Proxy Alert Regarding the Racial Equity Audit Proposals at RBC and BMO - 1. Canadian Banks Must Play a Key Role in Addressing the Racial Wealth Gap

In other words, the proponents ask RBC and BMO to initiate an independent assessment of their employment and business practices to identify where the banks activities may contribute to perpetuating the racial wealth gap and what can be done to mitigate the negative impacts on communities of colour and Indigenous people. [...] In Canada, the involvement of BMO and RBC in the funding of research and development of two major pipeline projects has been particularly criticized in the media by human rights groups.27 The Line 3 and Line 5 pipelines led by Enbridge and the Coastal GasLink pipeline received considerable opposition by Indigenous groups and human rights experts over allegations of violations of Indigenous rights.. [...] The underlying human rights risks of AI prompt a number of governments to adopt regulations aiming at protecting the rights of consumers including in regards to credit assessment.35 The specific impacts of AI on communities of colour also led human rights experts to advocate for better AI policy that prioritizes equity for people of colour.36 Accrued due diligence by the banks on the use of AI wou. [...] Firstly, we believe that the number of initiatives implemented by the bank and the related investment justifies the establishment of a more robust system of accountability for the benefit of its shareholders, employees and customers. [...] Additionally, because many of these stakeholders are in partnership with companies, and receive funding or contributions, negative criticism may compromise their relationship with the company.39 The Proponents’ response to RBC’s Board of directors RBC’s Board of Directors states that “diversity and inclusion is a cornerstone of [its] values and core to [its] purpose of helping clients thrive and c.