Category: Corporate Purpose

The US Securities and Exchange Commission (SEC) has upheld requests by BlackRock and Amazon to block a resolution calling for details on how the pair are fulfilling the lofty commitments of the Business Roundtable’s Statement (BRT) on the Purpose of a Corporation, which their CEOs signed in 2019. 

Since President Biden took office, the US regulator has publicly committed itself to ESG and addressing climate change, and many of its recent rulings appear to reflect that shift, but, arguably, not in this instance. 

The BRT’s landmark statement advocated a break from the traditional model of capitalism, which prioritises the shareholder, towards one in which all stakeholders are considered. 

Scepticism over the pledge prompted a flurry of proposals at signatory firms last year, asking how they planned to make good on the promises and put employees, customers, supply chains, communities and the environment on a more even standing with sharehold…