MASHINIi

Netflix Inc.

NFLX.US | Motion picture, video and television programme distribution activities

Netflix, Inc. is a leading global streaming entertainment service. The company provides subscription-based access to a vast library of movies, television shows, documentaries, and original content across various genres and languages. Netflix allows subscribers to watch content on a wide range of int...Show More

Ethical Profile

Mixed.

Netflix's ethical profile is mixed. The company was fined €4.75 million for GDPR transparency issues and allegedly experienced a substantial data breach affecting millions. Critics point to a UK gender pay gap (median 13.2%) and reports suggest South Korean actors and writers have protested inadequate compensation. However, Netflix committed $100 million to its Fund for Creative Equity and 2% of cash holdings to Black-owned banks. The company aims to cut emissions by 50% by 2030, matching 100% electricity with renewables, though Scope 3 emissions remain 94% of its footprint. Netflix also released viewership data for over 18,000 titles, enhancing transparency.

Value Scores

Better Health for All0
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect0
-100100
Fair Trade & Ethical Sourcing-10
-100100
Honest & Fair Business-10
-100100
Kind to Animals-10
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-20
-100100
Respect for Cultures & Communities-30
-100100
Safe & Smart Tech-20
-100100
Zero Waste & Sustainable Products10
-100100

Better Health for All

0

Netflix demonstrates a commitment to Better Health for All through initiatives addressing environmental health externalities, mental health, and healthcare education. The company aims to reduce its Scope 1 and 2 emissions by 46% and Scope 3 emissions by 55% by 2030 from a 2019 baseline

1
, and matched 100% of its global operations with renewable energy credits in 2024
2
. Some of its carbon credit projects also reduce local air pollutants
3
. Netflix directly supports mental wellness through a partnership with Headspace, producing mindfulness content like "Headspace Guide to Meditation."
4
It also enhances mental well-being and reduces social isolation for individuals with disabilities by expanding Audio Descriptions and Subtitles for the Deaf and Hard of Hearing in multiple languages
5
, and by creating collections like "Celebrating Disability with Dimension."
6
Furthermore, Netflix contributes to health literacy by offering documentaries such as "(Un)Well,"
7
"The Goop Lab,"
8
and "Heal,"
9
which explore wellness trends, present health implications, and encourage critical thinking to a global audience of over half a billion people
10
.

Fair Money & Economic Opportunity

0

Netflix is a streaming entertainment service and does not offer lending, deposit, or consumer credit products, rendering most financial inclusion KPIs not applicable. The company has committed 2% of its cash holdings, approximately $100 million, to support Black-owned financial institutions and Black communities economically

1
. This included an initial $25 million to the Black Economic Development Initiative and $10 million to Hope Credit Union
2
. Netflix also contributed $25 million to the Equitable Path Forward initiative to diversify the U.S. real estate sector and increase minority homeownership
3
. Additionally, Netflix's Fund for Creative Equity is a $100 million commitment to uplift underrepresented communities in the entertainment industry
4
. The company offers various streaming plans, including a lower-priced ad-subsidized option, to cater to different customer needs and budgets
5
.

Fair Pay & Worker Respect

0

In the past three years (2023-2025), Netflix and its subsidiaries accumulated three substantiated labor-law violations, including one wage and hour violation in 2025

1
and two workplace safety or health violations in 2024.
2
In 2024, the company reported that women and additional gender identities globally earned 99¢ for every $1 earned by men in comparable roles, and employees from non-White racial and ethnic backgrounds in the U.S. earned $1 for every $1 earned by white employees in comparable roles.
3
The company's CEO-to-median employee pay ratio was 188x in 2020, based on an average CEO compensation of $41.25 million and median employee compensation of $219,577.
4
Netflix's annual employee turnover rate was 11% in 2017/2018,
5
which was below the 13% average for technology companies in 2018.
6

Fair Trade & Ethical Sourcing

-10

Netflix's modern slavery statements for 2023 and 2024 reported no remedial action was required

1
and no suppliers or operations were identified as linked to modern slavery
2
. The company conducts annual reviews to assess modern slavery risks across its operations and supply chains
3
and has a Supplier Code of Conduct
4
and Human Rights Policy
5
prohibiting child and forced labor
6
. As a streaming entertainment service, Netflix does not appear to have significant material sourcing of at-risk inputs. Its modern slavery risk assessment identified general office supplies, cleaning, catering, pantry supplies, delivery services, maintenance services, and IT hardware as higher risk areas
7
, but overall modern slavery risk was considered low
8
.

Honest & Fair Business

-10

Netflix was fined €4.75 million by the Dutch Data Protection Authority in December 2024 for inadequate transparency regarding user data handling between 2018 and 2020.

1
Censible scored Netflix a 2 out of 5 for 'Integrity of Corporate Governance'.
2
The company has a comprehensive Global Anti-Corruption Policy, which mandates adherence to international anti-corruption and anti-bribery laws, with regular training and risk assessments conducted to ensure compliance.
3
Netflix also maintains a formal whistleblower protection policy, utilizing a third-party operated service for confidential and anonymous reporting of misconduct, available 24/7 in multiple languages, with reports escalated to the Chief Legal Officer and/or Audit Committee for thorough investigation.
4
The company's board of directors includes 10 out of 12 members determined to be independent, representing approximately 83.33% of the board.
5

Kind to Animals

-10

Netflix is a streaming entertainment service, and its core business model does not involve the production of physical goods requiring cruelty-free certification, animal testing, or animal-derived ingredients. The company does not operate animal husbandry or captive animal facilities, nor does it source animal products like eggs, meat, or dairy. Therefore, KPIs related to cruelty-free certification, animal testing, humane certifications for operations, ethical input substitution, cage-free sourcing, animal agriculture ethics, and R&D for animal-free alternatives are not applicable to its core operations. However, Netflix's operations do intersect with animal welfare through its content production. A 2017 petition requested Netflix to adopt an animal cruelty policy for its original content

1
, citing an example of animal cruelty in a show.
2
Concerns were raised in 2026 regarding the treatment of a cat in a 2018 Netflix series filmed in China, questioning adherence to animal welfare standards.
3
Additionally, footage from a law-enforcement raid on a company that supplied animals for Netflix productions revealed severe animal welfare concerns, including dogs in stacked kennels and abusive training techniques.
4
Netflix's Supplier Code of Conduct, dated June 19, 2023, does not explicitly mention animal welfare.
5
The company's ESG reports do not indicate any active engagement in animal welfare policy improvement or advocacy. This suggests Netflix has no public position on animal welfare legislation and remains silent on industry standards.

No War, No Weapons

0

Netflix's core business is streaming entertainment, and it does not engage in the production or supply of weapons, nor does it hold military contracts.

1
This maintains a clear separation from the military-industrial complex, resulting in 0% revenue from arms or defense activities.
2
Consequently, the company has no defense assets to divest and no exposure to any weapons.
3
Netflix is investing over $900 million to develop a production facility at the former Fort Monmouth military base, transforming a military site for creative use.
4
The company also secured trademark rights to 'Space Force' before the U.S. military.
5
Netflix utilizes its platform to offer documentaries and films that highlight peace initiatives, human rights, and conflict resolution, such as 'Disturbing the Peace,'
6
'Unpaved Road to Peace,'
7
and 'Trees of Peace.'
8
It also collaborated with UNESCO on the 'African Folktales, Reimagined' initiative to promote peace narratives.
9

Planet-Friendly Business

-20

Netflix has SBTi-validated targets to reduce Scope 1 and 2 emissions by 46% and Scope 3 emissions by 55% (intensity reduction) by 2030, using a 2019 baseline.

1
The company measures its carbon footprint annually and receives third-party assurance.
2
Netflix matches 100% of its global electricity use through Renewable Energy Credits.
3
The company performed a climate risk and opportunity assessment aligned with the TCFD framework, leveraging IPCC’s SSP1-2.6 (1.5-2°C) and SSP5-8.5 (4-5°C) climate scenarios.
4
This assessment found no standalone climate-related risks to be significant for the company using its ERM methodology.
5

Respect for Cultures & Communities

-30

Netflix faced a petition challenging a Netflix India ad for misrepresenting the Khasi community's cultural practices.

1
The movie "Maharaj" also drew 170 grievances and criticism for allegedly negatively portraying Hindu religious leaders
2
, resulting in a temporary stay by the Gujarat High Court before its release, though Netflix did not agree to the complaints. In 2024, the company complied with five government requests to remove content in Turkey and Vietnam.
3

Safe & Smart Tech

-20

Netflix experienced a substantial data breach in May 2025, affecting millions of users.

1
The company responded with immediate actions, enhanced security protocols, user notifications, and an internal investigation.
2
Additionally, the Dutch Data Protection Authority fined Netflix €4.75 million for GDPR violations between 2018 and 2020, citing a failure to provide clear information on data handling, sharing, retention, and international transfers, and insufficient information for customers requesting their collected data.
3
Netflix has since updated its privacy statement to improve disclosures.
4
On the positive side, Netflix operates a robust bug bounty program, having paid over $1,000,000 in rewards since 2016 for 845 valid vulnerabilities, and has facilitated timely communication and resolution of vulnerabilities.
5
The program is currently transitioning to a new platform.
6
The company also prioritizes transparency in its AI recommendation systems, allowing users to understand how viewing history influences content suggestions, and employs data minimization practices by requesting limited information from members and anonymizing AI algorithms.
7

Zero Waste & Sustainable Products

10

Netflix has demonstrated revolutionary material efficiency by virtualizing its business model, which eliminated the need to manufacture almost 2 billion DVDs per year.

1
The company also integrates circular design principles by supporting material reuse, recycling, and upcycling of assets within its productions and to non-Netflix productions. Waste reduction initiatives include a recycling program for DVD screeners
2
and the aforementioned asset management in productions. Additionally, Netflix provides customer waste education through its 'Sustainability Stories Collection,' offering over 200 titles on environmental themes such as composting and recycling, which has been viewed by 200 million households globally.
3

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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.