Leadership Now Files an Amicus Brief in Moore v. Harper

On October 26, Leadership Now filed an amicus brief in the Supreme Court case Moore v. Harper, which could give state legislatures unprecedented control over elections.

This case relies on an untenable interpretation of the Constitution's Elections Clause, referred to as the independent state legislature theory. Independent state legislature theory holds that state legislatures may regulate elections without the constraint of state constitutional provisions, state courts, or potentially a governor's veto. Learn more here. 

Leadership Now joined more than 60 groups and individuals submitting amicus briefs, including former generals, state attorneys general, Arnold Schwarzenegger, and the US solicitor general herself. Our brief uniquely makes the case that independent state legislatures would create substantial risks to businesses and markets through gerrymandering and election interference. 

Oral arguments for the case start on December 7.

Political Violence and Election Denial are on the Ballot

A Midterm Message from Our CEO

As we approach a highly uncertain election, I’ll attempt to cut through the noise and share a few thoughts on what’s at stake, what is being done, and what you can do. 

But first – be sure to vote. November 8th is election day and many states have already started early voting. Encourage friends, colleagues, customers, and employees to participate. Find info on your polling place at vote.org.

What’s at stake in this election?

Political violence and election denial are on the ballot.

• The attack on Paul Pelosi is a warning sign. His attacker was fueled by online conspiracy theories. While Pelosi was recovering from surgery, Twitter’s new owner, Elon Musk, used his platform to spread disinformation about the violent incident.

• 60 percent of Americans will have an election denier on the ballot. This isn’t an isolated incident of disinformation. In many GOP primaries, election denialism is an essential requirement to win.

• Governor and Secretary of State races are key to future election legitimacy. These elections will determine if election denial becomes a governing philosophy in states from Arizona to Michigan and even New York. 

• Arizona is ground zero. Aggressive armed patrols of ballot boxes and pervasive doubts about election legitimacy are increasing the threat of election violence and risk deterring voters in Arizona. Unabashed election deniers are running for governor, secretary of state, and attorney general – and all have a solid chance of prevailing.

• While the risks are significant, turnout and engagement may be high, particularly among women. In battleground states, registration by women has surged. As I discussed on Morning Joe in October alongside Leadership Now member Tom Rogers, addressing the priorities of independent women will be critical.

How are business leaders responding to the threats?

Leaders unite from Michigan, Wisconsin, and beyond, but much more is needed.

• Wisconsin business leaders set clear democracy standards. A few weeks ago, bipartisan Leadership Now Wisconsin members gave a questionnaire to each candidate for Governor to confirm their commitment to certifying elections without bias. Only Governor Evers made that commitment; Michels didn’t respond. Watch what they had to say below and read about it here.

• Michigan business leaders support the Promote the Vote Ballot Initiative. The Detroit Regional Chamber and business leaders in the state endorsed the November ballot initiative, which protects access to voting and reduces the politicization of elections.

• The Electoral Count Act has a strong chance of passing in the lame-duck session, backed by Senate Majority Leader Chuck Schumer and Minority Leader Mitch McConnell. Leadership Now and our members have endorsed reforming the ECA, as has the Partnership for New York City, Business Roundtable, and the National Association of Manufacturers (NAM).

• We joined a massive response to the Supreme Court Moore v. Harper case that could give state legislatures unprecedented control over elections. Read Leadership Now's amicus brief. We joined more than 60 groups and individuals submitting amicus briefs last week, including former generals, state attorneys general, Arnold Schwarzenegger, and the US solicitor general herself. Our brief uniquely makes the case that independent state legislatures would create substantial risks to businesses and markets through gerrymandering and election interference. Oral arguments for the case start on December 7.

What can you do?

Be prepared and vote.

1) First, be prepared not to know all of the results on Election Night. Several key states – including Michigan, Pennsylvania, and Wisconsin – do not allow the counting of mail-in ballots until Election Day or the day before. Other states, including New York and California, can take days to tally mail-in ballots, which can be postmarked through Election Day. While much is uncertain, if history is a guide, it will likely be a night where Democrats lose more than they win (the party not occupying the White House usually does well in midterm elections). Election violence or refusal to accept results by local or even statewide election boards is possible, and lawsuits are almost guaranteed.

2) Vote early or make a plan to vote on Election Day. It may seem obvious, but it must be said. Encourage your family, friends, networks, and employees to act on their civic duty and make a voting plan.

3) Support candidates that meet the Principled Candidate standard and commit to free, fair, and secure elections. We've continued our practice, started in 2018, of highlighting a list of extraordinary, highly-qualified candidates for Congress.

4) No matter what happens in the election, the ECA and the Supreme Court Independent State Legislature case will be critical to the conduct of future elections. Make your voice heard by engaging your members of Congress or publicly speaking out on these and other democracy issues.

5) Read on to learn about our new State Democracy Report Card, and for the latest Leadership Now news and recommended reads.

Thanks again for your commitment and leadership.

Best,
Daniella

Democracy Report Card: What Grade Did Your State Get?

Leading up to the midterm election, we’ve worked with our network of business, academic and civic leaders to create a state-level Democracy Report Card. Specifically, our research team assigned a letter grade to each state based on its democratic performance across three critical categories: voting, electoral systems, and campaign finance.  

With our research, your business can make more informed decisions on political influence and philanthropy.  

Top 3 Lessons  

1. Every state, regardless of the dominant party, can make improvements to ensure elections are modernized, secure, accessible, and transparent.  

2. Many aspects of a state’s democratic performance are tied together; addressing one issue can lead to improvements in other aspects. For example – increasing mail-in voting access can decrease voting wait times and increase voter turnout, generating an improvement in voting through an improvement in electoral systems.  

3. Challenges in democratic performance aren’t endemic to either red or blue states; most states rank poorly, with the majority receiving a “C” grade.

Here is a list of our key states and a brief analysis of their score:  

• Michigan (86%) Michigan has improved its elections measurably via citizen-led ballot initiatives over the last several years. Its independent redistricting commission has led to fair legislative and congressional districts, and its automatic voter registration system has led to high voter registration. Michigan does less well in the campaign finance section, with relatively high campaign contribution limits and higher than average dark money spending. 

• Massachusetts (82%) Massachusetts has enacted strong laws supporting access to voting; however, its political culture at the state legislative level of few contested races, racial disparity in voter participation, and loopholes in campaign finance laws offer opportunities for improvements. 

• California (82%)  California’s laws around voting access are strong, with significant opportunities for voting by mail. The state also has an independent redistricting commission to create fair maps. Unfortunately, there is a history of relatively low voter registration and turnout, along with higher than average racial disparities in turnout. 

• Georgia (78%) Georgia has been moving in the wrong direction around voting access, with recent laws enacted that make voting more difficult and give more power to political forces around election certification. It also has a history of long waits at the polls. On the positive side, its automatic voter registration system has led to relatively high registration rates while racial disparities around voter participation are relatively low. 

• New York (77%): Since 2019, lawmakers in New York State have made important reforms including automatic voter registration, enabling those on probation and parole to vote, online voter registration, and early voting. These reforms have significantly improved New York’s rating. What hinders the rating is the state constitutional prohibition on “no excuse” absentee voting, the very high contribution limits for statewide offices, long waiting times at the polls, and general low participation rates.  

• Pennsylvania  (75%) Pennsylvania has significant opportunities for improvement. Its lack of any limits for campaign contributions to statewide candidates is out of sync with most other states; its relatively low voter registration rate and lack of an automatic voter registration system are a concern; and on the positive side, Pennsylvania courts have struck down partisan gerrymandering schemes which have led to much fairer legislative and congressional districts. 

• Wisconsin (75%) Wisconsin has terribly gerrymandered state legislative and congressional districts and no automatic voter registration, along with significant racial disparities in turnout (a very high percentage of voters of color live in Milwaukee, where participation is historically low). The state also has high campaign contribution limits and significant dark money spends. On the positive side, of those who are registered, turnout is overall very high compared with other states.  

• Texas (70%): The Lone Star State has a grim history of voter turnout, especially in primaries and midterms. The state legislature has restricted voting by mail; requires voter IDs; limits “drive-thru voting;” outlaws 24-hour polling locations; has no online voter registration process; and does not require accessible polling places near colleges.  

For the full rankings, metrics and sources, and actions you can take with this data, visit the 2022 Democracy Report Card. Additionally, in the weeks following the next election, we will do follow-up analysis to see how this report card did or did not predict voting and campaign finance in the midterms.   

5 Articles about Democracy You Must Read Before the Midterms

At Leadership Now, we understand there is an influx of news from a wide variety of sources about democracy. Therefore, we regularly curate the latest, trustworthy information from our members, researchers, and media sources into this Democracy Digest.

Latest Democracy News

Why Business Leaders Should Take an Active Role in Preserving Democracy

At Fast Company’s Innovation Festival, execs from Edelman, the Leadership Now Project, and Seventh Generation discussed how leaders should weigh in on thorny social issues.

Former NFL Commissioner Stresses Need to Protect Democracy

"No outside adversary, no internal critic, no individual or institution, and no ideology—can be permitted to destroy or diminish our democracy," states former NFL commissioner and LNP member Paul Tagliabue in his recent Newsweek article.

Corporate America Has Embraced ‘Both Sides’ Political Spending - That Has to Stop

In this article, we make the business case and provide a pathway for updating political giving practices.

Independent Women Hold the Keys to Power in the Midterms

Women who don't identify as Republican or Democrat will make the greatest difference in key 2022 congressional race outcomes. LNP member Tom Rogers shares findings on their viewpoints from our recent survey in this article.

Wisconsin Business Execs praise Gov. Evers for Pledging to Accept Election Results

The Milwaukee Journal Sentinel featured a new ad produced by Project Democracy PAC last week. Four Wisconsin business leaders, including members Anoop Prakash and John Florsheim, made the business case for why they support Wisconsin Governor Tony Evers. The ad will run through election day. Our members Kahlil Byrd, Patrick McGinnis, and Minh-Thu Pham are directors of the PAC, which is endorsing a slate of democracy-focused candidates in the midterm elections.

A Little Something Extra…

We know that the seriousness of our current social and political environment can be draining; therefore, we also regularly highlight something of interest beyond the need-to-know updates. This week, we are featuring the Broadway revival of The 1776 Project. “This new 1776 means less to reanimate the nation’s founding than to talk back—or even down—to it,” writes Jane Kamensky, the Trumbull Professor of American History at Harvard.

Women Registered as Independents in Swing States Can Influence Midterms...If They Vote

“When it comes to deciding the key 2022 congressional races, the constituency that will make the greatest difference in the outcome is independent women. That is, women who do not currently identify as Democratic or Republican,” stated Tom Rogers, editor-at-large for Newsweek and founder of CNBC in his article.

Rogers made this assessment after viewing the results of a survey we did with our partners at Emerson College Polling. Together, we wanted to gain greater insight into the viewpoints of registered Independent women in key swing states, including Arizona, Georgia, Michigan, Pennsylvania, and Wisconsin.

We wanted to understand how the “most purple of voters in the most purple of states” felt about abortion, gun control, and democratic values, versus economic issues like inflation.

This infographic shows some of the key findings:

Want to dive into the data more? View the full report.

Also, you can see this information highlighted on Tom Rogers on MSNBC's Morning Joe.

Leadership Now Applauds Lawmakers Reforming the Electoral Count Act

Leadership Now Project joins business leaders and associations across America, including the Partnership for New York City, Business Roundtable, and the National Association of Manufacturers (NAM), in support of legislation reforming the Electoral Count Act. 

As business leaders, we know firsthand that the health of our economy and markets rests on the founding principle of our democracy: free and fair elections. The aftermath of the 2020 election revealed significant weaknesses in our system, threatening the stability of our nation. The bipartisan framework addresses vulnerabilities, protects election workers, ensures a peaceful transition of power, and is a critical step to preserving the trust and confidence in American democracy.

Our organization applauds the bipartisan group of lawmakers and staff who have worked together to craft and advance this legislation. If you would like to learn more and support our efforts, please contact Gretta Determann. 

Leadership Now Encourages MBAs to Vote

MBA (Master of Business Administration) students are seen as the next generation of business leaders. In fact, more than half of CEOs in the US hold MBA degrees. With growing enrollment in courses related to social impact, MBA schools have seen an increased interest in the intersection of capitalism and democracy among its students. However, MBA students aren’t engaging in democracy while they’re in graduate school, despite their schools having the resources to help them.

The Data

Business school turnout falls far below the turnout of peers in other programs. Overall, MBA students on average vote 18.5% less than other schools at universities. Below is data from the top three MBA schools in the country:

To learn more about this data, visit the NSLVE Data Portal.

The Federal Higher Education Act requires colleges and universities to make a “good faith effort” to distribute voter registration materials to all students; however, this is often fulfilled through a school-wide email that is almost never read by students.

How Business Schools Can Help

In anticipation of National Voter Registration Day (September 20), Leadership Now members are actively reaching out to their alma maters and encouraging them to promote voter engagement and increase turnout.

With the 2022 election right around the corner, we know some schools may feel like it’s too late to take action. But there are some simple steps they can take. We encourage each school’s dean to send a communication to all MBA students providing nonpartisan voting resources and encouraging them to vote. Additionally, schools should commit to holding no exams or assignments on Election Day, to make it easier for students to have time to vote.

MBA schools should also begin preparing for the Presidential Election in 2024.  Our recommendations are below:

• Hold no classes on Election Day

• Provide comprehensive resources on registration, early voting, and Election Day voting from the Dean of the school

• Provide resources to student groups leading nonpartisan civic engagement efforts

The Future is Now

Future business leaders are being cultivated right now at MBA schools across the country. While many students’ studies are focused on social impact and the connection between business success and democracy, the majority aren’t participating in elections by voting. MBA schools should play an active role in building a culture of civic participation. The health of our democracy depends on it.

Wisconsin Business Leaders Speak Out on the Importance of Democracy

Wisconsin LNP members John Florshiem and Sachin Shivaram recently released an op-ed urging business leaders to take action and protect American democracy. Florshiem is the president of Weyco Group and Shivaram is CEO of Wisconsin Aluminum Foundry. Below are highlights from the article.

• After the January 6, insurrection, businesses across the country overwhelmingly spoke out against the events, including implementing policies to prohibit providing funding election objectors.

• These actions played an important role in ensuring a peaceful transition of power.

• However, since the insurrection, threats to our democracy have continued. These threats have a direct impact on market stability and economic growth.

• Because they have a variety of stakeholders, businesses are put in the difficult position of deciding if and how to act when threats to democracy occur.

• Business leaders must use their collective voice to ensure political stability and adherence to the rule of law.

“We also know that the tempation to turn a blind eye — to believe this is not a problem of ours — is strong. But it is wrong.”

— John Florsheim & Sachin Shivaram

Read the full op-ed here.

Vote for Democracy at SXSW 2023

South by Southwest (SXSW), deemed “one of the largest and most influential gatherings on the planet'“, returns to Austin, TX March 10-19, 2023. Launched in 1997, SXSW has featured countless disruptive tech innovations, groundbreaking music and film, and influential keynotes, from Lady Gaga to President Obama. But what does this have to do with democracy? That depends on you!

You can play an integral part in shaping SXSW 2023 programming. Community voting is now open, and votes from the general public will make up 30% of the final programming decision. There are a number of panels in the running this year focused on democracy, public policy, civic engagement and social impact, many of which feature our very own LNP members. See below for the highlights and cast your vote by August 21!

Navigating the Current Political Climate

Description: Business leaders today face many challenges, including consumer and employee demands to respond to the headlines and today’s polarized political environment. We’ll share tools and case studies used by top crisis communication experts and hear from a diverse group of speakers. The workshop will introduce the origins of our political discontent and conclude with non-partisan actions businesses and individuals can take to address partisan discord and promote a strong democracy.

Speakers: Marjorie Clifton, Chief Communications Officer, Leadership Now Project; Rawi Abdelal, Herbert F. Johnson Professor of International Management at Harvard Business School and the Emma Bloomberg Co-Chair of the Bloomberg Harvard City Leadership Initiative, Harvard Business School; Katherine Cousins, President, Sperry (plus Keds & PRO-Keds)

Can Innovation & Entrepreneurs Save Our Elections?

Description: Our democracy has been ravaged by a two-party system that leaves voters apathetic, or forced to choose between the lesser of two evils. Whether you’re concerned about the climate, privacy, inequality, or individual freedoms, solutions seem impossible when they’re caught up in dysfunctional partisan politics. It’s no wonder that a majority of eligible voters, including more than half of Millennials and Gen Z, say the major parties don’t represent them and they’re looking for systemic fixes to repair our election process. Join us for a frank conversation among community organizers and nonprofit leaders building or advocating for innovative tools for election reform. Learn how you can help change the rules and disrupt the current broken system, creating a brighter future for all!

Speakers: Todd Connor, CEO, Veterans for Political Innovation; Farhad Mohit, Founder, Good Party; Nathan Lockwood, Executive Director, Rank the Vote; Danielle Allen, Principle Investigator, Democratic Knowledge Project at Harvard University

Risk vs. Reward: When Bold Brands Take a Stand

Description: Your business is operating in an increasingly complex social and political environment where both action and inaction on hot topics like abortion, democracy, and equity pose real risks. But by approaching these issues with a strategic business lens, you can minimize the threats of employee dissatisfaction, consumer boycotts, investor pressure, and political retribution, while maximizing the opportunity to do good for people and the planet. This session gives you the proven frameworks, bold case studies, and access to the network of change agents needed to launch or enhance your corporate social impact efforts. Specifically, we’ll help you determine the “right” causes; launch meaningful philanthropic, political influence and communications programs; and measure your impact.
Speaker: Deirdre Walsh, CEO, IGC

Corporate Activism: Speaking Out and Taking Action

Description: Corporate social responsibility has become mainstream, ESG practices have reshaped business approaches, and, more recently, diversity, equity, and inclusion have become foundational efforts. Civic engagement is both a natural evolution of this trajectory and an urgent response to threats to democracy. Amalgamated Bank, Ben & Jerry’s and Patagonia serve as models for how businesses can use their platform to speak out for social justice and leverage their relationships (investors, customers, employees, board members, vendors, stakeholders) to have an impact on those issues.
Panelists will discuss how corporations have the opportunity, and responsibility, to join with other corporate and nonprofit leaders and other stakeholders in addressing social issues.

Speakers: Priscilla Sims Brown, President and CEO, Amalgamated Bank; Corley Kenna, Head of Communications and Policy, Patagonia; Christopher Miller, Head of Global Activism Strategy, Ben & Jerry's

The Future of American Democracy: What’s At Stake

Description: Under our current electoral rules, candidates are rewarded for extreme, anti-democratic views that put them in positions of power. Something must change, but what? The Electoral College, gerrymandering, zero-sum ballots and winner-take-all rules are all breaking our democracy and we deserve bold solutions. Congressman Jamie Raskin, Harvard’s Danielle Allen, and FairVote’s long-time CEO Rob Richie will discuss the problem and propose bold, yet viable solutions - from a comprehensive constitutional amendment to statutory changes like the Fair Representation Act, Ranked Choice Voting and the National Popular Vote plan. Attendees will hear Raskin’s powerful personal story, learn more about the challenges we face, and hear how to make powerful changes on the local, state and national level.

Speakers: Rob Richie, CEO and President, FairVote; Jamie Raskin, Congressman, House of Representatives; Danielle Allen, James Bryant Conant University Professor at Harvard University/Director of Harvard’s Edmond J. Safra Center for Ethics, Harvard University

Postmortem: Voter Suppression & the 2022 Election

Description: In response to the massive turnout in 2020, some state legislatures passed aggressive voter suppression legislation that closed polling locations, shortened the window for early voting, and eliminated drop box locations. These bills in states like Georgia, North Carolina, Texas, and Ohio target black and brown communities, young people, and poor people so that voting will be more difficult in the 2022 midterms. Without national voting rights legislation, we are left to out-organize even more in red and purple states. Join our panel of voting rights experts and organizers for a conversation about how these voter suppression tactics impact ongoing elections and the 2022 midterms, and how we can all advocate for more fair elections to protect our democracy.

Speakers: Liz Walters, Chairwoman, The Ohio Democratic Party; Marcus Bass, Executive Director, Advance North Carolina; Jeremy Smith, CEO & Founder, Civitech; Kendra Cotton, Chief Operations Officer, New Georgia Project

The New Actionists: Brands Driving Social Impact

Description: The New Actionists is a discussion that will lead attendees through the dynamics of how brands are leveraging their own platforms, communities, data and technology to take stands and drive impact. Not five years ago, corporations stayed away from hot-button issues, encouraging employees to keep their politics at home. Today, more companies are compelled, even required, to pursue ESG platforms and take stands that matter to their employees, customers and mission. This discussion features organizational leaders who have had unique opportunities to pursue global-policy-shifting, triple-bottom-line outcomes, and even advocacy, as part and parcel of their day jobs.

Speakers: Bart Myers, Founder and CEO, Countable; Corley Kenna, Head of Communications and Policy, Patagonia; Rob Jekielek, Managing Director, The Harris Poll; Jennifer Warren, VP, Global Brand Marketing, Indeed

Participatory Democracy in the Age of Polarization

Description: We are living in an era of rampant polarization, disinformation, and institutional mistrust that has created unprecedented stakes for the future of democracy. We need solutions that bridge divides while furnishing new frameworks for resilient participatory governments. In this panel, we speak with the architects of America in One Room (A1R), a landmark democratic reform effort that has brought together record-setting samples of the American voting electorate to participate in respectful political discourse. Lauded by Presidents Barack Obama and Bill Clinton, A1R has radically reduced polarization and increased civic engagement among participants. This panel will explore the power of Deliberative Polling, the mechanism behind A1R, to catalyze democracy for the people, by the people.

Speakers: Henry Elkus, CEO and Founder, Elle Communications; Jim Fiskin, Director, Center for Deliberative Democracy; Alice Siu, Associate Director, Center for Deliberative Democracy 

2023: Democracy Is Worth The Fight

Description: We are at an inflection point in American democracy. As people demand more from their government and push for a vibrant and bold democracy, far-right movements that do not represent the majority of Americans have gained outsized political power in states, communities, and even at the Supreme Court, seeking to prevent positive change and reverse progress. What we do now will determine the future of people and democracy. While the playbook for this moment remains to be written, history provides a roadmap of how people have fought against long odds for democracy and won. This panel will feature a discussion about the fight for democracy’s future in the states-and the courts-in the face of the political realities of 2023 and the legacy of the late Rep. Barbara Jordan.

Speakers: President and CEO, Democracy Forward; Tayhlor Coleman, individual, individual; Shawn Thierry, Representative, Texas House of Representatives Elected Official

Imagineering American Democracy 2050

Description: Forget the 2022 elections or even 2024. How can we rethink American democracy to create a 21st century version that works well for the populous, diverse, multiracial country that we have become? The United States today is a gigantic country (only China and India have more people) and a highly heterogenous one at that. Unfortunately, our existing systems of electing those who represent us increasingly don't seem to do a very good job of producing people who actually represent us or our interests. Are there alternatives such as proportional representation or multi-member districts or top 4 primaries (or others) that would do better? And how do we get there when faced with an uninterested and often hostile political class, not to mention openly antagonistic courts?

Speakers: Michael Li, Senior Counsel, Brennan Center for Justice at NYU School of Law; Moon Duchin, Professor, Tufts University; Lee Drutman, Senior Fellow, New America; Todd Henricks, Data & Research Analyst, NAACP Legal Defense & Education Fund

How Our Democracy Impacts Our Health

Description: The American Medical Association recently affirmed Voting as a Social Determinant of Health. How did they get here and what does this mean? How can strengthening our democracy improve the health of our country? And how can doctors, nurses, and other health care professionals innovate within their roles to contribute to the foundations of trust in our political systems? Join to learn more.

Speaker: Aliya Bhatia, Executive Director, Vot-ER

Redefining Corporate Leadership to Meet the Moment

Description: The past few years have given rise to critical moments in our society that have birthed social movements. Corporations have very publicly committed themselves in those moments to furthering social progress. But how can companies successfully embed themselves in the work of doing good for the long-run, while moving from commitments to measurable impactful outcomes? Hear from a panel of experts about the opportunities and hurdles to advancing stakeholder-centric approaches that help companies maintain relevance and be a force for good, long-term.

Speakers: Ashley Marchand Orme, Director, Corporate Equity, JUST Capital; Lisa Osborne Ross, Chief Executive Officer, U.S., Edelman; Kelly McGinnis, Senior Vice President & Chief Communications Officer, Levi Strauss & Co.; Julia Boorstin, CNBC Senior Media & Technology Correspondent and Author of "When Women Lead", CNBC

Beyond Philanthropy: CSR in the Social Justice Era

Description: Gone are the days when companies could just cut a check to an executive’s favorite non-profit and check a box to say that they are “doing good.” In today’s complex social environment, employees, customers, investors, and other corporate stakeholders are more closely scrutinizing how companies give back to the community and address social issues. To make a true impact, companies must look at the issue they’re addressing holistically, and be willing to engage in an authentic, meaningful way with comprehensive programs, spanning internal policies, philanthropy, and public policy engagement. This session will provide you with the best practices on how to create a robust, meaningful, and defendable corporate social impact program.

Speaker: Jackie Padgett, COO, IGC

Entrepreneurship for Good: The New Competitive Edge

Description: The future economy isn’t just about quarterly profits. It’s centered on products and services that meet societal needs and contribute to the greater good. As businesses transform and new entrepreneurs emerge, they must prioritize issues like sustainability, responsible stewardship, and more equitable corporate structures. These are things that today’s consumers don’t just expect — they demand them. We must empower our youth with entrepreneurial skills to become leaders who solve complex problems that spark social change, creating value for shareholders, employees, and society. This new wave of entrepreneurs is crucial to a thriving economy.

Speakers: Stacey Ross Cohen, CEO, Co-Communications, inc; Marc Steren, Co Founder and Co-CEO, University Startups; Craig Vezina, Co Founder and Co-CEO, The Spaceship, President & Founder, The Z-17 Collective, The Spaceship; Z-17 Collective; Arooj Sheikh, CEO, Covo.io

50% of Business Leaders Said Dobbs Ruling Could Impact Their Location Decisions

CNBC posted an interesting article after the recent Dobbs’ ruling. Beyond the moral debate over state abortion bans or restrictions, critics say there is an economic argument against them at a time when workers are in short supply.

KEY POINTS

• A Supreme Court ruling overturning or weakening Roe v. Wade would send the issue of legalized abortion back to the states.

• Opponents argue that abortion restrictions will deter companies and workers from moving to states that enact them.

• Half the business executives CNBC surveyed said abortion laws could impact their location decisions. Only 20% said they would not.

Our organization contributed to the piece.

“At The Leadership Now Project, a group of business leaders and academics pushing corporations to address threats to democracy, CEO and cofounder Daniella Ballou-Aares worries that the DeSantis-Disney dispute in Florida, and the looming battle between some states and corporations over abortion, signify a growing problem that’s more common in emerging markets than in this country: the risk of retribution from an unstable government.

‘Fortunately, the U.S. has been seen as a very low political risk environment where you don’t need to prepare for those things,” she said. “But unfortunately, what we’re seeing now is the U.S. is becoming a higher political risk environment. That is terrible for international capital flowing to this country.’”

Read the full article: https://www.cnbc.com/2022/06/21/in-post-roe-v-wade-world-states-weigh-economic-cost-of-abortion-ban.html.

Fast Company: American Democracy is Under Threat. Business Leaders Must Act to Ensure Safe and Fair Elections

Below is an op-ed by Daniella Ballou-Aares, David Clunie and Rhett Buttle published in Fast Company on June 6, 2022

The erosion of democracy is bad for business and the world, but everyone benefits when businesses step up to protect it.

The health and stability of American democracy are in the midst of serious threats, putting our elections and business environment at risk. The business community can take decisive action to support democracy and turn the tide.

America was downgraded from a “full” to a “flawed” democracy by the Economist Intelligence Unit in 2016, and multi-pronged threats are increasing the risk that we could face serious political instability in upcoming elections. Particularly concerning is the lack of faith in election outcomes: 32% of voters believe that the 2020 election was stolen, and politicians seeking to capitalize on this belief have introduced over 600 bills in 49 states targeting voting rights since 2020. And a major American political conference is being hosted in Budapest this year to celebrate and learn from Hungary’s autocratic prime minister, Viktor Orbán.

Political instability and the erosion of the protections that democracy offers can increase the cost of capital, stifle innovation, impact supply chains, and lead to declines in the rule of law that is foundational to the success of capitalism. Most recently, when companies like Walt Disney took public stances that ran counter to the views of the state’s elected leaders, they faced swift retaliation, echoing a pattern of political retribution against business that we’ve seen in states like Georgia and Texas. Political retribution is a tool of autocrats, not leaders of the world’s proudest democracy.

Business leaders understand the connection between a thriving democracy and economy. Forty-five of the 50 largest companies in the world were founded in democracies, and according to new data from a Morning Consult survey of over 2,500 business leaders and consumers, an incredible 96% of corporate leaders agree that a well functioning democracy is “important” to a strong economy.

Over half of business leaders surveyed say their companies are more likely than they were five years ago to take a public stance in favor of democracy, or to encourage employees to speak out themselves. Finally, the Morning Consult data show that over 80% of business leaders agree that companies should act to ensure safe and fair elections and protect democratic institutions.

This commitment to democratic engagement is evident across the business community. In the wake of the January 6 insurrection, over 120 of the nation’s largest companies halted political contributions to politicians who voted against certifying the 2020 election. Those members of Congress have lost 59% of their funding from corporate PACs (in 2021 vs. 2019) as a result. And over 450 American companies have withdrawn or suspended key operations in Russia following the invasion of Ukraine.

Everyone benefits when businesses step up to uphold democracy. For example, the Voting Rights Act of 1965 narrowed the wage gap between Black and white workers by up to six percentage points. When democracy is strong, communities build prosperity and businesses both fuel and reap the benefits.

It’s never been more clear that a strong economy requires a strong democracy. That’s why our three organizations have launched the Business & Democracy Initiative—to empower business leaders to collectively stand up for American democracy, rebuild trust in democratic institutions, and secure the next generation of stable and inclusive American prosperity.

The Business & Democracy Initiative has defined concrete actions business can take to uphold democracy. Business leaders can establish pro-democracy policies, such as giving employees time off to vote or work the polls and ensuring PAC contributions only go to recipients who demonstrate commitment to the democratic process. Businesses can advocate for federal and state democracy legislation, such as opposing measures that would make it harder for any eligible voter to cast their ballot. Corporate donation programs can also be expanded to include donations and in-kind resources for nonpartisan state elections infrastructure, from stress tests to tech upgrades and training.

Businesses depend on a functioning democracy in order to thrive, and face dramatic downside risk if the political system descends into polarization or even violence over contested election outcomes. Supporting a strong democracy is also a positive agenda for businesses and citizens to reinvigorate our social fabric, protect access to the franchise, counter polarization, and build institutions that secure our economy into the future.

Daniella Ballou-Aares is the CEO and cofounder of the Leadership Now Project; David Clunie is the executive director of the Black Economic Alliance; Rhett Buttle is the founder of Public Private Strategies.

Launch of the Business and Democracy Initiative

Leadership Now Project, in partnership with the Black Economic Alliance and Public Private Strategies, today announced the Business & Democracy Initiative to empower business leaders to collectively stand up for American democracy, rebuild trust in democratic institutions, and secure the next generation of stable and inclusive American prosperity.

Business leaders across the country are concerned about the health of our democracy. New research by Morning Consult on behalf of the Business & Democracy Initiative shows the business community wants to be active in protecting American democracy, and their customers will support them. The results show:

• 96% of business leaders say the existence of a well-functioning democracy is “important” to a strong economy.

• 80%+ of business leaders think that businesses should act to protect democracy and act to ensure safe and fair elections.

• 51%+ of business leaders say their business is more likely than they were five years ago to encourage employees to take a stance or speak out in support of democracy, or to take a public stance as a business.

• 64%+ of consumers say that a business with a public commitment to democracy shows the business cares about its customers, their employees, and has the right values.Tomorrow, the House Select Committee’s first public hearing will surface findings from the more than 1,000 interviews conducted in its months-long investigation of the January 6th attack on the U.S. Capitol.

“The Business & Democracy Initiative will provide business leaders with the knowledge and platform to lead on the issues — from preventing election crises to expanding civic engagement — and secure a strong economy for the next generation,” said Daniella Ballou-Aares, CEO of the Leadership Now Project.

We encourage you to read and share the full announcement with your networks, and please let us know if you’re interested in getting involved. Thank you for your continued commitment to our democracy.

Beyond the Buzz: Business Leader's Guide to Democracy

From dark money to stakeholder capitalism, business leaders today are expected to know the terms and concepts being used in the civic space. Yet, when is the last time you learned about the difference between representative democracy and inclusive democracy? Probably a high school civics class, if you were lucky.

At Leadership Now, we worked with our nationwide network of business and thought leaders to create a guide to go beyond the buzz and help you understand the fundamentals of democratic systems, the basics of campaign finance, and common democracy threats like gerrymandering. We also provide insights on how businesses engage in politics and examples of innovations in democracy.

Have a question or proposed topic? Let us know! We update this guide frequently with feedback from leaders like you.

How to Bring Transparency to Corporate Political Spending

In April, Kevin Brennan, co-head of the Investment Engine and Director of Investment Systems at Bridgewater Associates, and Paige Warren, a longtime finance executive and current senior fellow at the Advanced Leadership Initiative at Harvard University, co-authored a memo outlining how ESG—a field that has traditionally focused on issues such as environmental degradation, diversity and racial equity, human rights, board structure, and executive compensation—intersects with corporate political spending. 

Our findings? Corporate political influence is a critical but overlooked driver of ESG impact.

The Leadership Now Project ESG Task Force has championed this work, spending the past several months interviewing investors and corporate executives and gathering data from resources such as OpenSecrets, InfluenceMap, and the Center for Political Accountability. This research has helped inform our thesis:

• Corporate political influence matters to ESG.

• Political spending is often an overlooked arena when it comes to ESG.

• CEOs are more likely to align corporate political spending and ESG priorities when they experience pressure from key influencers: investors, board members, and executives and employees, supported by media awareness.

At Leadership Now, we recommend leaders of U.S. public companies take a few critical actions to ensure corporate political spending is transparent, aligned with their ESG goals, and contributes to a stable political and economic environment. 

Read more in our new memo “ESG and Corporate Political Spending: Practical Actions For Business Leaders to Reduce Risk, Ensure Alignment, & Support A Stable Economic Environment” 

Since publishing the memo, Kevin and Paige are looking ahead to what comes next. After a year exploring the potential for the ESG investing wave to help strengthen US democracy, they identified an opportunity to focus on corporate political influence. They are now working on launching a new initiative called OpenBook that aims to create the norm for corporations to provide transparency and accountability for their political spending and influence activities. Look out for their interviews on our blog in the coming weeks. 

For more insights on ESG and Corporate Political Influence, visit our ESG learning center.

ESG & Political Risk: A New Leadership Imperative

Nearly every week seems to bring a new crisis for business leaders to navigate -- from Russia’s invasion of Ukraine to the Supreme Court’s leaked Roe v. Wade decision to Florida’s ‘Don’t Say Gay’ legislation to the acquisition of Twitter. With business remaining the most trusted voice in society, it’s more clear than ever that leaders need to be proactive about what their values are -- and what those values mean in the policy and political sphere.  

How does this relate to democracy and ESG? Increasingly investors and employees seek to understand how political spending aligns with a company’s ESG priorities and if that spending is creating unintended risks. For instance, companies like Airbnb and Microsoft decided that politicians who supported the Jan 6th insurrection were creating too great a political risk to America’s economy and democracy. They promptly pulled their political contributions, and a majority of companies continue to refrain from funding those political leaders. Similarly, companies en masse halted business activities in Russia in response to the invasion of Ukraine.

As state legislators introduce bills impacting the LGBT community and abortion rights, the question of how a company responds will become more local. Executives will need to decide if this type of state legislation threatens their commitment to inclusion and equity as Yelp CEO Jeremy Stoppelman argued this week, and if they will stop supporting state legislators advancing those bills, many of whom receive substantial campaign funding from companies.

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Leadership Now launches new ESG memo

ESG and Corporate Political Spending: Practical Actions For Business Leaders to Reduce Risk, Ensure Alignment, & Support A Stable Economic Environment 

The memo, written by Kevin Brennan, co-head of the Investment Engine at Bridgewater Associates, and Paige Warren, a senior fellow at the Advanced Leadership Initiative at Harvard, highlights how political spending impacts ESG priorities and offers a roadmap for company leaders to proactively manage risks through greater transparency.  

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Companies can take several steps to proactively manage risk. The first is to make sure political spending is transparent. This is measurable -- it is currently tracked by the CPA-Zicklin Index -- and is a factor ESG investors can consider. Second, decision-makers need to be clear on what their corporate values and risks are -- whether it is climate change, election risks, or inclusion -- and understand if those priorities are reflected in the candidates and political organizations their company funds. In order to accomplish this, the authors provide practical guidance for company leaders on the integration of political spending data into ESG frameworks.

These are tricky times for all leaders to navigate. As the Disney case study illustrates, political risk requires proactive management, not reactive steps taken in the midst of a crisis.

At Leadership Now, we are excited to build upon this first memo and grow our ESG initiative. If you’re interested in getting involved or learning more, please reach out to Suraj Patel.

Democracy News: May 2022

Here is the latest news from Leadership Now and our members.

• Academic Advisor and Harvard Kennedy School Prof. David Gergen in an article by CBS News doesn't hold back when asked to describe the state of democracy in 2022: "We can't continue on the path we're on; it's unsustainable," he said. "It has the sense that we're, like, in a car, at midnight, on the edge of a cliff, with rain falling, and no headlights." 

• Academic Advisor and Stanford Business School Prof. Anat Admati mentioned in a Financial Times opinion piece on how ESG investing is missing the realities of market power in an age of corporate concentration and rising profits.

• Academic Advisor and HBS Prof. Rawi Abdelal published an opinion piece in the Boston Globe sharing what the West could do to further support Ukraine and ensure the country comes to the negotiating table with the strongest possible position.

• In her Washington Post review of E.J. Dionne Jr. and Miles Rapoport’s new book, 100% Democracy, Policy Member Didi Kuo, senior research scholar and associate director at the Center on Democracy, Development, and the Rule of Law at Stanford University, unpacks how mandatory universal voting may have the potential to fix our democracy.

Article: When Should Business Take A Stand?

Not engaging in political, social and moral issues is no longer an option for companies. Leadership Now recently spoke with the Financial Times about the increasing pressure for business leaders to speak out on a range of issues from voting rights to climate change.