Amazon shareholders introduce a record number of proposals

April 13, 2023

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As the world's largest internet retailer Amazon (AMZN.O) faces 18 shareholder proposals, exceeding its record of 15 proposals from 2022, investors focused on environmental, social, and governance (ESG) push for more changes in the company, according to Amazon's proxy statement released on Thursday.

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There are a number of topics covered in the proposals, including a request to change Amazon's executive compensation package, an audit to ensure that Amazon's technologies are not being used for human rights violations, and additional information about Amazon's animal welfare standards.

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The majority of shareholders have to vote in favor of the proposal in order for it to pass. In spite of this, the results of the survey are not binding, and Amazon's board is not obligated to take action on any of the suggestions that were made.

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In order for shareholders to win, they must receive at least 53% of the votes. Nevertheless, Amazon's board of directors is not obligated to act on the recommendations that are outlined in the report, and the results are not binding.

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During the 2022 proxy vote, Arjun Capital's proposal that Amazon report on the median pay gap between men and women across race and gender received 22% of votes, and has now been resubmitted and posted for this year's proxy vote.

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In each of the 18 proposals that Amazon has submitted to shareholders, the board has recommended that shareholders vote against it. It is worth noting that all of the record 15 shareholder proposals were rejected by the investors last year.

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Requests for comment on Amazon's increased number of shareholder proposals have yet to be responded to by the company.

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On May 24, Amazon will hold its annual meeting at which the proposals will be voted on.