Apple Investor’s Diversity Resolution Fails

Apple investors have rejected a shareholder resolution that would have required the company to aggressively pursue greater racial diversity in its board and c-suite, Bloomberg’s Laura Colby reports:

The resolution, which got 5.1 percent of votes cast by proxy before those in the room at today’s annual meeting were tallied, was the first U.S. company action focused only on racial diversity. … Among those voting against it was the California Public Employees’ Retirement System, the largest U.S. pension fund with about $280 billion under management, which said this month that it would make diversity one of three priorities for its activism in 2016. In a posting on its website yesterday, Calpers said it was voting against Shareholder Proposal No. 6 because “we believe the company’s current disclosures and activities related to diversity and inclusion meet the request of the proposal.”

The resolution, submitted in September by investor Antonio Avian Maldonado II, proposed an “accelerated recruitment policy” to bring more people of color into Apple’s leadership. In the US, that leadership was 63 percent white and 21 percent Asian as of the company’s most recent diversity report, issued last August. Apple’s board of directors resisted the proposal, calling it “unduly burdensome and not necessary,” and recommended that investors vote against it.