Statement on CalSTRS-backed directors joining ExxonMobil board
WEST SACRAMENTO, Calif. (May 26, 2021) – CalSTRS issued the following statement today regarding the voting results at ExxonMobil’s Annual Shareholder Meeting in which at least two directors nominated by Engine No. 1 and supported by CalSTRS from the beginning were elected by shareholders to the ExxonMobil board:
We called for change at ExxonMobil, and a record number of shareholders, including many of the largest investors in the world, voted to hold the company accountable.
This historic vote represents a tipping point for companies unprepared for the global energy transition. While the ExxonMobil board election is the first of a large U.S. company to focus on the global energy transition, it will not be the last.
Climate change is the greatest threat to our future. We believe change is necessary for companies that do not have a long-term strategy for a responsible transition to a low-carbon economy.
Shareholders must continue to hold the ExxonMobil board accountable to mitigate risk and contribute to the sustainable value of their investments.
The links between climate change, business and financial investments are undeniable, and we are taking action to prepare our investment portfolio for the global energy transition while maximizing returns for California’s educators.
CalSTRS provides a secure retirement to more than 975,000 members whose CalSTRS-covered service is not eligible for Social Security participation. In 2019–20, members retired on average after more than 24 years in the classroom with a monthly benefit of approximately $4,614. Established in 1913, CalSTRS is the largest educator-only pension fund in the world with approximately $299.8 billion in assets under management as of April 30, 2021. CalSTRS demonstrates its strong commitment to long-term corporate sustainability principles in its annual Global Reporting Initiative Sustainability Report. For more information, visit CalSTRS.com.