as chairman, not as CEO.

PIRC also suggested a no vote on re-electing Alexander Karsner, one of the directors put up by activist hedge fund Engine No. 1 last year, as well as Michael Angelakis, Susan Avery and Ursula Burns.

In addition, PIRC urged shareholders to vote against the company's executive compensation plan on Wednesday. In a report, PIRC said former top executives are granted benefits not extended to active workers such as reimbursement of personal expenses and travel arrangements after retirement.

Exxon said in a written response that its compensation and benefits programs are designed to support the company's core principles and business strategies and are market competitive for all employees.

Glass Lewis and ISS, firms that also make recommendations to shareholders, have recently backed a shareholder activist proposal on climate at Exxon's meeting. They ask for an audited report assessing the International Energy Agency's net-zero scenario by 2050 and its possible effects on Exxon's strategy.

Exxon, Chevron post big revenues, but Wall Street shrugs

(Reporting by Sabrina Valle; Editing by Marguerita Choy asnd Will Dunham)

DC Attorney General sues Mark Zuckerberg over the Cambridge Analytica scandal
                                                         
                                       
Kris Holt
·Contributing Reporter
Mon, May 23, 2022,          

Erin Scott / Reuters

Meta's Cambridge Analytica woes are far from over. Karl Racine, the Attorney General of the District of Columbia, has sued Mark Zuckerberg. He accused the Meta CEO of having a direct hand in making the decisions that led to the major data breach.

Racine claims that Zuckerberg "contributed to Facebook’s lax oversight of user data and implementation of misleading privacy agreements." That, according to the suit, allowed consulting firm Cambridge Analytica to acquire personal data on more than 70 million Americans, including more than 340,000 DC residents. The company allegedly used the data to help sway voters in the 2016 presidential election through political ad targeting.

The AG previously sued Meta (then known as Facebook) over the scandal in 2018. That case is still ongoing. This time, Racine is targeting Zuckerberg directly. Under the jurisdiction's Consumer Protection Procedures Act, which bans unfair and deceptive trade practices, individuals are liable for a company's actions that they were aware of, controlled or failed to stop.

Racine is seeking a jury trial against Zuckerberg. He wants Meta's CEO to refrain from future CPPA violations and to pay damages and civil penalties. Engadget has contacted Meta for comment.

“Since filing our landmark lawsuit against Facebook, my office has fought tooth and nail against the company's characteristic efforts to resist producing documents and otherwise thwart our suit. We continue to persist and have followed the evidence right to Mr. Zuckerberg," Racine said in a statement. “This unprecedented security breach exposed tens of millions of Americans’ personal information, and Mr. Zuckerberg’s policies enabled a multi-year effort to mislead users about the extent of Facebook's wrongful conduct. This lawsuit is not only warranted, but necessary, and sends a message that corporate leaders, including CEOs, will be held accountable for their actions.

DC attorney general sues Mark Zuckerberg, claims CEO was 'personally involved' in privacy failures

Daniel Howley and Alexis Keenan

Mon, May 23, 2022, 1:51 PM·

The attorney general for Washington, D.C. filed a lawsuit against Meta (FB) CEO Mark Zuckerberg on Monday, accusing him of being personally responsible for the massive Cambridge Analytica data breach.

In the suit, Attorney General Karl Racine alleges that Zuckerberg's failure to oversee consumers' data privacy led to the Cambridge Analytica scandal, in which a political consulting firm used millions of Facebook users' data, without their knowledge, in an attempt to sway the 2016 election in favor of Donald Trump.

"The evidence shows Mr. Zuckerberg was personally involved in Facebook’s failure to protect the privacy and data of its users leading directly to the Cambridge Analytica incident," Racine said in a statement.

The civil suit, filed in Superior Court of the District of Columbia, claims Zuckerberg violated the Consumer Protection Procedures Act, the District's general consumer protection law.

Facebook Chairman and CEO Mark Zuckerberg testifies at a House Financial Services Committee hearing in Washington, U.S., October 23, 2019. REUTERS/Erin Scott

"This unprecedented security breach exposed tens of millions of Americans’ personal information, and Mr. Zuckerberg’s policies enabled a multi-year effort to mislead users about the extent of Facebook's wrongful conduct. This lawsuit is not only warranted, but necessary, and sends a message that corporate leaders, including CEOs, will be held accountable for their actions,” Racine said.

Meta has been at the center of a maelstrom of controversy since news of Cambridge Analytica first broke. In 2019, the Federal Trade Commission ordered Facebook to pay a $5 billion fine related to the scandal. Governments and regulators across the globe, including the FTC, are also cracking down on the social media giant via antitrust suits and legislation.

According to Racine, the latest suit against Zuckerberg comes as a result of an existing investigation and lawsuit his office filed against Facebook in the aftermath of the Cambridge Analytica scandal in 2018.

Racine claims that because Zuckerberg holds the largest number of shares of Meta and has final say over everything that happens at the company, he is ultimately responsible for Facebook's day-to-day operations. As a result, Racine claims, Zuckerberg is also responsible for the events that led to the scandal.

According to University of Pittsburgh School of Law professor, Peter Oh, it's unclear how strong the case against Zuckerberg may be.

“One clear possibility here is that this may be a lawsuit that could be politically motivated by the attorney general. On the other hand, there’s potentially a very legitimate reason why the attorney general may be deciding to do this,” Oh told Yahoo Finance.

If Racine’s complaint survives, Oh explained, it has the potential to be a wake-up call for the Meta CEO, as he could be personally liable.

And there’s real risk that the case will move forward, Oh said, given that Zuckerberg has a history of vouching for the actions of the company.

“Zuckerberg has publicly stated, effectively, that the buck stops with him — that he runs the company, he owns the company, and therefore, he should be held accountable for what the company does. I think what you can say is that with this particular lawsuit the attorney general is calling his bluff,” Oh said.

A spokesperson for Meta told Yahoo Finance that the company had no comment.

This isn't the first time Racine has gone after Zuckerberg personally. He previously attempted to name the CEO personally responsible for the user data leak in a 2018 suit related to Cambridge Analytica. The judge in that case, however, dismissed the move, saying that Racine waited too long to name Zuckerberg in the case.

Since the 2018 suit filed by Racine, Facebook has changed its name. In October 2021, Facebook rebranded as Meta with the goal of focusing the company on the metaverse, though some commentators suspect the name change was a means for Facebook to distance itself from its ongoing legal troubles.

Coinbase’s $51 Billion Nosedive Isn’t Only About Crypto Winter


Olga Kharif and Yueqi Yang
Mon, May 23, 2022,




(Bloomberg) -- Coinbase Global Inc. has gone from one of the stock market’s most hotly anticipated debuts to one of its most spectacular crashes in a little more than a year, leaving some analysts and investors bewildered by poor execution at the largest US cryptocurrency exchange.

The firm’s market value has shrunk by about $51 billion since the end of its first day of trading last April. Coinbase shares fell to an all-time low earlier in May, and even after recovering somewhat are still down about 80% from their debut. That’s a steeper drop than Bitcoin’s 53% slump in the same period.

The recent bear market and regulatory pressure in crypto have played a big role. Last year, a promising yield-account product called Lend drew ire from the Securities and Exchange Commission, leading the company to scrap it and prompting a public rant by Chief Executive Officer Brian Armstrong. And as crypto prices crashed in the past six months, trading volumes dropped across most exchanges.

But poor execution played a part as well. Coinbase’s new nonfungible-token marketplace took months to launch -- then fizzled. The company missed analysts’ revenue projections in the first three months of the year and guided for sequentially declining trading volume this quarter -- in part because it has lost ground to rivals. Coinbase’s market share slipped to 4.8% of monthly crypto trading volume currently from 7.1% in November, as some users went to rivals such as DigiFinex and FTX US, according to researcher CryptoCompare.

Coinbase is expected to lose about $1.4 billion this year, according to analysts in a Bloomberg survey. Financial performance at some rivals has held up better, and competition from other exchanges is heating up.

“FTX’s revenues have not declined,” Sam Bankman-Fried, CEO of the exchange, said in an email. “Partially this is because of longstanding market-share growth, partially FTX has been more conservative on expenses, and will remain strongly net profitable this year.”

Some analysts believe Coinbase’s costs are too high. The company recently said it will slow down its hiring, and it could perhaps pause its expansion of sales and support staffs, John Todaro, an analyst at Needham & Co., said in an interview. Coinbase has ballooned to 4,948 full-time employees, from about 1,700 just a year ago. Hiring helped drive the company’s total operating costs to $1.7 billion in the first quarter, up 9% from the previous three months.

“They’ve grown expenses quite a bit,” Todaro said. “And I think the market was giving a little bit of an unfavorable reaction. If we are in a crypto winter, you don’t want to be going into that doubling, tripling the headcount. I think Coinbase management understood that.”

‘Slowing Down’

While Coinbase “may be slowing down our hiring, we have no intention of slowing our pace of product development,” a spokesperson said in an email.

In a memo to employees on May 17, Coinbase’s chief product officer, Surojit Chatterjee, said the company will be increasing its focus “on critical revenue-generating products” -- a possible indication it’s backpedaling from its strategy of diversifying away from trading fees. Coinbase will double down on core products while seeking improvements in developer productivity, he said.

“This does not mean we plan to stop investing in strategic and venture projects,” Chatterjee said in a tweet about the memo. “We believe the down market is a great time to build for the longer term.” Coinbase is continuing to support at least one part of its diversification strategy, staking, which lets people earn yields on their digital coins.

The company’s new NFT marketplace -- which was supposed to fuel growth through a new revenue stream -- hasn’t gained traction. After attracting $75,000 in trading volume when it opened to all users on May 4, activity has since dropped, with volume of just $17,000 on May 19, according to tracker Dune. (All major NFT marketplaces have seen a decline in trading volume, however.) Coinbase’s marketplace has about 2,900 active unique users, according to Dune.

“Very little” of Coinbase’s NFT marketplace activity can be captured by tools like Dune, a company executive said during its latest earnings call.

Nick Tomaino, an early Coinbase employee who is now founder of venture fund 1confirmation, said on Twitter this month that he would consider selling his Coinbase shares if the company doesn’t make a strong move in NFTs in the coming year.

In a recent filing, the company said that customers could be treated as “general unsecured creditors” in the event of a bankruptcy, prompting concern from investors that the topic was even raised. CEO Armstrong said on Twitter that his company included the language in response to new regulatory requirements, and that “we have no risk of bankruptcy.”

Coinbase, in trying to come back from its stock slump, has two big strikes against it, said Chris Brendler, an analyst at D.A. Davidson Cos. “It has the dual problem of being not profitable on a consistent basis, and it’s also in crypto, which is also an area the market doesn’t like today,” he said.

Still, the company may be able to bounce back -- as long as the rest of the market does as well.

“If it’s just a mild crypto winter, they could probably weather the storm,” said Mizuho Securities analyst Dan Dolev. “It really depends on how low crypto and Bitcoin goes.”

First Canadian rare earth mine starts shipping concentrate from N.W.T.

Yesterday The Canadian Press


Canada has begun supplying the world with minerals critical to a greener economy with the country's first rare earth mine delivering concentrated ore.

"Canada and its allies are gaining independence from the rare earth supply chain from China," said David Connelly of Cheetah Resources, which owns the Nechalacho Mine southwest of Yellowknife in the Northwest Territories.

Rare earths are a series of exotically named elements such as ytterbium, lanthanum and gadolinium. They are crucial to computers, LED displays, wind turbines, electric cars and many other products essential to a low-carbon world.

Some industry analysts predict the rare earth market will grow from $6.8 billion in 2021 to more than $12 billion by 2026.

Almost 60 per cent of the world's supply of these vital materials is produced in China and much of the rest is owned by Chinese companies. Until now.

"(Nechalacho) is the only rare earths mine in North America that doesn't supply China," Connelly said.

The deposit, which holds 15 different rare earth elements, was discovered in 1983. A proposal to develop the mine went before regulators more than a decade ago.

That project involved extensive water use and would have generated large tailings ponds. The N.W.T.'s environmental regulator approved the plan, but noted it would have created significant impacts requiring mitigation.

The new mine uses no water. Instead, raw ore is crushed to gravel-sized pieces and run past a sensor.

"It's a big X-ray machine on a conveyor belt and it separates the white quartz from the much heavier and denser rare earth ore," Connelly said.

That concentrate is then barged down Great Slave Lake to Hay River, N.W.T. From there, rail links take it to Saskatoon, where Vital Metals, the company that owns Cheetah, has built a facility to refine the concentrate for market.It's also where the provincial government is developing a rare earth refining and research hub. The first shipments are on their way and expected in June.

Nechalacho's refined product is going to a customer in Norway, where the individual minerals will be separated from each other and processed into metallic bars.

By 2025, Nechalacho hopes to be producing 25,000 tonnes of concentrate a year. There's enough ore there for decades to come, Connelly said.

"It's multiple generations."

At full production, Connelly said the mine is to employ about 150 people in the N.W.T. and another 40 in Saskatoon. Those aren't huge numbers in mining, but Connelly said they will make a big difference to the northern economy because most of the workers will be based there.

More than 40 of the mine's current 50 employees live in the North, said Connelly. About 70 per cent are Indigenous and Cheetah has contracted with the Yellowknives Dene First Nation to conduct the actual mining on the site.

Eventually, said Connelly, Cheetah hopes to work out an equity share for Indigenous groups in the area.

But Nechalacho isn't just important to the N.W.T., Connelly said.

A domestic source for minerals vital to electric motors would help preserve the country's auto sector, he said. It would make it easier for Canada to achieve its climate goals and increase national security by providing a secure source of crucial materials, he added.

Canada has 13 active rare earth projects, the federal government says. Most are in Saskatchewan and Quebec, where the only other mine near production — the Kipawa project, owned by the same Australian company that owns Cheetah — is located.

"Canada has some of the largest known reserves and resources (measured and indicated) of rare earths in the world," says a document from Natural Resources Canada.

This report by The Canadian Press was first published May 22, 2022.

— Follow Bob Weber on Twitter at @row1960

Bob Weber, The Canadian Press