Berkshire Hathaway shareholders on May 3 rejected a resolution requiring the company to report on risks from its subsidiaries’ race-b
ased initiatives, one of seven proposals tied to diversity, artificial intelligence and other issues that were voted down.
Shareholders also voted against a resolution that Berkshire repor
on how its business practices affect employees based on race, color, religion, sex, national origin and political views.
Also voted down were proposals requiring Berkshire’s board of directors to create a committee to oversee diversity and in
clusion, having independent directors oversee AI-related risks, and requiring a re
port on “voluntary” environmental activities that exceed federal and state requirements.
The votes were announced after Buffett unexpectedly announced he planned
to step down as Berkshire chief executive at the end of the year.
He will be replaced by Vice Chairman Greg Abel, who presided over the reading of the shareholder proposals.
Buffett, who controls about 30% of Berkshire’s voting power, and the other B
erkshire directors opposed all seven proposals, finding them unnecessary and in
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some instances inconsistent with the company’s decentralized culture.
The board also said Berkshire’s operating companies set their own policies concerning race and other employment factor
s, and that Berkshire’s overall approach was “simple—follow the law and do the right thing.”
Businesses across corporate America have curbed public support or initiatives for diversity, equity and inclusion in the workp
lace, as conservatives including U.S. President Donald Trump push to curb DEI
in the private sector and society, as well as in the federal government.