SEC Sued Over NASDAQ Road Diversity Rule

Once again, those who love to rhapsodize about the free market want to protest when they don’t like the results. A group claiming to be about free enterprise is suing the SEC over its approval of the NASDQ listing standards on board diversity. For the thousandth time, that rule is not a quota. It is…

Board Diversity Suit Dismissed

A California federal judge has dismissed shareholder derivative claims against NortonLifeLock Inc. that accused the cybersecurity giant’s board of failing to uphold its stated commitment to diversity and inclusion. U.S. District Judge Richard Seeborg acknowledged Monday that his ruling comes after the dismissals of several similar derivative actions filed by the same law firm that accuse a range of name-brand…

S&P 500 appoints nearly 200% more black board directors in past year

A year on from the racial justice protests sparked by the murder of George Floyd, companies in the US have responded by boosting the appointment of black directors to S&P 500 boards. Research from ISS, the global proxy advisers, says that between 1 July 2020 and 19 May 19 this year almost a third—32%—of all…

Carlyle to Tie CEO Pay, Worker Bonuses to Diversity Goals – Bloomberg

Carlyle Group Inc. is the latest company to tie compensation of its chief executive officer to the firm’s performance on certain diversity and inclusion goals as corporate America tries to make good on promises to boost underrepresented talent. Kewsong Lee’s pay, which totaled $16.4 million last year, will be measured against a “comprehensive set of…

CA Diversity Law Has an Impact

California has made history in the last few years for passing legislation aimed at diversifying corporate boardrooms with more women and people from different ethnic backgrounds. Senate Bill 826, which was passed and signed by former Gov. Jerry Brown in 2018, dictates that all public companies will need to have at least one to three…

How to Increase the Number of Black Board Members – WSJ

Nearly two-thirds of companies in the Russell 3000 index lacked a Black director in 2020, according to data analyzed by Institutional Shareholder Services, a proxy adviser. The year before, about 70% didn’t have one. But the recent clamor for greater racial justice and increased investor pressure has convinced many U.S. businesses they need to reshape…

Carlyle Ties Loans to Board Diversity – The New York Times

Today, the private equity firm Carlyle will announce a $4.1 billion credit facility for its portfolio companies that ties the price of debt to the diversity of a company’s board. The facility, which the firm says is the largest of its kind in the U.S., is part of an “integrated approach to building better businesses,”…

Celebrities Land in the Boardroom. Here’s How Companies Make It Work. – WSJ

Pop star Ciara Wilson’s meteoric career has traveled a familiar arc—first a string of hits, then a fragrance brand and a fashion line. Now the Grammy-winning singer is taking on a role that has become increasingly popular among entrepreneurial-minded celebrities: corporate director. Announced Thursday, Ms. Wilson’s appointment to the board of Seattle marketing-tech company Amperity…

Black representation at top of FTSE 100 companies falls to zero | Financial Times

The number of black people at the top of Britain’s biggest listed companies has fallen to zero, despite public commitments to increase diversity in leadership. Research by Green Park, a recruitment and diversity consultancy, shows that no black chairs, chief executives or chief financial officers remain at any FTSE 100 company, following a change of…