Canadian Imperial Bank of Commerce | Formal employee representation in strategic decisionmaking at Canadian Imperial Bank of Commerce

Status
Withdrawn
AGM date
Previous AGM date
Resolution details
Company ticker
CM:CN
Resolution ask
Adopt or amend a policy
ESG theme
  • Governance
ESG sub-theme
  • Decent work
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Financials
Company HQ country
Canada
Resolved clause
It is proposed that the board of directors evaluate ways to increase employee participation in board decision-making. It is suggested that the findings be reported at the next annual meeting in 2023.
Supporting statement
The health and economic crisis has reminded us of the importance of workplace health and well-being. Some of the benefits are obvious: higher job satisfaction, a greater sense of belonging, higher engagement, increased productivity, reduced absenteeism, lower insurance costs, lower risk of workplace accidents and occupational illnesses. Over the next few years, boards will face several issues related to talent management and development. In recent years, boards of directors have made it a point to increase the quality of their decision-making by drawing on a variety of experiences and skills and involving, as much as possible, people of all genders, ages, backgrounds and religions. Although most board members are independent directors, they lack the employee perspective, which could provide an alternative view of the organization’s operational and strategic issues, better oversight of the decisions made by senior management and a better balance of decisions made with short- and long-term perspectives, as employees tend to favour the long term. The most recent edition of the UK Corporate Governance Code (2018)2 includes an invitation to consider different initiatives to increase employee participation in highly strategic organizational decisions, including the following: creating a formal workforce advisory panel, designating a board member to liaise with workers, or appointing at least one employee other than the CEO as a director. We are entirely convinced that direct and formal employee input into strategic decision-making is of great value, particularly for decisions with significant management and talent development components. We are therefore presenting this proposal and are confident that at the next annual meeting in 2023, the company will be able to propose ways to ensure employee insight and participation.

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