LIU, PENSION FUNDS SUCCESSFULLY PUSH FOR EQUALITY AT TOP DEFENSE CONTRACTOR
Shareowner Initiative Caps an Active Year
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Comptroller John C. Liu and the New York City Pension Funds said today that a shareowner resolution has led KBR Inc., one of the largest contractors to the U.S. Defense Department, to adopt a policy prohibiting workplace discrimination based on sexual orientation and gender identity.
"Earlier this year the U.S. military did away with policies discriminating against members of the LGBT community and it would have been reprehensible if its major contractors didn't follow suit," Comptroller Liu said. "We commend KBR Inc. for doing the right thing to help end discrimination in its workplace."
The New York City Pension Funds' proposal received a 61.7 percent vote at KBR's May 19 annual meeting, and the company's board adopted it Nov. 29.
The case is part of efforts by the Pension Funds to push portfolio firms to improve labor practices, environmental protection, and corporate governance. Today, the Comptroller and the Funds have also released a report on this year's program, "2011 Shareowner Initiatives of the New York City Pension Funds, Fall 2011 Post Season Report." It can be downloaded at http://comptroller.nyc.gov/bureaus/bam/corporate-governance.shtm
In another notable success from the past year, the Comptroller's office negotiated improved monitoring of the global companies that supply tech-giant Microsoft with hardware components. Following consultations, Microsoft took the unprecedented first step of requiring its suppliers to produce reports documenting their compliance with international standards on human and labor rights.
In the coming year, the Funds plan to continue to proactively advance corporate governance and social and environmental responsibility reforms at select portfolio companies.
The City Comptroller serves as the investment advisor to, custodian and trustee of the New York City Pension Funds, collectively valued at $115 billion. The Funds comprise the New York City Employees' Retirement System, Teachers' Retirement System, New York City Police Pension Fund, New York City Fire Department Pension Fund, and the Board of Education Retirement System.
The New York City Pension Funds hold a combined 1,217,031 total shares in Houston-based KBR Inc. (NYSE: KBR) for an asset value of $34,600,191 as of Dec. 23, 2011.
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In addition to Comptroller Liu, the New York City Pension Funds trustees are:
New York City Employees' Retirement System: Ranji Nagaswami, Mayor's Representative (Chair); New York City Public Advocate Bill de Blasio; Borough Presidents: Scott Stringer (Manhattan), Helen Marshall (Queens), Marty Markowitz (Brooklyn), James Molinaro (Staten Island), and Ruben Diaz, Jr. (Bronx); Lillian Roberts, Executive Director, District Council 37, AFSCME; John Samuelsen, President Transport Workers Union Local 100; Gregory Floyd, President, International Brotherhood of Teamsters, Local 237.
Teachers' Retirement System: Ranji Nagaswami, Mayor's Representative; Deputy Chancellor Kathleen Grimm, New York City Department of Education; Mayoral appointee Lisete Nieves and Sandra March, Melvyn Aaronson (Chair) and Mona Romain, all of the United Federation of Teachers.
New York City Police Pension Fund: Mayor Michael Bloomberg; New York City Finance Commissioner David Frankel; New York City Police Commissioner Raymond Kelly (Chair); Patrick Lynch, Patrolmen's Benevolent Association; Michael Palladino, Detectives Endowment Association; Edward D. Mullins, Sergeants Benevolent Association; Thomas Sullivan, Lieutenants Benevolent Association; and, Roy T. Richter, Captain's Endowment Association.
New York City Fire Department Pension Fund: Mayor Michael Bloomberg; New York City Fire Commissioner Salvatore Cassano (Chair); New York City Finance Commissioner David Frankel; Stephen Cassidy, President, James Slevin, Vice President, Robert Straub, Treasurer, and John Kelly, Brooklyn Representative and Chair, Uniformed Firefighters Association of Greater New York; John Dunne, Captains' Rep.; James Lemonda, Chiefs' Rep., and James J. McGowan, Lieutenants' Rep., Uniformed Fire Officers Association; and, Sean O'Connor, Marine Engineers Association.
Board of Education Retirement System: Schools Chancellor Dennis Walcott; Mayoral: Eduardo Marti, Gitte Peng, Jeff Kay; Tino Hernandez, Judy Bergtraum, Freida Foster, Linda Laursell Bryant, and Lisette Nieves; Patrick Sullivan (Manhattan BP), Gbubemi Okotieuro (Brooklyn BP), Dmytro Fedkowskyj (Queens BP), Wilfredo Pagan (Bronx BP) and Diane Peruggia (Staten Island BP); and employee members Joseph D'Amico of the IUOE Local 891 and Milagros Rodriguez of District Council 37, Local 372.