Under section 249D a relatively small number of shareholders can requisition an extraordinary general meeting (EGM) to raise questions of corporate responsibility in relation to a broad range of issues including labour practices, executive remuneration and environmental standards. No other country employs a numerical test for calling company meetings.(6) The Government and business groups have argued that the provision is open to abuse by 'vigilante' groups with political agendas.(7) Large companies can be forced to incur considerable costs in notifying members of an EGM. It is also argued that such meetings distract management from its core responsibilities.
How Many Shareholders Should it Take to Call a Meeting? (Research Note 18 2001-02)
How many shares do staff hold??
