• Sat. Apr 20th, 2024

Pressure on Goldman Sachs CEO David Solomon: ISS Calls for Separate Roles in Governance Structure Amid Controversies

BySamantha Jones

Apr 4, 2024
Investor Advisor Recommends Separating Roles of Goldman CEO and Chairman

David Solomon has been serving as the chairman and CEO of Goldman Sachs for the past five years. However, he has recently faced a challenge from a big investor advisor. The advisor has recommended separating the roles of CEO and chairman to ensure more independent oversight. The annual meeting vote on this issue comes at a time when Goldman Sachs is under scrutiny for its consumer business and ongoing personnel issues.

The proxy advisor, Institutional Shareholder Services (ISS), is urging Goldman to have separate CEO and chairman roles. ISS believes that having more independent oversight of the company is necessary, as indicated in a report sent before the April shareholder meeting. Despite the fact that under Solomon’s leadership the stock has seen significant growth, recent issues facing Goldman Sachs have put him under a harsh spotlight. The bank has been working on damage control after reports about a lack of female leadership, including women leaving the company during Solomon’s tenure. One of the female executives who left, Stephanie Cohen, led the bank’s consumer business ventures, which ended up in losses and subsequent retreat.

ISS has also expressed concerns about Solomon’s decisions in the consumer sector, which have resulted in losses and further human capital issues. Even though Goldman’s governance committee found the dual CEO-chairman structure to be effective, ISS still recommends separate roles. However, Goldman’s board of directors including next lead independent director David Viniar have received ISS’ recommendation to be voted for . There is skepticism about elevating a former Goldman executive to such a role but the board is standing by its decision and structure despite the report from ISS and upcoming shareholder meeting .

By Samantha Jones

As a dedicated content writer at newszxcv.com, I bring a passion for storytelling and a keen eye for detail to every piece I create. With a background in journalism and a love for crafting engaging narratives, I strive to deliver informative and captivating content that resonates with our readers. Whether I'm covering breaking news or delving into in-depth features, my goal is to inform, entertain, and inspire through the power of words. Join me on this journey as we explore the ever-evolving world of news together.

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