Australia's laws are not protecting the natural ecosystems we rely upon. We believe a serious flaw lies within the Corporations Act 2001 (Cth). Currently directors' good faith civil obligations only require them to act ‘in the best interests of the corporation’ (s181). This narrow focus permits them to put their economic goals ahead of our existential goal! Maximising shareholder returns should not be at the expense of the public good and the environment.
On 25 May in Geelong, Geelong Sustainability is co-hosting the global launch of The Code for Corporate Citizenship, an elegantly simple solution devised by corporate lawyer, Robert Hinkley. By inserting a new clause into section 181 of the Corporations Act, directors would need to act ‘in the best interests of the corporation but not at the expense of severe harm to the environment’.
#TheCode would rebalance the civic obligations of company directors and have a real impact in relieving the climate emergency.
Geelong Sustainability’s campaign partners include the Centre for Climate Safety, ADAC - A Different Approach Community, The Sustainable Hour and Geelong Media.
We're keen to connect with local community groups and business people to explore this idea.
Please join in the discussion at the launch event at the Geelong Library at 5pm on Thursday 25 May 2023.