PLCS urged to improve diversity at the top
Nearly one in five FTSE 350 companies – including Scottish-based Stagecoach and two investment trusts based north of the Border – have been asked to explain how they intend to tackle a lack of gender diversity in their senior leadership.
Although a third of all board positions across the FTSE 100 index are now held by women, the Investment Association (IA) and the Hamptonalexander Review have identified 24 FTSE 250 companies where there is only one woman on their board including the Edinburgh-based Personal Assets Trust and the Monks Investment Trust.
A further 35 companies from the top 350 firms which have all-male executives committees, including Perth transport group Stagecoach, have also been contacted.
The Hampton-alexander Review has set a target of a minimum 33 per cent of women on the board and senior leadership teams of companies by the end of 2020.
Chris Cummings, CEO of the Investment Association whose 250 members manage £7.7 trillion of assets, said: “Diversity results in better decision-making and plays an essential role in a company’s long-term success. Investment managers have been clear that as a minimum they want to see companies meet this target for gender diversity, and those which fail to do so risk facing dissent in the AGM season.
“This is a critical year in which businesses need to demonstrate real change and meet the 33 per cent target for gender diversity across their board and senior leadership.”