MASHINIi

Elbit Systems Ltd..

ESLT.US | Manufacture of weapons and ammunition

Elbit Systems Ltd. is an Israel-based international high technology company engaged in a wide range of defense, homeland security and commercial programs throughout the world. The company operates in various areas, including aerospace, land and naval systems, command, control, communications, comput...Show More

Ethical Profile

Mixed.

Elbit Systems, a defense contractor, faces significant ethical concerns. Its core business, generating 90% of revenue from military equipment, has been linked to civilian casualties and infrastructure destruction. Critics point to its involvement in border surveillance on the Tohono O'odham Nation reservation and systems for the West Bank separation barrier, allegedly violating indigenous rights. This led Norway's Council on Ethics to recommend excluding Elbit from its Government Pension Fund. The company reported a 19.98% mean gender pay gap in its UK operations. While Elbit aims to increase renewable energy and complies with the Convention on Cluster Munitions, its 2023 total emissions were 206,046 tCO₂e.

Value Scores

Better Health for All-80
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect10
-100100
Fair Trade & Ethical Sourcing10
-100100
Honest & Fair Business-20
-100100
Kind to Animals0
-100100
No War, No Weapons-70
-100100
Planet-Friendly Business-40
-100100
Respect for Cultures & Communities-80
-100100
Safe & Smart Tech0
-100100
Zero Waste & Sustainable Products0
-100100

Better Health for All

-80

Elbit Systems' core business, which generated 90% of its revenue in 2022, is weapons manufacturing.

1
These products cause severe, widespread health damage, including numerous civilian casualties and the destruction of civilian infrastructure like hospitals and schools in various military offensives.
2
The company's products have been used against vulnerable populations, such as Palestinians in Gaza, the occupied West Bank, and Lebanon, leading to forced displacement.
3
The use of Elbit-supplied weapons has resulted in civilian deaths and injuries, including children and women, with drone strikes causing at least 1941 deaths in Gaza between 2006-2014.
4
While Elbit Systems became a minority shareholder in medical device spin-offs (Beyeonics Surgical and Beyeonics Vision) in 2021, which focus on ophthalmology, neurosurgery, and orthopedics, these offerings are minimal compared to its primary defense activities.
5
The company's operations also contribute to major health-harming externalities through civilian casualties, destruction of infrastructure, and forced displacement.
6
The products are linked to significant mental health impacts on affected populations, with no evidence of mitigation efforts.

Fair Money & Economic Opportunity

0

Elbit Systems Ltd. is a high-technology company primarily engaged in defense, homeland security, and commercial aviation.

1
The provided articles, including annual reports and ESG reports, do not contain any specific data points related to consumer lending, deposit services, or financial products.
2
The company's core business does not involve offering financial services to consumers, nor does it operate financial service access points.
3
Therefore, all KPIs under the 'Fair Money & Economic Opportunity' value are scored as '0' because they are not applicable to the company's operations.

Fair Pay & Worker Respect

10

In 2023, 37% of employees in Israel were covered by collective bargaining agreements.

1
The global safety incident rate was 0.9 injuries per 200,000 hours worked in 2023, with main sites covering 78% of employees certified to ISO 45001.
2
For Elbit Systems UK Ltd, the median pay for women was 74.44% of the median pay for men in 2024.
3
An employee engagement survey in Israel in 2023 showed 74% of employees were engaged.
4
The employee turnover rate was approximately 11% in 2023, based on 2,089 employees leaving out of 18,984 global employees.
5
No substantiated labor violation incidents were reported in 2023.
6

Fair Trade & Ethical Sourcing

10

Elbit Systems' processes for conflict minerals (3TG) covered more than 95% of its worldwide supply chain activities in 2023.

1
The company requires all suppliers to comply with its Supplier Code of Conduct, which is integrated into 100% of supplier agreements.
2
For Elbit Systems UK, all sections of the Supplier Corrective Action Request (SCAR) must be completed and returned within 10 working days.
3
The company spent $19,311 thousands in 2023 to support the employment of minorities with 9 suppliers, and $699 thousands to support the employment of people with disabilities with 7 suppliers.
4
Elbit Systems of America has goals to maintain 33% contract spend to Small Business, 5% to Small Disadvantaged Business, 5% to Women Owned Small Business, 3% to Historically Underutilized Business Zone, and 3% to Service Disabled Veteran Owned Small Business by 2025.
5
The company's policy is to use conflict-free minerals, and it conducts due diligence at the first-tier manufacturer level, with a supplier response rate exceeding 75% in 2023.
6

Honest & Fair Business

-20

Elbit Systems has a detailed 'Whistleblower and Investigations Procedure' (May 2023 version) that includes multiple reporting channels, anonymity options, confidentiality provisions, non-retaliation clauses, and an Investigation Committee.

1
However, there is no evidence provided regarding its communication to all staff or the number of cases, preventing a higher positive score. The company also has a comprehensive 'Anti-Bribery and Corruption Compliance Policy' (March 2019 version) that applies company-wide, outlines principles for global compliance including FCPA and OECD, and emphasizes zero tolerance for bribery and corruption.
2
This policy includes due diligence procedures for payments, gifts, and donations.
3
However, the evidence does not specify if training is frequent or if effectiveness metrics are tracked, placing it at a lower tier. The extent of independent verification of ethical claims is limited, with evidence only mentioning the use of external counsel and independent accountants in 'some investigations', which suggests approximately 50% of ethical claims are independently verified with a standardized scope.
4

Kind to Animals

0

Elbit Systems Ltd. operates in defense and technology, a sector not typically associated with animal welfare issues like cruelty-free product certification, animal testing, or animal agriculture. The company has no significant involvement in animal testing, fur, or specialty leather.

1
There is no evidence of in-house or contracted animal testing operations, animal husbandry, or captive animal operations.
2
While research using parts from taxidermied pheasants and mallards for drones is mentioned, there is no information on the percentage of animal-derived inputs or any substitution efforts.
3
The company's general environmental commitments do not include measurable wildlife conservation impacts.
4
There is no data on supplier audits specifically for animal welfare compliance, nor on sourcing of animal products like eggs or poultry.
5

No War, No Weapons

-70

Elbit Systems Ltd. is primarily engaged in defense and homeland security programs, with its main revenue source being government defense contracts.

1
In 2015, export sales constituted approximately 80% of total sales, and the company's major activities include military aircraft, land vehicle systems, and electronic warfare systems.
2
The company reported $6.83 billion in revenue for 2024, with over 30% from Israel and 65% of its $22.6 billion order backlog from outside Israel.
3
The 2023 ESG report mentions a supplier code of conduct and conflict minerals policy, but only states that less than 10% of its supply chain is verified conflict-free.
4
There is no evidence of revenue allocated to peacebuilding or disarmament initiatives.
5

Planet-Friendly Business

-40

In 2023, Elbit Systems' total Scope 1, 2, and 3 greenhouse gas emissions were 206,046 tCO₂e.

1
This represents a 6.8% increase from 2022 (192,919 tCO₂e).
2
The company generated 3,428 MWh of renewable energy in 2023, while its total energy consumption (Scope 1+2) was 385,444 MWh, indicating a renewable energy share of 0.89%.
3
Total water withdrawal in 2023 was 1.159 Mm³.
4
With a 2023 revenue of $5,974 million (calculated from 2022 revenue of $5,511 million and 8.4% increase in 2023), the water use per revenue is 194 m³ per $1M revenue.
5
The waste diversion rate in 2023 was 32.1% (4,434 tons recycled out of 13,813 tons non-hazardous waste).
6
The company reported no significant environmental fines (> $10,000) in the past four fiscal years.
7
Main sites, covering 78% of employees, are ISO14001 and ISO45001 certified.
8

Respect for Cultures & Communities

-80

Elbit Systems Ltd. failed to consult with the Tohono O'odham Nation and West Cocopah Reservation regarding its operations, indicating no formal partnerships with indigenous or local community groups despite operating in their areas.

1
The company's activities involved the waiver of numerous laws, including the Native American Graves Protection and Repatriation Act (NAGPRA), American Indian Religious Freedom Act (AIRFA), Archaeological Resources Protection Act (ARPA), Antiquities Act (AA), and National Historic Preservation Act (NHPA).
2
This, combined with a lack of detailed information on cultural impact assessments, suggests no formal cultural impact assessment protocol despite operating in culturally sensitive areas.
3
The construction of the border wall, which Elbit Systems' surveillance technology supports, has caused major disruptions to cultural and heritage sites, including sacred burial grounds and historical trails, without remediation.
4
Furthermore, the company's operations on indigenous lands without consultation or adherence to relevant cultural protection laws indicate that 0% of its operations possess a documented social license to operate.

Safe & Smart Tech

0

No evidence available to assess Elbit Systems Ltd. on Safe & Smart Tech.

Zero Waste & Sustainable Products

0

No evidence available to assess Elbit Systems Ltd. on Zero Waste & Sustainable Products.

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.