• by Steve McClellan  @mp_mcclellan, May 28, 2013

Omnicom and IPG shareholders voted against proposals from the Office of the Comptroller of New York City to disclose the company’s EEOC filings that annually report a comprehensive breakdown of the company’s workforce by race and gender across all employment categories. The votes came at the respective annual meetings the companies held last week.

It’s the second straight year that the city has proposed the disclosure by one or more agency holding companies, arguing that disclosure would inform the public regarding how the industry is progressing in its efforts to diversify its workforce. Last year, the city made the proposal at the Omnicom annual meeting, where it was voted down by a margin of two to one.

This year the Omnicom vote was roughly the same ratio against the proposal. The IPG vote was more than 3 to 1 against it. In both cases the companies had recommended that shareholders vote against it, arguing that the data does not consider specific industry factors and that disclosing it would not help diversity efforts.

There was no immediate comment from the city on the voting.

But the issue remains a hot-button topic for the industry, as several discrimination lawsuits against the holding companies are winding their way through the courts, including one set to go trial next month against IPG. That suit was filed last year by legal department employee Joy Noel, who has allegee that she was illegally passed over for promotion because of her race.

Last week, IPG made a last-minute plea to Judge Harold Baer of the U.S. District Court in Manhattan to toss the case, citing inconsistencies between Noel’s complaint and a deposition that was taken from her on May 22.

A key issue in the case has to do with Noel’s lack of experience in dealing with a board of directors as a factor in her being passed over for promotion. In her complaint, Noel charged that the qualification was a trumped up, after-the-fact excuse to deny her a promotion.

In a letter to Judge Baer last week, IPG countered that Noel testified at her deposition that she was aware before she applied for the promotion that board experience was a prerequisite. In its letter, the company cited other inconsistencies between Noel’s deposition and complaint and asked the judge to toss the case.

Baer however, declined to do so. “While I agree that the contradictions create a problem for the plaintiff, my view is to let the jury decide,” Baer ruled. Trial is set for June 3.

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