The impact of opt out and the movement against high-stakes testing has been impressive when it comes to Pearson’s bottom line.
The British publication Professional Pensions reports that Pearson, a UK-based company that controls much of the U.S. school testing business, has lost 42% of is share value in the last year.
Chicago Teachers Pension Fund, Trade Union Fund Managers and 130 individual shareholders joined Unison in the resolution that will be heard at Pearson’s annual general meeting this April.
The resolution said the company was over-reliant on the education testing programme in the US, which had been affected by a recent change in the law and was also becoming increasingly unpopular. It comes as the company revealed last month it was axing 4,000 jobs – 10% of the company’s workforce.
Unison Capital is a major investment firm, which owns 33,000 shares of Pearson.
The coalition of unions and public employee pension funds, including the CTPF and the AFT control another 40,000 voting shares of Pearson.
“Rather than continue to focus the business on politically poisonous high stakes testing, and axing the jobs of thousands of employees, chief executive John Fallon should be conducting a wholesale reassessment of Pearson’s strategic vision.”