Simply Hours After JPMorgan’s CEO Known as for Extra Transparency, the Financial institution Requested Shareholders to Vote Towards It

Although JPMorgan CEO Jamie Dimon emphasised the necessity for transparency and a dedication to racial fairness in an annual shareholders letter, the board he chairs appeared to shortly reverse course hours later.

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JPMorgan Chase & Co.’s CEO Jamie Dimon and his board seemed to be on two completely different pages on Wednesday, when the CEO informed shareholders that there wanted to be extra transparency on the firm, MarketWatch stories

In an annual letter to the shareholders, Dimon purportedly touched on problems with racism and inequality whereas stressing a transparent and outlined method within the financial institution’s dealings. 

Associated: JPMorgan Chase CEO Jamie Dimon Has A Warning For The U.S.

“In contrast to many corporations that may merely promote you a product in case you pays for it, banks should essentially flip prospects down or implement guidelines {that a} buyer might not like (for instance, covenants),” he wrote. “This makes open and clear dealings much more necessary.”

Hours later, the financial institution launched a proxy that included a shareholder decision to handle racial inequity on the financial institution by way of an audit. Citing its earlier $30 billion dedication over 5 years to “shut the racial wealth divide, help workers and break down limitations of systemic racism,” Dimon’s board curiously urged shareholders to vote no, in response to MarketWatch. The board additionally argued that it had already had “intensive engagement with stakeholders who’re impacted by our actions” and plans to diversify its workers. The financial institution beforehand stated that it could carry on 300 Black and Latinx advisors by 2025

The trouble got here after CtW Funding Group referred to as out JPMorgan’s “conflicted historical past” with regard to tackling racial injustice, MarketWatch factors out. Although Dimon was noticed final 12 months strolling right into a Chase department and kneeling in solidarity with Black Lives Matter, his financial institution has additionally been ensnared in a number of controversies, together with lawsuits accusing the corporate of discriminating towards Black and Hispanic workers. 

Final 12 months, the financial institution agreed to pay $9.8 million to resolve gender discrimination allegations. A report by the U.S. Division of Labor’s Workplace of Federal Contract Compliance Packages discovered that JPMorgan had paid at the very least 93 feminine workers considerably lower than their male counterparts. 

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