Jessica DiNapoli, Ross Kerber

(Reuters] – BlackRock Inc (NYSE :), a leading asset manager in the United States, said Tuesday it wanted U.S. companies aiming for a board of at least 30% diversity, and that includes at least one person from an under-represented background.

New guidelines by the $9.5 Trillion asset manager have been released to clarify its priorities for portfolio companies in 2022. They also give companies more flexibility on reporting their climate impact and recommend that companies vote on any reorganization ideas.

These updates show that New York’s influential firm is taking the same steps as other large asset managers to press portfolio companies for environmental, social, and governance considerations.

This month, earlier Goldman Sachs Group Inc (NYSE) stated that it would like big companies to employ at least one person from underrepresented groups, citing increasing availability of personal diversity information in corporate disclosures.

In recent years, boards have increased their diversity through the addition of new members, as a result of increasing attention from customers, investors and employees to this subject.

Spencer Stuart executive recruiter says that 21% of company directors are Black, Asian, and Hispanic. Spencer Stuart found that 18% of the 234 mid-cap firms with diversity statistics had directors who were historically underrepresented.

Women now make up 30% of all S&P 500 directors. According to Spencer Stuart, 28% of mid-cap firms have this figure.

BlackRock last year cited the lack of information as an excuse for failing to establish a racial/ethnic diversity target in boardrooms. They had requested more detail from companies.

BlackRock representatives have sent language to indicate that the directors of under-represented groups may include people from racial and ethnic minorities, LGBTQ+ individuals, disabled people, and veterans.

Although BlackRock did not state when it would vote to remove directors who did not comply with its standards, the lack of diversity was one reason why more directors were removed in 2021.

More Reporting Accepted

BlackRock has previously asked companies to submit their climate data under the SASB standards established by the Value Reporting Foundation. BlackRock stated that companies can use other standards in its updated guidelines. It also cited the recent work of an international board at last month’s United Nations climate summit.

BlackRock stated that companies looking for new corporate forms must vote in shareholders. A growing number of supporters are supporting the shift of companies to public benefit corporations to protect employees’ rights.