Shareholder Meeting Season 2025: Memo Highlights Key Votes and Trends

Climate change and biodiversity are crucial issues that are at the forefront of many shareholders’ minds during the annual shareholder meeting season. These meetings provide investors with the opportunity to vote on various resolutions addressing climate, greenhouse gas emissions, biodiversity loss, deforestation, Indigenous rights, political spending, and lobbying, among other critical topics.

The Sierra Club compiles a list of key votes to watch during these meetings, focusing on resolutions related to climate change, biodiversity loss, and voting against directors who do not align with shareholder expectations regarding climate change. The current trends in the 2025 shareholder meeting season include regulatory uncertainty, fewer proposals reaching a vote due to guidance changes from the Securities and Exchange Commission, requests for companies to report on climate transition plans and targets, questions regarding US banks’ policies protecting Indigenous rights, and ongoing calls for corporate boards to be accountable for mitigating climate risks.

Directors play a significant role in shaping a company’s direction, particularly in managing and mitigating climate risks. Shareholders have increasingly used board votes as a corporate governance tool, especially in sectors with significant carbon footprints. Some major industries facing “vote no” recommendations this year include electric utilities, US banks, oil and gas companies, and insurance companies for their failure to adopt emissions reduction targets, energy policies, or net-zero emission commitments.

As investors seek relevant information to understand how companies are addressing climate risks, climate-related resolutions and disclosures become essential. These actions can provide investors with vital insights into a company’s preparedness for climate change. Resolutions calling for climate transition plans, greenhouse gas emissions reduction targets, climate disclosures, and the ratio of financing clean energy projects are among those that investors are encouraged to vote in favor of.

Aside from climate-related resolutions, shareholders are also encouraged to vote for resolutions related to biodiversity, deforestation, Indigenous rights, just transition plans, and political expenditures. Biodiversity loss, ecosystem degradation, human rights, and political lobbying are crucial areas where companies need to disclose their policies and practices to provide investors with a comprehensive view of the risks associated with their operations.

The shareholder meeting season serves as a vital opportunity for investors to voice their concerns, hold companies accountable, and steer them towards sustainable practices in line with global climate goals. By actively participating in these meetings, investors can play a crucial role in shaping how companies address climate change, biodiversity loss, Indigenous rights, and other critical issues affecting our planet’s sustainability.