Babak Ebrahimi

PROFESSOR NATALIE CHINSAM | 301174017

The Social, Environmental and Ethical Critiques of Amazon
There have been numerous criticisms of Amazon over the past few years regarding social,
environmental, and ethical issues. The company has addressed a number of ethical issues, including
climate change, environmental reporting, habitats and resources, pollution and toxics, weapons, and
military supply, among others. Among other issues, there have been criticisms of human rights, workers'
rights, supply chain management, irresponsible marketing, animal rights, animal testing, factory farming,
controversial technologies, political activities, and anti-social finance, among other things.

Amazon receives some social criticism, mainly about employees' conditions and pressure. Multiple
reports can be found of employees being pushed to meet extremely high targets, subjected to strict
breaks and a terrifying work environment. They are monitored electronically and worried that not
meeting targets will result in them immediately losing their jobs. A Guardian article from May 2018
stated that, "During the past three years at one Amazon site, ambulances were called 115 times” whilst
a similar-sized supermarket warehouse nearby had only eight such calls. As in their warehouses, Amazon
also has factories for manufacturing. Chinese factories often hire workers from external agencies, called
dispatch workers. A factory in China that manufactures Amazon electronics, such as kindles and smart
homes, is legally prohibited from having more than 10% of its workers be dispatchers, but a study by
China Labor Watch found that workers were illegally made up of over 40% dispatchers. Despite having
similar positions, dispatchers and normal workers work in very different conditions. [5][6]

Amazon has been given a negative rating due to its environmental reporting. The company did not find
any information on Amazon's electronic products or textiles used in clothing when reviewing the
sustainability report it submitted in July 2019, so they did not consider Amazon to have demonstrated a
reasonable understanding of its environmental impacts when reviewing the report. In addition,
inspectors did not find any information regarding Amazon's policy on toxic chemicals used in clothing
brands in February 2019, despite the fact that clothing manufacturers release a variety of hazardous
substances that adversely affect the environment during production. The policies of Amazon regarding
fur, angora, merino wool, and silk were examined in August 2018. The sale of any of these materials
was not prohibited by Amazon, regardless of the fact that their production involves the killing and
exploitation of animals. Therefore, Amazon lost one entire mark under Animal Rights and another entire
mark under Pollution and Toxics. Lastly, according to a report by the climate activist organization 350
Seattle, in 2017 Amazon deliveries emitted an estimated 19 million metric tons of carbon dioxide
approximately the equivalent of five coal power plants into the air which is an environmental critique of
Amazon. [5][6]

Among the many things that Amazon does on a regular basis is avoid taxes. As a matter of fact, they
have actually managed to get where they are by doing so on a regular basis. As a result of a loophole
that was created in 1994 by Bezos, online sellers could use Amazon's services without having to collect
sales taxes, which was only required of physical stores at that time. There have been a number of
reports that have been published about Amazon's unethical methods of evading taxes, which have led
to Amazon's ethical practices being criticized. [5][6]
Review the Corporate Social Responsibility Page of Amazon
• Two Examples of Issues Addressed Through CSR on Amazon
The issue of climate change is one that Amazon is very concerned about, and the reduction of carbon
emissions to zero will be a great step forward for the company. Towards the goal of reaching net-zero
carbon emissions by 2040, they intend to switch to 100% renewable energy by 2025 in an effort to
achieve net-zero carbon emissions by 2040. The Climate Pledge Fund is the fund established by Amazon
to invest in companies that are developing environmentally friendly products, services, and technologies
with $2 billion invested by Amazon. They are also investing in research and development for new
technologies to further reduce their carbon footprint. [1]

Amazon is reducing its carbon footprint by implementing all-electric cars across all business operations
and leading the way for other companies to do the same. Through innovations in electrification,
efficiency enhancements, and alternative delivery methods, they plan to achieve net-zero carbon
emissions by 2040. They have already achieved zero-emission deliveries in certain cities and plan to
expand to more. Additionally, they are investing in renewable energy sources such as solar and wind to
power their operations. [2]

• Disadvantages of CSR
The disadvantages of CSR are many when you are a large corporation like Amazon. First, there is a
potential for high operating costs, since investing in CSR on a large scale could be expensive.
Additionally, CSR has the disadvantage of affecting the public image of the organization. It is very likely
that, when you are in the public eye, everything you do will be examined by someone who follows your
every move; consequently, It may be difficult for your organization to maintain credibility without facing
criticism for the smallest things. Finally, CSR has the disadvantage of being unaccountable. Incorporating
CSR into an organization's activities will lead to greater accountability and responsibility. To prevent
negative effects on anything, you must damage control your business operations. In Amazon's case, for
example, it was necessary to invest 2 billion dollars to hold them accountable for their carbon footprint
and the damage they caused. [7]

Amazon and The 2-Billion-Dollars Fund to Investment in Climate

• Do you think a multinational corporation can be socially and environmentally
responsible?
It is possible for a multinational corporation to be socially and environmentally responsible. However, it
requires a strong commitment from the corporation to prioritize sustainability and ethical practices. A
company's carbon footprint must be reduced by investing in renewable energy sources. They should
also strive to be good corporate citizens, by giving back to their communities and investing in their
workers' welfare. As a final point, corporations should be transparent and accountable in their
operations as well as willing to accept responsibility for any environmental or social issues that may
arise. [3]
 • Do you believe businesses have an ethical obligation to be responsible?
It is ethical for companies like Amazon to be ethically and environmentally responsible. Because they
have a large impact on the global economy, they can make a positive impact. Consequently, they must
carefully consider how they can best serve society and how they can operate. To ensure a better future
for our planet and its inhabitants, businesses need to become more responsible in their practices. It is
important for companies like Amazon to take the lead in this effort, as they have the resources and
influence to make a real difference. [4]

Ethical Practices Impact Consumer Decisions

As a consumer, my purchases are influenced by the ethical practices of companies. In my opinion,
companies should adhere to a high ethical standard, and they should have policies and practices that
reflect this standard. In order to do the right thing, regardless of the cost, companies need to be held
accountable for their actions. The ethical practices of a company, however, may not impact their
decisions as consumers. According to these individuals, ethical practices have no bearing on their
decision to buy a product or service from the company as long as it provides what they need or want.
Consumers are not interested in how companies spend their profits or treat their employees. This type
of thinking is misguided. Consumers have the power to shape the way companies do business, and it is
important to be aware of the ethical practices of the companies they are supporting. Companies need to
be held accountable to ensure that they are behaving in an ethical manner, and consumers can be part
of that process.
References
[1] Amazon (n.d.). The Climate Pledge. About Amazon. https://www.aboutamazon.com/planet/climate-
pledge

[2] Amazon (n.d.). Sustainable Operations. About Amazon.

https://www.aboutamazon.com/planet/sustainable-operations

[3] Dellinger, A. (2019, September 13). Just how big is Amazon’s carbon footprint? MIC.
https://www.mic.com/impact/amazons-carbon-footprint-goes-beyond-shipping-millions-of-prime-
packages-18739965

[4] Klebnikov, S. (2020, December 16). Amazon Launches $2 Billion Fund To Invest In Climate Change.
Forbes. https://www.forbes.com/sites/sergeiklebnikov/2020/06/23/amazon-launches-2-billion-fund-to-
invest-in-climate-change/?sh=7782a8d65988

[5] (2019, January 12). The Ethical Issues With Amazon. Ethical Unicorn.
https://ethicalunicorn.com/2019/01/12/how-ethical-is-amazon/

[6] (n.d.). Is Amazon ethical? Ethical Consumer. https://www.ethicalconsumer.org/company-

profile/amazoncom-inc

[7] (2021, May 13). Disadvantages Of Social Responsibility. Harappa.

https://harappa.education/harappa-diaries/disadvantages-of-social-
responsibility/#:~:text=One%20of%20the%20most%20significant,criticism%20over%20the%20smallest%
20acts.