Canadian Imperial Bank of Commerce | Fighting against forced labour and child labour in loan portfolios at Canadian Imperial Bank of Commerce

Status
Filed
AGM date
Previous AGM date
Proposal number
2
Resolution details
Company ticker
CM:CN
Resolution ask
Report on or disclose
ESG theme
  • Social
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, starting in 2026, the Bank report to its shareholders and interested parties
(stakeholders) on the measures taken during the previous fiscal year to prevent and reduce the risk of
loans being granted to companies using forced labour and child labour in the manufacturing of goods
produced, purchased or distributed by its customers using financing granted by the Bank.
Supporting statement
The Fighting Against Forced Labour and Child Labour in Supply Chains Act came into effect on May 11, 2023. The Act requires certain companies to file reports on their efforts to combat forced labour and child labour, the first such report to be filed by May 31, 2024. While the Act aims to protect children from exploitation and human rights abuses in supply chains, we propose that the Bank take a proactive stance on this issue by committing, as a good corporate citizen, to prevent and reduce the risk that its loan portfolio includes any form of support to companies that use forced labour or child labour in their business operations. According to a report by the International Labour Organization (ILO) and UNICEF, the UN agency tasked with protecting children’s welfare,2 the number of children in forced labour in 2020 was 160 million, an increase of 8.4 million children in the previous four years. Even more worrying is the rise in the number of children aged 5 to 17 in hazardous work, namely work that may have a direct effect on their development, education or health. This category includes hazardous sectors such as mining or fishing, or working more than 43 hours a week, making schooling virtually impossible. Other sectors worth mentioning include textiles and clothing, electronics, forestry, etc. Such a report should provide all the information necessary to reassure shareholders and stakeholders of the Bank’s intention to reduce its financial support to companies that force children to work.

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