MASHINIi

Wayfair Inc..

W.US | Retail sale via mail order houses or via Internet

Wayfair Inc. is an e-commerce company that sells furniture and home goods. The company offers a vast selection of products, including furniture, décor, housewares, and home improvement items, through its various websites and mobile applications. Wayfair operates primarily as a retailer, sourcing pro...Show More

Ethical Profile

Mixed.

Wayfair's ethical profile reveals a mixed record. In 2019, employees notably protested the company's sale of furniture to a migrant detention center. Allegations of worker disrespect include Glassdoor reviews citing low pay and high turnover, alongside OSHA violations totaling over $30,000 since 2000, with a $15,000 fine in 2023. The company has also been added to the SEC watch list for undisclosed investigations. Product safety concerns include a recall of 220 dressers due to tip-over hazards. Environmentally, while Scope 1 & 2 emissions increased slightly in 2023, Wayfair achieved a 42% waste diversion rate and 90% recyclable packaging. The company also committed $30 million to social impact investing, including $20 million for the LISC's Black Economic Development Fund.

Value Scores

Better Health for All-40
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect-40
-100100
Fair Trade & Ethical Sourcing0
-100100
Honest & Fair Business-30
-100100
Kind to Animals0
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-30
-100100
Respect for Cultures & Communities0
-100100
Safe & Smart Tech10
-100100
Zero Waste & Sustainable Products-30
-100100

Better Health for All

-40

Wayfair's principal goods, such as furniture and home goods, have no significant positive or negative health impact. While some products are certified by Green Seal and other third parties as "safer for people" by prohibiting harmful chemicals and reducing allergens, the overall net health effect of the core business remains neutral.

1
The company recalled 220 dressers sold between September 2024 and March 2025 due to a tip-over and entrapment hazard, violating the STURDY Act's performance and warning label requirements, though no injuries were reported.
2
This violation of warning label requirements indicates incomplete risk disclosures regarding product safety.

Fair Money & Economic Opportunity

0

Wayfair Inc. is primarily an e-commerce company selling furniture and home goods, not a financial institution. The 'Fair Money & Economic Opportunity' value and its associated KPIs are designed to assess companies involved in lending, insuring, moving, or storing money. The provided articles do not contain specific, quantifiable data points for any of the KPIs that directly relate to Wayfair's own financial services offerings, customer financial outcomes, or internal financial product structures. While Wayfair has made impact investments, such as a $20 million allocation to the Local Initiatives Support Corporation's Black Economic Development Fund, this is an external investment and does not provide metrics for Wayfair's own 'loan/insurance book' or 'share of annual pre-tax profit' as required by the rubric's specific thresholds.

1
Consequently, no KPIs can be scored based on the evidence provided.

Fair Pay & Worker Respect

-40

The employee recommendation rate is 32%, and the overall employee rating is 2.9 out of 5 stars.

1
The CEO approval rating stands at 22%.
2
Employee reviews consistently cite low pay, high turnover, poor management, and frequent layoffs and reorganizations.
3

Fair Trade & Ethical Sourcing

0

Wayfair has a Supplier Code of Conduct (SCOC) that outlines expectations for responsible sourcing, including zero tolerance for forced labor and other human rights violations.

1
Suppliers are subject to audits, which may be unannounced, and are required to implement corrective action plans for violations.
2
The company has a Sustainable Wood Sourcing Policy
3
and uses AI-powered solutions to screen for risks related to sanctions and forced labor.
4
Wayfair's Supplier Diversity Initiative led to business from Black-owned suppliers doubling in 2023.
5
Its "Shop Sustainably" program includes over 33,000 products with one or more of 50+ third-party certifications, including Fair Trade Certified™ production.
6
However, the provided articles do not offer specific quantitative data for any KPI, such as the percentage of spend covered by fair-trade certifications, the average frequency of supplier audits, the number of substantiated forced or child labor incidents, the percentage of suppliers with traceable provenance data, the median days to close corrective action plans, the percentage of contracts with ethical sourcing clauses, the share of spend on high-risk materials, or the percentage of the procurement budget directed to diverse suppliers.

Honest & Fair Business

-30

Wayfair received an S&P Global CSA Score of 17.

1
The company has an Anti-bribery Policy that references the U.S. Foreign Corrupt Practices Act and the UK Bribery Act, includes a gift limit of $150, and provides specialized training to select employees.
2
Wayfair has a formal Whistleblower Policy, accessible via a toll-free number and website, allowing anonymous reporting of concerns by employees, contractors, vendors, customers, and business partners, with reports summarized quarterly for the Audit Committee and a non-retaliation clause.
3
The company had no adverse opinions, disclaimers, or disagreements with its independent auditors for the fiscal years 2022, 2023, and the interim period through January 28, 2025, indicating no financial restatements during this time.
4

Kind to Animals

0

The provided articles mention Wayfair's 'Shop Sustainably' section, which features products with various third-party certifications, including 'cruelty-free'

1
and those related to responsible wool (RWS)
2
and down (RDS, DOWNPASS)
3
. However, the articles do not provide specific percentages of Wayfair's total products that are certified cruelty-free, nor do they quantify the percentage of animal-related suppliers audited for welfare compliance
4
, or the percentage of animal-derived inputs replaced with ethical alternatives
5
. There is no quantifiable data regarding animal testing, alternative testing methods, humane certified operations, wildlife conservation impact
6
, R&D investment in animal-free alternatives, or public policy engagement on animal welfare. Therefore, no KPIs can be scored against the rubric's quantitative thresholds.

No War, No Weapons

0

The provided articles do not contain specific, concrete data points for any of the Key Performance Indicators related to the 'No War, No Weapons' ethical value. There is no evidence regarding Wayfair's revenue from arms or defense contracts, investment in dual-use technologies, sales to embargoed regimes, peacebuilding initiatives, conflict divestment policies, board oversight of defense activities, export certifications, lobbying related to arms control, humanitarian procurement standards, human rights due diligence in conflict areas, Arms Trade Treaty compliance, AI military safeguards, UN Guiding Principles alignment, dual-use item screening, surveillance transparency, ethical red lines concerning weapons, exposure to controversial weapons, war risk audits, annual conflict partner reviews, defense divestment, conflict minerals, peace technology investment, or procurement from conflict zones. Therefore, all KPIs are omitted due to a lack of explicit evidence.

Planet-Friendly Business

-30

Wayfair achieved a 42% waste diversion rate globally in 2023

1
, with a goal to reach 90% by 2030
2
. The company also reported 34% recycled content in its globally procured paper-based packaging in 2023
3
. There were no regulatory actions, violations, fines, or compliance issues mentioned in the provided articles
4
. While Wayfair has a 63% Scope 1 & 2 emissions reduction target by 2035 from a 2020 baseline
5
, and Scope 3 emissions constitute close to 99% of its total footprint
6
, no absolute total greenhouse gas emissions (tCO₂e) were provided to assess its carbon footprint. No current data was available for renewable energy use, water use, or the existence of SBTi-validated targets
7
.

Respect for Cultures & Communities

0

No specific, concrete evidence was found in the provided article to assess Wayfair Inc. against any of the defined KPIs for 'Respect for Cultures & Communities'. The article is a job posting and explicitly states it contains no relevant data for the requested metrics.

1

Safe & Smart Tech

10

Wayfair requires all employees to complete yearly security training.

1
, which includes an annual computer-based exercise covering phishing, ransomware, access control, PCI, and general security policies.
2
The company measures training effectiveness through monthly phishing tests across a large section of its employee base.
3
, tracking results over time and creating targeted content for new hires.
4
Wayfair is compliant with a comprehensive set of privacy and security standards, including PCI, HIPAA, SOC 2, GDPR, ISO 27001, FedRamp, and CSA Star Level 1.
5
The company has a vulnerability identification program and a Global Incident Response Plan.
6
, integrating cybersecurity risk management into its broader framework.
7
Wayfair engages with external experts for audits, threat assessments, and security enhancements.
8
, and conducts privacy and security assessments for third-party vendors.
9
There are no documented data breaches or specific incidents of unauthorized data use reported in the provided articles, and risks from cybersecurity threats have not materially affected the company.
10

Zero Waste & Sustainable Products

-30

In 2023, 90% of Wayfair-purchased packaging in the U.S. was recyclable, an increase from 82% in the prior year.

1
Globally, Wayfair achieved a 42% operational waste diversion rate in 2023
2
and used 34% recycled content in globally procured paper-based packaging.
3
The company has set a target to achieve a 90% global waste diversion rate and zero waste across global operations by 2030.
4
Wayfair's procurement team includes requirements for recycled content and recyclability for suppliers.
5
No waste disposal violations were mentioned in the provided reports.
6

Own Wayfair Inc.?

Upload your portfolio and see how all your holdings score across 11 ethical dimensions.

Audit My Portfolio

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.