Washington, D.C. – National Association of Manufacturers President and CEO Jay Timmons released the following statement on the SEC’s announced guidance on proxy advisory firms:
“The SEC has heeded manufacturers’ call and has taken concrete steps that will help protect the savings of Main Street investors. For too long, investment advisers have relied on unaccountable proxy advisory firms when making decisions about Americans’ retirement investments. Proxy firms often have agendas disconnected from companies’ success or Americans’ financial security, and their reports have been found to contain errors and conflicts of interest. That’s why the NAM urged the SEC to act, and manufacturers are encouraged that the commission has heard our recommendations and is working to implement these initial reforms. We look forward to building on these first steps to achieve even more progress.”
The NAM has been a leading voice in favor of SEC action to ensure proxy advisory firms work in the best interest of manufacturers and manufacturing workers. Over the past two years, the NAM has written several comment letters to the SEC urging reforms to the proxy process, supported legislation passed by the House to increase SEC oversight of proxy advisory firms and launched a six-figure ad campaign in conjunction with the U.S. Chamber of Commerce, including the website ProxyReforms.com, to highlight the issues that companies face in their interactions with proxy firms and provide a feedback portal for businesses to share their stories.
The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.8 million men and women, contributes $2.38 trillion to the U.S. economy annually, has the largest economic multiplier of any major sector and accounts for more than three-quarters of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the Manufacturers or to follow us on Shopfloor, Twitter and Facebook, please visit www.nam.org.