Just Transition to Clean Energy: A Virtual Conference

Seventh Generation’s 2020 Conference will look a little different than years past. 

Rather than a member meeting of networking, a panel of speakers on stage, and members, colleagues, educators, investors, advisors, and friends, we’re preparing for a virtual panel discussion, donning the style of a “Brady Bunch” title screen we all have been experiencing these past few months. 

The year, 2020, marks 50 years since the first Earth Day, and we are grappling with the effects of the climate crisis. At present, and in years past, SGI members urge utilities, among other companies, to publish decarbonization plans that meet Science-Based Targets (SBT) aiming to limit global warming to 1.5 degrees celsius. Without corporate action, this is seemingly impossible. Moving towards a low-carbon economy presents new challenges on technology and the workforce.  

This year’s annual conference: Just Transition to Clean Energy will take place virtually on October 12th, 2020. 

Joining us to take on the questions of “what is a Just Transition?,” and “what does it mean for energy providers, employees, consumers, and investors?,” are:

These expert panelists will bring a unique set of experiences and remarks, challenging each other, and us, on the path to achieving a Just Transition. A social issue as much as a technology, climate’s intersection with human work becomes more apparent in the energy sector as the push towards electrification grows. We are lucky to have this great panel lined up for this event, and we look forward to learning all we can from them! 

It would be hard to hold this conference and not mention the impacts of COVID-19 on all those affected. While we hope our virtual conference allows for the inclusion of those previously unable to attend, we hope all are staying safe and healthy amid this pandemic.

If you are interested in attending, and haven’t previously registered, please do so here.

The webinar link and information will be sent out via Eventbrite prior to the conference date. 

Sr. Ruth Geraets, PBVM to receive SGI’s 2020 Fr. Mike Crosby Award

Sr. Ruth Geraets, P.B.V.M.

The Board of Seventh Generation Interfaith coalition is pleased to announce that Sister Ruth Geraets of the Sisters of the Presentation of the Blessed Virgin Mary of Aberdeen, SD has been selected to receive the 2020 Fr. Mike Crosby Award. The award will be presented at the SGI member meeting on October 12. The Fr. Mike Crosby Award recognizes a person who has promoted a more just and sustainable world and exemplifies the passion and commitment of our founder, Michael Crosby, O.F.M., Cap.

“We are so happy to honor my dear friend Sister Ruth”, said SGI Board Chair Dan Tretow. “She worked closely with the SGI staff and other members in engaging several companies to operate more just and sustainably.”

“Ruth’s dedication to those most vulnerable guides her shareholder advocacy”, added Frank Sherman, SGI Executive Director. “At the same time, her cheerful and gracious attitude creates common ground with corporate management. This is why Sister Ruth has been so effective in her work with companies. Father Mike would be very pleased with this well-deserved recognition.”

Sister Ruth entered the Presentation Convent in August 1961. She earned a Bachelor Degree in Elementary Education and Mathematics at Northern State University and went on to obtain a Masters of Arts Degree in Pastoral Studies from the University of St. Thomas, St. Paul, MN. For 21 years, Sister Ruth taught in Catholic Schools in MN and SD. Her ministry then led her to McDowell County, WV, where she worked with Catholic Community Services serving with those made poor as coal companies were leaving the area. Her compassionate heart led her back to South Dakota where she directed shelters for abused and neglected women and children on the Cheyenne River Reservation. She was Coordinator of Formation and Director of Novices 1999-2011. In January 2008, she was appointed Congregational Treasurer, a position she still holds today.

Sister Ruth became involved with SGI in 2008, serving on the Board for the past 6 years. Her Presentation Congregation has a particular interest in Care of the Earth and the Rights of Women and Children.

Please join us in congratulating Sister Ruth.

Webinar: Positive Screens: Going Beyond the Negative

On Friday, August 21st, SGI’s quarterly webinar addressed adopting positive portfolio screens. Many portfolios rely simply upon negative screens, the exclusion of certain companies from investment consideration based on social or environmental criteria. A negative screen, for instance, can preclude investing in tobacco, gambling, alcohol or weapons manufacturing. John Mueller of Dana Investment Advisors and Ariane de Vienne of Institutional Shareholder Services (ISS) discuss how one might view and implement positive selection criteria from the perspective of the asset manager and the asset owner. Again, we are very grateful for the presence of John and Ariane in this webinar, for their commitment to this work, and their generosity in sharing their wisdom and experience with us. As always, we welcome your feedback via a confidential evaluation found here. Slides are available here.

Chevron Investors Call for Climate Disclosure

This is the first of a series on the 2020 shareholder meetings

Chevron Corp.’s busy annual shareholder meeting this year featured seven shareholder proposals, on topics ranging from lobbying, climate, and human rights. Cindy Bohlen of Riverwater Investments and Mary Minette of Mercy Investment Services co-filed the human rights proposal led by Sister Nora Nash, OSF, asking the company to provide a report on Chevron’s effectiveness to prevent, mitigate, and remedy human rights impacts of its operations. We were pleased to have received a vote of 17% for a first-year proposal. Other proposals were presented to the company during the AGM by notable figures: Alec Baldwin, Roger Waters, and Jody Williams, which focused on governance issues, and pointed to Chevron’s 50-year involvement (through its acquisition of Texaco) in toxic pollution in Ecuador. 

Another resolution focusing on climate lobbying garnered a 53%, majority vote. The proposal asked the Company for a report explaining how it ensures its lobbying activities are aligned with the Paris climate accord and the goal of limiting global warming. This majority vote agrees with the investor push for companies to be more transparent about their lobbying activities, especially through their membership in trade associations. 

Recent news highlights why this resolution, and this vote, are critical for the Company. Amid the Black Lives Matter protests, news reports tie Chevron to a public affairs firm urging journalists to examine how green groups were claiming solidarity with black protesters while backing policies which would “hurt” minority communities. Naomi Oreskes, a Harvard University history professor and the co-author of “Merchants of Doubt” said that it is “remarkable that the Company tried to leverage national unrest about systemic racism and police violence to promote an expansion of oil and gas drilling.” While Chevron has denied the claims of being a part of this campaign, it raises the question of Chevron’s public statements supporting the Paris Agreement, while its lobbying activities send the opposite message. 

Additionally, the District of Columbia filed a lawsuit against Chevron and other oil and gas companies  for “systematically and intentionally misleading” consumers about the role their products play in causing climate change.” This lawsuit is of another way, of many, of which stakeholders are trying to hold the company accountable for its actions. 
SGI members are calling on Chevron and other corporations to respect human rights. As a member of the Business Roundtable, Chevron signed on to the new statement of purpose for corporations to serve all stakeholders. It’s time for Chevron to live up to their rhetoric!

2020 Trafficking in Persons Report

The U.S. State Department today (June 25th) released the latest edition of the Trafficking in Persons Report (TIP Report). (We wrote about the 2019 edition here and 2018 here.)

We are particularly pleased that the 2020 edition recognizes the efforts of ICCR:

The Interfaith Center on Corporate Responsibility (ICCR)
based in the United States uses a multi-faith approach from a
different angle. A coalition of more than 300 global institutional
investors with more than $500 billion in managed assets, it
uses the power of shareholder advocacy to engage companies
to identify, mitigate, and address social and environmental
risks associated with corporate operations, including human
trafficking. ICCR members call on companies they hold to
adopt policies banning human trafficking as a key part of
their core business polices, and to train their personnel and
suppliers to safeguard against these risks throughout their
supply chains. ICCR’s Statement of Principles & Recommended
Practices for Confronting Human Trafficking & Modern Slavery
provides guidance to companies to protect their supply chains
from sex and labor trafficking.

2020 Trafficking in Persons Report (p. 25)

SGI members prioritize this work, and this recognition from the State Department’s Office to Monitor and Combat Trafficking in Persons confirms the efficacy of our efforts with corporations.

David Schilling, ICCR’s senior program director for human rights, said, “Whether it is workers trafficked into forced labor in a factory in Bangladesh or on a plantation in Indonesia; whether it is women trafficked for sex in the US or children exploited on-line, the Interfaith Center on Corporate Responsibility’s members utilize their role as shareholders in a range of companies to promote policies and practices to end modern slavery. The framework we use is the UN Guiding Principles on Business and Human Rights which defines what it means for a company to respect human rights, especially for persons made vulnerable by economic systems that marginalize and exploit.”

Pat Zerega, of Mercy Investment Services and chair of the Human Trafficking- Worker Rights leadership team, said:

For several decades, ICCR has been a leader on supply chain issues, and advocacy work on trafficking brought a new aspect to corporate dialogues. Mercy Investment Services’ involvement since the start of this effort includes working domestically with the travel, transportation and tourism industries around corporations training staff to spot trafficking. Resources such as the Celebration without Exploitation toolkit provided the groundwork for investors.

ICCR expanded its focus to labor trafficking, including the development of a Principles for Confronting Human Trafficking and investor tools for issues of ethical recruitment and, more recently, the Investor Alliance for Human Rights resources. These tools enhance the ability of all shareholders to understand the issues and address corporations.

Ranking governments based on their perceived efforts to acknowledge and combat human trafficking, each year’s TIP report includes tiers of troubled countries. The report assigns countries into three tiers. Tier 1 consists of “countries whose governments fully meet the Trafficking Victims Protection Act’s (TVPA) minimum standards.” Below Tier 1, Tier 2 contains countries that may not meet the TPVA standards, “but are making significant efforts to bring themselves into compliance with those standards.” A “Tier 2 Watch List” consists of countries that are similar to Tier 2, but have other issues, such as an increasing number of trafficking cases or a lack of improvement on previously-implemented anti-trafficking efforts. Tier 3 countries are those “whose governments do not fully meet the minimum standards and are not making significant efforts to do so.”

The 2020 report underscores longstanding concern about China, especially in the Xinjiang Uighur Autonomous Region. The report also identified U.S. agricultural workers as particularly vulnerable. As well, the report acknowledges that its compilation was hindered by COVID-19, even as COVID-19 makes more people vulnerable to trafficking. A recent webinar put it well: “In many places, human traffickers, sadly, are the first responders to the pandemic.” While grateful for the recognition from the State Department, no doubt, we ICCR members must renew and redouble our efforts.

SGI Statement of Solidarity

Milwaukee, WI, June 1, 2020: Members of Seventh Generation Interfaith Coalition for Responsible Investment are traumatized and outraged by recent incidents of police brutality in our neighborhoods and cities that manifests individual and institutional racism. We mourn the recent police killings of George Floyd and Breonna Taylor and the murder of Ahmaud Arbery, and stand in solidarity with the victims of systemic racial injustice in the United States. While recent events disclose injustice in law enforcement and our criminal justice system, we recognize that institutional racism exists as well in our corporations, our economy and throughout our society.

We lament that years of protests, demonstrations, and marches have failed to bring an end to the suffering, the dehumanization, the oppression, and the loss of so many precious lives. So many people of color who historically have been disenfranchised continue to experience economic inequities, sadness and pain; a pattern seen as well in the path of the COVID-19 pandemic, disproportionately affecting people of color in the number of cases and fatalities.

We recognize our obligation to work as institutional investors, as citizens, and, most importantly, as people of faith to address and change unjust and immoral cultural patterns and social systems. We commit ourselves to listening to the stories of those subjected to institutionalized racism to more authentically accompany them. Through the lens of faith, we will reform our investment practices and challenge companies to increase diversity and address their negative impacts on people of color. We recommit to building a more just and sustainable world for our brothers and sisters who are most vulnerable.

Earth Day

While the term “climate change” had not been invoked by April 22, 1970, awareness of human involvement changing Earth induced a fear mixed with hope. Scientists could not see the future of our planet, and newspaper headlines at the time captured concern for the environment and for peace as protests surrounding the Vietnam War were met with groups putting cars on trial

And as most of the United States currently sits in the unknown because of the COVID-19, the Earth keeps turning. 

But with EPA rollbacks during a global pandemic, the US withdrawing from the ever-important Paris Agreement, and the impacts of the BP oil spill still being felt ten years later, it can be difficult to find those positives. But they do exist.

Many improvements have been made since that first Earth Day, now 50 years ago. The current National Geographic depicts how life expectancy has increased along with food production, more people have access to clean water and electricity, and pollution levels (overall) have fallen. Even during this crisis, we see renewable energy, like solar and wind, growing in capacity.

Coupled with this uncertainty of the environment, for me comes a feeling of nostalgia: remembering the saplings handed out to us in elementary school, thinking about the recycling program my grandmother started in her town, visualizing the passion Denis Hayes had in organizing the first Earth Day. These individual acts, small notions, and world movements all exude a hope of possibility of positive change. From a young age, environmental activists like Severn Suzuki, Greta Thurnberrg, and Delaney Reynolds witness to a heartfelt passion as vibrant as Hayes’. Students are urging their universities to divest from fossil fuels. Community gardens push back against the concrete that dominates our cities.  

On the first Earth Day, 50 years ago, New York City’s Mayor Lindsay put it simply; “Beyond words like ecology, environment, and pollution there is a simple question: Do we want to live or die?”

Webinar: Human Rights Due Diligence

On Friday, April 17th, SGI’s quarterly webinar addressed due diligence in human rights required of companies. The traditional audit and codes of conduct, while necessary, are no longer sufficient. We were fortunate that ICCR’s Anita Dorett, Camille Le Pors, the lead for the Corporate Human Rights Benchmark, and Patricia Jurewicz of the Responsible Sourcing Network, joined us for this webinar. Again, we are very grateful for the presence of Anita, Camille, and Patricia  in this webinar, for their commitment to this work, and their generosity in sharing their wisdom and experience with us. As always, we welcome your feedback via a confidential evaluation found here. Slides are available here.

How did you respond to the Coronavirus pandemic?

By Frank Sherman

As some hard hit cities start to report a slowing of COVID-19 cases and express hope that we’ve indeed reached the much anticipated peak, our federal and state government leaders are struggling with the challenge of reopening the economy. The same debates on balancing public health and economic pain are playing out in corporate boardrooms and at small business owners’ kitchen tables. The slow response and lack of leadership at the federal level has not only shifted decision-making to states and local levels, they force the private sector to face the dilemma of when and how to bring back their employees, supply chains, and customers.

As faith communities, we recognize that the pandemic has put a spotlight on economic inequalities and a fragile social safety net leaving vulnerable communities to bear the economic brunt of the crisis (Human Rights Watch, March 19, 2020). In the U.S., four decades of income and wealth disparity was partly hidden by record low unemployment but is now exposed in unemployment insurance and food pantry lines. While many Americans were already knee-deep in debt pre-pandemic, half of households have no emergency savings at all (WSJ, April 15, 2020). Nearly 30 million children who count on schools for free or low-cost breakfast, lunch, snacks and sometimes dinner are now at home (NPR, March 20, 2020). Thankfully Congress has shifted most of the disaster relief to the workers and individuals this time rather than solely to companies as done in 2009.

As companies start to report their first-quarter financials, the message is clear: this recession is going to be bad! What will be the corporate response to these unprecedented times? The pandemic and impending recession have created an urgent opportunity for CEOs and corporate leaders to put the promise of purpose-driven leadership and stakeholder capitalism into practice (Just Capital).

I certainly noticed a change in the tone and focus of corporate communications, both internal and external. Instead of productivity and new product launches, companies are talking about employee and customer safety, corporate values, and community support. Examples such as Walmart’s enhanced paid sick leave, McDonald’s free meals for students and seniors, GM and Ford retooling auto assembly lines for ventilators (WAPO, April 4, 2020), Amazon prioritizing shipments of medical supplies and household staples (WSJ, March 17, 2020), and Thank You For Not Riding Uber (YouTube, April 8, 2020) appear to be empathetic. The public perception of whether these corporate responses are authentic or ‘COVID washing’ may depend on whether the company was purpose-driven before the crisis.

At the end of the day (…and there will be an end to this crisis), employees, consumers and society in general will ask these companies and their leaders one simple question: How did you respond to the Coronavirus pandemic? And when the corporate marketing machine restarts, let’s hope we have long memories.

Catholic Sisters Week

Building Relationship

This week, March 8th – 14th, we honor all Catholic Sisters – vowed women who care for the sick and in need; who educate and mentor children; who are concerned for the environment and all of creation; who advocate for the most vulnerable and act against injustices; who stand with those affected by poverty, homelessness, and migration; and who create peace.

Of Seventh Generation Interfaith’s 39 members, 26 are congregations of Catholic Sisters. Each congregation is unique in its’ charism and mission, working with the SGI coalition to manage the impact large corporations have on people, the environment, and society. They approach corporate engagements with a prophetic voice that comes from authentic hands-on experience with impacted communities and first hand knowledge of the environment, which enable them to build relationships with the corporate executives on a human level. 

SGI attempts to align our issue priorities with issues of importance to our members. Collectively our Sisters have engaged companies like C.H. Robinson and Yum Brands on Climate Change, Abbvie and Walt Disney on Lobbying, Kroger, Yum Brands, McDonald’s, and Costco on Deforestation, Ameren and Chevron on Water Impacts, Kohls, TJX, Kraft Heinz, Costco, Wendy’s, Amazon, Boeing, Core Civic, Geo Group, JPMC, and Wells Fargo on Human Rights, Pfizer, Eli Lilly, and Biogen on the Affordability of Medicine, and countless more. 

Not surprisingly, our Sisters are actively doing much more in their communities and throughout the world, on top of their work in challenging corporations on environmental, social, and governance issues. The School Sisters of Notre Dame are serving students who are single mothers, nuns, and senior citizens. The Sinsinawa Dominicans are working to confront attacks on the common good in Washington, DC. The Sisters of St. Agnes and other members of UNANIMA International, a U.N.-based coalition of Catholic congregations focused on concerns of women, children, migrants and the environment, brought international homelessness concerns to the forefront during the annual convening of the U.N.’s Commission for Social Development. The Sisters of the Good Shepherd recently joined the Interfaith Immigration Coalition’s (#Faith4Asylum) Nonviolence Campaign Stop the Inhumanity in support to those seeking safety in the U.S. The Ursuline Sisters continue to sponsor five academies across the country educating students rooted in the gospel call to mission lived in the spirit of St. Angela Merici.

These are but a few examples of the work our Sisters do day-to-day. We are thankful for all of the work they do and for their participation in our socially responsible investing work. To learn more about the charism and ministries of each of our members, visit their websites, linked below, and don’t forget to thank a Sister this week! 

To all of our members, thank you for your dedication to making this world a better place. 

Dominicans of Sinsinawa (Sinsinawa, WI)

Franciscan Sisters of Perpetual Adoration (LaCrosse, WI)

Little Falls Franciscans (Little Falls, MN)

Mercy Investment Services (Frontenac, MO)

School Sisters of Notre Dame, Central Pacific Province (Elm Grove, WI)

School Sisters of St. Francis, Generalate (Milwaukee, WI)

School Sisters of St. Francis, US Province (Milwaukee, WI)

Servants of Mary (Ladysmith, WI)

Sisters of Charity of the Blessed Virgin Mary (Dubuque, IA)

Sisters of the Good Shepherd Province of Mid-North America (St. Louis, MO)

Sisters of Mercy of the Holy Cross (Merrill, WI)

Sisters of the Most Precious Blood (O’Fallon, MO)

Sisters of the Presentation of the Blessed Virgin Mary (Aberdeen, SD)

Sisters of the Presentation of the Blessed Virgin Mary (Dubuque, IA)

Sisters of St. Dominic (Racine, WI)

Sisters of St. Agnes (Fond du Lac, WI)

Sisters of St. Francis (Rochester, MN)

Sisters of St. Francis of Assisi (Milwaukee, WI)

Sisters of St. Francis of Dubuque (Dubuque, IA)

Sisters of St. Francis of the Holy Cross (Green Bay, WI)

Sisters of St Joseph of Carondelet (St. Louis, MO)

Sisters of St. Joseph Congregational Center (St. Louis, MO)

Sisters of St. Joseph of Carondolet (St. Paul, MN)

Sisters of St Joseph –TOSF (Stevens Point, WI)

Sisters of the Sorrowful Mother (Oshkosh, WI)

Ursuline Sisters of the Central Province (St. Louis, MO)