FOR IMMEDIATE RELEASE: November 19, 2025
CONTACT: Jarice Thompson, jarice@ourfinancialsecurity.org
Statement in Response to the SEC’s Announcement on the Shareholder Proposal Process
The following is a statement from Natalia Renta, Americans for Financial Reform Education Fund Associate Director for Corporate Governance & Power on the SEC proxy season statement:
“The SEC’s statement is the latest in a series of reckless policy changes championed by Chairman Atkins to disempower regular shareholders and investors and empower corporate insiders. Just 60 days ago, the SEC reversed its longstanding policy on forced arbitration and is now allowing company requests to force all shareholder cases into individual arbitration, eliminating people’s rights when their investments have been erased because of corporate misconduct, malfeasance, or fraud.
“This no-action statement effectively gives corporations a blank check to unilaterally exclude shareholder proposals and disempower regular shareholders trying to hold corporate directors and senior executives accountable, including on important issues related to unsound governance practices, executive compensation, climate change, union busting, racial discrimination, worker health and safety issues, lobbying activities, and more that affect corporate performance and shareholder returns. Shareholder proposals, along with securities cases brought by investors, are one of the only mechanisms for investors to influence the actions of public companies and promote good corporate governance.
“These policies—from forced arbitration clauses to attempts to eliminate shareholder proposals — sharply limit investors’ rights, and they are being pushed forward without investor input.”
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