At Microsoft’s annual shareholder meeting, two human rights proposals garnered significant support, surpassing all other outside proposals. This comes as the company faces increased scrutiny over its business dealings in regions with geopolitical tensions, particularly following criticism and protests regarding the use of Microsoft technology by the Israeli military.
The voting results for the shareholder proposals were disclosed in a recent regulatory filing. Among the six outside proposals considered at the meeting, two stood out for receiving substantial backing:
- Proposal 8, which focused on Microsoft’s data center expansion in nations with questionable human rights records, received over 27% support. The proposal urged the company to assess the potential risks of its technology being used for state surveillance or repression.
- Proposal 9, seeking an evaluation of Microsoft’s human rights due diligence efforts, garnered more than 26% of votes. It called for an assessment of the company’s processes to prevent customer misuse of AI and cloud products in violation of human rights or international humanitarian law.
Proposal 9, in particular, had the backing of proxy advisor Institutional Shareholder Services, despite opposition from Glass Lewis. The proposal attracted attention from various stakeholders, with contrasting views on its implications.
In response to growing concerns, Microsoft took action in September by restricting an Israeli military intelligence unit’s access to certain Azure services following reports of surveillance activities on Palestinian civilians.
While Microsoft’s board recommended voting against all external proposals, the results of the shareholder meeting reflect a range of perspectives on the company’s human rights and ethical practices. The varying levels of support for each proposal indicate a diverse set of concerns among shareholders.
For more details on the shareholder proposals and Microsoft’s response, refer to the company’s proxy statement and additional coverage on the topic.
