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Activision Sued For Unpaid Overtime

In the wake of EA's employee settlement, Activision finds itself in a suit for much the same reason. Next Generation reports: "Activision's Computer Graphics employees, who work many overtime hours to produce Activision's profitable videogames, fully deserve to be paid all the overtime compensation to which they are entitled under the law ... Excessive overtime is endemic in the videogame industry, but we hope that this and other lawsuits will spur major changes in the way employers treat their employees."

17 of 78 comments (clear)

  1. Bloody good thing too by Toby+The+Economist · · Score: 3, Insightful

    The entire notion of unpaid overtime is complete bollocks.

    It's bad for the employee, since they can be taken advantage of.

    It's bad for the company, since it provides a method to ameilorate poor planning by providing unpaid labour, thus badly weakening one of the main incentives to plan properly - COST.

    Companies like unpaid overtime in the same way drug addicts like their fix; it feels good ("phew, project saved!") which in fact being terribly harmful.

    1. Re:Bloody good thing too by Mad+Alchemist · · Score: 2, Insightful
      Not to mention:

      - Most people are less efficient and effective the longer the hours they work.
      - Lots of unpaid overtime is one of the quickest ways to a disgruntled workforce, which in turn is one of the quickest ways to send a company down the tubes.

  2. "Excessive overtime is endemic..." by AntonOnymous,Cowherd · · Score: 2, Insightful
    They used too many words in Excessive overtime is endemic in the videogame industry. It's just as accurate to say Excessive overtime is endemic, at least for most of the jobs that I have had.

    As for changing the attitude of employers, it's not likely to happen. Employers enjoy getting as much work for as little outlay as they can, and once they burn people out they feel no qualms about getting rid of "the deadweight".

    --
    ... a titanic intellect in a world of icebergs...
    1. Re:"Excessive overtime is endemic..." by Marxist+Hacker+42 · · Score: 3, Insightful

      If you don't have the skill and expertise to make this choice, perhaps (quite sincerely) you're in the wrong line of work, and be better investing your time in gaining experience or useful qualifications in another field.

      Most people don't have the extra money to get thousands of degrees until they find out what they're good at- they have to make a decision by the time they're 18, and do their best to gain that training by the time they're 28 at the latest.

      --
      SJW: a person who perceives an injustice, and while correcting it, commits a greater injustice.
    2. Re:"Excessive overtime is endemic..." by TheLink · · Score: 2, Insightful

      "What I was trying to get at was that it's not the employer's responsibility to make certain that the employee is sufficiently compensated for their work. It's the employee's responsibility to negotiate for themselves compensation which they feel is sufficient."

      That said, I think not being an asshole should be everyone's responsibility.

      So what if it is not legally required (probably shouldn't be, because that leads to worse things ;) ).

      I rather have a world where it can and should be assumed that the other party is not usually out to swindle you. I always figured it should be a valid target for civilization.

      Otherwise it's not a big improvement compared to the "law of the jungle".

      --
  3. Re:Salary? No overtime for you. by Anonymous+Brave+Guy · · Score: 3, Insightful

    Except that in our industry, the only hourly positions are contract jobs. It would be quite amusing to see the big names fall like dominos if all the good guys did turn contractor overnight, and suddenly charge what they were actually worth to the company rather than what was offered when they signed up, but for now, the "market forces" make this unlikely.

    That doesn't mean that the practice of saying someone's on salary and so should work unlimited hours is ethical. Indeed, many countries have laws that outright ban the practice, because the only people who think it's a good idea are incompetent managers.

    --
    If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
  4. Re:Salary? No overtime for you. by poot_rootbeer · · Score: 2, Insightful

    If you take a job with a contract involving completing a project in 18 months for $40k/yr then you are going to finish the project for $60k regardless of how many hours you work in those 18 months.

    The lesson here is not to take any such contracts that lack provisions for any kind of project overrun.

    If the requirements change halfway through the project, and it throws schedules off to the point where it's going to take 24 months to finish it instead of 18, or will require me to work 70-hour weeks instead of 40-50 hour weeks, I will require additional compensation, and my employer is going to be aware of that from the outset.

  5. Law of deminishing returns by Billly+Gates · · Score: 2, Insightful

    Yet the corps still dont get it.

    The accountants are still looking at squeezing the maximum amount of productivity for the least possible cost. This means making one man do the work for two for the same price.

    What they forget is that after 50 hours you get less and less work and when you approach 60 hours you get negative return.

    Coding is hard and error prone. You will only spend more hours debugging the code then implementing it properly by having sane hours.

    Also productivity does suffer as enough GOOD employees who actually do the work of 2 men because they are tallented quit. THis makes only the bad employees and newbies stay on which lengthens your projects longer.

    Most poor managers know this and jsut ship the products with bugs or look at India.

    1. Re:Law of deminishing returns by cgenman · · Score: 3, Insightful

      What they forget is that after 50 hours you get less and less work and when you approach 60 hours you get negative return.

      Actually, the curve is a little more complicated, which makes it deceptive.

      The first 60+ hour week you do is fine.
      The second week you do it you'll start to see strain and tear in people's performances.
      The third week people start falling apart and making really dumb mistakes, that other people need to take further time to clean up.
      The forth week your company is full of idiots, if it wasn't already.
      The eighth week, your company is full of zombies. Hardly anything gets done.

      The problem is that a lot of managers look at week 1, and say "We've got to finish this, so let's push ahead!" And with more drain comes less productivity. And with less productivity comes less hitting goals. And with less hitting goals comes the percieved need to work longer. They want week 1 productivity on week 10, and they're just not going to get it.

      Really, the sweet spot is about week 3. There is a burst of creativity and involvement that comes with that first week of crunch, and I recommend having both at least and at most two weeks of crunch every 4 months. But once you get to the end of the first month of crunch... no matter where you are... stop. Go back to 40 for a month. You're going to be late, nothing can help that anymore. Let your team recover, or you're going to get less and less out of them.

      I found a company that takes this philosophy seriously, and it is one of the reasons why our developers stick around for years.

  6. Salaried vs. Hourly by thebdj · · Score: 2, Insightful

    The whole notion about being salaried is that you will not receive overtime pay. If you are an "exempt employee" the notion of overtime means absolutely nothing. People should know this going into jobs and be ready for it. Most jobs I have applied for as an Electrical Engineer make it quite clear that overtime is not given and that you may be required to work 50 or 60 hr weeks.

    Many applications for these same jobs often ask how many hours per week you are willing to work; this is presumably used to weed out people who are totally unwilling to work overtime. My father was a salaried employee for the better part of his 20 yrs with his company and never earned OT. He was gone to work before I ever got up at 6am and wasn't home until 5pm. Did he ever complain about the long hours or lack of OT? Nope. The next thing you know these people will be unionizing (if they haven't tried already), and I will not get into my view on unions. This is absurd. The only reason people ever win these suits is because a group of 12 citizens, most of whom are probably hourly, will be like..."I get OT, don't they?" I wonder how many of these complaints are by people in their first or second jobs. It wouldn't surprise me if it was mostly those.

    --
    "Some days you just can't get rid of a bomb."
    1. Re:Salaried vs. Hourly by Anonymous Coward · · Score: 1, Insightful

      Slavery used to be legal too. I guess that makes it ok?

      People used to get fucked because they didn't have an alternative. We're starting to live a better quality of life and thus can now fight back a bit.

      If your sole purpose in life is to grind away for someone else, it's a pretty shitty life. Let's not force that on people.

      Is there really something wrong with paying someone for the effort they put in? It's not like these companies work you 50 hours one week and then let you fuck off for 10 hours the next and only put in 30 hours. It never works that way. You'll always put in more, and never less. Salaried just generally means it's easier to calculate your pay. Unless you're putting in shitloads of overtime and they have to pay you for it...

    2. Re:Salaried vs. Hourly by indagda · · Score: 3, Insightful

      Its rather sad that you have such a poor belief of your personal rights such that you are willing to agree with a broken system. I mean come on! Just because your father was foolish enough to give more hours then he was paid for, doesn't mean it was the right thing to do. Why don't you just go and give back 1/5th of your salary to your employer while your at it! These people suing for overtime are doing the Just and Right thing. They are owed every penny and then some for the work they have done. Its just to bad they took so long to realize it.

      Look at it this way. You are hired under the terms of a 2000 man hour year. If you are worked 50 to 60 hours a week you are effectively giving your employer 25% to 50% of their money back in value of what you produce (or service). That is so very wrong, and its outrageous that people let businesses get away with it. Sure its your choice, but you are the greater fool for doing it. Do you honestly not think that you are really worth your salary? (I ask these questions not necessarily to the author of the post I am replying to, but to the world in general.)

      It has been the place of business to always squeeze the most out of their employees that they can, and it is only because of our modern laws that employees are protected for fair treatment. Now mind I am not making any moral judgement calls on businesses or people for doing these things. People have the right to stand up and demand their worth and the future protection of that worth. Which, by the way, is what unions were originally intended for. Unfortunately unions today have a very bad rap, due to the presense of a lot of bad apples. But I'll tell you what, those union laborers get paid their worth - the worth they have demanded. Programmers, all, would be wise to learn what the unionized laborers have learned.

    3. Re:Salaried vs. Hourly by cgenman · · Score: 4, Insightful

      Most jobs I have applied for as an Electrical Engineer make it quite clear that overtime is not given and that you may be required to work 50 or 60 hr weeks.

      Wow. That's a vacation.

      I interviewed at a place once (I won't name names... Ok, Atari) that had checked with their lawyer to make sure it was OK to require all employees to stay a MINIMUM of 60 hours every week (not including lunch) as a routine part of employment. If you fell under 60 hours, you were fired. Even assuming your father's commute was instantaneous and he never took a lunch, he still would have been fired from Atari for underperforming. And this was minimum... most people were expected to stay longer.

      I was hired on a company once to help finish a project. It was supposed to be a one-month job, but lasted for half of a year. During that time, I never worked less than 60 hours a week, and never saw both days of a weekend. My real average was in the mid 70's. for... six... loooooooooooooooo... oooooooooooooooo... oooooooooooooo... oooooooooooo... oooooooooooooo... ooooooooooooong.... months.

      One of my friends in the industry (whom I actually met on that job) has been crunching for most of the past year. I've only managed to see him once in this entire time, and only then I incidentally bumped into him while driving home.

      And these are independent companies. Big studios are notoriously worse. At least my crunch time ended after 6 months, and my friend's is within a realistic month or two of ending. At a studio like EA or Activision, they shuttle people around as they are needed for projects. And they're needed for projects as crunch time kicks in. Employees / slaves call it "permacrunch" or "crunchopping", the act of being bounced from one paniced 70 hour a week team to another paniced 70 hour a week position permanently for the rest of your life.

      Now remember that you take about a 50% pay cut below market rates to work in the game industry, and some of these companies are highly profitable, and you can see where the dissatisfaction arises.

      I hope we unionize. It was union labors that ensured for example that electrical engineers wouldn't have to abandon their families to work 70 hours a week every week for low pay no healthcare and and zero security.

      And if you don't know how bad it is in the gaming industry... do a little research before you judge us. We're not grocery store clerks that want healthcare, or graduate students lobbying for better pay. We're one of the last great slaveries in the so-called free market. And we deserve to be treated like human beings.

  7. Pay attention to the details by Anonymous Coward · · Score: 1, Insightful

    The whole notion about being salaried is that you will not receive overtime pay. If you are an "exempt employee" the notion of overtime means absolutely nothing.

    See, that's the entire thing though. Both this, and the previous EA lawsuit on the same issue, are about video game companies inaccurately classifying non-exempt employees as exempt employees.

    In other words, it's legal to make a programmer do unpaid overtime, and the lawsuit here is not complaining about that. However, graphical artists do not have the same exemption. Activision hires both programmers and graphical artists. They have to pay the graphical artists for overtime, because that is the law. They are nonexempt.

    1. Re:Pay attention to the details by thebdj · · Score: 3, Insightful

      To qualify for the learned professional employee exemption, all of the following tests must be met:

      * The employee must be compensated on a salary or fee basis (as defined in the regulations) at a rate not less than $455 per week
      * The employee's primary duty must be the performance of work requiring advanced knowledge, defined as work which is predominantly intellectual in character and which includes work requiring the consistent exercise of discretion and judgment
      * The advanced knowledge must be in a field of science or learning
      * The advanced knowledge must be customarily acquired by a prolonged course of specialized intellectual instruction.

      Straight from the source of US Labor laws. Now some states will have different and varying rules. But that nice broad definition covers almost anyone with a higher degree who is paid on a Salary. This almost certainly covers engineers and computer scientists.

      --
      "Some days you just can't get rid of a bomb."
  8. Where is this free trade stuff?? by Anonymous Coward · · Score: 4, Insightful

    I ain't seeing it, is there a website to look at? Some GPS coordinates?

    How many times do you have to quit a job and move maybe and get another job, etc, before you notice that most employers today are ..well.. rank assholes. Nice employers with a fair and honest system in place are the exception, not the rule anymore, because they can get away with it. remember Wallstreet, the movie "Greed...is good!" that is their motto and how they do things now. if it means the CEO makes an extra 50 million-that is what happens. if it means the company gradually goes down the tubes-they don't care, they are in in for what they can loot-short term profit mentality.

    We don't have a moderation system for employers in this nation, nothing official anyway, and most states are "right to fire you because we are assholes" rule.. The government rarely forces a corporation to just cease business, no matter what things they pull or how many people they screw over. The government gives *tax breaks* for corporations to move their labor overseas, this is free trade..how? The government lets corporations publish completely bogus job help-wanted specs that no human could hope to fill-purely as a paperwork compliance scam, so they can import cheaper white collar labor under the HB-x rules. This is free trade-how? Anything that isn't white collar they have for years allowed unlimited massive waves of illegals in to dilute the labor pool and drop down wages-this is "free trade"-how? And corporations can and do act as cartels, and also have the large chunks of cash money *bribes* that they use to pay for legislation. Yes, bribes, no other word for it, bribes. How is joe little guy supposed to come up with 50 grand apiece per representative and senator to "lobby" for this or that law that might make his labor "free trade" more effective and "profitable"? And heavens forbid people want to unionize so they might have an equal footing with management, goes against "free trade" rulezz somehow, you are supposed to "negotiate" against a billion dollar corporation which has an illegal immigrant or a foreign worker at 1/10th the going rate to "negotiate back" against you. Free trade?? It doesn't exist. Scam trade, corrupt plutocracy and high level collaboration to destroy the US middle class worker is the system in place now. They want two classes of humans, worker drones so desparate they will take any job at any wage and have a dismal living situation-then the bosses and owners. That's reality now, that's what the 'free trade" globalists want, not some fantasy "free trade" bullshit where your individual labor is somehow "equal" to the power and influence a billion dollar transnational corporation has.

    Want to see the proof? In a very few words, and this is near universal now, about every company out there. You are a "human resource", like the copier or a mop or a ton of coal. That's it, you have lost your personhood, your humanity, you are no longer part of the "person-ell", you are a "resource" and resources are by definition "exploited".

    The only "free trade" is the big companies are "free" to trade us around. This is called slavery in the old days, now all they do is tie into a phony credit/money/debtors prisoner-in-place scam, you are "paid" to go into debt forever, you can never pay it off, you have so called personal debt and "national" debt. Try to pay it ALL off, go ahead, try. They will never let you do it. Look at your car, you don't have title, you have certificate of title, the state owns the title. Same with your home unless you are one of the very fortunate and lucky ones to have a land patent. they own the house-that's why they can tax you on it forever. Make you pay rent.

    It's modern gussified up slavery, that's all. You are "free" to quit asshole company A to go work for asshole company B, c, D or E. What a good deal! Wait you say, just quit all of them and go move to the woods? Sorry, that is "illegal", you can get arrested if they feel like it for being pennil

  9. Although I don't normally advocate labor regs... by Money+for+Nothin' · · Score: 4, Insightful

    ...here's an idea for a flexible regulation:

    Nobody in a company may work more hours per week than either the manager to whom they directly-report. Developers wouldn't be permitted to work longer than their manager, their manager couldn't work longer than their director, their director couldn't work longer than their VP, and their VP couldn't work longer than their President/CEO, etc..

    That way, how hard the company works depends entirely on how hard the top-level management -- which is already paid hundreds of times more than the lower-level employees (and for skills which are not nearly as rare as they would have us believe, nor for performance that is often in any way competent or worthy of the pay). It would ensure that those who are most highly-paid are also the ones working the longest hours.

    It makes sense organizationally too (since virtually-all businesses have a top-down, hierarchical organizational structure -- just like the any socialist government): if there is work to be done, then the people doing the work need to be guided by management (just as if you have a couple threads running in a multithreaded app, you need a thread manager to ensure they play nicely).

    I'm sure some of my libertarian fans will mod me down "-1, Commie". But let's face it: the alternative is what? Contract disputes in court? For over 100 years, contract law hasn't the absolutist teeth that libertarians want to have enforced. Would it work if we did? Maybe -- and it's a nice ideal in any case.

    But such an ideal is not reality, and as the conservative writer Thomas Sowell likes to say, "reality is not optional."