On March 5, Beijing time, Apple held its 2022 shareholder meeting on Friday, local time. In a surprising move, Apple shareholders did not heed the company's advice and approved an outside proposal recommending an audit of Apple's civil rights impact, a rare instance of an investor openly rebelling against Apple.

On Friday, Apple's annual shareholder meeting was held online for the second year in a row. Shareholders voted on a total of 10 proposals, four from Apple and six from outside investors. Investors followed Apple's advice on nine of the proposals.

Cook re-elected as director, nearly $100 million in salary approved

Apple CEO Tim Cook and General Counsel Kate Adams spoke at the conference in the form of images of Memoji, an example of what Apple has done with iMessage and other services The avatar used. Shareholders who submitted proposals spoke through pre-recorded messages.

Apple directors including Cook, Chairman Arthur Levinson and former U.S. Vice President Al Gore were re-elected without incident. Investors also approved the continued use of Ernst & Young as Apple's accounting firm.

Some outside groups, including Institutional Shareholder Services (ISS), a prominent proxy advisory firm, expressed concerns about Cook's $99 million compensation package, but a majority of shareholders voted to approve it. ISS complained that Cook's shares would continue to vest after he retired, and that half of the awards were not contingent on performance criteria such as the company's share price.

unexpected proposal

There was only one proposal at the meeting that Apple shareholders did not heed Apple's advice: to demand an audit of Apple's civil rights impact.

The proposal for a civil rights audit is part of a broader effort to let businesses track if and how they contribute to racial inequality. Shareholders of major U.S. companies such as Tyson Foods, Citigroup and BlackRock have approved similar measures.

"It's time for Apple to establish an honest, third-party civil rights auditor to assess the company's commitment to equality and fairness," said Dieter Waizenegger, executive director of the union-backed firm SOC Investment Group. in a statement after the meeting.

In opposing the measure, Apple argued that the company had met the proposal's goals, including conducting an impact assessment and working with the community. Apple said the scope of the audit proposed by the proposal was "broad and unfocused." "Civil rights is something we've been very concerned about and have always had," Cook said at the convention.

In addition, Cook answered questions about Apple's environmental goals and its stance on U.S. manufacturing. He reiterated plans to expand Apple's U.S. office space to use more recycled materials in its devices. Cook also vowed to raise the annual dividend that began in 2012.

Apple shares have fallen about 8% this year, but better than the S&P 500's 10% drop. Apple shares are up 34% in 2021, their third straight year of gains. Apple shares closed at $163.17 on Friday, down 1.8%.