Investor advisory group Institutional Shareholder Services (ISS) has announced its support for an Apple shareholder proposal that calls on the company to disclose a CEO succession plan.
The move comes after current Apple CEO Steve Jobs announced he would be taking a medical leave of absence, leaving the company in the hands of chief operating officer Tim Cook.
“All companies should have succession planning policies and succession plans in place, and boards should periodically review and update them,” ISS said in its analysis of the proposal, according to a release by the Laborers' International Union of North America (LIUNA).
“ISS believes that shareholders would benefit by having a report on the company's succession plans disclosed annually. Such a report would enable shareholders to judge the board on its readiness and willingness to meet the demands of succession planning based on the circumstances at that time.”
But shareholders look likely to vote against the proposal in the company's annual meeting on 23 February after Apple recommended they do so in a 7 January filing.