A shareholder of UnitedHealth Group has put forward a proposal calling for the appointment of an independent chairperson for the company’s board that is separate from the CEO position, Bloomberg reported Oct. 3.
Earlier this year, UnitedHealth named its board chair, Stephen Hemsley, as CEO following the departure of Andrew Witty.
The proposal, submitted by the nonprofit group Accountability Board, requests that shareholders approve an amendment to the company’s bylaws that would establish an independent chair. Bloomberg noted that UnitedHealth’s governance principles and its latest proxy statement support maintaining the dual roles of board chair and CEO.
“Our board separates the positions of CEO and chair of the board,” UnitedHealth’s proxy statement said in April. “The board believes this separation is appropriate for the company at this time because it allows for a division of responsibilities, sharing of ideas between individuals having different perspectives and to maintain appropriate checks and balances.”
For a shareholder proposal to be put to a vote, it must meet specific criteria, and it remains uncertain whether the Accountability Board’s resolution will make it to the ballot, per Bloomberg.
Mr. Hemsley originally served as the company’s CEO from 2006 until 2017, when he then was named chair of the company’s board of directors. He first joined UnitedHealth as COO in 1997 and became president in 1999.
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