Parcel delivery on a warming planet: The efforts and ambitions of six companies, examines practices at Amazon, Deutsche Post DHL Group, FedEx, Flipkart, UPS, and Walmart, focussing on the cost- and energy-intensive “last mile ” of the delivery process. The report also looks at company-wide emissions targets, target dates for full electrification of the delivery vehicle fleets, and presents three case studies, from Delhi, London and Los Angeles), showing how these cities encourage, facilitate, and regulate sustainable last-mile delivery systems. Part of the discussion: the relentless drive to reduce costs and the complexity of subcontracting relations in the last-mile delivery sector which reduces subcontractor abilities to mitigate environmental impacts, for example, by investing in electric vehicles. The report concludes that all six companies demonstrate awareness of their environmental impacts and have set targets to reduce their emissions, but their goals are not sufficiently ambitious or timely. Parcel Delivery on a Warming Planet is published by the Centre for Research on Multinational Corporations (SOMO) in Amsterdam.
Updated on February 18 re the announcement of the Bezos Earth Fund.
Amazon workers have risen up again, at the risk of their own jobs. “Defying Company Policy, Over 300 Amazon Employees Speak Out” in Wired (Jan.27) was one of many media articles about the most recent incident in the employees’ campaign for climate action. A new protest stems from Amazon’s communication policy which threatened to fire employees who speak out to the public about climate change without company authorization. (A Washington Post article of January 2 summarizes all that). In response, as detailed in Wired, 363 Amazon employees intentionally violated that company policy by signing their names to posts about their own opinions and experiences. The posts were compiled by Medium on January 26. The protest was organized by the activist group Amazon Employees for Climate Justice (AECJ) which posted an explanation on their Facebook page, stating that employees feel a “moral responsibility to speak up”. It continues:
“The protest is the largest action by employees since Amazon began threatening to fire workers for speaking out about Amazon’s role in the climate crisis. It signals that employees are convinced that the only right thing to do at this time is to keep speaking up. AECJ has continued to call on Amazon to commit to zero emissions by 2030, stop developing AWS products and services to accelerate oil and gas extraction, and end funding of climate-denying politicians, lobbyists, and think tanks.”
On February 17, Jeff Bezos , billionaire owner of Amazon, announced the creation of the Bezos Earth Fund, which will provide $10 billion in grants to scientists and activists to fund their efforts to fight climate change. The announcement was made on Instagram and reported by the Washington Post, which Bezos also owns. Amazon Employees for Climate Justice reacted with this statement : Their statement shows that AECJ is not letting up on the link between Amazon and Big Oil, and also, not letting up. Follow them on Twitter at @AMZNforClimate.
“Why did Amazon threaten to fire employees who were sounding the alarm about Amazon’s role in the climate crisis and our oil and gas business? What this shows is that employees speaking out works–we need more of that right now.”
Big Tech and Big Oil?
Although a general perception might be that Amazon need only reduce packaging or improve logistics to reduce transportation-related emissions, there is another big climate-related issue raised by Amazon Employees for Climate Justice. As noted briefly in Vox on January 3: “Google and Amazon are now in the oil business” (Jan. 3) explaining that “big tech companies are developing AI for oil companies, even as they publicly celebrate their sustainable initiatives.” A much more detailed explanation appears in “Amazon’s New Rationale For Working With Big Oil: Saving the Planet” in Motherboard (Jan. 10) .
This is all happening in plain sight. Amazon itself describes its “Digital Oilfields” on its own website, and “Cenovus joins Big Oil’s push into Big Data with Amazon and IBM deals” appeared in the Financial Post in November 2019, giving insight into how data-driven oil and gas is growing in Canada. And Suncor boasts in a November 2019 press release from Calgary, Suncor accelerates digital transformation journey through strategic alliance with Microsoft, quoting Microsoft’s president: “Suncor is embarking on a journey to transform the energy industry. They are creating new business value for their customers, empowering and upskilling their workforce, and innovating for a sustainable future”.
In the end, approximately 7,700 Amazon employees publicly signed their names to an employee-shareholder resolution calling for stronger climate change action by the company, as well as worker protection in situations related to extreme weather disasters. The entire Board opposed the resolution (and all other shareholder resolutions presented at the meeting), despite the strong employee support and the endorsement by two of the largest proxy advisory firms in the U.S., which cited the financial and reputational risks from being heavily dependent on cheap fossil fuels. “Amazon and CEO Jeff Bezos challenged on climate change. Here’s how shareholders voted on it and other issues” in the Seattle Times is full, business-like news account of the meeting, including that Amazon intends to release its carbon footprint later in 2019, and that it intends to meet the net zero carbon emissions goals of the Shipment Zero initiative largely through direct emission cuts, not through buying carbon offsets. However, according to “Jeff Bezos Wouldn’t Even Come On Stage to Listen to His Employees Who Want Amazon to Address Climate Change” in Gizmodo, Bezos and other executives dodged most climate-related questions in the Q&A at the end of the meeting.
The group leading the climate resolution, Amazon Employees for Climate Justice, issued their own press release about the meeting, which states: “Because the Board still does not understand the severity of the climate crisis, we will file this resolution again next year. And we will announce other actions in the coming months. We – Amazon’s employees – have the talent and experience to remake entire industries with incredible speed. This is work we want to do.” Follow further developments at the Amazon Employees for Climate Justice Twitter feed .
Tellingly, Jeff Bezos declined the direct invitation of one of the leaders to join her on stage as she introduced the resolution, a fact which has been widely reported, not only by Gizmodo , but also in “World’s Richest Man Jeff Bezos Hides Backstage as Amazon Workers Demand ‘Bold, Rapid’ Climate Action” in Common Dreams and even in “Jeff Bezos blew off Amazon employees’ proposal at the shareholder’s meeting and they were miffed: ‘This is not the kind of leadership we need‘” in Business Insider.
In what a New York Times article characterizes as “ the largest employee-driven movement on climate change to take place in the influential tech industry”, almost 7,000 employees of tech giant Amazon have now signed their names to an Open Letter to Jeff Bezos and the Amazon Board of Directors, released on April 10. The Letter states: “we ask that you adopt the climate plan shareholder resolution and release a company-wide climate plan that incorporates the principles outlined in this letter.” It then outlines a thorough list of desired actions, including: a complete transition away from fossil fuels rather than relying on carbon offsets; prioritization of climate impact when making business decisions; prioritizing the most vulnerable communities in pollution reduction initiatives related to Amazon locations; and “fair treatment of all employees during climate disruptions and extreme weather events. Unsafe or inaccessible workplaces should not be a reason to withhold pay, terminate, or otherwise penalize employees — including hourly and contract workers.” Amazon Employees for Climate Justice provides updates at their Twitter account here.
According to an article in Gizmodo : “Employees from seemingly every background and department have signed on, from UX designers to biz dev managers to systems development engineers and beyond. A number of senior employees are on board, too—in addition to the VP, at the time of writing, I counted at least eight directors on the list. It’s part of a growing trend towards worker advocacy in the tech industry, coming on the heels of the Google Walkout for Change and the We Won’t Build It effort, also at Amazon.” The culture of empowerment behind the Open Letter is evident in an interview published in Gizmodo, “One of the Amazon Workers Behind the Push to Get Jeff Bezos to Address Climate Change Speaks Out” . Wired also describes the culture of shareholder activism in “Amazon Employees Try A New Form Of Activism, As Shareholders” .
Amazon has more than 65,000 corporate and tech employees in the United States, who are awarded shares as part of their compensation program. In late November and early December, 2018, 16 current and former Amazon employees exercised their rights as shareholders by tabling a shareholder resolution – which has been seen as the trigger for Amazon’s Shipment Zero initiative, a vision to make all Amazon shipments net-zero carbon, with 50 percent of all shipments net zero by 2030. Amazon’s response to the latest Open Letter is partly reproduced in the Gizmodo article, and states: “We have a long history of commitment to sustainability through innovative programs such as Frustration Free Packaging, Ship in Own Container, our network of solar and wind farms, solar on our fulfillment center rooftops, investments in the circular economy with the Closed Loop Fund, and numerous other initiatives happening every day by teams across Amazon. In operations alone, we have over 200 scientists, engineers, and product designers dedicated exclusively to inventing new ways to leverage our scale for the good of customers and the planet. We have a long term commitment to powering our global infrastructure using 100% renewable energy.” Amazon’s corporate website details all its sustainability efforts – and on April 8th, just before the Open Letter was published, a press release announced 3 new wind energy projects, to augment the current level of 50% renewable energy power for the Automated Web Services part of the business.