Amazon.com will confront 14 shareholder motions at its annual shareholder meeting on Wednesday, a new high for the retail and cloud computing behemoth, as socially conscious investors scrutinise its treatment of employees.
The surge in the number of resolutions reflects the growing popularity of environmental, social, and corporate governance (ESG)-based investing, which is motivating more shareholders to demand corporate accountability.
Investors have found it simpler to file proposals, and firms have found it more difficult to convince authorities that these resolutions should not go to a shareholder vote, thanks to regulators nominated by US President Joe Biden. continue reading
According to research firm Insightia, Google parent Alphabet will face the most such resolutions at an S&P 500 business next week, with 17, the highest since it began collecting them exhaustively in 2014.
Approximately 10 of the shareholder resolutions that Amazon shareholders will vote on concern labour rights and other ‘social’ problems, such as demands that the firm report on worker health and safety or the treatment of its warehouse workers. Others demand things like a review.
Amazon has advised its shareholders to vote against all 14 resolutions, claiming in its proxy statement that it has often previously taken steps to address the proposals’ underlying concerns. While the resolutions are not legally enforceable, firms frequently take action if they receive 30 percent to 40% of the vote.
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