Dear John,
Today we’re looking back at this year’s news coverage of shareholder advocacy and the right of shareholders to have a say in corporate behavior. But first, a summary of the Supreme Court’s devastating judgement overturning “Chevron deference.” | | |
| | | Over the last week of its 2024 session, the Supreme Court dealt body blows to US regulatory protections, including overturning the 1984 “Chevron
deference” decision, the most frequently cited case in American administrative law. In three days, the Roberts Court threw out decades of settled law, precedent, and common sense concerning how — or now, if —government agencies can regulate corporations to protect Americans’ wellbeing. | | | It all but eliminated agencies’ ability to enforce existing regulations and severely undermined their authority to make or defend new regulations. These decisions have “the potential to devastate the functioning of the federal government,” as Justice Jackson noted in a dissent.
As the Supreme Court
systematically destroys regulatory guardrails, the strongest force remaining to hold corporate power in check are shareholders. As You Sow’s work with corporations is more necessary than ever. For more details, see our press release, or reach out to us anytime. | | | | | Our work in the news
As You Sow is regularly quoted in mainstream, financial, and industry press, which
elevates the issues in the public’s mind and creates another vector of pressure on the companies we engage. Here are a few top stories from the first half of 2024: | | | | New research conducted at the University of Waterloo (Canada) in partnership with the shareholder organization As You Sow looked at the 401(k) plans of 12 tech-sector companies, including Amazon, Apple, Google, Meta, Microsoft, and Netflix. On average, investments in fossil-free portfolios did 8.9%
better over 10 years. Not subscribed to Fortune? Read our press release. | | | | |
| Always spoiling for new ways to kneecap their formidable foe, ESG investing, a group of congressional Republicans widened their attack. The GOP-controlled House Judiciary Committee has subpoenaed documents from a prolific pro-climate investor advocacy group, As You Sow. The advocacy group posted a long, threatening letter it
received from committee chair Jim Jordan. | | | |
| | “Every company can be doing more,” said Kelly McBee, Circular Economy Manager at As You Sow and one of the report’s co-authors. In particular, she said corporations should place more emphasis on reducing the plastic they use, rather than replacing virgin plastic with recycled content. | | | | | | | What is ESG investing?
Collect the stock or fund symbols for the holdings in your retirement accounts and investment portfolios. Then, run those symbols through the Invest Your Values assessment
tool at As You Sow, a nonprofit that provides consumer-friendly snapshots of ESG rankings and data | | | | Tesla and GM investors will vote next month on shareholder resolutions calling on the companies
to disclose where they stand on the issue [of deep-sea mining], which has caused divisions both between governments and corporations. “Americans are behind. We think it puts companies at a competitive disadvantage globally, said Danielle Fugere, As You Sow’s president and chief counsel. “What we do is bring these issues to the board’s attention and let shareholders weigh in.” | | | | | | “We’re putting that much money into a dirty carbon climate-harming type of energy…why?” said Danielle Fugere, President and Chief Counsel of As You Sow, which works with companies to advance clean energy and sustainability goals. Transitioning fossil fuel subsidies to the clean energy sector can be as easy as
setting the national intention,” she said. | | | |
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| “Excessive CEO compensation is the root cause of dissatisfaction with the economy and certainly the perception of the economy,” said Andy Behar, CEO of As You Sow. “It defines this (feeling of) lack of equity and really polarizes society. When you see Elon Musk on the front page of the newspaper getting a $40 billion, $50 billion package, or what it would take the median worker to earn in three centuries, it’s disturbing and disorienting.” | | | | | | “Boards are not always focused.” As You Sow put forward more than 80 shareholder proposals this year, including one on alleged employee harassment at carmaker Tesla and another on competitor General Motors’ policies on deep-sea mineral mining. | | |
| Republicans are on a “crusade” against responsible investing, says Andrew Behar, CEO of the nonprofit group As You Sow that promotes corporate responsibility through shareholder advocacy. His group was subpoenaed to testify before the House Judiciary Committee this week as Republicans probe whether investments that take into account environmental, social and governance (ESG) concerns violate antitrust laws. | | | |
| The ongoing attacks against As You Sow and the Supreme Court’s shocking decisions are only strengthening our resolve to hold corporations accountable, elevating shareholder power to the national stage. We are standing strong and are grateful for your continued support. | | | Jenna L. Belisle
Director for Charitable Giving
P.S. Check out As You Sow CEO Andrew Behar’s new "Fiduciary Future" column on Impact Alpha – | | |
| | | As You Sow is the nation’s
leading shareholder representative, with a 30+ year track record promoting environmental and social corporate responsibility and advancing values-aligned investing. Its issue areas include climate change, ocean plastics, toxins in the food system, biodiversity loss, racial injustice, lack of workplace diversity, and excessive executive compensation. See As You Sow’s shareholder resolution tracker. | | |
As You Sow
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Berkeley, CA 94701 | | | |
DISCLAIMER: As You Sow is not an investment advisor, nor do we provide financial planning, legal or tax
advice. The content of our programming, publications and presentations is provided for informational and educational purposes only, and should not be considered as information sufficient upon which to base any decisions on investing, purchases, sales, trades, or any other investment transactions. We do not express an opinion on the future or expected value of any security or other interest and do not explicitly or implicitly recommend or suggest an investment strategy of any kind.
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