On August 19, 2019, Business Roundtable released a “Statement on the Purpose of a Corporation” that moves away from a shareholder only focus and acknowledges a commitment to all stakeholders. CEOs of 181 of America’s most influential corporations signed onto the updated Statement. In case you’re not aware, Business Roundtable is an association of chief executive officers of many of America’s leading companies. Together these corporations employ over 15 million people and are taking a leading role in shifting the business world towards a more sustainable approach.
“The American dream is alive but fraying,” says Jamie Dimon, Chairman, and CEO of J.P. Morgan Chase & Co. and Chairman of Business Roundtable, in the August 19th press release. “Major employers are investing in their workers and communities because they know it is the only way to be successful over the long term. These modernized principles reflect the business community’s unwavering commitment to continue to push for an economy that serves all Americans.”
The Optimist Daily wholeheartedly endorses this action and agrees that to be successful today and in the future, CEOs must invest in the communities giving their companies potential. Corporations should be working to improve society and create long-term value.