Lawmakers that represent the Legislature’s diversity caucuses representing minorities, women, and gay people in a West Coast state. They are putting pressure on corporations that are headquartering in the state to actually diversify their leadership teams.
Lawmakers are Contacting Companies
On this past Monday, the caucuses announced they sent hundreds of letters to California’s biggest companies. Thus urging them to comply with two state laws that mandate the appointment of women. In addition to people of color, and sexual minorities serving as board directors.
Lawmakers: Decisive Action with Hires
“in fact, it is time for these companies — many of those are based here in California — to, fact, channel their words into decisive action,” This is what Assemblyman Evan Low, D-Cambell, said in a statement. “Moreover, representation does matter because those diverse, lived experiences have the potential to reverberate across a company’s culture. Thus inspire and motivate the next generation of leaders and make the companies more accountable to their customers.”
Lawmakers: Diversity Caucuses are out in Force
Moreover, this campaign is being led by the California Asian & Pacific Islander Legislative Caucus, the California Latino Legislative and Caucus, California Legislative Black Caucus. In addition, to the California Legislative LGBT Caucus, California Legislative Jewish Caucus and the California Legislative Women’s Caucus.
Including Apple and Facebook are among the 600-plus companies that received letters from the diversity caucuses. They are some of California’s wealthiest companies, including Apple and Facebook.
Assembly Bill 979
Assembly Bill 979 is one law signing by Governor Gavin Newsom last year. It does comp corporations to, in fact, appoint more under-represented directors to California boards. Moreover, that law defines an under-represented director as someone who self-identifies as Black, Latino, Asian, Pacific Islander, Native American, Native Hawaiian, Alaska Native, or LGBTQ.
Senate Bill 826
The Senate Bill 826 mirrors a previous law. It requires the board appointments of women, which was signed by Governor Jerry Brown in 2018.
Hefty Fines are the Price for Non-Compliance
In fact, the companies that do not comply with that law can face huge fines of $100,000 to $300,000 from the Secretary of State.