Animal Welfare
Few resolutions have appeared in recent years about animal welfare concerns outside the industrial food system, and 2021 is no exception, with just one likely vote, at TJX.
Fur: Harrington Investments has a fur-inspired proposal at TJX. The body of the proposal notes that despite commitments on a variety of human rights issues, the company has no official policy on animal welfare, although it has “successfully executed a fur-free business model in the United States” and says that it has “recently incorporated information about our fur practices into our social compliance training.” The resolved clause does not mention fur, but proposes that the TJX board
commission an independent analysis of any material risks of continuing operations without a company-wide animal welfare policy or restrictions on animal-sourced products associated with animal cruelty. Such report should assess the operational, reputational and financial implications of the company’s vendor policies pertaining to oversight on animal welfare throughout the supply chain, and to report to shareholders no later than September 2021.
The proposal is a resubmission that earned 7 percent support last year after the SEC rejected a company challenge on ordinary business grounds. In 2019, the SEC agreed a proposal more specifically about fur from Harrington was moot and a 2018 resolution about fur and wool products was omitted on ordinary business grounds.
Horse racing: People for the Ethical Treatment of Animals (PETA) had a new proposal at Churchill Downs, the gaming and horse racing company, asking it to “assess and report to shareholders on the feasibility of replacing the dirt track surface at Churchill Downs with a synthetic surface, given the potentially detrimental effect on our Company of horse fatalities and the higher fatality rate associated with dirt tracks.” The company challenged the proposal at the SEC on ordinary business grounds and PETA withdrew before any SEC response.
Iditarod dog sled race: PETA also has withdrawn a proposal that said,
to address pressing issues that ExxonMobil faces today—specifically, the impact of the COVID-19 pandemic and public opposition to its sponsorship of the Iditarod dogsled race, which are actually related—the shareholders urge the board to consider eliminating sponsorships that benefit activities in which animals are exploited, harmed, or killed.”
The proposal faced an ordinary business challenge at the SEC, but after Exxon announced it would end its Iditarod sponsorship PETA declared victory and withdrew. It had reasoned that association with the famous dog sled race exacerbated the company’s economic problems connected to the COVID-19 pandemic, saying more customers would avoid the company’s gas stations because of the association.
Sea mammals: PETA continues its campaign against using marine mammals for entertainment at SeaWorld Entertainment, asking it
to address the most pressing issues that SeaWorld faces today—specifically, the public’s continued opposition to captive-animal displays and the consequential impact of the COVID-19 pandemic—the shareholders urge the board to conduct a study to determine how soon SeaWorld could feasibly eliminate animal-based programs, excluding legitimate animal rescue work.
SeaWorld has challenged the proposal at the SEC, arguing it concerns ordinary business, is misleading, moot and relates to a personal grievance. Last year the group withdrew a proposal about dolphins which the company challenged on these same grounds, after the company said it plans to phase out dolphin riding. PETA has proposed many resolutions over the years at SeaWorld and most have been omitted on ordinary business grounds, but at the same time SeaWorld also has made changes to its business.