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The primary purpose of criticising the charitable work of the very rich over, say, similarly wealthy people who aren't philanthropic, is that it is a form of PR

The primary purpose of criticising the charitable work of the very rich over, say, similarly wealthy people who aren't philanthropic, is that it is a form of PR. As other commenters mention, Bezo's overall contributions to the world are a net negative, but it's not just the his philanthropy doesn't make up for his other negative activities, it's that it also acts as a way of soliciting public forgiveness for the other indescretions, which shouldn't be accepted.

gomox 8y ago
By what measure are Bezos' contributions a net negative?
- lucideer 8y ago
  Unless you believe that commerce is a goal in itself, and that building a successful business contributes positively to the world by default (I'm sure many people do believe this so just getting it out of the way), then you have to look at the outputs. For Amazon that's largely: - extremely poor pay and conditions for Amazon's workers - dominance driving smaller less-efficient enterprises out of business; this isn't just sentimental: efficiency is about driving cost down, including labour costs. SMEs employ more in aggregate than the large businesses replacing them, so typically Amazon is unlikely to be a net job-creator. - Amazon pays very little corporate tax, both by running low-profit/high-cashflow, through other methods particularly for it's operations in Europe, and they used to evade sales tax almost completely in the US. Tax = vital public and social services for citizens, so that's a big net negative. - Jeff Bezos' personal tax story is not dissimilar. etc. etc. This isn't a criticism of Bezos or Amazon, but of large multinational corporate entities and their contributions to "charitable" causes in general. CSR is always an a attempt to offset something.
  - Isinlor 8y ago
    I'm curious, did any company ever contributed overall to a society in your opinion? "extremely poor pay and conditions for Amazon's workers" Where should Amazon magically create this money from? It can only come at the expense of customers. "so typically Amazon is unlikely to be a net job-creator." That's a net positive. Less work, the same job done. Making more work is easy, just let people throw rocks from one pile to the other and back again. "Tax = vital public and social services for citizens, so that's a big net negative." They may not contribute by not paying taxes, but 0 contribution is not negative contribution.
    - lucideer 8y ago
      > I'm curious, did any company ever contributed overall to a society in your opinion? Yes. The issues I'm raising are largely to do with some extremely large companies. > Where should Amazon magically create this money from? It can only come at the expense of customers. Are you saying that no company pays their employees enough? Or that employees in general shouldn't be paid a living wage? Or even that Amazon, a company headed by the actual richest person in the world, really makes zero profit and must absolutely hurt customers in order to make ends meet? > That's a net positive. Less work, the same job done. Less jobs is a positive* only if those without jobs have a living income. UBI is a proposed solution: it hasn't been introduced anywhere as far as I'm aware. > Making more work is easy, just let people throw rocks from one pile to the other and back again. And who pays these rock throwers? Do their wages come from the taxes Bezos doesn't pay? * EDIT: To be clear, on the less jobs question, I am generally not in favour of having a less efficient system just to create jobs (it may sound that way above). I'm just a realist, acknowledging that we have a system that requires job-creation as a means to supply members of society with the means to sustain themselves. If we did not require job-creation to do that, I would completely agree that "less work, the same job done" would be a positive thing.
      - sokoloff 8y ago
        > Are you saying that no company pays their employees enough? Companies pay enough to get the quality and quantity of employees that they need. Those who are coming up short on either side are the companies who are (presumably) not paying their employees enough. > Or that employees in general shouldn't be paid a living wage? In general, my answer is "null" here, as the definition of living wage is continually (and it seems to me, intentionally) slippery/non-specific. Make some definitions that are stable over a long period of time and that labor advocates agree to, and only then can we have a conversation. > Or even that Amazon, a company headed by the actual richest person in the world, really makes zero profit and must absolutely hurt customers in order to make ends meet? Amazon does not hurt customers overall. I suspect you either meant to say employees, or perhaps have introduced a new argument that I'm not following. With respect to profit, Amazon is now profitable on a GAAP, EBITDA, and cash flow from operations basis. I believe that was always the plan and it's coming together now. Whether or not a company is profitable and whether or not the founder is the richest man in the world does not feedback into an employee pay issue in my opinion. A profitable company can afford to pay its employees for longer, but has no obligation (legally or ethically) to pay them more, IMO.
  - gomox 8y ago
    You are criticizing capitalism and globalization as a system for producing social progress, not Amazon. Your points seem very weak to me. People perceive value from Amazon's tax "evasion" (efficiency) in buying goods at a cheaper cost. I'm sure you agree that not every dollar that goes to taxes is better spent than if it wasn't. I highly doubt that net global employment in headcount dropped because of Amazon. For every store clerk that got fired in a US brick and mortar shop, probably 10 sweatshop workers in China were hired to make gizmos at a fraction of the cost. If you are going to argue that the world would be better off without Amazon when hundreds of millions use and love their services every day, you need to at least make an attempt to quantify the value the company provides. You can't just point at 3 isolated data points. I'm not even saying you're wrong in your conclusions, but they're hardly unquestionable.

gomox 8y ago

By what measure are Bezos' contributions a net negative?

lucideer 8y ago
Unless you believe that commerce is a goal in itself, and that building a successful business contributes positively to the world by default (I'm sure many people do believe this so just getting it out of the way), then you have to look at the outputs. For Amazon that's largely: - extremely poor pay and conditions for Amazon's workers - dominance driving smaller less-efficient enterprises out of business; this isn't just sentimental: efficiency is about driving cost down, including labour costs. SMEs employ more in aggregate than the large businesses replacing them, so typically Amazon is unlikely to be a net job-creator. - Amazon pays very little corporate tax, both by running low-profit/high-cashflow, through other methods particularly for it's operations in Europe, and they used to evade sales tax almost completely in the US. Tax = vital public and social services for citizens, so that's a big net negative. - Jeff Bezos' personal tax story is not dissimilar. etc. etc. This isn't a criticism of Bezos or Amazon, but of large multinational corporate entities and their contributions to "charitable" causes in general. CSR is always an a attempt to offset something.
- Isinlor 8y ago
  I'm curious, did any company ever contributed overall to a society in your opinion? "extremely poor pay and conditions for Amazon's workers" Where should Amazon magically create this money from? It can only come at the expense of customers. "so typically Amazon is unlikely to be a net job-creator." That's a net positive. Less work, the same job done. Making more work is easy, just let people throw rocks from one pile to the other and back again. "Tax = vital public and social services for citizens, so that's a big net negative." They may not contribute by not paying taxes, but 0 contribution is not negative contribution.
  - lucideer 8y ago
    > I'm curious, did any company ever contributed overall to a society in your opinion? Yes. The issues I'm raising are largely to do with some extremely large companies. > Where should Amazon magically create this money from? It can only come at the expense of customers. Are you saying that no company pays their employees enough? Or that employees in general shouldn't be paid a living wage? Or even that Amazon, a company headed by the actual richest person in the world, really makes zero profit and must absolutely hurt customers in order to make ends meet? > That's a net positive. Less work, the same job done. Less jobs is a positive* only if those without jobs have a living income. UBI is a proposed solution: it hasn't been introduced anywhere as far as I'm aware. > Making more work is easy, just let people throw rocks from one pile to the other and back again. And who pays these rock throwers? Do their wages come from the taxes Bezos doesn't pay? * EDIT: To be clear, on the less jobs question, I am generally not in favour of having a less efficient system just to create jobs (it may sound that way above). I'm just a realist, acknowledging that we have a system that requires job-creation as a means to supply members of society with the means to sustain themselves. If we did not require job-creation to do that, I would completely agree that "less work, the same job done" would be a positive thing.
    - sokoloff 8y ago
      > Are you saying that no company pays their employees enough? Companies pay enough to get the quality and quantity of employees that they need. Those who are coming up short on either side are the companies who are (presumably) not paying their employees enough. > Or that employees in general shouldn't be paid a living wage? In general, my answer is "null" here, as the definition of living wage is continually (and it seems to me, intentionally) slippery/non-specific. Make some definitions that are stable over a long period of time and that labor advocates agree to, and only then can we have a conversation. > Or even that Amazon, a company headed by the actual richest person in the world, really makes zero profit and must absolutely hurt customers in order to make ends meet? Amazon does not hurt customers overall. I suspect you either meant to say employees, or perhaps have introduced a new argument that I'm not following. With respect to profit, Amazon is now profitable on a GAAP, EBITDA, and cash flow from operations basis. I believe that was always the plan and it's coming together now. Whether or not a company is profitable and whether or not the founder is the richest man in the world does not feedback into an employee pay issue in my opinion. A profitable company can afford to pay its employees for longer, but has no obligation (legally or ethically) to pay them more, IMO.
- gomox 8y ago
  You are criticizing capitalism and globalization as a system for producing social progress, not Amazon. Your points seem very weak to me. People perceive value from Amazon's tax "evasion" (efficiency) in buying goods at a cheaper cost. I'm sure you agree that not every dollar that goes to taxes is better spent than if it wasn't. I highly doubt that net global employment in headcount dropped because of Amazon. For every store clerk that got fired in a US brick and mortar shop, probably 10 sweatshop workers in China were hired to make gizmos at a fraction of the cost. If you are going to argue that the world would be better off without Amazon when hundreds of millions use and love their services every day, you need to at least make an attempt to quantify the value the company provides. You can't just point at 3 isolated data points. I'm not even saying you're wrong in your conclusions, but they're hardly unquestionable.