Centene shareholders have voted down a proposal asking the company to commit to a specific target for reducing greenhouse gas emissions.
The proposal was voted down by 325 million shares to 97 million shares, according to regulatory documents Centene filed May 14.
A proposal submitted by shareholder John Chevedden argued Centene “must take additional action to catch up with its peers” when it comes to addressing its climate impact. Mr. Chevedden is a well-known activist shareholder, filing at least 1,000 proposals with various companies, Bloomberg reported in 2022.
Several of Centene’s competitors have committed to specific targets for greenhouse gas reductions, Mr. Chevedden argued.
The Cigna Group has set a target to be carbon neutral by 2040 and UnitedHealth Group is aiming to achieve carbon neutrality by 2035. Elevance Health aims to be carbon neutral by 2050.
The shareholder proposal would have required Centene to issue a report describing whether, and how it plans to reduce its contribution to climate change. The proposal also requested the company report on the benefits and drawbacks of adopting greenhouse case emission reduction target.
In its annual proxy report, Centene said the company is on track to meet or exceed greenhouse gas reduction targets set by the Intergovernmental Panel on Climate Change. The company recommended stockholders vote against the proposal, citing its “exemplary record” of responding to members’ environmental needs and “the increasing regulatory and political uncertainty regarding disclosure and management of climate-related risks.”
Stockholders also rejected a proposal asking the company to report climate-related risks in its retirement investment portfolio.
