Taking Our Businesses Back!

Taking Our Businesses Back!

By: 2ndVote Contributor

The extremists love their acronyms – almost militantly. And we’re not even talking about BLM here. One of the biggest pushes in industry today is for Environment, Social and Governance (ESG) controls. Typical of leftist messages, the concept of better environmental programs, social awareness, and governance clarity sounds great on the surface. But ESG is a pernicious attack on capitalism. The fox is already in the hen house. Activist investors like Black Rock place more than a trillion dollars of investment pressure to force adoption of ESG objectives. The full power of the SEC enforces compliance for publicly traded companies. A billion dollars per decade in new audit fees ensures full Big Four buy-in. Global governments devise more aggressive tax schemes, fees and regulations to punish the non-compliant. In most major corporations even the C-Suite sells out their own companies as their compensation packages lavishly reward them for achieving destructive ESG metrics. 

Great leaders have precious little time to fight back. CFOs must devote precious resources on disclosures and investor presentations to focus on shareholder returns and cash generation, but should be addressing the extensive costs to comply with non-business-driven ESG metrics. Corporations need to fight the massive spend on IT overhauls and the extra people costs used to track non-productive reporting. If industry is going to recover, we must highlight the extra ESG audit fees, and tell investors exactly what this is: an ESG tax on shareholders for leftist globalists. It’s a giant wealth transfer. CEOs and CFOs: do it now, before the standards are set and the freedom to expose this attack on capitalism is taken from you. Leaders of conservative-leaning companies must re-define ESG metrics that actually support the core operation.

Individual and institutional investors must do their part. We are hundreds of millions of dollars behind in this fight. We must invest in ESG-neutral companies and those that take the risk to manage their own operational metrics. We must actively support and encourage those who want to make fair returns for their shareholders without the waste from agenda-driven subversives.

If you think the impending fall-out is confined to big business, you could not be more wrong. The entire value chain must report on ESG. If you are an entrepreneur who sells on Amazon or makes something that Walmart sells in its stores, you must disclose what you are doing to fight climate change; how many transgender employees you employ; and a host of other garbage ESG-metrics to prove how progressive you are. No reporting or weak compliance? You can’t sell on Amazon, process payments by VISA or bank with JP Morgan/Chase. That’s how they force the ESG agenda across the economy. This is happening IN America right now. And it’s coming to your neighborhood soon.

So we must fight back. Instead of environmental alarmism and so-called carbon taxes, corporations need to build metrics around effective stewardship of the natural resources they use. Instead of Marxist emphasis on social programs that neither support the business nor basic science, corporations must invest in value-based management of their relationships with employees, suppliers, customers, and communities essential to the lasting success of the great cultures they work so hard to create. And instead of wasting time and energy on attacking the leadership of the company, corporations need to invest in the integrity and authenticity of corporate behavior regarding every level of management and operations. In short, we need to take these catch phrases back from the left and manage our own execution of the American traditions that made industry so successful. Stay tuned for how 2ndVote is driving this effort. But don’t wait to start the fight where you are.