CEO Activism: Trend BriefAug 01, 2019
What Is CEO Activism?
When senior leaders speak out on social or humanistic issues that are not directly related to their company’s bottom-line.
Recently, many CEOs have become more vocal in speaking out on issues that are unrelated to their core business but that are important to their personal or organizational values. This activism is led by CEOs in the United States. They believe they can serve their communities by adding their voice to important global conversations on climate change, immigration, and LGBTQ+ rights.
- People around the world believe that CEOs should express an opinion or take action on social issues including race, gender, and immigration.
- Employees and consumers are driving this new activism.
- Recruitment: Potential employees are more likely to pursue work with a company whose CEO has spoken out on social issues versus one who has remained neutral.
- Retention: Millennials surveyed said they would be more loyal to a job at a company where the CEO had taken a stand on a social issue.
- CEO activism is increasingly a positive influencer of buying decisions.
- Messaging should clearly and authentically align with the company’s mission and values.