What you need to know
- Apple's shareholders want to know more about the company's use of NDAs and concealment clauses.
- They have proposed a measure to be voted on at the next shareholders' meeting.
- The SEC has denied Apple's bid to stop the proposal.
The SEC has tossed out an attempt by Apple to stop a vote on a proposal from its shareholders that would see it tell investors about its use of non-disclosure agreements and concealments clauses.
A group of activists and Apple employees filed a proposed shareholder resolution in September of this year, as iMore first reported:
The proposal states:
Apple reportedly told the SEC it did not want the proposal to be voted on because "the company's policy is not to use such clauses." The SEC told Apple it had not "substantially implemented the proposal", and two leading #AppleToo whistleblowers, Ashley Gjovik and Cher Scarlett have both reportedly filed SEC whistleblower complaints with the SEC claiming Apple made false statements to the agency.
The filing group said that such clauses could be used to limit employees' ability to discuss unlawful acts in the workplace including harassment and discrimination. The group did however note that Apple was wise to use such policies to protect its intellectual property, trade secrets, and information about upcoming devices.
The proposal was sparked by the #AppleToo movement, a growing outcry from employees who claim they've been subjected to harassment, racial discrimination, and more while working at Apple.
As Reuters notes companies routinely file such requests to the SEC regarding shareholder proposals, around half of which are granted.
Stephen Warwick has written about Apple for five years at iMore and previously elsewhere. He covers all of iMore's latest breaking news regarding all of Apple's products and services, both hardware and software. Stephen has interviewed industry experts in a range of fields including finance, litigation, security, and more. He also specializes in curating and reviewing audio hardware and has experience beyond journalism in sound engineering, production, and design.
Before becoming a writer Stephen studied Ancient History at University and also worked at Apple for more than two years. Stephen is also a host on the iMore show, a weekly podcast recorded live that discusses the latest in breaking Apple news, as well as featuring fun trivia about all things Apple. Follow him on Twitter @stephenwarwick9
Thank you for signing up to iMore. You will receive a verification email shortly.
There was a problem. Please refresh the page and try again.