While JPMorgan CEO Jamie Dimon underscores the need for transparency and a commitment to racial justice in an annual shareholder letter, the board on which the chairman seems to have quickly overturned reverse route a few hours later.
April 8, 2021
2 minutes of reading
JP Morgan CEO of Chase & Co. Jamie Dimon and his board appeared on two separate pages on Wednesday, when the CEO told shareholders there was a need for more transparency at the company, MarketWatch report.
In an annual letter to shareholders, Dimon intentionally addresses the issues of racism and inequality while emphasizing a clear and definite approach to bank transactions.
“Unlike many companies that will simply sell you a product if you can pay for it, banks have to turn down the customer or enforce rules that customers might not like. (eg covenant), “he wrote. “This makes public and transparent transactions even more important.”
Hours later, the bank issued an authorization including a shareholder resolution to address the racial inequality at the bank through an audit. Citing its previous $ 30 billion pledge over five years to “close the racial divide, support employees and break down barriers of systemic racism,” said the board. Dimon’s value curiously urged shareholders to vote no MarketWatch. Board of Directors also argued that they had “extensive engagement with stakeholders affected by our operations” and had plans to diversify their staff. The bank had previously said they would bring 300 Black and Latinx advisors by 2025.
This effort comes after the CtW Investment Group called out JPMorgan’s “history of contradictions” regarding the settlement of the racial inequality issue, MarketWatch shown. Although Dimon was found walking into a Chase branch last year and kneeling in solidarity with the Black Lives Matter, his bank has also been caught up in a number of controversies, including public accusations lawsuits. Companies discriminate against Black and Hispanic employees.
Last year, the bank agreed to pay $ 9.8 million to address allegations of gender discrimination. A report by the US Department of Labor’s Office of Federal Contract Compliance Programs found that JPMorgan paid at least 93 female employees significantly lower than their male counterparts.