California requiring more women on boards
It’s official – California has become the first state to require publicly traded companies, based in the state, to maintain at least one woman on their board of directors by 2019.
The bill was signed into law by Gov. Jerry Brown on Sept. 30 and will require at least two female board members by the end of 2021 for companies with at least 5 directors. For companies with 6 or more directors, at least 3 women must be on the board.
Company’s failing to meet the requirements will face fines of $100,000 to $300,000 and up.
“Given all the special privileges that corporations have enjoyed for so long, it’s high time corporate boards include the people who constitute more than half the ‘persons’ in America,” Brown said in a statement announcing the bill’s signing.
The bill was signed into law by Gov. Jerry Brown on Sept. 30 and will require at least two female board members by the end of 2021 for companies with at least 5 directors. For companies with 6 or more directors, at least 3 women must be on the board.
Company’s failing to meet the requirements will face fines of $100,000 to $300,000 and up.
“Given all the special privileges that corporations have enjoyed for so long, it’s high time corporate boards include the people who constitute more than half the ‘persons’ in America,” Brown said in a statement announcing the bill’s signing.