- Comptroller issues call after strong shareholder support for city’s measure -

View Report

New York City Comptroller William C. Thompson, Jr. today called on HCC Insurance Holdings to heed the wishes of its shareholders and the New York City Pension Funds and ban discrimination based on sexual orientation and gender identity.

“I am heartened that shareholders support measures that ensure that all workers must be treated equally and without bias,” Thompson said. “The New York City Pension Funds and I believe that bias and discrimination should not be tolerated in the workplace.”

The New York City Pension Funds earlier this year filed a proposal with HCC Insurance asking it to prohibit discrimination based on sexual orientation and gender identity in the implementation of its equal employment opportunity policies.

Although shareholders cast their votes on May 10, HCC didn’t disclose until last week that shareholders supported the measure by a 52.2 percent of shares voted for and against the proposal. HCC disclosed that 43,491,825 shares were cast in favor, while 39,775,764 were cast against.

However, HCC has not stated publicly whether it would adopt the changes.

The Pension Funds hold 1,079,532 shares of HCC Insurance valued at $33,098,451. The Funds are the New York City Employees’ Retirement System (NYCERS), New York City Police Department Pension Fund, New York City Fire Department Pension Fund, New York City Teachers' Retirement System, (TRS) and New York City Board of Education Retirement System

Over the last few years, the Comptroller and Pension Funds successfully have urged 42 of America’s largest companies to prohibit discrimination based on sexual orientation and gender identity and expression.

This season, six other companies have agreed to amend policies, most electing to make the changes before shareholders cast their votes. The companies that agreed to revise their policies are: Advance Auto Parts of Roanoke, VA, Wesco International of Pittsburgh, PA, First Horizon Financial Corporation of Memphis, TN, Cleveland-Cliffs, Inc. of Cleveland, OH, Robert Half International of Menlo Park, CA, and Micron Technology of Boise, Idaho.

In April, Thompson took Micron Technology to task after the company ignored substantial shareholder support for the discrimination ban. According to Micron, 55.5% of shares cast supported the City’s proposal. This is the first time that a majority of shareholders at any U.S. company voted to ban discrimination based on sexual orientation and gender identity.

But Micron initially indicated it would not revise its policies. After further conversations with Thompson and the Pension Funds, Micron reversed its decision and has since adopted the changes.

“It is truly astounding that in this day and age a company would not take steps to protect all of its employees from abuse and discrimination,” Thompson said. “Strong anti-discrimination policies are not simply an expression of proper social policy; they make sound business sense.”

This past shareholder season, Thompson also submitted a similar resolution on behalf of the Pension Funds (the time it has been filed) with the ExxonMobil Corporation of Irving, TX. About 37.7 percent of votes cast at ExxonMobil’s annual meeting were in support of the measure, a greater percentage than in all previous votes.

The Comptroller’s Office is awaiting the results of votes taken on similar resolutions at Timken Company of Canton, OH, and World Fuel Services of Miami, FL. Resolutions also are slated to be put to a vote at Worthington Industries of Columbus, Ohio, and Family Dollar Stores of Charlotte, NC.

In addition to Thompson, the trustees for the Pension Funds are:

NYCERS: New York City Finance Commissioner Martha E. Stark (Chair); New York City Public Advocate Betsy Gotbaum; Borough Presidents Scott Stringer (Manhattan), Helen Marshall (Queens), Marty Markowitz (Brooklyn), Adolfo Carrion (Bronx), and James Molinaro (Staten Island); Lillian Roberts, Executive Director, District Council 37, AFSCME; Roger Toussaint, President Transport Workers Union Local 100; and, Gregory Floyd, President, International Brotherhood of Teamsters, Local 237.

TRS: New York City Finance Commissioner Martha E. Stark (Chair); Deputy Chancellor Kathleen Grimm, New York City Department of Education; and, Sandra March, Melvyn Aaronson and Mona Romain, all of the United Federation of Teachers.

Fire Department Pension Fund: Mayor Michael Bloomberg; New York City Fire Commissioner Nicholas Scoppetta (Chair); New York City Finance Commissioner Martha E. Stark; Stephen Cassidy, President, James Slevin, Vice President, Robert Straub, Treasurer, and John Kelly, Brooklyn Representative and Chair, Uniformed Firefighters Association of Greater New York; Peter Gorman, President and Captains’ Rep., Nicholas J. Visconti, Chiefs’ Rep., and Stephen J. Carbone, Lieutenants’ Rep., Uniformed Fire Officers Association; and, Joseph Gagliardi, Marine Engineers Assoc.

Police Pension Fund: Mayor Michael Bloomberg; New York City Finance Commissioner Martha E. Stark; New York City Police Commissioner Raymond Kelly (Chair); Patrick Lynch, Patrolmen’s Benevolent Association; Michael Palladino, Detectives Endowment Association; Edwin D. Mullins, Sergeants Benevolent Association; Anthony Garvey, Lieutenants Benevolent Association; and, John Driscoll, Captains Endowment Assoc.

BERS: mayoral appointees Schools Chancellor Joel Klein, Alan Aviles, Philip Berry, David Chang, Tino Hernandez, Edison O. Jackson, Richard Menschel and Marita Regan; Luis Peguero, Patrick Sullivan (Manhattan), Michael Flowers (Queens), and Joan Correale (Staten Island); and employee members Thomas J. Malanga of the International Union of Operating Engineers, Local 891, and Milagros Rodriguez of District Council 37, Local 372.

###