Mondelēz International has officially committed to conducting a racial equity audit, following a shareholder proposal filed by the Shareholder Association for Research and Education (SHARE) on behalf of Dragonfly Ventures, Benedictine Sisters of Mount St. Scholastica, Trinity Health, and Benedictine Sisters of Cullman, Alabama.
More than 47% of shareholders voted in favour of the proposal at the Mondelēz May 18 Annual Shareholder Meeting. The proposal requested the Company to conduct and publish a third-party audit analyzing Mondelēz’s adverse impacts on non-white stakeholders and communities of colour. Shareholders highlighted issues and concerns such as targeted marketing and environmental discrimination disproportionately impacting racialized and Indigenous communities.
“Mondelēz’s decision to conduct a third-party racial equity audit is a step in the right direction, as the call for greater corporate accountability on racial equity issues continues to grow,” said Juana Lee, Engagement Advocacy Specialist at SHARE. “This is a huge victory for stakeholders, including investors who recognize that advancing racial equity is crucial to a company’s success. As one of the first racial equity audits to analyze racial equity issues in Canada, this audit paves the way for companies to address impacts on people of color beyond the U.S. border.”
The racial equity audit will be conducted by WilmerHale LLP and the audit will seek input from a range of stakeholders, which will cover U.S. and Canadian aspects of Mondelēz’s business. The audit will include DEI goals and initiatives, marketing strategies, political contributions, and environmental and sustainability programs. Mondelēz plans to publish a report on the results upon completion of the audit.
SHARE is excited to continue our work towards progressing racial equity at companies both in Canada and abroad. Over the next few months, we will continue to share news related to our equity-driven filings and proposals leading up to the 2023 proxy season.