Corporate Citizenship
Corporate citizenship refers to the ethics and policies a company uses with its
employees and the communities in which it operates. These are frequently
referred to as “social issues."
Although SWIB may question a company at any time about a certain policy or
practice, voting on shareholder resolutions is the primary way that SWIB can
express its view on a policy or practice. Policies for voting corporate
citizenship resolutions reinforce SWIB’s investment goals to enhance returns and
long-term value.
Using proxy votes for the sole purpose of promoting social or political causes
or goals is contrary to our fiduciary duties. When voting on a proxy resolution,
SWIB’s investment analysis takes into account the impact of corporate
citizenship on the prospects for a company’s long-term financial success.
Most social concerns fall into two areas: environmental issues and human or
labor rights. When considering proxy resolutions on these or other issues, SWIB
reviews each resolution on a case-by-case basis based on the directives
contained in
Wisconsin Administrative Code IB 2.02.