VISA INC. | Proposal on Transparency in Lobbying

Status
Filed
AGM date
Previous AGM date
Proposal number
7
Resolution details
Company ticker
V
Lead filer
Individual
Resolution ask
Report on or disclose
ESG theme
  • Governance
ESG sub-theme
  • Lobbying / political engagement
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Technology
Company HQ country
United States
Resolved clause
Resolved, shareholders request the preparation of a report, updated annually, disclosing:
1. Company policy and procedures governing lobbying, both direct and indirect, and grassroots lobbying communications.
2. Payments by Visa used for (a) direct or indirect lobbying or (b) grassroots lobbying communications, in each case including the amount of the payment and the recipient.
3. Visa's membership in and payments to any tax-exempt organization that writes and endorses model legislation.
4. Description of management's decision-making process and the Board's oversight for making payments described in sections 2 and 3 above. For purposes of this proposal, a "grassroots lobbying communication" is a communication directed to the general public that (a) refers to specific legislation or regulation, (b) reflects a view on the legislation or regulation and (c) encourages the recipient of the communication to take action with respect to the legislation or regulation. "Indirect lobbying" is lobbying engaged in by a trade association or other organization of which Visa is a member. Both "direct and indirect lobbying" and "grassroots lobbying communications" include efforts at the local, state
and federal levels. The report shall be presented to the Nominating and Corporate Governance Committee and posted onVisa's website.
Supporting statement
Full disclosure of Visa's lobbying activities and expenditures is needed to assess whether Visa's lobbying is
consistent with its expressed goals and stockholder interests. Visa spent $72 million from 2010 - 2023 on federal
lobbying. This does not include state lobbying, where Visa also lobbies, spending over $1.6 million on lobbying in
California from 2010 - 2023. And Visa lobbies abroad, spending between €900,000 - 999,999 on lobbying in Europe
for 2023. Visa's lobbying over swipe fees amid surging inflation has attracted media scrutiny.
(1)
Companies can give unlimited amounts to third party groups that spend millions on lobbying and undisclosed
grassroots activity.
(2)
Visa fails to disclose its third-party payments to trade associations and social welfare groups
(SWGs), or the amounts used for lobbying, to stockholders.
Visa belongs to the American Bankers Association (ABA), Business Roundtable, and US Chamber Commerce,
which together spent $98 million on lobbying for 2023, supports social welfare groups like the Future of Privacy
Forum and funds nonprofits like the State Financial Officers Foundation, which has waged "a coordinated attack
on climate policy."
(3)
And while Visa previously dropped its membership in the American Legislative Exchange
Council,
(4)
the American Bankers Association supported ALEC's 2022 annual meeting
(5)
and the Chamber sits on
ALEC's Private Enterprise Advisory Council. Visa's lack of disclosure presents reputational risk when its lobbying contradicts company public positions.
Visa supports addressing climate change, yet the Business Roundtable lobbied against the Inflation Reduction
Act(6) and the Chamber opposed the Paris climate accord. And Visa's support for SFOF has drawn scrutiny for
"pandering to a handful of pro-fossil fuel US politicians"(7) and fuelling the fight against ESG investing.(8)
Shareholders urge Visa to expand its lobbying disclosure.

How other organisations have declared their voting intentions

Organisation nameDeclared voting intentionsRationale
VidaCaixaFor

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