Florida Gov. Ron DeSantis, along with an alliance of 18 other governors, dismissed environmental, social, and governance (ESG) investing as “fraud” in a new statement issued today that accuses the Biden Administration of “destabilizing the American economy.”
The Republican governors signed a joint statement in a new alliance led by Gov. DeSantis, including Alabama, Alaska, Arkansas, Georgia, Idaho, Iowa, Mississippi, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Oklahoma, South Dakota, Tennessee, Utah, West Virginia, and Wyoming—all who accuse President Joe Biden of threatening the retirement security of Americans workers on behalf of a “woke” agenda.
“The proliferation of ESG throughout America is a direct threat to the American economy, individual economic freedom, and our way of life, putting investment decisions in the hands of the woke mob to bypass the ballot box and inject political ideology into investment decisions, corporate governance, and the everyday economy,” said the statement.
Gov. DeSantis also issued his own press release, touting the efforts Florida has taken to reject ESG and sustainable factors from workplace retirement plans. Last month, DeSantis revealed his new legislative proposal that deters banks, trusts, and other financial institutions in Florida from investing in ESG. The Florida governor also yanked back $2 billion in state assets that had been managed by BlackRock, a major supporter of ESG investing.
“At my direction, Florida has led the way in combatting the pernicious effects of the ESG regime by directing our state pension fund managers to reject ESG and instead focus on obtaining the highest return on investment for Florida’s taxpayers and retirees,” he said in his release.
The hard push against sustainability comes as DeSantis is preparing to announce a run in the 2024 presidential election.
The statement is yet another attack by Republican lawmakers looking to overturn the Department of Labor (DOL) ESG rule since its announcement last year. Earlier this month, Congress moved to block the rule, with Biden expected to veto the decision.
The Biden Administration was also slammed with two anti-ESG lawsuits in January and February, one filed by The Wisconsin Institute for Law and Liberty (WILL), and the other by two dozen Republican-led states, with both aimed at stopping the ESG rule from taking effect. Both suits accuse the DOL of overstepping its statutory authority under the Employee Retirement Income Security Act of 1974 (ERISA).
SEE ALSO:
- Senate Strikes Down DOL ESG Rule
- House Approves Measure Blocking DOL ESG Rule
- Conservative Nonprofit Sues Biden Administration Over ESG Rule
Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.