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19 August 2019Creating wealth for its members is no longer the only priority for the CEOs of America. The Business Roundtable, a group of CEOs of major US companies, issued a statement offering a new definition of "a company's purpose". Instead of serving its shareholders first of all by maximizing profits, the new idea of "corporation" involves investing in employees, value for consumers, ethical management of relations with suppliers and support for local communities where companies operate.These are the new commitments of the 181 CEOs part of the Business Roundtable, to which is added "the generation of long-term value for the shareholders, who provide the capital that allows our companies to invest, grow and innovate. We commit ourselves to transparency and to the involvement of members ". In terms of employees, the group cites "fair compensation" and the provision of "important benefits" but also training and education "to develop new skills in a rapidly changing world".
With regards to suppliers, "large and small", Corporate America wants to act as a "good partner". In supporting local communities, the Business Roundtable talks about protecting the environment "by embracing sustainable practices in all our activities". That said, the Business Roundtable points out that "everyone in our members is essential. We are committed to providing value to all of them, for the future success of our companies, our communities and our country". Jamie Dimon, the CEO of JPM and president of the Business Roundtable, explained that "the American dream is alive but it is wearing out". According to him, the big employers "are investing in their staff and in their communities because they know that this is the only way to succeed in the long term. These modernized principles reflect the unmovable commitment of the business community to support a economy that serves all Americans ".