iHerb

Industries Consumer Services, Retailing

Rating Overview

Risk Rating: Medium

iHerb is Medium Risk.

iHerb, LLC is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. The company implements race and identity-based policies that replace merit, excellence, and integrity with preferential treatment and outcomes. The company occasionally embraces corporate initiatives that redirect its central focus from business goals to partisan policies and divisive issues at times. This approach fails to safeguard free exercise, free speech, and free enterprise.

Rating Criteria

Corporate Weaponization Risk Levels
Criteria Risk Level
Cancellations Medium Risk
Discriminatory Philanthropy Lower Risk
Employment Protection High Risk

Corporate Weaponization

Corporate Governance and Public Policy Risk Levels
Criteria Risk Level
Advocacy Bias High Risk
Funding Lower Risk
Political Actions No Data

Corporate Governance and Public Policy

Rating Criteria Detail

Criteria Risk Level Rationale

Corporate Weaponization


Criteria:

Has canceled customers, suppliers, or vendors due to their political views or religious beliefs OR corporately boycotts, divests, or sanctions regions, people groups, or industries.

Risk Level:

Medium

Rationale:

iHerb integrates ESG into its business practices. From its 2023 Corporate Overview: “To effectively manage our ESG efforts and advance our program, iHerb has formalized an effective governance structure that includes ESG oversight responsibility at the Board level, an ESG Executive Committee and an ESG Working Group. The Executive Committee oversees the efforts of the Working Group and reports our progress on ESG matters to the iHerb Board of Directors” (1). iHerb promotes divisive sex and gender policies. Its Supplier Code of Conduct requires international vendors to include sexual orientation and gender identity in their nondiscrimination policy (2). However, the company has not publicly canceled customers, suppliers, or vendors based on political views or religious beliefs (3).

Criteria:

Charitable giving (including employee matching programs) policies or practices discriminate against charitable organizations based on views or religious beliefs.

Risk Level:

Lower

Rationale:

iHerb does not appear to discriminate against charitable organizations based on views or beliefs. Its charitable giving focus areas are “to figure out the most effective method to offer a solid education to children, and then expand it to other children in need across the world” (1).

Criteria:

Employment policies fail to protect against viewpoint or other discrimination and/or are ideological in nature.

Risk Level:

High

Rationale:

iHerb offers Diversity training to its employees (1). iHerb does not provide viewpoint protections for its employees (3).

Corporate Governance and Public Policy


Criteria:

Uses corporate reputation to support causes, organizations, or policies hostile to freedom of expression.

Risk Level:

High

Rationale:

iHerb supports ESG within its business practices. From its 2023 Corporate Overview: “We are committed to delivering progress on the environmental, social and governance (“ESG”) issues that matter most to our stakeholders” (1). iHerb supports DEI within its business practices. From its LinkedIn post: “Here at iHerb, DEIB (Diversity, Equity, Inclusion, and Belonging) is at the core of our mission to ensure that each team member has equal opportunities to leverage their unique strengths, feel valued, and grow in a healthy and respectful work environment” (2). iHerb has not supported ideological causes or policies (3).

Criteria:

Uses corporate funds to advance ideological causes, organizations, or policies hostile to freedom of expression.

Risk Level:

Lower

Rationale:

iHerb has not used corporate funds to advance ideological causes, organizations, or policies (1).

Criteria:

Uses corporate political actions and/or financial contributions for ideological, non-business purposes.

Risk Level:

N/A

Rationale:

iHerb does not operate a PAC or engage in lobbying at this time (1)(2)(3).