Home
/
RELIGION & LIBERTY ONLINE
/
Proxy Resolutions Aim to Stifle Corporate Speech
Proxy Resolutions Aim to Stifle Corporate Speech
Jan 11, 2025 7:04 AM

On Friday, June 6, shareholders of Wal-Mart Stores, Inc., will gather at the Bud Walton Auditorium on the University of Arkansas campus in Fayetteville, Ark. Among them will be As You Sow member Zevin Asset Management, which is pushing a resolution demanding the retailer issue annual reports on its policy, lobbying and membership expenditures. All of this, of course, is intended to embarrass Walmart in the same-ol’ name-and-shame game employed so often by shareholder activists advancing a progressive agenda.

What apparently bothers Zevin is Walmart’s exercise of its voice in policy issues directly impacting pany, its shareholders and – most important – its customers. Zevin’s resolution goes even further by requiring Walmart divulge its contributions to such tax-exempt groups as the American Legislative Exchange Council, the U.S. Chamber of Commerce or the Business Roundtable. Why? Well – to Zevin and other shareholders cut from the same sackcloth — it’s unseemly that the world’s pany engages with a group that writes model legislation. Never mind that pany employs more than 2 million people worldwide and donates more than $1 billion each year to charities, it’s the incorrectly perceived unsavory political nature of anything that drifts right-of-center.

From the As You Sow website:

This resolution from Zevin Asset Management asks for annual reports on policy, payments, memberships in groups that write model legislation, information on how these payments occur, and how management and the board of directors monitor them. The proposal says the reports should include:

1. Company policy and procedures governing lobbying, both direct and indirect, and grassroots munications.

2. Payments by Walmart used for (a) direct or indirect lobbying or (b) grassroots munications, in each case including the amount of the payment and the recipient.

3. Walmart’s membership in and payments to any tax-exempt organization that writes and endorses model legislation.

4. Description of management’s and the Board’s decision making process and oversight for making payments described in section 2 and 3 above.

For purposes of this proposal, a “grassroots munication” is munication directed to the general public that (a) refers to specific legislation or regulation, (b) reflects a view on the legislation or regulation and (c) encourages the recipient of munication to take action with respect to the legislation or regulation. “Indirect lobbying” is lobbying engaged in by a trade association or other organization of which Walmart is a member.

Both “direct and indirect lobbying” and “grassroots munications” include efforts at the local, state and federal levels.

The report shall be presented to the Audit Committee or other relevant mittees and posted on Walmart’s website.

Sigh. It’s all so Rockwell, but substantially more difficult to dance to. The ridiculous lengths taken by Zevin’s resolution not-so-coincidentally resemble more than 40 resolutions submitted by members of As You Sow and the Interfaith Center on Corporate Responsibility. Both groups are linked with Walden Asset Management and Trillium who, are, in turn, affiliated with the Center for Political Accountability. Led by Bruce Freed, CPA is partially funded by George Soros’ Open Society Foundations.

As noted by the Wall Street Journal editorial board on Friday, May 23:

Mr. Freed works with political investor groups like Walden Asset Management and Trillium that own shares but whose real purpose is to put proposals on the proxy ballot. The proposals are backed by the AFL-CIO and SEIU, which want to shut down petition from business groups. Also providing public harassment muscle is the left-wing Democracy Alliance, which connects high-dollar liberal donors with progressive groups like CREW, Public Citizen, Common Cause and Media Matters for America.

The WSJ continues:

In a 2011 memo, Media Matters wrote that its strategy was to launch “shareholder resolution campaigns to prevent corporations from making these types of [political] expenditures.” The disclosures, it continued, would then “create a multitude of public relations challenges for corporations that make the decision to meddle in political campaigns”; and “allied organizations” will “provoke backlashes panies’ shareholders, employees, customers, and the public at large.”

Fortunately, thus far, Mr. Freed’s efforts – and those of his clergy and religious co-conspirators – haven’t yielded terrific results. WSJ reports Freed’s claim his arm-twisting convinced panies to divulge spending on lobbying, political campaigns and donations to business-oriented tax-exempt organizations. However, the WSJ notes:

Of the 94 shareholder proposals on corporate political spending or lobbying introduced this year, 52 have already been voted on, according to filings at the Securities and Exchange Commission. A mere 22.2% of shareholders supported political disclosure, virtually unchanged from last year. Some 25 are rewarmed proposals that saw their support weaken, and more than 75% got fewer votes than in 2013.

Whew! But the cost of fending off such resolutions is immense in terms of freedom of speech as well as in dollars. The WSJ concludes:

Disclosure sounds like corporate apple pie, but there’s no fiduciary reason panies should have to disclose in a proxy how much they give to groups like the Chamber of Commerce, the Business Roundtable or to political campaigns. In this era of government economic dominance, political spending to prevent regulatory damage is as critical a business expense as marketing. Campaign-finance laws already require that candidates disclose their donors and the amounts they give, and most business trade groups reveal how much they receive panies.

It’s good to see that investors are figuring out that the real risk to business is from Mr. Freed’s campaign for disclosure, not from lobbying.

Not only Mr. Freed, but as well the nuns, clergy and other religious shareholders following his misguided efforts to suppress corporate speech.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
A Cultural Case for Capitalism: Part 6 of 12 — The Distributist Alternative
Part 1 is here.] An economically free society doesn’t have to be hyper-utilitarian, materialistic and banal; and yet, here we are, living in a capitalist age marked by these very features. Some social conservatives who see capitalism as one of the main culprits argue that we should turn away from both socialism and greedy capitalism, toward a more humanitarian munity-based approach, toward a small-is-beautiful aesthetic of farmer’s markets, widespread property ownership, social responsibility and local, collective enterprise, a political and...
‘These Are Our Children:’ FBI Sting Rescues 168 Human Trafficking Victims
A nation-wide sweep last week by the FBI netted the arrest of almost 300 human traffickers and rescued 168 underage trafficking victims. “Operation Cross Country” was carried out in 106 cities across the U.S., the 8th such sting of its kind by the FBI. Since the beginning of this operation, over 3,600 children have been rescued. These are not children living in some faraway place, far from everyday life,” FBI Director James Comey said in a press conference Monday. “These...
A Cultural Case for Capitalism: Part 7 of 12 — What have the capitalists ever done for Wendell Berry!
[Part 1 is here]. In Monty Python’s Life of Brian, the ring leader of a little band of first-century Jewish rebels asks, “What have the Romans ever done for us?” He’s sure the answer is absolutely nothing, but one of the rebels meekly pipes up with “The Aqueduct.” A moment later another rebel squeaks, “And the sanitation.” Then another, “The Roads.” The ringleader grudgingly grants all of this and then tries to wrench the meeting back on track. “But apart...
Coffee and Cronyism: Guess Who’s Really Paying for Starbucks ‘Free Tuition’
When most people think of Starbucks they think of overpriced coffee, free wifi, and omnipresence. Starbucks are everywhere. pany was founded in 1971 and since 1987 they’ve opened an average of two new stores every day. In the U.S. alone there are 12,973 locations. When most people think of “big business”, though, they don’t often think of the Seattle-based pany. But they should. Starbucks has 151,000 fulltime employees, $15 billion in annual revenues, and three times as many locations as...
Surrogacy Industry Poses Threats To Women’s Health; Does Anyone Care?
India has a huge and still-growing medical tourism industry. A $2 billion part of this industry is the surrogacy business. India has few laws regulating surrogacy, and it is a popular place for people from the U.S. and the EU to head to for a baby. But the lack of regulations also means very little help, support and care for the women producing these children. The women literally e cogs in a giant machine. If one cog breaks, it’s simply...
The School of Love: How the Family Teaches Flourishing
In the first episode of For the Life of the World: Letters to the Exiles, Evan Koons discovers a new approach to Christian cultural engagement. Revolving around “God’s economy of all things,” he proceeds to explore six key areas of human engagement, one in each episode, including the economies of love, creative service, order, wisdom, and wonder, and, finally, through the church herself — an organism and institution that runs before and beyond all else. But it’s no wonder that...
Interview: Rev. Sirico on Capitalism and PovertyCure
Acton president and co-founder, Rev. Robert Sirico was recently interviewed for Beliefnet by John W Kennedy, who writes about “the crossroads of faith, media, and culture.” They discussed a variety of issues, including the Church’s views on economics, the media portrayal as business as inherently evil, the ments about economics, PovertyCure and more. See a portion of their discussion below: John W Kennedy: In your view, how can government — and religion — help create an atmosphere in which free...
George Washington, Makoto Fujimura, and the Power of Art
One of the best books I’ve ever read on American history is Washington’s Crossing by David Hackett Fischer. I’ve always been an admirer of the painting Washington Crossing the Delaware by German American artist Emanuel Leutze. The painting of course has been criticized mentators for its inaccuracy. Fischer notes in the first chapter of his book: American iconoclasts made the painting a favorite target. Post-modernists studied it with a skeptical eye and asked, “Is this the way that American history...
Soccer, Sex And The Sale of Innocence
Did you watch the U.S. v. Portugal game last night? Did you cheer for the amazing play of American keeper Tim Howard? Did you howl in disbelief at the last minute goal by Portugal? Even if you’re not a soccer fan, it’s hard not to get swept up in the fun and rivalry of the world’s biggest soccer extravaganza. Unless you’re a victim of human trafficking. Every large sporting event in the world has e a red-light district. Where there...
Now Available: ‘Integrated Justice and Equality’ by John Addison Teevan
Christian’s Library Press has released Integrated Justice and Equality: Biblical Wisdom for Those Who Do Good Works by John Addison Teevan, a book that seeks to challenge popular notions of “social justice” and establish a new framework around what Teevan calls “biblically integrated justice.” The term “social justice” has been used to promote a variety of policies and proposals, most of which fall within a particularly progressive economic ideology and theological perspective. Educated in economics, theology, and intercultural studies, and...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved