Investor-led initiative 40:40 Vision has announced an expansion to the ASX 300 in an effort to spur further progress towards executive gender balance at Australian companies.
The initiative, which initially launched with a focus on the ASX 200, calls for executive leadership positions at ASX-listed companies to be made up of 40 per cent women, 40 per cent men and 20 per cent any gender by 2030.
Just one out of the 23 CEOs appointed at ASX 300 companies during 2021 were women, data from Chief Executive Women suggests, with 18 women CEOs in total.
“As investors, we felt that if we were to see the biggest change then we had to broaden our focus to where progress is slowest,” said HESTA CEO and 40:40 Vision steering committee chair Debby Blakey.
“Women represent only 26 per cent of executive leadership roles in the ASX 300, well below the 40 per cent target. By focusing on the broader ASX 300, we aim to encourage the significant shift in thinking that’s required to improve diversity across corporate Australia.”
Investors representing more than $6.3 trillion in assets under management are behind the diversity push with industry partners including Chief Executive Women, the Australian Council of Superannuation Investors, 30% Club and the Workplace Gender Equality Agency.
“We know better gender balance means better financial performance, better governance and stronger long-term company value, which can impact the performance of our members’ investments,” Ms Blakey explained.
“Our ambition is to have all companies within the ASX 300 publicly committing to the principles of taking measurable action to improve their gender diversity by 2030.”
Current signatories to the initiative have a combined value of $550 billion and represent close to 25 per cent of the index.
These companies are required to set gender targets in the shorter term and make a public plan for how they will meet those targets while reporting annually on their progress.
“We recognise there are varying complexities and differences in organisational structures, which is why 40:40 is designed to achieve one common outcome without being overly prescriptive in its approach to diversity and inclusion,” added Ms Blakey.
Southern Cross Austereo, Adairs, Healius and QBE are among the latest signatories to the initiative.
Jon Bragg
Jon Bragg is a journalist for Momentum Media's Investor Daily, nestegg and ifa. He enjoys writing about a wide variety of financial topics and issues and exploring the many implications they have on all aspects of life.
