ChampionX - 1792 Exchange

Rating Overview

ChampionX is Medium Risk.

ChampionX is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. ChampionX implements race and identity-based policies that replace merit, excellence, and integrity with preferential treatment and outcomes. The company occasionally embraces corporate initiatives that redirect its central focus from business goals to partisan policies and divisive issues at times. This approach fails to safeguard free exercise, free speech, and free enterprise.

Rating Criteria

Corporate Weaponization Risk Levels
Criteria	Risk Level
Cancellations	Medium Risk
Discriminatory Philanthropy	Lower Risk
Employment Protection	High Risk

Corporate Weaponization ⓘ

Corporate Governance and Public Policy Risk Levels
Criteria	Risk Level
Advocacy Bias	High Risk
Funding	Lower Risk
Political Actions	No Data

Corporate Governance and Public Policy ⓘ

Rating Criteria Detail

Criteria Risk Level Rationale

Corporate Weaponization

Criteria:

Has canceled customers, suppliers, or vendors due to their political views or religious beliefs OR corporately boycotts, divests, or sanctions regions, people groups, or industries.

Risk Level:

Medium

Rationale:

ChampionX integrates ESG into its business practices: “In 2023, we vetted and signed a contract for a management platform that will help us assess our suppliers based on ESG and specific human rights factors” (1). The company promotes divisive sex and gender policies. Its Supplier Code of Conduct requires international vendors to include sexual orientation in their nondiscrimination policy (2). However, ChampionX has not canceled customers, suppliers, or vendors based on political views or religious beliefs (3).

Criteria:

Charitable giving (including employee matching programs) policies or practices discriminate against charitable organizations based on views or religious beliefs.

Risk Level:

Lower

Rationale:

ChampionX does not appear to discriminate against charitable organizations based on views or beliefs. The company’s charitable giving focus areas are “STEM initiatives, civic and community development, and environment and sustainability through our volunteer and community giving programs, supporting needs for initiatives like local food banks and schools, humanitarian organizations, and disaster relief” (1).

Criteria:

Employment policies fail to protect against viewpoint or other discrimination and/or are ideological in nature.

Risk Level:

High

Rationale:

ChampionX appears to prioritize diversity over merit in its recruitment, hiring, leadership composition, supply chain, mentorship program. From its ESG 2023 Report: “We are committed to: Attract, support, develop, and retain employees from diverse backgrounds; Appreciate all cultures through mentoring, training, and coaching” (1). The company’s board “believes diversity in the broadest sense is important for a wellfunctioning Board. Diversity of viewpoints, backgrounds, and experience, including a consideration of gender, race, and age” (2). ChampionX “started tracking our supply chain diversity through a dedicated platform to help us access a more inclusive and diverse vendor network” (3). The company offers D&I training to its employees (4). ChampionX does not provide viewpoint protections for its employees (5).

Corporate Governance and Public Policy

Criteria:

Uses corporate reputation to support causes, organizations, or policies hostile to freedom of expression.

Risk Level:

High

Rationale:

ChampionX supports DEI within its business practices, hosting a DEI Council (1). The company supports ESG within its business practices. From its Rooted in ESG page: “We believe our largest impact will come from helping our customers reduce their emissions, but we are also committed to tracking and reducing GHG emissions from our operations” (2). ChampionX supports DEI within its business practices. From its ESG 2023 Report: “Our diversity is an invaluable asset. Our vision is to create and continuously nurture an inclusive workplace culture where every employee feels a sense of belonging and alignment to our purpose of improving lives, providing an environment that allows them to do their best work and unlock their full potential” (3).

Criteria:

Uses corporate funds to advance ideological causes, organizations, or policies hostile to freedom of expression.

Risk Level:

Lower

Rationale:

ChampionX has not used corporate funds to advance ideological causes, organizations, or policies (1).

Criteria:

Uses corporate political actions and/or financial contributions for ideological, non-business purposes.

Risk Level:

N/A

Rationale:

ChampionX does not operate a PAC or report on its lobbying at this time (1)(2)(3).