Record Progress On Board Diversity In 2021— But Is It Sustainable?
While we should take time to acknowledge the progress made in diversifying corporate boards, this is also a good time for directors to determine where they stand on this issue.
While we should take time to acknowledge the progress made in diversifying corporate boards, this is also a good time for directors to determine where they stand on this issue.
With shareholder proposals at record levels, proxy advisors threatening to vote “against” directors on non-diverse boards and increasing state legislation threatening fines for lack of diversity, it may soon be all but mandatory.
To promote that necessary board evolution, Cameron recommends placing emphasis on the following areas.
If directors on other company boards do not want to suffer the same fate, they should consider the following now.
Directors have seen their responsibilities expand significantly as scrutiny of board decision making has increased—as has the amount of work board members must do to keep the company running efficiently. It might just pay to add seats.
Findings of a new study give supporters of stakeholder capitalism ammunition to question the motives of corporate boards that favor CEO pay increases. Three things directors should consider.