The Office of New York City Comptroller (the NYC Comptroller) on behalf of three of the New York City Retirement Systems (NYCRS) has sent a letter to the CEOs of 67 S&P 500 companies calling on them to match their companies’ recent statements in support of racial equality and diversity by adopting a policy to publicly disclose their annual Consolidated EEO-1 Reports, which reflect the race, ethnicity and gender of their employees, with oversight to be provided by independent members of the board. The NYC Comptroller requested that recipients of the letter commit in writing by August 30, 2020 to publicly disclose their EEO-1 Report when they submit their next Report in 2021. This initiative follows the 2019 letter writing campaign by the NYC Comptroller requesting that 56 S&P 500 companies adopt a diversity search policy akin to the National Football League’s “Rooney Rule” that would require the initial list of director nominees and CEO candidates to include qualified female and racially or ethnically diverse candidates. In this Alert, we discuss the NYC Comptroller’s call for EEO-1 Report disclosure and the results of its “Rooney Rule” initiative and offer suggestions on “What to do Now”.

View this Governance & Securities Alert.