Apple’s Move to Skip Shareholder Proposal on Forced Labour Denied by SEC
In a letter from the U.S. Securities and Exchange Commission (SEC) reviewed by Reuters, the agency has denied Apple’s move to block a shareholder proposal asking the company to provide greater transparency in its efforts regarding forced labour.
Apple was asked by a group of shareholders earlier this year to prepare a report on how it protects workers in its supply chain from forced labour.
“It does not appear that the essential objectives of the proposal have been implemented so far,” the regulators wrote. This means that Apple will have to face a vote on the proposal at next year’s annual shareholder meeting.
The SEC has also denied Apple’s request to skip a shareholder proposal that would give investors more information about its use of non-disclosure agreements.
“There’s rightfully growing concern at all levels of government about the concentration camp-like conditions for Uyghurs and other Turkic Muslims living under Chinese government rule,” Vicky Wyatt, campaign director for SumOfUs, a group supporting the shareholder proposal, said in a statement on Wednesday.
Apple routinely asks the SEC to skip shareholder proposals and the requests are granted most of the time.