Apple shareholders rejected an outside investor proposal against its diversity, equity and inclusion policies at an annual meeting on Tuesday, handing a major victory to the tech giant as opposition against such efforts gains traction in the US.
The vote was a test of shareholder views about the value of DEI programs, which many companies added or beefed up starting in 2020 amid the Black Lives Matter movement.
A growing conservative backlash has pushed major US companies, including Meta and Alphabet, to drop DEI initiatives ahead of and following Donald Trump’s return to the presidency.
Trump has criticized corporate diversity programs, suggesting the Department of Justice could investigate whether they violate the law.
Apple shareholders also voted against a proposal asking the company to prepare a report assessing the risks of its work with AI, while all management proposals were approved, a preliminary tally of the vote count showed.
Earlier this month, proxy advisory firm Institutional Shareholder Services recommended that investors back Apple’s DEI policies, saying the company already offers sufficient information about them and that there have been no controversies or signs of discrimination against employee groups.
Apple shareholders in the past have rejected proposals that would have required the company to disclose more about racial and gender pay gaps.
On Tuesday, CEO Tim Cook said Apple has never had quotas or targets in its diversity programs.
“As the legal landscape around these issues evolves, we may need to make some changes to comply, but our North Star of dignity and respect for everyone and our work to that end will never waver,” Cook said.
The proposal against Apple’s diversity policies was submitted by the National Center for Public Policy Research, which describes itself as a free-market think-tank.
The same group had asked Costco Wholesale to report on the risks of maintaining its diversity and inclusion initiatives.
The membership-only retailer’s shareholders voted strongly against the proposal at a meeting in January.
