Woolworths Group shareholders vote against plan to stop sourcing farmed salmon from Macquarie Harbour in Tasmania
Concerned Woolworths shareholders dominated the annual general meeting with debate about one of the store’s very popular products.
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Woolworths shareholders have voted against immediate action to stop sourcing farmed salmon from waters where it’s estimated only up to 120 Maugean skate remain in the wild.
A small group of shareholders took their resolution calling to amend the company’s constitution on farmed seafood reporting and farmed salmon sourcing to the Woolworths Group Annual General Meeting, held in Sydney on Thursday.
The group of about 120 shareholders were involved in Environment Tasmania, Neighbours of Fish Farms, Eko, Living Oceans and SIX Invest, with about one quarter of the group living in Tasmania.
Their main concern was the plight of the Maugean skate, which is a prehistoric ray that only lives in Macquarie Harbour, about 300km northwest of Tasmania.
There’s only estimated to be 40 to 120 adult Maugean skates left in the wild, with the population having almost halved in the past decade, according to a recent study by the independent Threatened Species Scientific Committee (TSSC) in August.
The federal government is continuing its assessment of the possible extinction of the Maugean skate.
One of the resolutions proposed by the concerned investors was to get the major supermarket to end its procurement of farmed salmon from Macquarie Harbour by April 2025.
Woolworths Group chairman Scott Perkins told the AGM the company was waiting for the results of government studies before making a further decision about sourcing farmed salmon from the region.
“The unsustainability of supply from Macquarie Harbour is a matter we’re taking very seriously,” Mr Perkins said.
“It is however a complex issue and there is some conflicting evidence on some important matters.
“We are supportive of federal reviews … and the assessment of the extinction of Maugean skate.
“We are not close minded to all or any scenarios that may emerge from those reviews.
“We don’t take this risk lightly, we’re not predetermining any of the responses that we think would be appropriate.
“We do think any action we take should be fully informed.”
Shareholders were advised the board of directors did not support any changes to the constitution on these matters at this time and encouraged shareholders to vote against the resolution.
The primary resolution was ultimately voted against, leaving the following resolutions null and void as the first resolution did not receive 75 per cent of shareholders approval.
However, Woolworths did allow those concerned to ask questions at the AGM about its practices and procedures in protecting the endangered species.
One shareholder said the possible risk of extinction for the Maugean skate meant the company’s decision about sourcing farmed salmon from the area was “catastrophic and urgent”.
“It’s a warning that company directors and all shareholders must heed,” she said.
“It can be a legacy of lasting change, not one of regret.”
Another shareholder said he was shocked to learn the board of directors hadn’t acted sooner on preventing the possibility of the extinction of the Maugean skate.
“Companies that demonstrate their ESG (Environmental, Social, and Governance) performance … have a benefit to shareholders on attracting a premium on the sharemarket,” he said.
“I thought there would be no need to go as far as a shareholders resolution … to stop the extinction of an animal
“Surely a board would step in before it had to be proposed.
“This is a lot of ESG and brand risk for the sake for a small quantity (of salmon).”
Recommitting to the company’s belief it should wait for the final government reports on the matter to be handed down, Mr Perkins said while Woolworths “would like the work to have been done earlier”, the company understands all processes must be met before it’s completed.
The shareholder group also wanted to see the company report on the impacts of its farmed seafood on endangered species.
Mr Perkins said the company was “not aware of any other species endangered” in proximity to its farmed seafood operations.
The company’s decision comes after Environment Minister Tanya Plibersek confirmed the government was delaying its decision on whether the Maugean skate’s threatened species status should be upgraded to “critically endangered”.
The TSSC required an extra year to assess its research, according to Ms Plibersek.
The Bob Brown Foundation condemned the outcome at the Woolworths Group AGM.
“Woolworths must no longer hide behind waiting for an outcome that is dependent on politics,” Bob Brown Foundation Marine Campaigner Alistair Allan said.
“Just this week Federal Environment Minister, Tanya Plibersek, delayed making any decision on the Maugean Skate until after the election.
“Woolworths cannot follow the same path.
“The chair of Woolworths acknowledged that their brand has taken a large hit when it comes to public trust, just wait until the public realises, they are responsible for causing an extinction.”
“Consumers are being lied to by Woolworths, there is nothing ‘responsibly sourced’ about Tasmanian farmed salmon. It is an environmental disaster and is killing Tasmania.
“Right now, if you as a shopper don’t want to partake in an extinction, you must refuse to buy any Tasmanian salmon.”
Originally published as Woolworths Group shareholders vote against plan to stop sourcing farmed salmon from Macquarie Harbour in Tasmania
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