Sustainable Finance Newsletter - Deere & Co's DEI showdown

Reuters01-16
Sustainable Finance Newsletter - Deere & Co's DEI showdown

By Ross Kerber

Jan 15 (Reuters) - Shareholders, not other stakeholders, in theory get the final say over corporate decisions, but so far the biggest U.S. investors haven't really weighed in about pullback from diversity, equity and inclusion efforts by many of their portfolio companies.

Let's see what message shareholders send in the springtime proxy season, starting with Deere & Co's meeting next month. You can read more in my column this week, linked below. I've also flagged stories by my colleagues concerning the environmental impacts of JBS and of Berkshire Hathaway.

You can follow me on LinkedIn and/or Bluesky. Or get me via ross.kerber@thomsonreuters.com

Deere & Co's DEI showdown

Farm equipment maker Deere & Co DE.N last year became one of the first U.S. companies to back away from DEI initiatives, without a lot of public reaction from the asset managers who sought some of the changes in the first place.

Deere's annual meeting could provide more clarity about what investors want, based on the results of shareholder resolutions backed by groups with opposing views. You can read more in my column this week by clicking here.

Company News: more pullbacks on DEI and climate

For more context about Deere's meeting, consider that on Friday Facebook owner Meta Platforms META.O and online retailer Amazon.com AMZN.O said they would wind down diversity programs. Walmart WMT.N did something similar last November, prompting concerns from religious investors this week.

In 2021 Brazilian meatpacker JBS JBSS3.SA committed to achieving net-zero greenhouse gas emissions by 2040. Its top sustainability officer now says its goal was an aspiration, not a promise, according to my colleagues' story here. Here is an online dictionary if you want to parse things out.

The below-average air quality of Omaha, Nebraska in 2023 stemmed partly from nearby coal-fired power plants owned by Berkshire Hathaway BRKa.N, which has lobbied to avoid expensive pollution controls, according to this Special Report by Tim McLaughlin and Joshua Schneyer.

On my radar

U.S. and Danish officials urged the developer of Greenland's largest rare earths deposit last year not to sell its project to Chinese-linked firms, underscoring the economic stakes of the territory that U.S. President-elect Donald Trump has talked about taking over.

A financial disclosure form submitted by U.S. Senator Marco Rubio, President-elect Donald Trump's choice for Secretary of State, might make you nostalgic for the good old days of 2021 when he and a lot of other American homeowners could get a 30-year mortgage at 3%.

California Governor Gavin Newsom on Jan. 12 suspended permitting and review requirements for rebuilding after the fires devastating Southern California. Watch for this to come up in later debates about statewide regulation.

(Reporting by Ross Kerber in Boston; Editing by David Gregorio)

((ross.kerber@thomsonreuters.com; (617) 412 0093;))

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment