Lobbying Expenditures Disclosure

Resolution Text

RESOLVED, shareholders of Amazon request the preparation of a report, updated annually, disclosing:

1. Company policy and procedures governing lobbying, both direct and indirect, and grassroots lobbying communications.

2. Payments by Amazon used for (a) direct or indirect lobbying or (b) grassroots lobbying communications, in each case including the amount of the payment and the recipient.

Description of management’s and the Board’s decision-making process and oversight for making payments described in sections 2 above.

For purposes of this proposal, a “grassroots lobbying communication” is a communication directed to the general public that (a) refers to specific legislation or regulation, (b) reflects a view on the legislation or regulation and (c) encourages the recipient of the communication to take action with respect to the legislation or regulation. “Indirect lobbying” is lobbying engaged in by a trade association or other organization of which Amazon is a member.

Both “direct and indirect lobbying” and “grassroots lobbying communications” include efforts at the local, state and federal levels.

The report shall be presented to the Audit Committee and posted on Amazon’s website.

SUPPORTING STATEMENT

Full disclosure of Amazon’s lobbying activities and expenditures is needed to assess whether its lobbying is consistent with Amazon’s expressed goals and shareholders’ best interests. Amazon spent $121,820,000 on federal lobbying from 2015 – 2022. Amazon also lobbies extensively at the state level.1 Amazon also lobbies abroad, being accused of shadow lobbying2 and spending between €2,750,000 – 2,999,999 on lobbying in Europe for 2022.

Companies can give unlimited amounts to third party groups that spend millions on lobbying and undisclosed grassroots activity.3 Amazon lists support of $10,000 or more to 588 trade associations (TAs), social welfare groups (SWGs) and nonprofits for 2022, yet fails to disclose its payments, or the amounts used for lobbying. Amazon belongs to the Chamber of Commerce and Business Roundtable (BRT), which have spent over $2.2 billion on lobbying since 1998, supports SWGs that lobby like the National Taxpayers Union4 and Taxpayers Protection Alliance,5 and funds controversial nonprofits like giving $400,000 to the Independent Women’s Forum,6 which has drawn scrutiny for “using anti-trans scaremongering” to oppose the Equal Rights Amendment.7

Amazon’s lack of disclosure presents reputational risks when its lobbying contradicts company public positions. Amazon strives to be the “Earth’s Best Employer,” yet has attracted scrutiny for lobbying against workers’ right to organize.8 Amazon cofounded the Climate Pledge, yet the BRT lobbied against the Inflation Reduction Act,9 and the Chamber reportedly has been a “central actor” in dissuading climate legislation over a two-decade period.10 Amazon has drawn scrutiny for avoiding federal income taxes,11 the BRT has lobbied against a new minimum corporate tax.12 And Amazon does not belong to the American Legislative Exchange Council13 but is represented by the Chamber14 and NetChoice,15 which each sit on its Private Enterprise Advisory Council.

Amazon should expand its lobbying disclosure.

1 https://www.reuters.com/investigates/special-report/amazon-privacy-lobbying/

2 https://www.politico.eu/article/big-tech-companies-face-potential-eu-lobbying-ban/

3 https://theintercept.com/2019/08/06/business-group-spending-on-lobbying-in-washington-is-at-least-double-whats-publicly-reported/

4 https://www.opensecrets.org/news/2021/06/dark-money-groups-battle-efforts-to-limit-big-tech/ ; https://time.com/6182329/the-strange-coalition-in-congress-poised-to-score-a-major-win-against-big-tech/ 

5 https://www.bloomberg.com/news/articles/2022-08-03/big-tech-political-ad-spend-passes-pharmaceutical-industry ; https://popular.info/p/donut-break-journalism?utm_source=substack&utm_medium=email 

6 https://www.cnbc.com/2022/10/27/amazon-donated-to-nonprofit-that-opposed-new-antitrust-bills.html 

7 https://truthout.org/articles/dark-money-womens-groups-are-using-anti-trans-scaremongering-to-oppose-era/ 

8 https://perfectunion.us/amazons-lobbyist-spending-breaks-record-amid-anti-union-drive/ ; https://news.bloomberglaw.com/daily-labor-report/amazon-poaches-top-business-labor-lobbyists-amid-worker-activism 

9 https://www.theguardian.com/environment/2022/aug/19/top-us-business-lobby-group-climate-action-business-roundtable 

10 https://www.washingtonpost.com/politics/2023/08/02/climate-group-pushes-big-tech-exit-nations-largest-business-lobby/ 

11 https://itep.org/amazon-has-record-breaking-profits-in-2020-avoids-2-3-billion-in-federal-income-taxes/ 

12 https://www.washingtonpost.com/business/2023/08/14/biden-corporate-tax/ 

13 https://www.exposedbycmd.org/2022/07/27/abandoning-free-market-and-liberty-principles-alec-takes-on-woke-capitalism-bodily-autonomy-and-more-at-its-annual-meeting/ 

14 https://ohiocapitaljournal.com/2023/09/06/coming-soon-in-ohio-alec-releases-new-raft-of-model-legislation/ 

15 https://readsludge.com/2023/10/03/alec-gala-will-face-protest-from-pro-democracy-groups/