Oracle Shareholder Vote to Protect Employees’ Life Savings from Climate Risk
FOR IMMEDIATE RELEASE
MEDIA CONTACT: Isaac Montes, imontes@asyousow.org, (917) 674-3510
BERKELEY, CA—NOVEMBER 14, 2024—Today, Oracle Corporation (NYSE: ORCL) shareholders will cast their vote on a proposal asking the company to report on actions it is taking to protect employees’ retirement savings from the growing economic consequences of climate change.
Oracle has adopted a series of actions to reduce its own climate emissions, but directs over $1 billion of employees retirement savings into fossil fuel producers, companies responsible for rainforest destruction, and other high-emission sectors that contribute to catastrophic climate impacts. In a shareholder proposal to be voted on today, shareholders raise the dissonance between acting to reduce its own enterprise-wide emissions while investing in companies that contribute far more significantly to climate harm.
“Oracle has a legal responsibility to protect its employees’ life savings from the material risk of climate change – and to balance the interests of all beneficiaries equitably,” said Andrew Behar, CEO of As You Sow. “Failing to do so will not only jeopardize the company’s ability to attract and retain top employee talent, but could also expose the company to litigation.”
The overwhelming majority of Oracle’s 401(k) Plan assets are in funds that do not integrate climate risk reduction in their investment strategy. This oversight carries real financial implications for plan beneficiaries. A recent report found that Oracle employees could have made over $719 million more in returns had Oracle moved to decarbonize its retirement plan 10 years earlier. These financial losses are spurring employees to call for retirement plan fiduciaries to factor in climate impact to better protect their life savings.
In addition to employee concern, employers may face lawsuits for failing to assess climate-related risks stemming from retirement plan investments. As part of a prudently constructed lineup of funds, Oracle must demonstrate that it is actively safeguarding all employees’ financial security – now and into the future – by addressing climate-related financial risk and impact over the range of its employees’ investment horizons.
As You Sow publishes monthly report cards rating retirement plans and mutual funds as part of its Invest Your Values initiative.
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As You Sow is the nation’s leading shareholder representative, with a 30-year track record promoting environmental and social corporate responsibility and advancing values-aligned investing. Its issue areas include climate change, ocean plastics, toxins in the food system, the Rights of Nature, racial justice, and workplace diversity. Click here to view As You Sow’s shareholder resolution tracker.