Estee Lauder Workers Call on Board to Drop Ronald Lauder

A group of Estee Lauder workers called on the board to drop Ronald Lauder, objecting to his support for President Trump, a media report says.
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A group of Estee Lauder  (EL) - Get Report employees have called on the board to drop Ronald Lauder, objecting to his support for President Donald Trump, a media report says. 

Lauder, 76, is the son of the New York cosmetics company's founders, Estee and Joseph Lauder.

More than 100 Estee Lauder staffers expressed those views in a letter to Chairman William Lauder that was reviewed by Bloomberg.

“Ronald Lauder’s involvement with the Estee Lauder Companies is damaging to our corporate values, our relationship with the black community, our relationship with this company’s black employees, and this company’s legacy,” the letter said.

Lauder’s brands include Clinique, Lauder and La Mer.

Ronald Lauder has contributed more than $1.6 million to pro-Trump organizations since he joined the Estee Lauder board in 2016, according to Bloomberg.

The news service reported that almost all the world’s 50 largest companies offered statements supporting black Americans as of Wednesday, pledging more than $1 billion to civil rights organizations.

The company told its workforce Thursday that it would contribute $1 million to help the black community, Bloomberg reports. Workers in their letter called for an increase to $5 million.

The company also said in a Thursday statement that “this week, several employees asked whether a single member of the Lauder family and our board, represents the views of our company. The answer is no.”

For the quarter ended March 31, Estee Lauder posted a net loss of $4 million, or 2 cents a share, swinging from a profit of $557 million, or $1.51, in the year-earlier quarter. Revenue fell 11% to $3.35 billion from $3.74 billion. 

Estee Lauder shares recently traded at $203.54, up 1.2%. The stock has gained 6% over the past three months, compared with a 1.6% rise for the S&P 500.