Organization: Oracle Corporation

Year: 2018

Whereas: Whereas The median income for women working full time in the U.S. is reported to be 80% of that of their male counterparts. At the current rate of progress, it will be decades before women reach pay parity. A 2016 Glassdoor study revealed that the gender pay gap for women in the technology industry is 5.9%, even after adding statistical controls. The business case for gender diversity is well established, with research linking greater board and managerial diversity with better company financial performance. Credit Suisse has found that more diversity in management coincides with better corporate performance and higher stock market valuations. Morgan Stanley found that gender diversity is linked to better returns for tech companies. Studies also show that greater gender diversity brings increased innovation, better problem solving, stimulated group performance and enhanced company reputation. Yet Mercer's research indicates that current female hiring, promotion and retention are insufficient to create gender equality over the next decade. Women comprise 29% of Oracle's employees, but only 23% of its leadership positions. Research also shows a link between pay equity and greater gender diversity. Mercer notes that actively managing pay equity is associated with higher current female representation at the professional through executive levels and a faster trajectory to improved representation. Best practices outlined by McKinsey to achieve greater gender equality in the workplace include tracking and eliminating gender pay gaps. Regulatory risks associated with pay equity exist. California, Massachusetts, New York and Maryland have adopted strong equal pay laws. Cities are also taking steps to address the gender pay gap, including San Francisco and New York City. Oracle UK reported its gender pay gap in 2018 as required by UK law. The absence of similar reporting by Oracle in the U.S. is notable as peers Apple, Microsoft, eBay, and salesforce.com, among others, have publicly committed to pay equity and published the results of gender pay assessments.

Resolved: Resolved: Shareholders request Oracle prepare a report by April 2019 (at reasonable cost, omitting proprietary and confidential information), identifying whether a gender pay gap exists among its employees, and if so, outline the steps being taken to reduce the gap. The Organization for Economic Cooperation and Development has defined the gender pay gap as the difference between male and female earnings expressed as a percentage of male earnings.

Supporting Statement:Supporting Statement: A report adequate for investors to assess the Company's strategy and performance would include the percentage pay gap between male and female employees (including base, bonus and equity compensation), the methodology used to identify pay disparities, and a discussion of policies and programs to eliminate any disparities and to facilitate an environment that promotes advancement opportunities for women. With evidence linking pay equity to greater diversity and strong links between management diversity, financial performance and more robust decision making, companies would be well served by understanding the equity attributes of their pay, at all levels of the corporation, by gender as well as other facets of diversity, such as race and ethnicity.