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Global Corporate Accountability
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Filed with: Cooper Industries,
Donnelley (R.R>) &I Sons, Johnson Controls,
Yum! Brands |
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Sustainability Report
Whereas the global economy presents corporations with the challenge of
creating sustainable business relationships by participating in the sustainable
development of communities in which they operate. The World Commission
on Environment and Development defined sustainable development as "development
which meets the needs of the present without compromising the ability
of future generations to meet their own needs." (Our Common Future,
1987)
We believe the ability of corporations to continue to provide goods/services
in our interdependent world depends on their acceptability to the societies
where they do business. Good corporate citizenship goes beyond the traditional
functions of creating jobs and paying taxes, to include corporate practices
designed to protect human rights, worker rights, land and the environment.
According to the Dow Jones Sustainability Group, sustainability includes:
"Encouraging long lasting social well being in communities where
they operate, interacting with different stakeholders (e.g. clients, suppliers,
employees, government, local communities and non-governmental organizations)
and responding to their specific and evolving needs thereby securing a
long term 'license to operate,' superior customer and employee loyalty
and ultimately superior financial returns." (www.sustainability-index.com;
March 2000)
Concerned investors evaluate companies on their financial, environmental
and social performance --- the triple bottom line. Some companies have
published sustainability reports and are taking a long-term approach to
creating shareholder value through embracing opportunities and managing
risks derived from economic, environmental and social developments. We
believe sustainability reporting should be included in our company's annual
report.
The Social Investment Forum, the national trade association for the socially
responsible investing (SRI) industry wrote in a letter to the New York
Stock Exchange, "Investors in the U.S. currently face a significant
disadvantage by their companies not adequately disclosing material social
and environmental risks. We support principles that would encourage companies
to better disclose, in an aggregate manner, material risks, liabilities,
and impairments." (8/6/02)
We believe corporate sustainability includes a commitment to pay a sustainable
living wage to employees. Workers need to have the purchasing power to
meet their basic needs. A purchasing power study conducted in 15 cities
in Mexico found that it takes four to five Mexican minimum wages to support
a family of four (Making the Invisible Visible, Center for Reflection
Education and Action, June 2001). We believe paying sustainable wages
contributes to community development and employee loyalty to the company.
The sustainability of corporations, we believe, is connected to the economic
sustainability of their workers and the communities where corporations
operate and sell products. Effective corporate policies can benefit both
communities and corporations.
Resolved: Shareholders request the Board of Directors to prepare at reasonable
expense a sustainability report. A summary of the report should be provided
to shareholders by October 2003.
Supporting Statement
We believe the report should include:
1. The company's operating definition of sustainability.
2. A review of current company policies and practices related to social,
environmental and economic sustainability.
3. A summary of long-term plans to integrate sustainability objectives
throughout company operations.
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