Authors: Steven Daskal
Publish Date: 2012/03/29
Volume: 113, Issue: 1, Pages: 147-156
Abstract
This article discusses moral issues raised by defined contribution retirement plans specifically 401k plans in the United States The primary aim is to defend the claim that the federal government ought to require 401k plans to include a range of socially responsible investment SRI options The analysis begins with the minimal assumption that corporations engage in behavior that imposes morally impermissible harms on others with sufficient regularity to warrant attention After motivating this assumption I argue that individual investors typically share in the responsibility for the harms imposed by corporations in which they invest and that they therefore have a moral obligation to incorporate considerations of social responsibility into their investment decisions when possible to avoid being complicit in morally impermissible corporate behavior I further argue that individuals are subject to substantial institutional and structural pressures that create a powerful incentive to invest in 401k plans even though such plans typically lack any SRI options To eliminate this pressure to commit indirect harm in the process of saving for retirement I recommend that the federal government requires 401k plans to incorporate a range of SRI options and I defend this proposal from several possible objectionsFor helpful comments on earlier versions of this paper I would like to thank Adam Hosein Matt Lister an anonymous reviewer and audiences at meetings of the Association for Practical and Professional Ethics the Pacific Division of the American Philosophical Association and the EastWest Philosophers’ Conference
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