New York, May 23, 2023 – Open MIC, a non-profit shareholder advocacy organization, expressed deep concern over the continued delay in the release of a Microsoft independent human rights report, which the company originally agreed to release nearly six months ago. The report, conducted by the law firm Foley Hoag, is meant to evaluate how effectively Microsoft implements its Human Rights Statement in its products, services and business relationships with law enforcement, immigration enforcement, and other government entities. Microsoft agreed to conduct the report in response to shareholder pressure.
Despite assurances given to shareholder proponents that the report was nearing completion, Microsoft has repeatedly delayed its release, raising serious questions about the company's commitment to transparency and accountability. Microsoft has offered little to no explanation for the extended delay, leaving stakeholders, including human rights advocates and organizations, in the dark regarding the company's actions.
"The egregious delay in releasing the independent report by Microsoft is deeply concerning," said Michael Connor, Executive Director of Open MIC. "We cannot help but wonder what the company could be doing during this extended period. Is the report being altered to downplay unfavorable results, or is the delay a deliberate attempt to prevent shareholders from expressing their disapproval? Regardless of the reasons, it is evident that Microsoft is not prioritizing the release of this report."
The Religious of the Sacred Heart of Mary, supported by Investor Advocates for Social Justice (IASJ) originally filed the shareholder proposal calling for a human rights assessment in June 2021. The proposal expressed serious concerns about Microsoft’s surveillance products enabling invasive targeting and discrimination against protected classes. Open MIC collaborated closely with IASJ to develop the proposal, emphasizing the need for an impartial assessment.
Originally scheduled for release in late 2022, Microsoft informed investors in December that the report was nearly complete and would be published shortly after the winter holidays. However, subsequent unexplained delays pushed expected publication back to March, and then to the end of June.
The deadline for filing shareholder proposals at Microsoft this year is June 29. If Microsoft fails to release the report in time, or provides an unsatisfactory version close to the deadline, investors may be left with insufficient time to refile the proposal and express their dissatisfaction.
Open MIC calls on Microsoft to provide a prompt explanation for the delays and a clear timeline for the release of the independent human rights report, one that allows investors sufficient time to refile if the report fails to meet expectations. Stakeholders and shareholders deserve transparency and accountability, and the timely publication of this report is crucial in evaluating Microsoft's commitment to upholding human rights principles.
For more information:
Michael Connor
Advocacy Director, Open MIC
mconnor@openmic.org