David Sirota: A Welcome ‘Shareholder Democracy’

[marmar]

from Truthdig:



A Welcome ‘Shareholder Democracy’

Posted on May 22, 2008
By David Sirota

The never-ending presidential campaign is enough to overload anyone’s senses. The themes and messages are mind-numbingly discombobulated—race, class, flag lapel pins, NAFTA, bowling photo ops, Iraq and, of course, endless promises of “real change.” It is like the head-pounding noise of bad heavy metal music, but the subliminal message isn’t a satanic code—it’s one telling us that presidential campaigns are always the most important arenas of democracy.

But this week you may hear another sound. This one will come from ExxonMobil’s annual meeting in Dallas. The thrum may be quieter than the political din, but it is about something that can be more critical than even presidential elections—something called shareholder democracy.

The concept is simple: By law, anyone owning at least $2,000 of company stock may file a shareholder resolution demanding a change in that company’s behavior. Investors then get to vote their shares of stock on the resolution.

At ExxonMobil’s meeting on May 28, a group of shareholders is planning to offer resolutions asking the company to invest more in renewable and alternative energy. Though the move has garnered scant media attention, it could be far more significant than the presidential pandemonium. According to Friends of the Earth, ExxonMobil and its predecessors’ products are responsible for emitting roughly 5 percent of all human-generated carbon pollution since 1882. Forcing a company like this to even minimally change could have planetwide effects.

But, then, with the company generating $40 billion in annual profits, ExxonMobil’s shareholders are making bank. So why would any of them vote to change the business? Because if they don’t, those profits could evaporate. ......(more)

The complete piece is at: http://www.truthdig.com/report/item/20080523_a_different_kind_of_democracy/

[SpiralHawk]

1. "Move along. There is nothing to see here." - corporate media

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