Novanta Inc. - 1792 Exchange

Rating Overview

Novanta Inc. is Medium Risk.

Novanta, Inc. is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. The company 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:

Novanta integrates ESG into its business practices. From its Sustainability Strategy & Programs: “We have standardized our Global Supplier Onboarding and Recertification assessment process across our businesses, which includes onsite audits covering environmental, social, and governance topics, including human rights” (1). From its 2022 ESG Report: “We began integrating ESG into our operations several years ago, but this started to get real traction in
2022” (2). However, the company 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:

Novanta does not appear to discriminate against charitable organizations based on views or beliefs (1).

Criteria:

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

Risk Level:

High

Rationale:

Novanta offers unconscious bias and intersectionality training to its employees (1). The company appears to prioritize diversity over merit in its hiring and leadership composition. From its Sustainability Strategy & Programs: the company “support[s] the representation of women and people from underrepresented groups at all levels of the organization so our workforce better reflects the demographics of the local communities where we are based” (2). From its 2023 Sustainability Report: “Our internal DEI goals are to… [i]ncrease the representation of women, people of color (POC) and of diverse ethnicities in leadership positions” (3). Novanta does not provide viewpoint protections for its employees (4).

Corporate Governance and Public Policy

Criteria:

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

Risk Level:

High

Rationale:

Novanta is committed to net zero emissions by 2050 (1). The company supports DEI within its business practices, hosting a Culture Council which “helps execute our inclusion and belonging initiatives” (2). Novanta supports DEI within its business practices. From its Careers webpage: “Inclusion and belonging is embedded in our core values and culture” (3). The company supports ESG within its business practices. From its 2022 ESG Report: “Across our organization, we have committed to making ESG a priority—a Novanta with a unified culture and spirit, regardless of geography or business unit” (4). Otherwise, Novanta has not supported ideological causes or policies (5).

Criteria:

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

Risk Level:

Lower

Rationale:

Novanta 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:

Novanta does not operate a PAC or engage in lobbying at this time (1)(2)(3).