Bloomberg — Procter & Gamble Co. (PG) agreed to release data on recruitment and retention rates by race and gender by the end of 2024, a shareholder advocacy group said.
The maker of Gillette razors and Downy fabric softener agreed to disclose the data after a campaign from the nonprofit As You Sow, which promotes environmental and social issues at large, public companies. P&G, which confirmed the deal, joins companies such as Nike Inc. that have agreed to share data on efforts to hire and promote under-represented groups.
Under the agreement, P&G will issue global data for its workforce on gender and US data on race or ethnicity, according to As You Sow. In response, the nonprofit withdrew a proxy proposal that would have put the question to a shareholder vote, according to a separate statement.
Companies are coming under greater pressure from shareholders to disclose more information on the diversity of their workforce. As You Sow had accused Cincinnati-based P&G of lagging peers in sharing inclusion data. Between August 2020 and March 2022, the number of S&P 100 companies releasing or promising to issue hiring data by gender doubled, according to the group.
The agreement will give outsiders a deeper look at diversity at P&G, which already shares the data it submits to the US Equal Employment Opportunity Commission on the gender and racial breakdown of workers across job classifications. Such disclosure was rare as recently as 2020.
In 2021, women held 40% of executive leadership roles at P&G, while people of African descent made up 9% and Latinos held 10% of such roles, the company said. Like at most US companies, those percentages still lag the share of the under-represented groups in the broader workforce and population.
In 2020, As You Sow was unable to reach an agreement with the Pampers owner on a proposal for greater disclosure on how it assesses diversity and inclusion. The resolution garnered support from 37% of shareholders. BlackRock Inc. has found companies are more likely to engage with activists once a vote exceeds 30% support.
As You Sow says it has filed 26 shareholder resolutions related to racial justice and workplace equity over the past 12 months, with about 88% leading to improved practices. The group has withdrawn resolutions at companies such as Dollar General Corp., Entergy Corp., NiSource Inc. and Uber Technologies Inc. after the companies agreed to the terms.
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