PAYPAL

Rated for year 2021: Neutral

Score: 0

Industry: Data Processing & Outsourced Services

ANALYSIS:


Animal direct Issues:
PayPal offers technological platforms that enable digital payments. No animals are harmed through their operations.
The company’s main source of revenue (93% in 2020) stems from payment transactions.
The acceptable use policy prohibits transactions on certain unethical or harmful goods, such as tobacco, guns, drugs etc. However, PayPal does allow the sale and delivery of live animals and animal parts. The company states that it regulates these transactions according to local laws, but the restrictions only apply to endangered and protected animals, not all animals.
This makes it possible to purchase pets, hunting trophies, furs and many other animal products.
In addition to its digital payment business, PayPal also offers loans to businesses. Eligibility for loans is assessed on a case-by-case basis and the only criteria explicitly mentioned is overall business health. Obtaining loans for non-vegan businesses is therefore possible. A third business branch of PayPal is PayPal ventures, where the company invests in Fin-tech startups. This business does not affect animal welfare in any way.

Environmental Issues:
As part of its environmental engagements, PayPal set the goal of using 100% renewable energy in their data centres. In 2019, 65% renewable energy use was achieved. PayPal has also successfully implemented a zero-landfill strategy for e-waste. What can be criticised is the lack of transparency when it comes to their supply chain. PayPal operates own data centres, but does not disclose whether or not conflict minerals are used. The Global Impact report only states that mine safety disclosures do not apply and that all suppliers are held to the same high standard of Business Conducts and Ethics.

Final Rating

PayPal is rated neutral, since the company does not directly harm animals through its business operations. However, it cannot be considered vegan compliant, since its policies enable harmful-for-animals businesses.

Beneficial Aspects: No direct harm of animals through own operations. Good environmental targets.

Harmful Aspects: Enables sale of animals and derived products. Lack of transparency in Supply Chain.

SOURCES:

Annual Report

Acceptable Use Policy

Regulated Goods & Services

Business Loans

PayPal Ventures

Environmental Sustainability

Code of Business Conduct & Ethics

Global Impact Report

Investor Report Q4 2020