Berkshire Shareholders Turn Away from Diversity, AI Strategies
Talks of creating a committee to oversee diversity, AI, and inclusion were rejected.
Berkshire Hathaway shareholders on Saturday rejected a resolution requiring the company to report on risks from its subsidiaries’ race-based initiatives, one of seven proposals tied to diversity, AI and other issues that were voted down. Shareholders also voted against a resolution that Berkshire report on how its business practices affect employees based on race, colour, religion, sex, national origin and political views.
Also shut down were proposals requiring Berkshire’s board of directors to create a committee to oversee diversity and inclusion, having independent directors oversee AI-related risks, and requiring a report on “voluntary” environmental activities that exceed federal and state requirements.
Buffett, who controls about 30% of Berkshire’s voting power, and the other Berkshire directors opposed all seven proposals, finding them unnecessary and in some instances inconsistent with the company’s decentralised culture. The board also said Berkshire’s operating companies set their own policies concerning race and other employment factors, and that Berkshire’s overall approach was “simple — follow the law and do the right thing.”
Businesses across corporate America have curbed public support or initiatives for diversity, equity and inclusion in the workplace, as conservatives including US President Donald Trump push to curb DEI in the private sector and society, as well as in the federal government.
Berkshire has discussed generally in its annual reports the hiring practices of its operating businesses. In its latest report in February, it removed a reference to “diversity and inclusion in the workforce” as a hiring goal.
At Saturday’s meeting, Berkshire shareholders also re-elected all directors who were eligible, including Buffett and Abel.
