ABBVIE INC. | Political Contributions Misalignment

Status
38.80% votes in favour
AGM date
Previous AGM date
Proposal number
8
Resolution details
Company ticker
ABBV
Lead filer
As You Sow
Resolution ask
Report on or disclose
ESG theme
  • Social
ESG sub-theme
  • Corporate purpose
  • Lobbying / political engagement
  • Public health
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Health Care
Company HQ country
United States
Resolved clause
Shareholders request that AbbVie annually analyze and report, at reasonable expense, the
congruence of its political, lobbying, and electioneering expenditures during the preceding year against its
publicly stated company values and policies, listing and explaining instances of incongruent expenditures,
and stating whether the identified incongruencies have or will lead to a change in future expenditures or
contributions
Whereas clause
The political expenditures of AbbVie Inc. appear to be misaligned with the company’s publicly stated values and vision across a number of issue areas. AbbVie states that it believes climate change impacts human health, and has committed to joining the Science
Based Targets initiative, which supports limiting global temperature rise to no more than 1.5°C in line with the
Paris Climate Agreement. Yet AbbVie is a member of the U.S. Chamber of Commerce, which has consistently
lobbied to roll back U.S. climate regulation and promoted regulations that would slow the transition towards a low
carbon energy mix.
AbbVie has stated We are committed to equity, equality, diversity and inclusion (EED&I). It’s fundamental to who
we are and it’s just how we ‘do good business.’ AbbVie has also written EED&I is good for our people and patients,
and also for our business—strengthening performance, helping us innovate and understand our customers,
and retaining the best talent. However, AbbVie also supported multiple trade associations that have supported
and promoted voter suppression laws. Further, in the 2016 - 2020 election cycles, AbbVie and its employee PACs
donated at least $1,068,050 to politicians and political organizations working to weaken women’s access to
reproductive health care.
AbbVie has stated that [W]e believe patients need access to quality and affordable medicines. Improving health
outcomes for patients around the world is one of AbbVie’s corporate responsibility commitments and is integral
to our core business strategy. However, AbbVie contributes to (PhRMA), which supports numerous organizations
opposing efforts to reform drug pricing.
To minimize possible missteps and risk to the firm’s reputation and brand, AbbVie should establish clear policies
and reporting on corporate electioneering and political spending that contrast with its stated healthcare, social
and environmental objectives.
Supporting statement
Proponents recommend, at management discretion, that the report also contain an analysis of risks to our company’s brand, reputation, or shareholder value of expenditures in conflict with publicly stated company values. Expenditures for electioneering communications means spending, from the corporate treasury and from its PACs, during the year, directly or through third parties, in printed, internet, or broadcast communications, which are reasonably susceptible to interpretation as being in support of or in opposition to a specific candidate.

How other organisations have declared their voting intentions

Organisation name Declared voting intentions Rationale
LocalTapiola Asset Management Ltd For A vote FOR this resolution is warranted, as more comprehensive information comparing the company’s public policy statements and its political contributions and lobbying efforts would benefit shareholders in assessing its management of related risks.
EFG Asset Management For A vote FOR this resolution is warranted, as more comprehensive information comparing the company s public policy statements and its political contributions and lobbying efforts would benefit shareholders in assessing its management of related risks.
Anima Sgr For

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