The California Public Employees’ Retirement System (CalPERS), the largest U.S. pension fund, is weighing a policy to urge companies in which it invests to disclose sexual-harassment settlements, Bloomberg News reported. The pension system, which has about $350 billion in assets, would add the language to its corporate-governance policy amid growing fallout from the #MeToo movement, which has led to the ouster of executives who engaged in sexual misconduct and reached secret settlements in entertainment, travel and the news media among other industries. “CalPERS supports settlements, including sexual harassment, involving an executive or member of the board to be disclosed,” according to the proposed language posted this week on its website. The proposal calls for corporate directors to ensure that all settlements are disclosed to boards and that material settlements are publicly disclosed, including those involving harassment. The state pension system owned about $32.9 million of Wynn Resorts Ltd. shares, which tumbled in January after the Wall Street Journal reported founder Steve Wynn allegedly harassed numerous women and paid a $7.5 million settlement to one of them. Movie producer Harvey Weinstein’s company filed for bankruptcy protection after accusations against him surfaced. Read more.
Don't miss the "Restructuring a Firm After Discrimination or Sexual Harassment Claims" panel at #ABISpringMeeting! Hon. Judith K. Fitzgerald (ret.) of Tucker Arensberg provides a preview. Click here to register.
