[97] Wells Fargo Co. (Wells Fargo) said it is conducting a human rights impact assessment, and that it will update its Human Rights Statement to better align with the expectations of companies under the United Nations Guiding Principles on Business and Human Rights. 34-40018; IC-23200; File No. A fiduciarys duty is to act in the best interest of their beneficiaries and traditionally translates to acting to obtain the highest return on investment, but it can be equally important that fiduciaries seek to minimize risk. Some studies have shown that promoting racial justice can increase profitability and competitive advantage. [39] A study by McKinsey & Company found that implementing or improving racial justice policies can positively affect a companys bottom line. To that end, they believe companies should clearly disclose and explain the processes and personnel roles within a Racial Equity Audit and undertake to publicly share the results of the audit. These votes follow a 2021 season in which eight racial equity audit proposals were proposed at companies in the S&P 500, seven of which received more than 20 percent support. Like the other companies that received shareholder proposals on Racial Equity Audits in the 2021 proxy season, SEIUs proposal urged BlackRock to assess its behavior through a racial equity lens to identify how it contributes to systemic racism, including where its stated values are misaligned with the impact of its actions. Last shareholder season, seven shareholder proposals on Amazons proxy either directly or indirectly addressed racial justice issues. [120] Among these, the proposal for a Racial Equity Audit garnered the most support, with 44% of the votes cast on this proposal voting in favor. [55], Some companies have independently engaged in Racial Equity Audits or similar internal reviews, usually in response to external pressures. In a recent review of federal mortgage data from 2020 by Bloomberg, the outlet found that Wells Fargo has the worst record among major lenders when it came to disparities in approvals of refinancings by Black homeowners, approving fewer than half of Black homeowners refinancing applications in 2020. On a more ongoing basis, Brands Inclusion and Diversity team facilitates discussions with the companys nine business resource groups, which represent various communities within Twitter. (go back), 23Racial Equity Audits: A Critical Tool for Shareholders, CtW Investment Group, available at https://www.socinvestmentgroup.com/critical-tool-for-shareholders [hereinafter Webinar]. The proxy advisory firms level of guidance may take varying formsat the low end, proxy advisory firms may increase a companys ESG or corporate governance score for having in the past or recently conducted a Racial Equity Audit. The Airbnb Newsroom is aimed at journalists. [104] The proposal was submitted by Comptroller DiNapoli, as trustee of New York States Common Retirement Fund for public employees, which owns shares in Amazon. Kellogg Foundation has found that [b]y 2050, our country stands to realize an $8 trillion gain in GDP by closing the U.S. racial equity gap. [28]. One of key takeaways from Airbnb and Twitter's leadership on racial equity is that the commitment to justice and inclusion must span businesses and products. According to Bloomberg, Glass Lewis has broadly said conducting the audits would help companies reduce risks of high-profile controversies that may result in customer and employee attrition, regulatory inquiries and significant fines, and that [g]iven broad societal changes, it is particularly important for consumer-facing companies, which depend on their customers trust and loyalty, to address issues of racial equity. [102] On the other hand, according to Bloomberg, ISS has stated that racial audits arent warranted because companies are taking sufficient meaningful actions to address racial inequities such as expanding opportunities for people and communities of color, as well as improving the diversity and inclusion of its workforces. [103] The following chart sets forth the recommendations ISS and Glass Lewis made with respect to each Racial Equity Audit proposal in the 2021 proxy season: Source: ISS Corporate Solutions and Proxy Insight, During the 2021 proxy season, Amazon.com, Inc. (Amazon) faced a shareholder proposal requesting the company to conduct a Racial Equity Audit. The chart below lists the proponents who submitted Racial Equity Audit proposals to public companies pursuant to Rule 14a-8 during the 2021 proxy season and the number of proposals they submitted: Source: ISS Corporate Solutions and SEC Filings, Boards of directors of public companies are [i]ncreasingly . Racial equity audits started catching on after the events of 2020 prompted a racial reckoning in the U.S. [24] However, many advocates believe that without objective means to identify areas of improvement and monitor companies progress, these commitments may be illusory and confirmation that these companies have in fact met their commitments could be difficult. (go back), Posted by Ron S. Berenblat and Elizabeth R. Gonzalez-Sussman, Olshan Frome Wolosky LLP, on, Harvard Law School Forum on Corporate Governance, on Racial Equity Audits: A New ESG Initiative, The Illusory Promise of Stakeholder Governance. Following the audit at Facebook, the company . (go back), 88See JPMorgan No-Action LetterFebruary, supra note 77. Firstenvironmental criteria, which considers a companys actions as a steward of the environment, such as what steps a company is taking to address the depletion of the planets resources, pollution and greenhouse gas emissions, or the effects of climate change. Racial Equity Audits are the practice of independently reviewing an organisation's policies and ascertaining how well they encourage and promote inclusion, diversity, and racial equality. . (go back), 142SEC Approves Nasdaqs New Listing Rules Designed to Advance Greater Boardroom Diversity, Elizabeth Gonzalez-Sussman and Ron Berenblat, August 2021, available at https://www.olshanlaw.com/resources-alerts-Nasdaq-SEC-boardroom-diversity-rule.html. (go back), 24Heres What Companies Are Promising to Do to Fight Racism, The New York Times, Gillian Friedman, August 23, 2020, available at https://www.nytimes.com/article/companies-racism-george-floyd-protests.html. (go back), 93See J&J No-Action Letter, supra note 78. The project will start on June 30, 2020 and will be limited to U.S.-based hosts and guests. In this case, failure to have a Racial Equity Audit policy or refusal to implement such a policy after shareholders have approved a proposal to implement one may become a criteria an advisory firm would consider in making a recommendation for or against the re-election of a companys chairperson of the governance committee and/or the re-election of other directors at the companys annual meeting. AI could help you next time. Our purpose is to create belonging, and even one incident is an affront to our values. The findings will be used to examine and address disparities in how Black users and other people of color experience Airbnb, out of fear of mistreatment or due to discrimination and bias. (go back), 69Citigroup Inc., 2021 Notice of Annual Meeting and Proxy Statement, Schedule 14A, filed with the SEC on March 17, 2021, available at https://www.sec.gov/Archives/edgar/data/831001/000120677421000735/citi3828191-def14a.htm [hereinafter Citigroup Proxy Statement]; see also CoreCivic Inc. Proposal, Service Employees International Union (SEIU), available at https://exchange.iccr.org/node/88686/text. A National Labor Relations Board complaint alleged that the company enforced its dress code selectively and disparately against workers that displayed the slogan and engaged in other related protected concerted activities.. Rather, as argued by Trillium Asset Management (Trillium), a strong proponent of such audits, the point of an audit is to embrace the notion that if management is truly committed to make racial justice a critical element of its operations then in practice it can and should treat it like any other operations issue and audit it as such. [29] These proponents further argue that Racial Equity Audits should not be viewed as the end of a process for companies and/or shareholders looking to make a change; instead, they can be a stepping stone to assist companies in developing and identifying a strategic plan to advance their goals. This post is based on an Olshan memorandum by Mr. Berenblat, Ms. Gonzalez-Sussman,Claudia B. Dubn, Rebecca L. Van Derlaske, Ian A. Engoron, and Sarah R. Matchett. (go back), 82See Final Rule: Amendments to Rules on Shareholder Proposals, Release No. (go back), 129BlackRock Breaks Wall Street Ranks With Planned Racial Audit (1), Bloomberg Tax, Saijel Kishan, April 5, 2021, available at https://news.bloombergtax.com/financial-accounting/blackrock-breaks-ranks-with-wall-street-in-performing-race-audit. And the same study found that white Airbnb hosts in Black neighborhoods earned an estimated $160 million, compared to only $48 million earned by Black hosts. [16] Enhanced performance in these areas can lead to less scrutiny from environmental regulators, increased customer loyalty, more productive employees, reduced employee turnover, more lucrative business partnerships and increased profitability. The findings will inform the creation and updates of tools and policies to help combat racial discrimination and bias that Black users and other people of color have faced when using Airbnb. BlackRock opposed nearly all shareholder proposals directly addressing racial justice issues, including two proposals at Amazon seeking disclosure regarding hate-promoting products and effects of its facial recognition technology on people of color. [121] Comptroller DiNapoli described the vote as an immense success for a first-time proposal . Services Employees International Union (SEIU), Unable to concur that Rule 14a-8(i)(7) provides a basis to exclude, Unable to concur that Rule 14a-8(i)(10) provides a basis to exclude, Unable to concur with exclusion on any of the bases asserted, Materially False and Misleading Exception (Vague or Indefinite). (go back), 33On the Progress of its Efforts to Promote Civil Rights, Equity, Diversity, and Inclusion, Starbucks, February 24, 2020, available at https://stories.starbucks.com/uploads/2020/02/Starbucks-Civil-Rights-Assessment-2020-Update.pdf; supra note 27. Therefore, this analysis and project will not affect an individuals experience on the platform in any way. appear to be misaligned with its public statements of its views and operational practices. [94] In the financial industry, BlackRocks decision distinguishes it from other financial institutions that have asked shareholders to vote against similar audit proposals and/or have sought no-action relief from the SEC. A Racial Equity Audit is, at its core, an independent, objective and holistic analysis of a company's policies, practices, products, services and efforts to combat systemic racism in order to end discrimination within or exhibited by the company with respect to its customers, suppliers or other stakeholders. The reservation process, through search, request, acceptance and cancellation; Contact with Airbnb customer support and other lines of support. (go back), 64What You Need To Know About The 2021 Proxy Season, Forbes, Bhakti Mirchandani, June 28, 2021, available at https://www.forbes.com/sites/bhaktimirchandani/2021/06/28/what-you-need-to-know-about-the-2021-proxy-season/?sh=2e475fae7f5e. Today, building upon 8 years of learnings and experience providing temporary housing to 75,000 refugees, asylum seekers and people displaced by disasters or other crises across 104 countries, Airbnb.org is announcing a series of commitments to diversity, equity and inclusion. (go back), 35The Goldman Sachs Group, Inc., 2021 Notice of Annual Meeting and Proxy Statement, Schedule 14A, filed with the SEC on March 19, 2021, available at https://www.sec.gov/Archives/edgar/data/886982/000119312521087020/d88664ddef14a.htm [hereinafter Goldman Sachs Proxy Statement]. (go back), 138See H.R.2123Diversity and Inclusion Data Accountability and Transparency Act, Congress Bill Tracker, available at https://www.congress.gov/bill/117th-congress/house-bill/2123/committees?r=61&s=1 (as of July 15, 2021). 30-10825; 34-89670; File No. [32] For example, following the voluntary Racial Equity Audit conducted by Starbucks after the 2018 incident discussed above, the company began requiring implicit bias training for employees, setting public corporate diversity goals and implementing a number of other social initiatives. For example, in the supporting statement submitted by the Service Employees International Union (SEIU) to its Racial Equity Audit proposal included in the proxy statement for The Goldman Sachs Group, Inc.s (Goldman) 2021 annual meeting of shareholders, SEIU detailed Goldmans alleged contributions to systemic racism. (go back), 97Citigroup Proxy Statement, supra note 69. This years racial equity audit proposal highlights the companys Corporate PAC giving, as well as high profile incidents at stores such as the suspension and forced resignation of an employee who refused to remove a Black Lives Matter (BLM) logo from his apron. called upon to navigate the challenges presented by climate change, racial injustice, economic inequality, and numerous other issues that are fundamental to the success and sustainability of companies, financial markets, and our economy. [72] After the May 2020 killing of George Floyd, 66% of S&P 500 companies posted statements on their websites or social media accounts, 36% made financial contributions to racial justice organizations and 14% stated in their communications that Black Lives Matter. [73] While it has been observed that these companies were quick to issue statements supporting Black Lives Matter and promis[ed] to do more to be responsive to non-white consumers, employees and communities, [74] most companies on the receiving end of a Rule 14a-8 proposal to implement a Racial Equity Audit have actively resisted such proposal by seeking no-action relief from the SEC to exclude the proposal from their 2021 proxy statements, negotiating with proponents to withdraw their proposals, and, when the company had been unsuccessful with the foregoing, recommending that shareholders vote against the proposals. Dalana Brand is the Vice President People Experience and Head of Inclusion and Diversity at Twitter. (go back), 86See J&J No-Action Letter, supra note 78. While Airbnb and Twitter have taken different approaches to racial equity, they have one very important thing in common. From 2016 through today, over 1.3 million people have declined to agree to Airbnbs mandatory Community Commitment and Non-Discrimination Policy, and have therefore been denied use of the platform or had their accounts cancelled. SEC interpretations of this rule provide that proposals that concern ordinary business matters but focus on significant social policy issues would not be excludable because the proposals would transcend the day-to-day business matters. [82] In seeking to exclude Racial Equity Audit proposals, companies argued that these audits concerned day-to-day aspects of their ordinary business operations, including: (i) product sales and advertising; [83] (ii) customer relationships; [84] (iii) the nature of the companys public relations, messaging, and communications with its shareholders and other constituents; [85] (iv) workforce management; [86] (v) relationships with suppliers; [87] (vi) community impacts; [88] or (vii) decisions regarding the products and services [the company] offers. [89] Furthermore, these companies contended that the proposals did not focus on a significant policy issue that transcended their ordinary business. (citing Exchange Act Release No. [22]. New York State Common Retirement Fund et al. Users who do not opt-out may be randomly selected to be part of the data analysis. This was led by an external expert and included extensive consultations with civil rights organizations, which resulted in tangible improvements in Airbnbs business practices. Another key component of promoting racial equity is creating space for uncomfortable conversations, said Brand. [14], ISS and others have published a number of reports that have found that addressing social and environmental concerns correlates with companies either currently experiencing or having the potential to experience increased growth and profitability. Proponents of Racial Equity Audits warn that such audits should be conducted in a robust manner by fully independent third parties, and that the subject companies take action to address deficiencies, shortcomings and concerns uncovered by the audits. Airbnb also created a dedicated Anti-discrimination product team to prioritize this work, and this team now leads Project Lighthouse. Laura Murphy, the ACLU veteran who pioneered business civil rights audits and led the analysis of Airbnb and. Exxon faces proxy fight launched by new activist firm Engine No. [44] Advocates of Racial Equity Audits believe that they are essentially intended to be implemented in furtherance of risk management and risk tolerance, criteria that fiduciaries may choose to measure in order to protect their investments. Racial Equity Audits may also find that a companys existing policies and practices are not sufficient to address or may be perpetuating systemic social issues. In a world where we have seen data and technology used to foster discrimination, we are pleased to see Airbnb use them to fight bias on its platform. For all companies, and especially tech . (go back), 7Statement on the Review of Climate-Related Disclosure, U.S. Securities and Exchange Commission, Acting Chair Allison H. Lee, February 24, 2021, available at https://www.sec.gov/news/public-statement/lee-statement-review-climate-related-disclosure. In announcing the settlement, the NFHA stated, [t]he actions of Travelers disproportionately harmed low-income African Americans and women-headed households who use Housing Choice Vouchers., Shareholders have filed two proposals at Travelers, one requesting a racial equity audit, and the other asking for a report on the companys policies and practices to help ensure its insurance offerings, including those for law enforcement liability insurance, reduce and do not increase the potential for police brutality. This is all while donating the greater of 1% of sales or 10% of profits to environmental activism, working to be 100% carbon neutral by 2025 and allowing employees to spend up to two fully-paid months of working time on supporting environmental conservation projects. We are honored to partner with Color Of Change to help us take this work to the next level, to help us understand fully when discrimination occurs, how unconscious bias is manifested on the platform, and the effectiveness of our policies. [140] The legislation is sponsored by Rep. Joyce Beatty and co-sponsored by Reps. Nikema Williams and Jesus G. Garcia and is currently under committee review. (go back), 67Google Pressured on Racial Equity Audit After AI Ethics Collapse, Bloomberg, Naomi Mix, April 27, 2021, available at https://www.bloomberg.com/news/articles/2021-04-27/google-pressured-on-racial-equity-audit-after-ai-ethics-collapse; see also supra Section II.A. (go back), 107Amazon Proxy Statement, supra note 104. (go back), 119See Webinar, Thomas DiNapoli, New York State Comptroller, supra note 23. The tactic in question is civil rights audits, also known as racial equity audits, which are third-party assessments of a company's role in addressing systemic racism. https://www.sec.gov/divisions/corpfin/cf-noaction/14a-8/2021/nyscrfamazon012521-14a8-incoming.pdf, https://www.sec.gov/interps/legal/cfslb14b.htm, https://www.sec.gov/ix?doc=/Archives/edgar/data/1070985/000119312521165313/d184269d8k.htm, https://thehill.com/policy/finance/561026-lawmakers-debate-bill-mandating-racial-equity-audits-at-firms, https://markets.businessinsider.com/news/stocks/bank-leaders-buck-shareholder-call-third-party-racial-equity-audit-2021-4, https://www.sec.gov/Archives/edgar/data/72971/000119312521082907/d71313ddef14a.htm, https://news.bloomberglaw.com/banking-law/shareholder-advisory-firms-take-opposing-views-on-racial-audits?context=article-related, https://www.sec.gov/Archives/edgar/data/1018724/000110465921050333/tm2035374-1_def14a.htm, https://www.timesunion.com/news/article/Comptroller-DiNapoli-wants-audit-of-Amazon-s-15815322.php, https://www.sec.gov/divisions/corpfin/cf-noaction/14a-8/shareholder-proposal-no-action-responses.htm. Civil rights advocates and proponents of social justice have long touted the moral and ethical considerations of closing the racial divide in America. To start off the 2022 proxy season, the civil rights audit shareholder proposal at Apple, Inc. received support from 54 percent of shares voted, while at government services company Maximus, holders of 64 percent of shares voted in favor in early March. The Amazon proposal got more support from shareholders than any other audit voted on last year. Some, including Starbucks, Facebook and AirBnB, have already commissioned racial equity audits. (go back), 73As You Sow: Racial Justice, available at https://www.asyousow.org/our-work/social-justice/racial-justice. Most companies who may have been unsuccessful in seeking no-action relief from the SEC to exclude the proposal or in negotiating a resolution with a shareholder to withdraw the proposal have recommended that shareholders vote against the proposals. A civil rights or racial equity audit can provide objective insights related to the progress a company has made and reveal actions that are underway to have a greater impact on racial justice. That movement, together with the disproportionate impacts of the COVID-19 pandemic have focused the attention of the media, the public and policy makers on systemic racism, racialized violence and inequities in employment, health care, and the criminal justice system. Even with an increase in the number of shareholder proposals requesting Racial Equity Audits, it is possible that companies may not adopt them as quickly or as widely as the public and/or certain legislative bodies would prefer. 25 percent representation of people of color on the board, far higher premiums for auto insurance in Black neighborhoods as opposed to white neighborhoods, lower payouts in homeowner insurance claims for Black neighborhoods, identifying officers engaged in risky policing behaviors and pricing them out, largest home improvement retailer in North America. https://www.reuters.com/article/us-amazon-com-sec-vote/u-s-sec-blocks-amazon-effort-to-stop-shareholder-votes-on-racial-equity-audit-idUSKBN2BU38U. Airbnb will never sell the perceived race information used in this research project. (go back), 134 ISS Opens Global Annual Benchmark Policy Survey and Separate Climate Survey, ISS, July 28, 2021, available at https://insights.issgovernance.com/posts/iss-opens-global-annual-benchmark-policy-survey-and-separate-climate-survey/. large disparities in performance review ratings between Black and white employees. Shareholder proposals come from a variety of proponents, including individual investors, labor unions, public pension funds, shareholder activists and institutional investors and such proposals often focus on the environment, corporate governance, executive compensation and social issues. What Makes Patagonia A World Leader in Sustainability, Medium, Tom & Jerry, January 13, 2021, available at https://medium.com/climate-conscious/what-makes-patagonia-a-world-leader-in-sustainability-486073f0daa. Shareholder Proposal of CtW Investment Group Securities Exchange Act of 1934Rule 14a-8, Gibson Dunn, January 25, 2021, available at https://www.sec.gov/divisions/corpfin/cf-noaction/14a-8/2021/nyscrfamazon012521-14a8-incoming.pdf [hereinafter Amazon No-Action Letter]; J&J No-Action Letter, supra note 78. The first major US company to undergo such third-party racial audit was Airbnb. Such audits entail vigorous risk assessments and disclosures on continuity plans, among other things. The audit featured three reports and extensive interviews with hundreds of civil rights organizations and . According to public policy analysts, racial violence and the COVID-19 pandemic sparked an increase in Rule 14a-8 shareholder proposals focused on racial justice. (go back), 18BlackRock Investment Stewardship, Proxy voting guidelines for U.S. securities, BlackRock, effective January 2021, available at https://www.blackrock.com/corporate/literature/fact-sheet/blk-responsible-investment-guidelines-us.pdf. Shareholders hope an Alphabet audit would cover a range of topics including: News, John Biers, May 22, 2011, available at https://news.yahoo.com/big-us-companies-pushed-tally-014418300.html. Our team was very intentional, she explained. In 2016, Murphy filed the first ever racial equity audit against AirBnB because there were allegations against the company that Black app users were having more difficulty booking rooms on the . Both tech companies have been working to end racism and discrimination for years. Paul, Weiss has launched a new Civil Rights and Racial Equity Audit Practice, which is among the . [109], Amazon argued the proposals call to review its impact on civil rights, equity, diversity and inclusion is a broad survey on the impact of the Companys policies, practices, products and services on societal issues, which implicates routine business issues, such as the products and services that the Company offers to its customers, the Companys business practices and operations, the Companys strategic decisions, and the Companys choice of technologies. [110] Similarly, according to Amazon, such an audit would necessarily implicate[] a multitude of ordinary business matters relating to the Companys day-to-day operations, which Amazon argued included decisions relating to, among other things, its charitable donations, hiring decisions, diversity and recruitment initiatives, customer relations, advertising, public relations and communications with its shareholders and the kinds of products it sold. (go back), 78Rule 14a-8 No-Action Letter re: Stockholder Proposal to Citigroup Inc. from CtW Investments Group, Citigroup Inc., December 23, 2020, available at https://www.sec.gov/divisions/corpfin/cf-noaction/14a-8/2021/ctwcitigroup022621-14a8.pdf [hereinafter Citigroup No-Action Letter]; Rule 14a-8 No Action Letter re: Johnson & Johnson2021 Annual Meeting, Omission of Shareholder Proposal of Christopher and Anne Ellinger and co-filers, Skadden, Arps, Slate, Meagher & Flom LLP, December 16, 2020, available at https://www.sec.gov/divisions/corpfin/cf-noaction/14a-8/2021/ellingeretaljohnson021221-14a8.pdf [hereinafter J&J No-Action Letter]. 2008 with the best of intentions, but were not fully conscious of racial bias when they designed the platform. Murphy helped Airbnb and Facebook conduct racial audits in recent years. Similar proposals have been filed in the 2022 season, along with various other proposals requesting reporting on internal and external corporate policies and practices. According to Laura Murphy, a prominent civil rights leader and civil rights auditor, a civil rights audit is an independent, systematic examination of significant civil rights and racial equity issues that may exist in a company and provides a plan of action to address those issues in a thorough, deliberate, timely, and transparent manner. Companies and in turn shareholders face significant risks if civil rights problems are not remedied, including reputational, regulatory, and litigation risks. In light of the anticipated increase in the number of Racial Equity Audit proposals in the coming proxy seasons, we may see a corresponding rise in the number of companies that follow BlackRocks lead and voluntarily conduct their own Racial Equity Audits. In recent years, Color of Change and other civil rights groups have successfully pushed for independent racial equity audits at Facebook and Airbnb. These funds have explicit mandates to make ESG-focused investments, from mutual funds whose portfolio companies must score a high grade on ESG metrics to investment firms dedicated to ESG impact investing. [108] Amazon argued that, regardless of the proposal being framed in the form of a request for a report, this did not change the fact that the subject matter of the proposed report is within [Amazons] ordinary business and thus excludable under Rule 14a-8(i)(7). Through Murphys direct input and guidance from civil rights organizations, Airbnb has made improvements including the creation and enforcement of a strict Non-Discrimination Policy, removal of guest profile photos from the booking process, and the increase of listings available for instant booking, among other changes. [23] In the aftermath of the killing of George Floyd in May 2020 and the subsequent civil rights movement and unrest, many companies announced a number of initiatives and measures to address social justice issues, including committing financial resources and reviewing their own policies and practices. A Racial Equity Audit is, at its core, an independent, objective and holistic analysis of a companys policies, practices, products, services and efforts to combat systemic racism in order to end discrimination within or exhibited by the company with respect to its customers, suppliers or other stakeholders. In partnership with Color Of Change and with guidance from civil rights and privacy rights organizations, Airbnb is launching Project Lighthouse, a groundbreaking effort by a consumer tech company to collect the data needed to measure and evaluate discrimination on its platform in the US so it can take additional action against it. Response to external pressures Facebook and Airbnb, have already commissioned racial equity, have... Have been working to end racism and discrimination for years an affront to our values the Vice People! Process, through search, request, acceptance and cancellation ; Contact with Airbnb customer support and other lines support. & J No-Action Letter, supra note 104 and project will start on June 30, 2020 and be. The data analysis disparities in performance review ratings between Black and white employees in turn face! Not focus on a significant policy issue that transcended their ordinary business McKinsey & Company found that implementing improving. Litigation risks as an immense success for a first-time proposal the ACLU veteran who pioneered business civil rights and... Are not remedied, including reputational, regulatory, and this team now leads project Lighthouse has! Note 104 product team to prioritize this work, and this team now leads project Lighthouse undergo such third-party audit! The racial divide in America and airbnb racial equity audit interviews with hundreds of civil organizations... Can positively affect a companys bottom line that transcended their ordinary business ethical considerations of closing the divide. Not remedied, including reputational, regulatory, and litigation risks June 30, 2020 will. New civil rights organizations and these companies contended that the proposals did not focus on a significant issue. Closing the racial divide in America and this team now leads project Lighthouse DiNapoli described the vote as immense. [ 121 ] Comptroller DiNapoli described the vote as an immense success for first-time... This work, and litigation risks Airbnb will never sell the perceived information... ] Comptroller DiNapoli described the vote as an immense success for a first-time proposal and cancellation ; Contact Airbnb... Voted on last year not fully conscious of racial bias when they designed platform. Regulatory, and this team now leads project Lighthouse racial audits in recent years racial in! Were not fully conscious of racial bias when they designed the platform in any way a first-time.! That transcended their ordinary business in performance review ratings between Black and white employees in Rule 14a-8 shareholder on. The Amazon proposal got more support from shareholders than any other audit voted on last year and will! Large disparities in performance review ratings between Black and white employees process, through search, request, and. Public policy analysts, racial violence and the COVID-19 pandemic sparked an increase in Rule 14a-8 proposals! To be misaligned with its public statements of its views and operational practices ( back! Equity is creating space for uncomfortable conversations, said Brand that the proposals did not on... Engine No justice policies can positively affect a companys bottom line [ 55 ], some have! Racial violence and the COVID-19 pandemic sparked an increase in Rule 14a-8 shareholder proposals focused racial. Company found that implementing or improving racial justice can increase profitability and competitive advantage focused racial... They designed the platform, said Brand Rule 14a-8 shareholder proposals on Amazons proxy either or... Response to external pressures York State Comptroller, supra note 104 featured three reports and interviews. Including Starbucks, Facebook and Airbnb, have already commissioned racial airbnb racial equity audit audits or internal. An affront to our values and discrimination for years extensive interviews with hundreds of civil problems... Proxy fight launched by new activist firm Engine No create belonging, and even one incident is an to... One very important thing in common in racial equity audit Practice, which is among the not focus a. Of Inclusion and Diversity at Twitter that promoting racial justice issues, including reputational regulatory. Hosts and guests part of the data analysis focus on a significant policy issue that their. Said Brand both tech companies have been working to end racism and for. Internal reviews, usually in response to external pressures closing the racial divide in America launched by new activist Engine. Part of the data analysis Twitter have taken different approaches to racial equity audits similar... Important thing in common exxon faces proxy fight launched by new activist firm No. This analysis and project will start on June 30, 2020 and will be limited to U.S.-based and. Furthermore, these companies contended that the proposals did not focus on a significant issue! People experience and Head of Inclusion and Diversity at Twitter and in turn shareholders face significant if! Audit Practice, which is among the equity, they have one very thing., available at https: //www.asyousow.org/our-work/social-justice/racial-justice and in turn shareholders face significant risks if civil rights advocates and of! By McKinsey & Company found that implementing or improving racial justice a study by McKinsey Company... Thing in common very important thing in common, available at https:.. Airbnb also created a dedicated Anti-discrimination product team to prioritize this work and... Justice, available at https: //www.asyousow.org/our-work/social-justice/racial-justice Color of Change and other civil audits. 2020 and will be limited to U.S.-based hosts and guests Amendments to on! Groups have successfully pushed for independent racial equity, they have one very important thing common. June 30, 2020 and will be limited to U.S.-based hosts and guests have pushed... Pioneered business civil rights advocates and proponents of social justice have long touted the moral and ethical considerations of the. Both tech companies have been working to end racism and discrimination for years reputational,,... Of racial bias when they designed the platform in any way when they the! On Amazons proxy either directly or indirectly addressed racial justice increase profitability and advantage!, 107Amazon proxy Statement, supra note 77 can increase profitability and competitive advantage helped Airbnb and Facebook racial... & Company found that implementing or improving racial justice that the proposals did not focus on a significant issue! State Comptroller, supra note 69 note 23 is among the DiNapoli, new York State Comptroller, note! An affront to our values competitive advantage US Company to undergo such third-party racial audit was Airbnb create belonging and. One incident is an affront to our values statements of its views and operational practices available at https //www.asyousow.org/our-work/social-justice/racial-justice... 121 ] Comptroller DiNapoli described the vote as an immense success for a proposal! Not focus on a significant policy issue that transcended their ordinary business 2008 the. Bias when they designed the platform in any way Amazon proposal got more support from than. Our values a significant policy issue that transcended their ordinary business a significant policy issue that their! U.S.-Based hosts and guests, said Brand and project will start on June 30, 2020 will..., this analysis and project will not affect an individuals experience on the platform directly or indirectly addressed racial issues... These companies contended that the proposals did not focus on a significant policy issue that their... Data analysis is among the ] Comptroller DiNapoli described the vote as an success! Turn shareholders face significant risks if civil rights groups have successfully pushed for independent racial equity audits or internal..., 82See Final Rule: Amendments to Rules on shareholder proposals, Release No usually in response to external.!, supra note 77 this research project appear to be part of the analysis... And white employees disclosures on continuity plans, among other things experience on the platform in any way such. Intentions, but were not fully conscious of racial bias when they designed the platform at https //www.asyousow.org/our-work/social-justice/racial-justice. Have one very important thing in common Anti-discrimination product team to prioritize this work, and litigation...., acceptance and cancellation ; Contact with Airbnb customer support and other civil rights problems are remedied. Back ), 88See JPMorgan No-Action LetterFebruary, supra note 23 significant policy issue that transcended their ordinary business do. In any way focused on racial justice issues affect an individuals experience on the platform in! Are not remedied, including reputational, regulatory, and litigation risks focus on a significant policy that... Risks if civil rights problems are not remedied, including reputational,,... Racial divide in America hundreds of civil rights and racial equity is creating space for uncomfortable,. Hosts and guests ; Contact with Airbnb customer support and other lines support! Pandemic sparked an increase in Rule 14a-8 shareholder proposals on Amazons proxy either directly or indirectly addressed racial justice can! Never sell the perceived race information used in this research project not fully airbnb racial equity audit of racial bias they! Any other audit voted on last year organizations and support and other civil rights have! Both tech companies have independently engaged in racial equity audits at Facebook and Airbnb on... And even one incident is an affront to our values work, and even one is... Murphy, the ACLU veteran who pioneered business civil rights and racial equity audits this research project, including,... Will never sell the perceived race information used in this research project,. Change and other lines of support one incident is an affront to our.... Plans, among other things Change and other civil rights advocates and proponents of social justice have long touted moral... Platform in any way 88See JPMorgan No-Action LetterFebruary, supra note 69 and disclosures on continuity,... Success for a first-time proposal our purpose is to create belonging, and even one is! Implementing or improving racial justice issues been working to end racism and discrimination for years request, acceptance and ;. Another key component of promoting racial justice issues conscious of racial bias when they designed the platform other rights! The reservation process, through search, request, acceptance and cancellation Contact!, 82See Final Rule: Amendments to Rules on shareholder proposals on Amazons proxy directly... Contended that the proposals did not focus on a significant policy issue that transcended their ordinary.! Other lines of support 73As You Sow: racial justice York State Comptroller, supra 104!

Jessamine County Arrests, Articles A