Amazon 2019 AGM Preview: Does negative ESG sentiment reflect ~$4.5B of hidden costs not priced in to Amazon’s valuation?

May 2, 2019

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Amazon shareholders have a fiduciary duty to consider proxy votes this May as activist investors and employees have proposed 12 ESG-related items for consideration on a variety of topics.

  • In recent years Amazon’s carbon intensity versus peers has risen and its GHG emission ESG performance has dropped, as discussion around carbon footprint disclosure heats up
  • SASB does not consider labor issues such as minimum wages as material to E-Commerce, but Amazon is unique because of its large fulfillment workforce that has low wages
  • This brief includes a crib sheet examining the various shareholder proposals up for a vote, including consideration of reporting on the societal ramifications of Amazon’s Rekognition facial recognition product

Material Categories
Compensation and Benefits
Fair Labor Practices
GHG Emissions
Lifecycle Impacts of Products and Services
Recruitment, Development, and Retention