Good practice guides for making board diversity disclosures, for listed companies

The 2018 Singapore Code of Corporate Governance (Code) requires companies to set and disclose, in their annual reports:

  1. the board diversity policy;
  2. objectives; and
  3. progress in achieving their objectives.

Listed companies are required under the Singapore Exchange Listing Rules to disclose their corporate governance practices and give explanations for deviations from the Code in their annual reports.

The PwC Guide “Board diversity disclosures in Singapore: From intent to outcomes” explores how Singapore companies fare in their board diversity disclosures and recommends ways that they can improve:

  1. Set measurable diversity goals and targets to reinforce trust and accountability in companies’ promise to enhance board diversity and spur further actions to meet the targets set.
  2. Include definitive action plans towards meeting diversity goals and targets.
  3. Review system for monitoring progress and development of diversity within the company.
  4. Review and enhance company’s board diversity policy on an annual basis to ensure it remains relevant with the companies’ overall Inclusion & Diversity strategies.
  5. Expand the disclosure of company’s diversity beyond the board.
  6. Explain in a clear and transparent manner why a company does not have a board diversity policy.

Click here to read the full guide. (See page 14 for more details on the recommendations.)

The Council for Board Diversity has also compiled some examples of how leading listed companies in Singapore make disclosures in their annual reports. Companies could use these disclosures as references when considering how they could meet the requirements of the revised Code.

Please click here.