Proxy season is winding down, but there are still upcoming votes at three of world’s biggest companies.

ESG resolutions are still pending at:

• Alphabet: Vote due date, June 6.
  AI Board Committee; AI Human Rights Impacts; Child Harm Reduction, Climate Retirement Plan; Environmental Health; Lobbying Disclosure; Reproductive Health.

• Tesla: Vote due date, June 12.
  Board Director Pay; Deep Sea Mining; Executive Pay Sustainability Links; ILO Standards; Workplace Bias.

• Walmart: Vote due date, June 4.
  Animal Welfare; Human Rights Impacts, Living Wage; Racial Justice; Worker Health and Safety.

This week we take a look at two of the longest-running shareholder concerns – political spending and fair pay. Shareholders will also get their first vote on two new resolutions at Tesla – one on a little-known, but potentially devastating environmental risk; the other offers a new approach to executive compensation.

Electoral Contributions

This year there have been more than 100 resolutions related to political spending. Many focus on lobbying (see Week 3 Alert), but about 30 were specific to electoral contributions and at least 20 have or will be voted on. Top votes this year include 52% at DexCom, 49% at Crown Holdings and 45% at Spirit Aero Systems. The resolutions ask for board oversight and disclosure of policies and procedures for direct and indirect contributions, and disclosure of the monetary contributions and recipients.

• Vote due date: Airbnb, June 4.

• Learn more: A Code for Corporate Political Spending Disclosure

Living Wage

Walmart, the largest employer in the United States, has often been criticized for low employee pay. The proponents point out the corrosive societal impact of income inequality, and the link between poor wages and consumers spending power and how that negatively influences the economy in general and likely other companies held in an investment portfolio. The resolution asks for a living wage policy – which is not to be confused with a minimum wage as the two may be significantly different depending on location.   

• Vote due date: Walmart, June 4.

• Learn more: A Living Wage is a Human Right

Deep Sea Mining

A new resolution looks at the significant biodiversity risks of dep sea mining as companies jump into this mostly unregulated space in search of minerals needed for electric vehicles. Scientists believe that deep-sea mining may have a much bigger footprint than terrestrial mining. A shareholder resolution at General Motors asks the company to publicly disclose its policies on the use of deep-sea mined minerals in its supply chains; while the proposal at Tesla calls for a moratorium on sourcing minerals from deep-sea mining.

• Vote due date: General Motors, June 3; Tesla, June 12.

• Learn more: Deep Sea Mining Poses Risks to Biodiversity, Climate and Investors

Board Director Pay

A non-binding vote on executive compensation – generally referred to as Say on Pay – was a radical idea when first introduced in the UK in 1999. By 2010, it was law in the U.S. and has since been adopted in other countries. A new resolution at Tesla, calling for disclosure of director pay a year in advance and a binding vote needed for approval, may be the next step in allowing shareholders a voice in compensation. The proponents point out that currently, “at almost all U.S. companies, directors have absolute authority over their compensation.” A related resolution – calling to link sustainability metrics to executive pay – is also up for a vote.

• Vote due date: Tesla, June 12.

• Learn more: The Mandatory Board Director Say-On-Pay Bylaw By-Law Amendment