Did your pension fund support Unite’s resolution on supply chain labour standards?
The TUC is publishing today its eighth Fund Manager Voting Survey – an annual survey that asks the largest UK fund managers how they voted at a selection of ‘controversial’ votes at company AGMs.
The survey shows that who manages your pension makes a huge difference to how your pension fund votes on a range of issues from remuneration through to chicken welfare and labour standards.
At one of the spectrum, a small group of fund managers supported between 70% and 80% of management resolutions, even in this sample of controversial votes. At the other end, a number supported less than 40%.
On directors’ pay, the issue on which investors are most likely to vote against management, a handful of fund manager nonetheless supported over 60% of the remuneration reports covered in the sample. Most supported less than a third.
One question that arises from this is how aware the clients of these fund managers (such as pension funds) are of the voting stances that are being taken on their behalf. Most survey respondents stated that client interest in voting and engagement had risen, with most agreeing that the financial crisis had played a part in this. However, they also said that to date, questions about voting and engagement had rarely been raised in interviews with potential clients.
If you want to see how your pension or insurance policy assets were voted, find out who the scheme fund manager is and have a look at the survey (pdf download), launched at the TUC’s trustee conference taking place at Congress House today.
And in answer to the question about whether your pension fund supported Unite’s resolution on labour standards in its supply chain – probably not, unless your pension fund is managed by CCLA or follows PIRC’s voting recommendations. All the other investors who responded to the TUC’s survey either voted against the resolution or abstained.