Faith-based investors lobby against Chamber's stand

Faith-based capitalists lobby large U.S. firms - some in Minnesota - to disavow U.S. Chamber hostility to health care reform measures.

November 14, 2009 at 3:39AM

Adopting a new tactic in the health care debate, a coalition of faith-based investors has asked UnitedHealth Group, 3M, Target, General Mills and other major members of the U.S. Chamber of Commerce to repudiate the Chamber's opposition to reform bills moving through Congress.

Members of the Interfaith Center on Corporate Responsibility (ICCR) requested that more than two dozen of the Chamber's most influential companies distance themselves from the Chamber's current advertising and lobbying campaign against reform measures. The ICCR says its 275 members have more than $100 billion invested in these and other companies, and it expects the companies in which its members invest to act in ways the group considers productive on health care reform.

Six companies, including Target, had responded by a Friday deadline, said the Rev. David M. Schilling, ICCR's human rights director. None distanced itself from the Chamber's campaign, which the ICCR calls "scare tactics." The failure of companies to break with the Chamber could lead to shareholder resolutions that force votes on the issue at annual meetings.

"Shareholder resolutions are one of our primary tools," Schilling said.

Three of the four Minnesota companies contacted by ICCR declined to break ranks with the Chamber but stressed their independence in the health care debate.

"We're reviewing the letter and deciding how best to respond," UnitedHealth spokesman Don Nathan said. "We take our own position on what we think is the right course. That's not dictated by any outside organization."

Like the Chamber, UnitedHealth opposes a government-run health insurance option. Earlier this week, UnitedHealth asked employees to send company-drafted form letters to members of Congress, voicing opposition to a public plan. Faith-based investors consider the public option one of the most important elements of health care reform.

Susan Kahn, Target's communications vice president, said Target "supports the need for meaningful health care reform" and will work with Congress to make that happen. Schilling said that also was basically what Target told the ICCR.

General Mills' corporate communications director, Kirstie Foster, said, "We have heard many voices and comments in this debate. We continue to hold to our principles. We support reforms that will make health care more affordable and available for all."

3M spokeswoman Jackie Berry said the company had received the ICCR letter, was "reviewing it" and would not have a comment.

At issue, according to the faith-based investors, are core health care reform guidelines, such as access to health care, which companies adopted as the national debate began. The ICCR's leaders say the Chamber's negative advertising doesn't contribute to the debate. Instead, said Schilling, "it makes people fearful."

"We want to be very clear that every single one of these companies had previously agreed to adopt health care reform principles that are directly at odds with the extremist position that has been taken by the U.S. Chamber of Commerce," said Laura Berry, the ICCR's executive director.

Tita Freeman, the chamber's vice president for communications, responded with a statement: "The Chamber's number one priority is growing the economy and creating jobs. The Chamber has long advocated for health care reform that expands access to quality health coverage while bringing health care costs down for individuals, families and businesses. We will not be distracted from these goals."

The move by the faith-based investors attempts to call into question the chamber's clout by calling out the companies in which the ICCR has invested. "We are asking you to communicate in a clear public voice whether or not the Chamber has your 'proxy' when it comes to health care reform policy," the ICCR letter states.

"If they all stonewall, we'll have a conversation about whether to file shareholder resolutions," said Edward Gerardo, the director of community and social investment for Bon Secours Health System Inc., an ICCR member.

"Divestment is an option, but it is not likely."

The Rev. Michael Crosby, a Catholic priest who helps direct ICCR members in Wisconsin, Iowa and Minnesota, agreed.

"A lot of times, you do this to raise the issue," Crosby said. "It took years to get [corporate boards] to do something on South Africa."

Jim Spencer • 612-673-4029

about the writer

Jim Spencer

Washington Correspondent

Washington correspondent Jim Spencer examines the impact of federal politics and policy on Minnesota businesses, especially the medical technology, food distribution, farming, manufacturing, retail and health insurance industries.  

See More

More from Business

card image