On 29 August 2014, the Singapore Exchange Limited (the “SGX”) issued a press release announcing the official formation of the Diversity Action Committee (the “DAC”) which comprises business leaders from both large and small organisations and professionals from the private, people and public sectors. The DAC is appointed to increase the representation of women directors on boards of companies and will work with organisations which are already in the business of supporting or intermediating the preparation and appointment of board directors to explore how best to achieve its objectives. The DAC may also have to study the expectations and norms of directors, management, investors and other related matters.
The DAC will have the 10 recommendations proposed by the Diversity Task Force (the “DTF”) to advance its work. Such recommendations range from training to awards, to disclosure about the nomination process, matching of suitable directorial candidates to companies, without having quotas for women on boards. The DTF was set up in 2012 to examine the state of gender diversity on boards in Singapore, as well as its impact on corporate performance and governance.