During the 2022 proxy voting season, Praxis Mutual Funds® co-filed a shareholder proposal calling for an audit analyzing Amazon’s impacts on civil rights, equity, diversity and inclusion, and the impacts of those issues on Amazon’s business. The lead filer was the New York State Common Retirement Fund. A similar proposal was supported by 44% of Amazon shareholders in 2021.
The investors withdrew their proposal after Amazon agreed to conduct an independent audit led by former U.S. Attorney General Loretta Lynch. The audit will investigate “disparate racial impacts” that may result from its employment practices, particularly regarding the company’s hourly workers, among other areas.
One of the Praxis core values is to respect the dignity and value of all people. Praxis believes companies would benefit from assessing the potential risks of their products, services, and practices that are – or are perceived to be – discriminatory, racist, or increasing inequalities. Companies that fail to account for these risks can face controversies that result in customer or employee attrition, negative press, and regulatory pressure.
Praxis and the other filers commend Amazon for listening to its shareholders, making the audit a corporate priority, and taking their impact on racial justice seriously. We look forward to analyzing the results of the audit.
Amazon is held in the Praxis Growth Index Fund.