After “missing, or mishandling, a number of severe controversies”
Mark Zuckerberg and Facebook haven’t had a brilliant few months, and now things have got so bad that some shareholders want to oust Zuckerberg as the company’s chairman.
According to Business Insider, some of Facebook’s shareholders have put forward a proposal which would separate the roles of chairman and CEO, both of which Zuckerberg currently holds.
“A CEO who also serves as chair can exert excessive influence on the board and its agenda, weakening the board’s oversight of management,” the proposal, put forward by Trillium Asset Management, says. As chairman and CEO, Zuckerberg holds roughly 60 percent of the voting rights at Facebook.
“Separating the chair and CEO positions reduces this conflict, and an independent chair provides the clearest separation of power between the CEO and the rest of the board.”
The proposal suggests that the lack of managerial oversight it describes contributed to the “missing, or mishandling, a number of severe controversies” including the Cambridge Analytica scandal, as well as the proliferation of fake news and Russian meddling in the 2016 United States election.
The last couple of weeks have been particularly fraught for Facebook. Shares dived by almost 20 percent last week after the site reported its slowest user growth in two years, wiping £92 billion from its total value and knocking £11.5 billion off Zuckerberg’s personal fortune.