Anger as York fails to divest shares in BAE
Ethical investment campaigners have expressed further dismay after a Nouse investigation has shown that the University of York still holds shares in a controversial arms company 18 months after they were first exposed.
The continued investments held directly by the University in BAE Systems have been labeled a “disappointment” by the People and Planet Society.
Bill Hemmingway, the University Pensions and Payroll manager, has confirmed the University stills owns 147,100 shares in BAE Systems despite widespread condemnation when Nouse reported the University’s ownership of the shares in May 2006.
Since its creation in 1999, BAE Systems has come under steady criticism. The Guardian and CAAT have reported that the company exports 80% of its products abroad, where it seeks new markets experiencing military build-ups.
The company has also been labeled complicit in the deaths of over 2000 people (mainly civilians) who were killed in Aceh, Indonesia, by BAE Hawk aircraft in 2003.
Since May 2006, the University has benefitted from a £25,448 increase in value of its shares in BAE Systems to a total of £644,371.
Kate Evans, chair of People and Planet, which has been at the forefront of a campaign for a university ethical investment policy, said: “I’m disappointed at the slow progress”.
Symon Hill, spokesman for the Campaign Against Arms Trade, said the investment was “inexcusable for an institution based on learning and progress”.
Rich Croker, YUSU President, said in a statement that he would like to see the University divest as soon as possible but could understand the reasoning behind the University’s continued holdings.
The University press office refused to comment.
paul chimbonda
By all accounts it is the responsibilty of the pension trustees to maximise growth and the investment in Bae systems has proved to be a shrewd one ,no doubt if the investments where in Chinese stocks who are the masters of unethical activity and civil rights abuses we wouldnt hear a dickie bird.get a life and find something more newsworthy and get off the backs of people who have a job to do.
Jamie
Hi Paul,
Maybe you should read this http://www.nouse.co.uk/2007/05/31/york-condemned-for-sudan-investment/.
Sophia
Paul,
Firstly, this article is reffering to DIRECT investments held by the University, not investments made throught the York Pension Fund.
Secondly, while it is true that the primary duty of the trustees of the York Pension Fund is to guarantee growth, there is no reason that ethical factors can be taken into consideration - there is a mass of research on the benifits of socially responsible investment that demonstrates that, far from having a negative effect on financial growth, it can lead to a higher level of financial stability and security. If you’re interested in the issue, I’d advise you to look at www.eiris.org or www.unepfi.org as a starting point.
Sophia
Sorry, that should have read: ‘there is no reason that ethical factors CANNOT be taken into consideration’.