Shareholders are increasingly asking for audits on companies’ racial equity programmes, many of which have been in place since global protests over the murder of George Floyd by police in America two years ago.
In October the UK made it law that Britain’s largest companies must report their climate-related financial information in line with recommendations from the Task Force on Climate-related Financial Disclosures. More than 1,300 companies were affected when the legislation came into force this month. The aim is to ensure that businesses consider the risks and opportunities they face as a result of climate change.
Angered at the shareholder revolt at Apple over the $99mn pay packet for chief executive Tim Cook, Moritz, a partner at Sequoia Capital, argues that Institutional Shareholder Services and its smaller rivals have “become judge and jury for the actions of corporate America”.