Why Many C.E.O.s Are Silent on the Biden-Trump Rematch
Corporate leaders have largely gone quiet on both candidates, who will debate on Thursday for the first time since 2020.Credit…Erin Schaff/The New York Times
Quiet in the C-suite
Three years ago, corporate leaders openly spoke out against Donald Trump over his role in the Jan. 6, 2021, Capitol attack. But as the former president leads in many polls this time around, most in the C-suite are staying quiet.
In 2021, C.E.O.s including Mary Barra of General Motors and Doug McMillon of Walmart publicly urged a peaceful transition of power. This time, leaders have largely stayed out of the political fray. Only a handful of executives have publicly supported Trump, who was willing to go after perceived enemies in corporate American when he was in office. And while there may be support for President Biden behind the scenes, few have offered it on the record.
What’s behind the silence?
A return to the norm: Executives have mentioned election-related topics 364 times in earning calls in the second quarter as of June 24, according to the data provider AlphaSense. It’s highly unlikely that tally will reach 902, the number of times the topics were mentioned in 2020 during the same period.
But this cycle is more in keeping with historical norms. In 2016, executives mentioned election-related topics 307 times, according to AlphaSense. Why was 2020 an outlier? Perhaps it was the year’s extraordinary political volatility and the unique social dynamics of the coronavirus pandemic.
The past four years have highlighted the potential danger of speaking up. Gov. Ron DeSantis of Florida waged war against Disney, one of his state’s biggest employers, after Bob Chapek, the media giant’s C.E.O. at the time, spoke out against the legislation in Florida that activists have called the “Don’t Say Gay” bill amid employee pressure. And Republican attorneys general have attacked companies including JPMorgan Chase and BlackRock over their environmental, social and governance programs.
