Aetna Inc. | Report on lobbying at The Goldman Sachs Group

Status
Omitted
AGM date
Previous AGM date
Resolution details
Company ticker
AET
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
Health Care
Company HQ country
United States
Resolved clause
Shareholders request the preparation of a report, updated annually, disclosing:

Goldman policy and procedures governing lobbying, both direct and indirect, and grassroots lobbying communications.
Goldman payments used for (a) direct or indirect lobbying or (b) grassroots lobbying communications, in each case including the amount of the payment and the recipient.
Goldman membership in and payments to any tax-exempt organization that writes and endorses model legislation.
Description of management's and the Board's decision-making process and 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 Goldman 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 Public Responsibilities Committee and posted on Goldman's website.
Supporting statement
Full disclosure of Goldman's lobbying activities and expenditures is needed to assess whether Goldman's lobbying is consistent with its expressed goals and shareholders' interests. Goldman is considered one of the eight big banks, whose lobbyist ranks have reportedly swelled to their largest number since the 2008 financial crash. [1] Goldman spent $48 million from 2010 — 2023 on federal lobbying. This does not include state lobbying, where Goldman also lobbies. Goldman also lobbies abroad, spending between €900,000 — 999,999 on lobbying in Europe for 2023.

Companies can give unlimited amounts to third party groups that spend millions on lobbying and undisclosed grassroots activity. [2] Goldman fails to disclose its memberships in or payments to trade associations and social welfare groups, or the amounts used for lobbying, to shareholders. Goldman belongs to the American Bankers Association (ABA), Bank Policy Institute (BPI), Business Roundtable, Financial Service Forum (FSF), Managed Funds Association and Securities Industry and Financial Markets Association, which together spent $46 million on federal lobbying for 2023.

Goldman's lack of disclosure presents reputational risks when its lobbying contradicts Company public positions. For example, Goldman publicly supports addressing climate change, yet the Business Roundtable filed an amicus brief opposing the Securities and Exchange Commission (SEC) climate risk disclosure rules [3], and BPI and FSF both lobbied the SEC to weaken proposed climate disclosure rules [4]. An analysis looking at inconsistencies between banks' public climate commitments and their direct and indirect climate lobbying practices noted Goldman failed to publicly support the Inflation Reduction Act. [5] And Goldman's 10,000 Small Businesses program attracted attention for reportedly recruiting participants to lobby against increased capital reserve proposals. [6]

Improved Goldman Sachs lobbying disclosure will protect the reputation of Goldman Sachs and preserve shareholder value.



https://www.reuters.com/business/finance/us-bank-lobbyists-ranks-swell-post-crisis-high-amid-regulatory-pushback-2024-02-08/
https://theintercept.com/2019/08/06/business-group-spending-on-10bbying-in-washington-is-at-least-double-whats-publiclyreported/
https://www.eenews.net/articles/investors-question-business-roundtables-climate-rule-battle/
https://www.eenews.net/articles/banks-to-sec-climate-rule-poses-real-world-problems/
https://www.ceres.org/news-center/press-releases/new-benchmark-analysis-us-banks-reveals-inconsistencies-between-climate
https://www.inc.com/bruce-crumley/goIdman-sachs-10000-smalI-businesses-program-also-creates-lobbyists.html

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