Shareholders are increasingly approving corporate governance (G) proposals while showing less support for environmental (E) and social (S) changes. The U.S. Government’s stance on ESG policies has influenced this trend, with governance proposals like eliminating supermajority vote requirements and enabling annual director reelections receiving significant backing.
In contrast, environmental and social proposals, such as reducing greenhouse gas emissions and enhancing diversity, equity, and inclusion, have struggled to gain majority support. This divergence is partly due to the political scrutiny surrounding ESG and DEI issues, impacting corporate policy adoption.
