The American Association of People With Disabilities and nonprofit group Disability:IN sent letters to the U.S. Securities and Exchange Commission and Nasdaq Inc. asking Nasdaq to include people with disabilities in its board diversity proposal.
In December 2020, Nasdaq asked the SEC for permission to roll out a series of listing requirements that would require the thousands of companies listed on its U.S. trading venues to begin publicly disclosing diversity statistics about their boards and to have at least one diverse director on their boards within two years of the proposed rule’s introduction.
Companies listed on either Nasdaq’s Global Select Market or Global Market would then be expected to have two diverse directors within four years of the SEC’s approval, while companies on the Nasdaq Capital Market will have five years to add a second diverse board member.
At least one of the two directors will need to be someone who identifies as female or as either an underrepresented minority or member of the LGBTQ+ community, according to Nasdaq.
“Including disability diversity in the corporate boardroom would mark a major turning point for disability rights and have the single largest impact on the economic independence and quality of life for millions of people with disabilities,” AAPD Chair Ted Kennedy Jr. said. “If this omission persists, then Nasdaq and the SEC will miss an enormous opportunity to ensure that corporate leadership reflects the diversity of the U.S. and the world.”
