Countries should follow France’s lead on corporate accountability

The European Coalition for Corporate Justice (ECCJ), along with the French corporate accountability platform, Forum Citoyen pour la RSE, has called for European countries, EU institutions and the wider international community to follow the lead of France which has established  a duty of vigilance obligation for parent and subcontracting companies.… Read the rest

S&P 100 companies increase disclosure on investor engagement

Nearly half of S&P 100 companies included information in 2016 that showed how they responded to shareholder concerns and made changes to policies, according to a new report from US corporate adviser, Equilar.

 

In 2016 42% of S&P 100 companies included disclosures in their proxy statements on how they modified their practices after engaging with shareholders compared to just 14% in 2012.… Read the rest

UK auto enrolment pension provider NEST responds to climate change

United Nations Environment World Bank sustainable finance

The UK auto enrolment pension scheme provider NEST has adapted its investment approach so that its default fund is invested in a new fund that responds to the challenge of climate change. This will be managed by UBS Asset Management and has been developed in partnership with the NEST in-house team.… Read the rest

UK’s FRC asks for more governance powers

Stephen Haddrill

The UK’s Financial Reporting Council (FRC) has argued that it needs more powers to take enforcement action against directors so that it can investigate and prosecute all directors for financial reporting breaches and associated issues of integrity, rather than only accountants and actuaries as at present in its response to the government’s green paper on corporate governance.… Read the rest

Italian shareholder association formed to protect investors

Italian shareholder association formed

An Italian shareholder association has been formed to protect the group minority, with a particular focus on listed small and medium-sized enterprises (SMEs).

The Italian Association for the Exercise of Shareholders’ Rights, AIEDA, has been set up by a group of professionals, managers and entrepreneurs with the aim of promoting good corporate governance and facilitating dialogue between listed companies directors and minority shareholders as well as the exercise of their rights.… Read the rest

Comment: Proxy adviser mafia shakedown? Put up or shut up.

Competition and Markets Authority Logo

In a recent edition of The Times, Financial Editor Patrick Hosking wrote an item entitled “Adviser is accused of mafia‑style shakedown” in which the business community raised concerns about the potential conflicts of interest in the governance services industry. It explained how ISS, the largest proxy voting adviser had developed a service which helps companies draft governance and voting disclosures in a way which improves the chances they will get the nod from shareholders.… Read the rest

FRC: Wide-ranging review of UK corporate governance code launched

FRC UK chairman announces review of corporate governance code

The UK’s corporate governance landscape could be set for set for a wholesale changes after the Financial Reporting Council (FRC) announced a wide-ranging review of the corporate governance code. This will take into account the regulator’s recent work on corporate culture and succession planning, as well as the issues raised in the government’s green paper and the Business, Energy and Industrial Strategy parliamentary select committee inquiry.… Read the rest

OECD due diligence for the garment and footwear sector launched

OECD due dilience garment footwear guidance

The Organisation for Economic Co-operation and Development  (OECD ) has published its due diligence guidance for responsible supply chains in the garment and footwear sector in line with the OECD Guidelines for Multinational Enterprises (MNE guidelines)  and UN Guiding Principles on Business and Human Rights.… Read the rest

Hong Kong corporate governance scorecard shows improvement needed

Hong Kong corporate governance scorecard

The latest corporate governance scorecard assessing listed companies in Hong Kong shows that improvement is needed and directors ought to stay up to speed with the latest corporate governance developments, according to the Hong Kong Institute of Directors.

The 2016 survey of 120 companies published this week found that when compared to the 121 firms assessed for the last survey in 2012 mean score had improved by 5.1% when the same criteria were compared.… Read the rest

Pensions must be part of corporate governance debate

pensions corporate governance

The UK’s Work and Pensions Select Committee has used its response to the government’s green paper on corporate governance to emphasise that public and private companies need to ensure that their pension fund forms part of their corporate thinking.

The MPs’ recommendations follow their inquiry into the collapse of the retailer BHS last year.… Read the rest