Systemic sexism: Canadian companies’ responses to shareholder activism aimed at increasing female representation on their boards of directors

Résumé 0

The aim of this study is to gain a better understanding of companies’ responses to shareholder activists’ draft resolutions aimed at increasing the number of women on their boards of directors. The study analyses the content of company responses to 56 shareholder activist proposals submitted to Canadian listed companies between 2008 and 2020. With minor exceptions, the firms targeted responded by recommending their shareholders vote against these proposals, employing two legitimacy strategies to convince them : 1) the firms try to change perceptions about their diversity values, and 2) they try to change external expectations by suggesting they are unreasonable. This study is the first to address the rhetorical strategies designed to maintain the legitimacy of firms targeted by shareholder activists seeking to improve gender diversity on the boards of directors of Canadian companies. These arguments identified some of the invisible barriers limiting women’s access to directors’ positions in listed Canadian companies.