Today (Monday 15th September), we have launched a new campaign in response to potential legislation change that could affect the democracy of company Annual General Meetings (AGMs).
The stripping back of progressive wins, such as Diversity, Equity & Inclusion and shredding of legal and democratic norms in the US is making its way to the EU and UK, and it's palpable on the frontline of the responsible investment movement.
A current proposed change to UK law suggests AGMs should be held online only by default. This is a worrying development that will severely disadvantage shareholders who are keen to harness their power to push for higher ethical corporate standards.
The enduring AGM model is in-person meetings and a hybrid option, allowing meaningful engagement. This is now under threat. Although we support hybrid meetings for the accessibility benefit they bring to those who might otherwise be unable to participate, adopting a virtual-only format risks making smaller shareholders feel unwelcome, and becoming all but impossible to hold directors accountable.
Holding companies to account via shareholder representation at AGMs is in ShareAction's DNA (we’ve been doing it for 20 years!), which is why we want to lead from the front to face this challenge. We're campaigning in support of the in-person AGM, and will be building out a group of powerful collaborators who, with us, will champion the in-person AGM and advocate for its protection
We're planning to hold a 'roundtable' meeting in Autumn - where we'll bring together lots of important players in the industry to build an argument that the Government will have no choice but to listen to. We even have support from the Department of Business and Trade to do this!
We're asking for urgent donations to help us to do this work, to face this new threat to the democracy of AGMs. If you are able to donate, please do so today and we will use your donation to protect shareholder rights.
