Movers & Shakers in Shareholder Activism — Watch the 2015 Proxy Season and ICCR
Posted on December 29, 2014 by Hank Boerner – Chair & Chief Strategist#Business & Society #Corporate Governance #Corporate Responsibility #Corporate Sustainability #ESG Issues #Financially Material #Human Rights #Shareowner Activism #SRI #Uncategorized
by Hank Boerner – Chairman, G&A Institute
For more than 35 years, the Interfaith Center on Corporate Responsibility (ICCR) has been in the forefront of pressing for changes and reforms in corporate policies, practices and behaviors. This is a coalition of 300 institutional investment organizations — mainly faith-based and “values-driven” institutions — directly managing US$100 billion in assets.
Members include major religious denominations, sustainable & responsible investing organizations, foundations, unions, colleges & universities, and social issue advocacies.
ICCR through its long0-term activism and corporate engagement — especially in proxy season and importantly, year-round — influences many billions of dollars more in AUM in the US and global capital markets.
Issues on focus for ICCR members in 2014 included:
Corporate Governance — a traditional/perennial set of concerns; this includes separation and chair and CEO positions, and independence of board members;
The Environment – especially global warming / climate change and environmental justice;
Food – access to nutritious food, ag & land use, use of antibiotics in meat animals, food & sustainability…and more; note that for ICCR, food issues include the impact of climate change on growing areas (such as flooding and droughts);
Global Health – access to medicines by people in less-developed economies is a long-standing concern of members, who over the decades have engaged with pharma companies change marketing practices;
Human Rights — increasingly in recent years the focus on corporate supply chain behaviors, policies, and actions has increased;
Water – this ties in to human rights and access to water is a key factor; also, the trend to privatization of water supply is an important focus;
Financial Services – responsible lending was in focus long before the major banks took on too much risk and led the nation into crisis with subprime lending shenanigans; as investors, ICCR members are focused on “risk” as much and perhaps more than many mainstream institutions.
Big issues for ICCR members in recent years includes the focus on corporate political spending (lobbying, contributions); and, strategies / policies / actions / disclosures (and especially lack thereof) on the part of companies in member investment portfolios.
Says the coalition: “ICCR members advocate for greater transparency around how company resources are used to impact elections, regulations and public policy.”
ICCR through member organizations engages with corporate boards and managements to discuss issues of importance to members, who operate in “a multi-stakeholder collaboration.” Typically, brand names among public companies are the enterprises engaged for discussion. Changes made at the brand names will eventually affect (and result in change) for more companies in the industry or sector or geography.
At G&A Institute we have long had a collaborative relationship with ICCR and see [ICCR] actions as important sustainable investment leadership positioning by key institutional and individual investors on ESG issues — especially in the annual corporate proxy voting seasons.
Recently Al-Jazeera America network broadcast an informative segment featuring ICCR leadership –the program interviews feature Sister Pat Daly (leader of the Tri-State Coalition for Responsible Investment), Sister Barbara Aires (Sisters of Charity of Paterson NJ), and ICCR Chair Father Seamus Finn, OMI (Missionary of Oblates of Mary Immaculate).
Father Finn is a regular contributor to The Huffington Post — his very readable posts are at: http://www.huffingtonpost.com/rev-seamus-p-finn-omi/
Sister Pat, the segment reported, filed 20 proxy resolutions and had corporate engagement meetings in 2014.
The segment is available on line at: https://ajam.app.boxcn.net/s/7bkt7oc4mpymnfuow3g3
Worth noting: In December, JP Morgan Chase released a report on changes in how the company does business; ICCR member institutions invested in JPMC welcomed the public release of the report.
Stay Tuned to ICCR in the new year — it’s an important capital markets force…”Inspired by faith, committed to action.”
ICCR is led by Executive Director Laura Berry; you can learn more about her at: https://www.youtube.com/watch?v=HJ4PzEpyiD4; information on ICCR is at: www.iccr.org