Alliance Advisors, a major player in proxy solicitation and corporate consultation, has just concluded its annual analysis of the 2023 proxy season. In their detailed preview, a key central message was identified: Environmental, Social, and Governance (ESG) proposals have experienced a lackluster performance for yet another year, echoing the “downward trend” observed since 2021.
The quantity of shareholder proposals presented to public companies in the US remained high, with 958 proposals recorded as of June 30, 2023. This figure is roughly on par with the 987 achieved over the entirety of the previous year.
Despite the substantial tally, a significant decline in the ESG proposals sector was highlighted by alliance advisors. This points to a continued wavering interest or wariness in the energy, social responsibility, and governance sectors. This decline has persisted from the previous year and seems to be forming a pattern, although the exact reasoning for the trend remains open to interpretation.
It’s worth noting a more in-depth examination surrounding the specifics of these figures, including details surrounding the nature, submitter classifications, and success rates of the proposals, can be found in the original
Alliance Advisors 2023 Proxy Season Preview.
While ESG proposals continue to sag, it’s crucial to anticipate and adjust to these trends within our ever-evolving corporate sphere. Let this data remind us, as legal professionals, to remain adaptable and considerate in our work.
Report by: Cooley LLP