Amazon to face 14 resolutions over treatment of workers

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Amazon to face 14 resolutions over treatment of workers

Amazon will have to face 14 resolutions challenging its policies over the treatment of workers during the company's annual shareholder meeting on Wednesday.

More shareholders are demanding corporate accountability because of the increase in environmental, social and corporate governance-based investing.

The changes under securities regulators appointed by President Joe Biden have made it easier for investors to file proposals and make it more difficult for companies to persuade regulators that resolutions should not be put up for a vote among shareholders.

Amazon's record for resolutions at an S&P 500 company will soon be overtaken when Google parent company Alphabet faces 17 on June 1, according to research firm Insightia.

About 10 of the shareholder resolutions that Amazon investors will vote on involve worker rights and other social issues, including demands that the company report on how it treats warehouse workers, while the other ones request things like a review of Amazon's plastic usage.

Amazon recommended that company investors vote against all resolutions, arguing in its proxy statement that it has already addressed a number of concerns of a proposal. The resolutions are nonbinding, but companies still take action if they are supported by 30% -- 40% of the votes.

Institutional Shareholder Services has suggested that investors vote in favor of eight of the proposals, and Glass Lewis supports seven.

The company s head of responsible investment Ashley Hamilton Claxton said at least six of the resolutions will be passed by the British mutual life, pensions and investment company Royal London Asset Management Ltd.

At Amazon's meeting, British asset managers Legal General Investment Management and Schroders Plc said they will vote on at least some resolutions.