London: UK investment industry associations warn companies at their 2021 annual meeting that they must show the development of ethnic diversity in the boardroom or the repulsion of risk.
A call from the Investment Association, whose members manage £ 7.7 trillion ($ 9.88 trillion) and own about one-third of UK companies, is to reach the goal set by the UK Parker Review on this issue. The purpose is to encourage greater action.
Under the goal, FTSE 100 companies aim to have at least one ethnic minority board member by 2021, followed by all FTSE 250 companies by 2024.
A statement that those who did not disclose either the ethnic composition of the board or plans to have at least one ethnic minority member by 2021 will be flagged as a company of concern by the IA’s corporate governance team. Said in.
“The UK boardroom needs to reflect the diversity of today’s UK,” said Andrew Ninian, director of stewardship and corporate governance at the Investment Association.
“Three-quarters of the FTSE 100 companies did not report the ethnic composition of the board at last year’s annual shareholders meeting, so investors are now calling on companies to take decisive action to reach the Parker Review goal. I am. “
The IA does not advise investors on how to vote, but IA’s institutional voting information service, IVIS, instead flags the concerns of other companies paying for pension plans and services.
The “blue top” rating shows that there are no major concerns. The “Amber Top” highlights important issues to consider. The “red top” flags major concerns. Violations of ethnic guidelines face the “top of amber”.
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UK fund industry warns businesses about ethnic diversity
Source link UK fund industry warns businesses about ethnic diversity