In Statement for the Congressional Record, Out Leadership Founder & CEO Todd Sears writes ESG “activities are not political pandering fads – they drive results.”
WASHINGTON, D.C. – As the U.S. House of Representatives Committee on Financial Services commences a series of congressional hearings this week focusing on ESG policies, Out Leadership founder and CEO Todd Sears submitted a statement for the congressional record based on the organization’s own internal research showing a definitive business case for ESG reporting and investment.
“As our research, and other outside studies, clearly demonstrates, the creation and expansion of ESG activities have helped bolster the bottom lines of companies around the globe,” said Todd Sears, Founder & CEO of Out Leadership. “Out Leadership, counting many of the world’s most important companies among its members, was honored to submit a statement for the congressional record in support of the business case for engaging in long-term, effective ESG activities. As our statement makes clear, eradicating ESG policies with a proven track record of helping companies become more successful by embracing diversity would be a foolish public policy decision and have a harmful impact on the overall health of our nation’s business climate and economy.”
In advance of yesterday’s hearing titled, “Protecting Investor Interests: Examining Environmental and Social Policy in Financial Regulation,” Out Leadership submitted a statement for the congressional record on behalf of Out Leadership, the premier global LGBTQ+ organization harnessing the power of business to drive equality, stating:
“Despite the current conversation, ESG is not a new concept. Companies have been evaluating ways to maximize returns, mitigate risks, and create business opportunities by analyzing ESG-related issues for decades. Increasingly, they recognize that understanding and reporting to shareholders on their human capital is core to a healthy bottom line, and that a workforce that is diverse, in every sense of the word, leads to better decision-making that is key to long-term success. “
“These activities are not political pandering fads – they drive results. Asking, or in the case of some Congressional leaders, demanding that companies cease diversity and inclusion activities, and now ESG efforts, are forcing companies to act contrary to their financial interests and the desires of their investors. A company’s primary responsibility is to its shareholders, and Congress should not obstruct, but rather create opportunities in the market.”
On June 1st, Out Leadership published the 5th Annual State LGBTQ+ Business Climate Index, which ranks every US State on a 100-point scale for LGBTQ+ equality. For the first time, our nation’s average score declined by an average of 1.14 points. With the souring climate for LGBTQ+ equality negatively impacting businesses at a state level, protecting LGBTQ+ rights and the American economy at a federal level has never been more urgent.
Earlier this fall, Out Leadership released its third annual OutQUORUM report, LGBTQ+ Board Diversity: Progress & Possibility, showing for the first time in history more than half of all Nasdaq-listed companies now have board diversity policies covering LGBTQ+, gender, race, ethnicity, and national origin.
For interviews with Todd Sears, founder and CEO of Out Leadership, please contact Kristofer Eisenla at kristofer@lunaeisenla.com.