Apple shareholders will vote Feb. 23 on proposals from CalPERS calling for a majority vote to elect unopposed directors and from the Central Laborers' Pension Fund calling for the company to identify candidates for CEO.
“Apple's current plurality vote rule gives no voice to shareowners who oppose a candidate, since directors can be elected by a single "for' vote,” according to a statement from CalPERS, which has $228.5 billion in assets. The CalPERS proposal “urges company adoption of a majority-vote threshold where there is only one candidate for a board seat and the resignation of any candidate or incumbent who fails to win an affirmative vote of most shares represented.”
A majority-vote endorsement by shareholders would provide better accountability to shareholders, the statement said.
The $814.5 million Central Laborers' fund called for Apple to “disclose a written and detailed succession planning policy,” to eventually replace current CEO Steven P. Jobs and subsequent CEOs, including identifying internal candidates. The proposal doesn't mention Mr. Jobs.
Apple, in a separate statement, urged shareholders to vote against both proposals.