Major public investors called Wednesday for the Facebook board of directors to make the role of chairman an independent position in the wake of a number of recent controversies involving the tech giant…
A new proposal, lead-filed by Trillium Asset Management, called for the removal of Mark Zuckerberg as board chair in light of controversies including the Cambridge Analytica scandal and a data breach affecting 30 million accounts.
“We are entering a new phase of Facebook’s growth,” said Jonas Kron, a senior vice president at Trillium. “As we confront the ways in which Facebook’s technology has outstripped our ability to understand how it affects society, it is time to put limits on Zuckerberg and make some structural changes.”
In the proposal the shareholders accuse Facebook of missing, or mishandling, a number of “severe controversies,” a statement by Illinois State Treasurer Michael Frerichs said.
“Now is the time for change. We need to see more accountability of Mark Zuckerberg to the Board of Directors to restore investor confidence and protect shareholder value,” Frerichs said.
The Illinois treasurer was joined in the move by New York City Comptroller Scott Stringer, Rhode Island State Treasurer Seth Magaziner and Pennsylvania Treasurer Joe Torsella.
“An independent board chair is essential to moving Facebook forward from this mess, and to re-establish trust with Americans and investors alike,” said Stringer in a separate statement.
The initiative appears be little more than a symbolic gesture, since Facebook founder and CEO Zuckerberg has virtually absolute control of the company.
Author: ANA Newswire