Esports Jobs: Tackling Discrimination, Contracts, and Diversity

The professional video gaming industry is set to exceed $1.5 billion in revenue by 2025. As esports jobs surge in response to this explosive growth, a host of new employment law issues are emerging. Delve into this article as we examine key areas, including employment status, restrictive covenants and inclusive workplaces.

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Gaming Jobs Boom As Sector Thrives

By 2025, the global audience for competitive video gaming is expected to surpass 640 million. This surge is no surprise to industry insiders, though, given the skyrocketing value of the video game market, which is already estimated to exceed £7 billion in the UK alone.

As the sector thrives, the demand for esports jobs has soared, offering gamers the chance to turn their passion into a career. However, this rapid progression brings with it a range of distinct employment law challenges. While some issues reflect those in traditional sports, others are specific to the esports sector. Below, we explore the key employment law concerns emerging in this dynamic field.

Employment Status in Esports Jobs

A major concern for those in esports jobs is accurately determining their employment status. This can be tricky, as the sector is typically unregulated and comprises a variety of different structures and organisations. However, this subject matter is critical since, depending on how an individual’s employment is categorised, their rights and protections will vary.

In the UK, employment status is categorised into three main types: employee, worker, and self-employed. Employees receive the broadest range of rights, including protection against unfair dismissal and parental leave. Workers, while entitled to benefits like holiday pay and the National Minimum Wage, have fewer protections in comparison. As for self-employed individuals, not only do they miss out on these employment rights, but they’re responsible for their own tax and National Insurance contributions.

Therefore, since one’s employment status can vastly alter the rights they’re entitled to, it’s essential they’re categorised correctly. Should there be a dispute over an individual’s status of employment, a tribunal would consider four key factors:

  • The amount of control the individual has over their work
  • How integrated the individual is within the organisation
  • Whether the individual has any shared obligations with the company
  • Whether the economic reality of the employment relationship shows the individual is an employee

Individuals with esports jobs who are unsure about their employment status or think they’ve been misclassified can contact us today for specialist advice.

Navigating Restrictive Covenants in Professional Gaming

Another significant employment law issue in professional gaming jobs involves restrictive covenants. Put plainly, these are agreements designed to protect legitimate business interests by restricting what a party can or cannot do. For example, a “non-poaching” clause prevents former employees from recruiting their previous colleagues to their new organisation.

In the esports sector, non-compete clauses have been used to regulate player movements by limiting signings to designated transfer windows and capping contract lengths at four years. They have also prevented teams from directly recruiting players still under contract with other teams.

Given the relatively unregulated nature of the esports industry, understanding the legal intricacies of restrictive covenants is crucial. For employers, improper implementation of such clauses can render them unenforceable. Conversely, individuals with esports jobs who breach these clauses might face termination or financial penalties.

Promoting Diversity in Esports Jobs: Understanding Positive Action and Legal Pitfalls

Like many traditional sports, the professional gaming industry has been reported to lack diversity. To address this issue, some organisations have implemented “positive action” measures. This approach aims to address underrepresentation in the workplace by considering an individual’s “protected characteristics”, such as sex, race, and disability.

In practice, positive action might involve selecting a female candidate for a role who is equally qualified and suitable as a male applicant in a male-dominated organisation. In the gaming world, this can help ensure broader access to esports jobs, fostering a more inclusive and equitable industry.

However, it’s crucial that employers don’t provide preferential treatment solely based on an individual belonging to a minority group. For instance, selecting a less qualified female candidate over a more qualified male candidate purely because of her sex. This would constitute positive discrimination, which is unlawful.

Therefore, organisations must exercise caution when promoting equality. If they misstep, they could face unlawful discrimination claims and be required to pay compensation.

Essential Policies for a Safer Workplace

Cases of workplace harassment, bullying, and discrimination have also impacted the professional gaming industry. The lack of regulation in this sector has exacerbated these issues.

To address and prevent such problems, esports organisations must establish and enforce comprehensive policies. These policies should clearly define acceptable and unacceptable behaviour in the workplace, outline the process for filing complaints, detail how complaints will be handled, and specify the consequences of policy violations.

Implementing these measures will encourage individuals to report any misconduct they experience, ultimately improving workplace culture and the sector’s overall reputation.

As the sector rapidly evolves, so will esports jobs and the problems surrounding them. If you have any questions or believe your rights have been breached, please don’t hesitate to reach out. Redmans Solicitors are employment law specialists and can provide expert advice to help solve your problem.

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