My name is Alexa Kaczmarski, presenting Proposal 4 – Shareholder Right to Act by
Written Consent on behalf of John Chevedden of California.
Shareholders request that the board of directors take necessary steps to permit
written consent by the shareholders entitled to cast the minimum number of
votes that would be necessary to authorize an action at a meeting.
This proposal topic won majority shareholder support at 13 major companies in a
single year. Hundreds of major companies enable shareholder action by written
consent.
We need this to make up for the weakness in our shareholder right to call a
special meeting. The current 25% stock ownership requirement to call a special
meeting can mean that more than 50% of shareholders need to be contacted in a
narrow window of time to exercise this important right. This is almost impossible
to accomplish without an enormous budget from the pockets of shareholders. Taking action by written consent in place of a meeting is a means shareholders can use to raise important matters outside the normal annual meeting cycle. When shareholders have the right to act by written consent, management is more apt to recognize their concerns and take corresponding action.
There are problems at McDonald’s that may indicate deeper needs for change.
For instance McDonald’s is losing relationships with key institutions and
customers. In the last year, the International Olympic Committee cut ties with
McDonald’s, and the Los Angeles Unified School District and the California
Federation of Teachers demand an end to McTeachers Nights. Guest counts were
down as of the corporation’s last earnings call. And just two days ago, 10 workers
filed sexual harassment claims against the corporation.
It is tone deaf and wrong for the corporation to try to avoid accountability on
these and other issues. But instead of addressing concerns from its shareholders and the public directly, McDonald’s continues to sweep these issues under the rug. Please vote yes: Shareholder Right to Act by Written Consent – Proposal 4.
