IPE: US union, non-profit request UN PRI Principles for Responsible Investment (PRI) delist private equity firm PAI Partners

IPE reported on the United Electrical, Radio and Machine Workers of America’s (UE) and PESP’s letter to UN Principles for Responsible Investment (PRI) chief executive officer David Atkin, by describing how PAI Partners’ portfolio company Refresco is engaged in union-busting and practices that endanger the environment and the health and safety of its workforce.

IPE, February 7, 2022: US union, non-profit request PRI delist private equity firm PAI Partners

UE and PESP wrote that although PAI Partners “may call itself a responsible investor that is concerned with environmental, social and governance issues”, its actions and those of Refresco contradicted the private equity firm’s stated commitment.

PESP: United Electrical Workers, Private Equity Stakeholder Project Seek Delisting of PAI Partners from UN Principles for Responsible Investment over Labor, Environmental Violations

The letter said the PRI should delist PAI Partners using the authority outlined in its ‘Serious Violation Policy’. Under this policy, the PRI’s board, by way of a majority vote, can delist a signatory if it believes the behavior of the signatory puts the integrity of the PRI at risk.

A spokeswoman for the PRI confirmed that it had received a complaint about a signatory, and said that it would be reviewing the complaint under the organization’s current policies. Refresco did not respond to IPE’s request for comment. PAI Partners also gave IPE a comment, acknowledging receipt of the complaint.