Corporate Political Activities Targeted

Advocates for the disclosure of corporate political contributions stress the value of transparency when pressing companies to provide information on their political activities. More major companies are making this data publicly available, as we reported recently here.

Another consequence, however, is the possibility of being targeted by activists who oppose specific company actions to affect local, state or national legislation. As You Sow, an organization that describes its purpose as building coalitions with socially responsible investors, pension funds, labor groups, foundations and faith-based investors to achieve social and environmental corporate responsibility, has announced that it is filing resolutions asking companies that are opposing state ballot initiatives to require labeling of genetically modified organisms (GMOs) to refrain from using corporate funds to influence those elections.

According to its website, As You Sow has filed resolutions at Monsanto, DuPont and Dow Chemical, and intends to file a shareholder resolution at General Mills and Abbott Laboratories. As You Sow asserts that these companies in the aggregate gave over $17 million to defeat a labeling initiative in California. It also lists several other companies and planned actions toward those companies. In addition, As You Sow claims that its engagement efforts is responsible for Whole Foods’ decision to require mandatory GMO labeling for products sold in its stores.

Green Century Funds, an environmentally responsible investment adviser, indicates on its site that it is working with As You Sow and others to specifically target companies that gave $46 million toward the California ballot initiative on GMO labeling, as a similar vote is near in Washington State. The Fund lists a host of brand-name food companies that are in their focus as the top corporate donors who supported the California campaign, as they urge “companies to stay out of elections on controversial public policy issues.”