Jonny Chard | News Editor
Featured image: Many York students support the university’s divestment from weapons manufacturers | Kennedy Morgan
With “Drop Fees Not Bombs” posters on nearly every wall and a gathering planned for February 9, the topic of divestment from weapons manufacturers is looming large once again on York’s campus.
YU Divest is continuing to lobby York’s Board of Governors against any future investment in companies such as BAE Systems, Lockheed Martin, Northrop Grumman, Textron and Amphenol.
Weapons manufacturers are perceived as being complicit in major harm and destruction brought upon communities around the world, with the claim that because they rely on and directly benefit from conflict, they have an inherent interest in their continuation.
With growing refugee crises in parts of the Middle East and Africa, there has been a growing pressure on institutions around the world to consider ethical investment practices.
In a statement on YU Divest’s website, it is emphasized that any investment in weapons manufacturers has a lasting impact on both war-torn areas and York’s community.
“Many York community members have family members who are directly impacted by these weapons. A university that values the safety of its community should not be investing in companies that put the safety of its community members at risk, along with many other innocent people,” it reads.
York makes investments through its endowment fund, a pool of money utilized to generate profits that finance scholarships, bursaries and university projects.
Every financial quarter, a detailed investment holdings report is produced, along with a statement of investment policies and procedures.
As of December 2016, York held no investments in the aforementioned companies and continues to consider the integration of environmental, social and governance risk factors in its investment selection process.
Nonetheless, many do feel that there is nothing concrete stopping the university from reinvesting in them in the next financial quarter.
“[York’s actions] prove that it is possible to ethically manage a successful endowment fund,” said YU Divest.
“Divestment does not only require the university to pull their existing investments from these companies but also to make a binding commitment not to reinvest.”
Studies of divestment campaigns have shown that they in fact do little to directly impact the share prices of the companies involved.
It is believed, however, that divestment campaigns create an impact through the generation of stigma surrounding certain industries, leading to fewer people wanting to work there or to greater popular support for policy at a university or government level.
More than 80 campus organizations endorse the YU Divest campaign, but it has faced criticism from numerous groups citing it as a means of promoting the Boycott, Divestment and Sanctions policy against Israel.
Steph Baker, political liaison for Hasbara, says that they do not agree with the campaign due to the negative connotation surrounding it that makes peaceful dialogue around the topic difficult.
“While YU Divest does not focus only on Israel, a large amount of energy is focused on promoting divestment from it,” says Baker.
“It makes it very difficult to create a peaceful dialogue about the country when such actions are fighting against it,” she adds.
“While some people may think that it is impossible to help Palestine while supporting Israel, it is untrue.”
Rawan Habib, vice-president campaigns and advocacy for YFS, states that the divestment campaign focuses solely on ensuring that university funds be channelled into education and the lowering of tuition fees.
“Divestment from weapons manufacturing by [the university] and the redirection of those funds into post-secondary education is directly linked to the reduction of tuition fees and improvement in the quality of education,” she says.
Trudy Pound-Curtis, assistant vice-president finance and CFO at York, notes that the Advisory Committee on Responsible Investing includes staff, faculty and students.
“The committee has held […] panel discussions over the past two years to enable the community to hear diverse viewpoints on responsible investing,” says Pound-Curtis.
Divestment remains a highly contentious topic that has created many heated exchanges, so Excalibur sought to establish what York students really think.
Nicholas Casey, second-year history student:
As far as I am concerned, [this] investment isn’t ethical. This is an institution that spreads inclusivity and acceptance, but at the same time makes money from wars around the world. It doesn’t seem right. For myself, divestment would make me feel better about the institution I attend. Reinvestment into more sound ethical industries feels a lot better. This campaign is the definition of a student movement. We cannot allow our beloved institution to make money off weapons manufacturing.
Laith Zidan, third-year human resource management student:
I’m personally against York investing in weapons manufacturers. Universities should focus all their resources on education, especially at a diverse university like York where weapons investment is an issue that hits close to home for many. Weapons investment causes a distraction, and some students may feel they are directly contributing to conflict.
Jessica Alphabet, fourth-year sociology student:
I only discovered that York was behind this quite recently. I can see why York’s involvement with this investment would be kept on the down-low. If you look at power, it is often sustained and cultivated by ignorance. They should look at the needs of students and lower fees, for the greater good and for people wanting an education who are unable to afford it. I can, however, appreciate if the investment was done with the good intention of establishing scholarships and bursaries; I don’t see much wrong with that.
Manroop Sekhon, second-year business administration student:
York is an enormous institution that can invest in other companies that are economically large enough to fund our scholarships. By investing money in companies that create such deadly weapons that lead to destruction, death and horror for the entire world to fear, York is being included in this problem. Instead of using money to help these companies grow, York should really think about lowering our fees so that scholarships wouldn’t need to be funded by these companies.
