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Read Full Article Here: https://www.hrdive.com/news/suit-alleges-california-board-diversity-mandate-is-unconstitutional/586825/

Dive Brief:A conservative watchdog group has sued California’s secretary of state, alleging the state’s diversity mandate for corporate boards is unconstitutional, according to an Oct. 2 announcement.

Dive Insight:Many companies revisited diversity and inclusion practices amid calls for racial justice following the killing of George Floyd.

Most studies have shown that the business case for diversity in the boardroom includes an increase in profitability and enhancement of a company’s culture.

California’s efforts to increase diversity at the board level has sparked interest in other U.S. state houses, but none have gone as far as the Golden State.

J.B. Pritzker, however, signed a law in August requiring corporations based in that state to begin annually reporting female and minority board membership.

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