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Thursday, May 5, 2022

Strategic CSR - Exxon

To me, the article in the url below falls under the category of 'trying to solve a problem that doesn't really exist':

"Exxon Mobil will no longer allow banners of outside organizations on its flagpoles, angering some employees who in the past had flown a rainbow pride flag."

I can see how this might be an issue if employees were constantly lobbying the firm to fly the flags of all kinds of groups and causes that were offensive or attracting negative attention to the company – where would it stop? But, the article instead suggests that it is just a couple of flags (LGBTQ+ and BLM) from organizations that its employees broadly support:

"The new policy allows only government flags and those representing Exxon Mobil and its employee resource groups, which are employee-led affinity organizations that are generally blessed by employers. Workers can display the pride flag and representations of other groups like Black Lives Matter on other areas of the company's properties, including on lawns or in digital spaces."

It seems that the decision was made quite abruptly, and imposed from above:

"Current Exxon employees declined to comment. J. Chris Martin, a former employee who used to head the [L.G.B.T.] group, said that a different flag featuring the Exxon logo on a rainbow background 'was flown at many company locations last year without question' but that he had been told that approval to display that flag had been revoked 'without explanation.'"

Why risk alienating your most important stakeholder group, the firm's employees, for no discernable benefit or to avoid no noticeable harm? It beats me. But, then again, I have never understood why Exxon (one of the most innovative companies on the planet) continues to make dumb decisions that only serve to ensure it is an organization that continues to underperform. It seems that the company has a well-established track-record in this area:

"Exxon was long considered a foe of gay rights, particularly after it merged with Mobil and eliminated that company's policies that barred discrimination based on sexual orientation and provided benefits to same-sex couples. Exxon has since reinstituted those policies, and its rating in the Human Rights Campaign's Corporate Equality Index has risen to 85 out of 100 in 2022, from negative 25."

Perhaps it is aspiring to a negative score once again.

Take care
David

David Chandler
© Sage Publications, 2020

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Exxon Bans Outside Flags From Its Flagpoles
By Ivan Penn
April 25, 2022
The New York Times
Late Edition – Final
B4