Bill Gates faces misconduct allegations 1:14
(CNN Business) -
An activist investor urges Microsoft to do more to combat sexual harassment following misconduct allegations against founder Bill Gates.
In a shareholder resolution published Wednesday, impact investing firm Arjuna Capital asked Microsoft to release an annual transparency report detailing its policies against sexual harassment and investigations into alleged incidents across the company.
"Microsoft is under intense public scrutiny due to numerous allegations of sexual harassment and an alleged failure to deal with them appropriately and transparently," Natasha Lamb, managing partner of Arjuna Capital, said in a statement.
"Reports of Bill Gates' alleged inappropriate relationships and sexual advances toward Microsoft employees have only exacerbated concerns, casting doubt on the culture established by top leaders."
Microsoft declined to comment on the shareholder resolution.
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The Bill Gates case is not the only one
There have been a number of complaints and reports in recent weeks regarding Gates' behavior in the workplace.
The allegations came after the divorce from his wife, Melinda French Gates, was announced in early May.
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Much of the attention has focused on an affair between Gates and a Microsoft employee in 2000, a relationship Gates' representatives have acknowledged.
It reportedly took place while he was chairman of the board.
Microsoft's board said it launched an investigation into the matter two years ago.
Gates left Microsoft's board in early 2020, although a Gates spokesman said the decision was unrelated to the investigation.
Microsoft has faced broader allegations from employees alleging gender discrimination and sexual harassment, and was hit with a class action lawsuit in 2015 in which a former employee alleged she was unfairly discriminated against.
The company said at the time that it was "committed to a diverse workforce."
Nadella says he has taken action
In 2019, Microsoft CEO Satya Nadella announced a review of how the company handles human resource disputes in a letter to employees.
In it, he promised more support to employees and greater transparency.
Last month, Nadella spoke about the allegations against Gates and questions about the company's culture.
"The Microsoft of 2021 is very different from the Microsoft of 2000," Nadella said in an interview on CNBC.
"For me and for everyone at Microsoft, our focus on our culture, our diversity, our inclusion, in particular, the daily experience of our people is very important, it is a high priority."
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Arjuna Capital calls for clear actions
In its resolution, Arjuna Capital urged the company to disclose the results of independent investigations into allegations of misconduct, as well as the number of sexual harassment cases investigated.
"To avoid legal and reputational risks and maintain shareholder value, Microsoft must create a culture of accountability and transparency, protecting employees from harassment and discrimination," said the investment firm.
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Arjuna Capital has lobbied tech companies and major companies, including Facebook, Amazon, Alphabet, and Twitter, on a variety of issues including pay disparities, sexual harassment, civil rights, and climate change.
Its latest resolution for Microsoft will come before the company's shareholders' meeting in December.
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