BlackRock, the largest asset manager in the world, threw its weight around recently. Chairman and CEO Larry Fink wrote a letter to CEOs in January explaining BlackRock’s further divestment from the fossil fuel industry. He said BlackRock would hold companies and directors accountable when they don’t address sustainability and climate change.
In this episode of Looking Ahead, Al Dominick discusses the impact of human capital concerns on leadership teams at public companies and fast-growing private companies with Matt Stinner of Semler Brossy and Kellie Huennekens of Nasdaq Center for Corporate Governance.
In August, the Business Roundtable redefined the purpose of the corporation to include a commitment to all stakeholders, not just shareholders. Will companies start paying C-suite executives based on how happy the employees are? Will they get annual bonuses if the company tops the list of Consumer Reports?
CEOs are taking a stand during divisive moments, complaining about the U.S. president and his policies, running ads on controversial topics and letting their political views be known. But is this a good thing? Some companies are saying “yes.” But a few governance and public relations experts are say “no,” or at least, “very rarely.”
The Business Roundtable’s blockbuster statement redefining the purpose of a corporation almost reads like an apologia for capitalism.
Sustainability reporting can increase an organization’s value. But what do you report? As stakeholders look to integrate environmental, social and governance (ESG) factors into the investment process, this article helps boards and leadership teams provide proper oversight of ESG disclosure.
Women are in every realm of government, law, academics and private enterprise — but they aren’t in every boardroom. California is trying to change that, becoming the first state in the nation to require female representation on public company boards.
The latest salvo in the debate over the role of the corporation in society was struck by Jamie Gamble, a former lawyer for the insurance company American Insurance Group during the financial crisis and beyond. He proposed in an essay that modern executives are “legally obligated to act like sociopaths,” because of settled law for most corporate charters that puts shareholder rights above employees, the environment, customers and the community at large.
“ESG” investing sounds like a great idea. Who can argue with steering your company toward environmental, social and governance practices that reflect the greater good?
But for a company ready to formalize its commitment to ESG, the problem is defining what it means and what qualifies.
Deciding on the right environmental, social and governance approach for your company isn’t easy. Investors expect directors and executive teams at publicly traded companies to understand environmental and social risks and opportunities, according to Martyn Chapman, head of strategy for Nasdaq governance solutions, in a recent video.