Apple dismisses diversity proposal to shake up board of directors as 'unduly burdensome'
A call by shareholders to do more to increase diversity on Apple's board of directors has been soundly rejected by the company. The board is currently predominantly white and male, leading to calls for an "accelerated recruitment policy requiring Apple to increase the diversity of senior management and its board of directors".
But in a proxy statement, the board can be seen to have voted against the proposal, saying that it would be "unduly burdensome and not necessary because Apple has demonstrated to shareholders its commitment to inclusion and diversity". The result of the vote will come as something of a surprise as Tim Cook has admitted that the company has much to do to improve diversity.
Shareholders suggest that the board of directors and senior management "presently fail to adequately represent diversity (particularly Hispanic, African-American, Native-American and other people of colour)". Voicing the proposal, shareholder Antonio Avian Maldonado says:
Shareholders' view of diversity -- that everyone matters (irrespective of colour, race, sex, creed or religion) -- recognizes the Company's commitment to diversity and the uniqueness of experience, strength, culture, thought and commitment contributed by each employee; however, it does not ignore the Company's senior management and board of directors diminutive level of diversity and its painstakingly slow implementation.
Overall, by its own public disclosure, the number of minorities holding senior management-level positions or board of directorship within the Company does not reflect the Company's demographic data.
Apple rejects the suggestion, saying that its approach to diversity is "much broader than the 'accelerated recruitment policy' requested". The company -- seemingly missing the point of the proposal -- says that it is interested in addressing diversity across Apple as a whole, pointing to scholarship schemes it runs to attract students from Historically Black Colleges and Universities (Apple's capitalization).
In its proxy statement issued ahead of February's shareholder meeting, Apple concludes by saying:
This proposal would require the Board to adopt an accelerated recruitment policy for increasing diversity among senior management and the Board. We believe that the proposal is unduly burdensome and not necessary because Apple has demonstrated to shareholders its commitment to inclusion and diversity, which are core values for our company.
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