MASHINIi

Aaron's Inc..

AAN.US | Renting and leasing of other machinery, equipment and tangible goods

Aaron's, Inc. is an omnichannel provider of lease-purchase solutions. The Company specializes in the sales and lease ownership of furniture, electronics, appliances, and computers through its approximately 1,220 Company-operated and franchised stores in 47 states and Canada, as well as its e-commerc...Show More

Ethical Profile

Mixed.

Aaron's Inc. presents a mixed ethical profile. Its rent-to-own model, while serving underserved customers, faces scrutiny from critics pointing to potentially high costs and fees, with proposed legislation addressing alleged predatory practices. The company has incurred over $12.9 million in employment-related penalties since 2000, and reports suggest high employee turnover. Positively, Aaron's has donated $10 million to Boys & Girls Clubs of America since 2015, supporting mental health. Its Master Supplier Agreement mandates CSR standards, including prohibitions on child and forced labor, though formal on-site verification for overseas suppliers is still developing.

Value Scores

Better Health for All0
-100100
Fair Money & Economic Opportunity50
-100100
Fair Pay & Worker Respect-30
-100100
Fair Trade & Ethical Sourcing-30
-100100
Honest & Fair Business-10
-100100
Kind to Animals10
-100100
No War, No Weapons0
-100100
Planet-Friendly Business0
-100100
Respect for Cultures & Communities0
-100100
Safe & Smart Tech-40
-100100
Zero Waste & Sustainable Products-40
-100100

Better Health for All

0

Aaron's Inc.'s principal goods and services, which include furniture, electronics, appliances, and computers, have no significant direct positive or negative health impact, resulting in a neutral effect on health outcomes. The company's operations do not involve health-related R&D, health data management, or products with inherent health risks or addiction potential. While Aaron's engages in philanthropic activities, such as donating $10 million to Boys & Girls Clubs of America since 2015

1
, $25,000 to Mission 22 for veteran mental health
2
, and other donations to organizations supporting youth mental health, the provided evidence does not include quantitative metrics like percentage of revenue allocated to these programs or the measurable population-level impact required by the rubric to assess health equity, mental health initiatives, or vulnerable population reach.

Fair Money & Economic Opportunity

50

Aaron's Inc.'s core business model is to provide lease-purchase solutions for furniture, electronics, appliances, and computers to customers who may not have the credit or cash to purchase items outright.

1
This model explicitly serves underserved segments, including unbanked and credit-challenged customers.
2
As such, the company's entire business portfolio is dedicated to financial inclusion for these populations.
3

Fair Pay & Worker Respect

-30

The company's voluntary employee turnover rate was reported at 227%.

1
The CEO's total compensation was 154 times the median employee compensation of $37,498.
2
Employee engagement, based on Glassdoor ratings, stands at 3.1 out of 5 stars.
3

Fair Trade & Ethical Sourcing

-30

Aaron's does not have a formal on-site audit process for its overseas suppliers, and no formal on-site verification or audit processes are currently in place for these suppliers.

1
However, Aaron's requires all its supply chain members to sign a Master Supplier Agreement that includes comprehensive ethical-sourcing clauses.
2
These clauses cover prohibitions on child labor, forced labor, human trafficking, slavery, harassment, discrimination, and requirements for fair compensation, appropriate working hours, health and safety, and safe housing.
3
The company reserves the right to terminate business relationships with vendors found in violation of these requirements.
4

Honest & Fair Business

-10

The company incurred $3.4 million in civil penalties and fees related to a California settlement for consumer protection and privacy law violations, including overcharging customers and installing spyware.

1
A formal whistleblower protection policy is in place, featuring multiple reporting channels, including an anonymous, 24/7 hotline administered by an independent third-party.
2
The policy prohibits retaliation and ensures confidentiality, with concerns investigated promptly and thoroughly.
3
No financial restatements have been indicated, and the company has a policy to recoup executive awards if consolidated financial statements are restated.
4
75% of the Board of Directors are independent, with the Chairman and Chief Executive Officer identified as non-independent.
5
A comprehensive anti-corruption policy is in place, prohibiting domestic and foreign bribery, commercial bribery, and mandating compliance with the U.S. Foreign Corrupt Practices Act (FCPA).
6
It also sets a $500 limit on gifts to clients and vendors over a 12-month period.
7
However, specific details on enforcement or training records for this policy are not provided.

Kind to Animals

10

Aaron's Inc. is classified as having 'No Animal Exploitation' by crueltyfreeinvesting.org.

1
Given its business model of selling furniture, electronics, appliances, and computers, this indicates that animal testing, animal-derived inputs, animal agriculture, and related supplier audits are not applicable to its operations, resulting in N/A scores for several KPIs. Specifically, no animals are used in testing, and there is no in-house or contracted animal testing. The company also has zero animal inputs and no animal husbandry or captive operations. Aaron's Foundation has supported animal welfare, providing grants of $500 in 2023
2
and $1,000 in 2022
3
to Puppies Behind Bars, and $1,000 in both 2022
4
and 2023
5
to Community Angel Network for spay/neuter clinics, vet bills, and vaccinations. Additionally, Aaron's employees have volunteered at Furkids Animal Rescue.
6

No War, No Weapons

0

Aaron's Inc. operates a retail and lease-to-own business for consumer goods, including furniture, electronics, appliances, and computers.

1
The company's 2023 Form 10-K explicitly states that its business is not related to arms or defense contracts.
2
There is no evidence that its products are developed or sold with military applications, indicating no dual-use technology.
3
As a result, the company is not subject to Arms Trade Treaty declarations.
4
While the company monitors its internal computer systems and employee emails, there is no evidence of involvement in external intelligence or surveillance contracts.
5

Planet-Friendly Business

0

The company has undertaken several initiatives to reduce its environmental impact. It saved over 1.7 million KWH through an Efficient Energy Project

1
and nearly 2 million kilowatt hours in electricity savings from 12 energy improvement projects since 2010, which involved a total investment of $1.9 million.
2
One building saw a 90% reduction in lighting costs after installing LED lights and motion sensors.
3
The company also cut natural gas consumption in half by channeling heat from plastic melting equipment to provide winter heat.
4
Additionally, it reclaims plastic trash and transforms it into new products.
5
including a recycled polystyrene made of half post-industrial and half post-consumer recyclables.
6
The company partners with National Grid and Leidos Engineering to investigate the potential effects of big investments.
7

Respect for Cultures & Communities

0

Aaron's Inc. has no reported cultural appropriation incidents.

1
The company's operations do not appear to impact cultural contexts, and there is no mention of a specific cultural impact assessment protocol.
2
Free, Prior, and Informed Consent (FPIC) processes are not applicable to the company's operations, and no indigenous suppliers are mentioned.
3
There are no reported incidents disrupting cultural or heritage sites, and no cultural incidents requiring a response have been mentioned.
4

Safe & Smart Tech

-40

The company incurred $3.4 million in civil penalties and fees as part of a settlement with California related to alleged consumer protection and privacy law violations, including installing tracking software.

1
This also indicates a failure in regulatory compliance. The company requires mandatory security and privacy training for all employees and conducts periodic phishing simulations to test responses and inform targeted training.
2
It complies with the Payment Card Industry Data Security Standard (PCI DSS).
3
The privacy policy, reviewed and revised January 15, 2025, outlines user rights for consumers in certain U.S. states and Canada, including rights to know, access, delete, correct, opt-out of "sales"/"shares"/targeted advertising, and appeal.
4
It honors alternative opt-out signals like the Global Privacy Control in a frictionless manner.
5
However, the company engages in targeted advertising and does not currently respond to Do Not Track (DNT) signals on its websites.
6

Zero Waste & Sustainable Products

-40

Aaron's provides recycling resources for used electronics and televisions on its website, including state-specific recycling requirements and recommendations.

1
This offers basic disposal information for some of its product categories.

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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.