The Vote Roundup’s latest list of upcoming AGMs
The AGMs of industry leaders like Siemens and AJ Bell could pick up shareholder interest.
It’s likely you’ve heard about “say on pay” votes at company AGMs, on which shareholders vote to signal approval (or disapproval) of how much the CEO and company leaders are being paid. But have you heard of “say on frequency” votes?
For many companies in the US, 2023 will be the year that they hold their routine “say on frequency” votes (held every six years), which ask shareholders how often they should put forward their executive pay practices for approval. This is because for most companies the six-year cycle began in 2011, when the Dodd-Frank Act mandated the vote.
However, these shareholder proposals at food producer Hormel Foods and machinery company Deere & Co very much break from routine.
Risks of overusing antibiotics on animals in supply chain
A shareholder proposal at Hormel Foods is requesting that the American food producer adopt World Health Organisation (WHO) guidelines on using antibiotics on farm animals. The proposal argued that overusing antibiotics can reduce their effectiveness as microorganisms learn to resist them — a phenomenon known as “antimicrobial resistance” (AMR).
The proposal argues that AMR could weaken the global economy, therefore hurting Hormel Foods’ more diversified shareholders who invest in the global economy.
Hormel Foods advised shareholders to vote against the proposal, citing several aspects of the WHO guidelines which the company sees as incompatible with its own experts’ advice, and highlighting its existing commitment to using antibiotics responsibly.
Hormel Foods’ AGM is set for January 31st.
No “golden parachute” for executives, say Deere & Co shareholder
John Chevedden, the most active activist investor last year, has submitted a proposal at machinery company Deere & Co. The proposal asks the company to get shareholder approval if an executive’s severance package exceeds 2.99 times the value of their salary and annual bonus combined.
The company defended its pay practices, claiming that they are industry-standard, and that some aspects of executive pay should not be limited as they help focus executives in uncertain situations, such as a change in leadership.
Shareholders will also vote on routine proposals like the company’s Board election, “say on pay”, and “say on frequency”, at the company’s AGM on February 22nd.
Plus
Siemens AG, the German industrial manufacturing giant, is set to host its AGM on February 9th. At the meeting, Siemens’ Supervisory Board will go up for re-election, alongside three new additions to the Board. If all of the candidates are elected, half of the Supervisory Board will be female, increasing gender diversity on its Board.
Over in the UK, hospitality company Mitchells & Butlers plc will hold its AGM on February 8th. Nine directors are set to go up for election, led by incumbent Chair Bob Ivell. CEO Phil Urban is set to receive a pay package of £810,000 for FY22, while CFO Tim Jones will receive £679,000. Shareholders will also vote to approve the company’s future bonus plans, which was last approved in 2013.
Meanwhile, international food company Compass Group plc’s AGM is scheduled for February 9th. After seeing its profits triple to £1.1 billion in 2022, the company has set to pay its CEO Dominic Blakemore £3.3 million.
Other notable companies that have AGMs coming up include: investment platform AJ Bell plc (8th February), which will see Baroness Helena Morrissey serve her final term as Chair as she looks to find a successor; and EasyJet plc (9th February), who suffered a £208-million-loss in 2022.
