Boston, May 23, 2025 – 10.5% of McDonald’s* shareholders cast their votes in favor of a Green Century° shareholder proposal asking the company to assess whether its existing climate policies and plans are sufficient to achieve its emissions reduction targets. The resolution, which went to the ballot Tuesday, requests details on McDonald’s progress toward reaching its net-zero emissions by 2050 goal
“McDonald’s commitment to reducing carbon pollution shows that the company understands the risks that a warming planet poses to its business,” said Leslie Samuelrich, president of Green Century Funds. “Now, McDonald’s must assure investors that it will live up to its commitments and take the necessary steps to meaningfully reduce climate-related risks.”
Beef has an outsized climate impact
Our food system accounts for one-third of global greenhouse gas emissions, and few meals we eat contribute to those emissions more than a burger. The life cycle of beef from farm to fork emits more greenhouse gas emissions per kilogram than any other food, according to the United Nations.
Popular fast-food restaurants can play a key role in addressing climate change by buying and selling beef produced with processes that reduce emissions. Chains including Burger King, Smashburger and Shake Shack have added alternative-protein patties to their menus. Diversifying protein options to encourage consumers to reduce their consumption of beef is one critical method to cutting climate emissions.
McDonald’s is slow to show progress
McDonald’s set short- and long-term targets to reduce its greenhouse gas emissions in line with what science says is needed to avoid the worst consequences of climate change. Because beef makes up about one-third of the company’s total climate footprint, reducing beef-related emissions is an impactful strategy to achieve its climate goals.
Beyond the climate risks of increasing emissions, McDonald’s is exposing itself to reputational risk by failing to illustrate it is on track to meet its climate commitments. Environmental groups have suggested companies, including McDonald’s, may be misleading customers about the extent of their climate action, a phenomenon called “greenwashing.”
McDonald’s has several initiatives to decrease the emissions from beef production. These plans aim to produce beef more sustainably and improve soil’s ability to absorb carbon dioxide. Still, the company discontinued its only plant-based burger in the United States, its largest market in terms of system-wide sales, signaling alternative proteins may not be a part of its approach to cutting climate emissions.
“McDonald’s lacks alternative protein options that would help it reduce its beef-related emissions and demonstrate progress toward achieving its goals,” said Green Century Shareholder Advocate Giovanna Eichner. “The happiest meal for investors is one that shows the company is reducing emissions.”
###
About Green Century Funds
°Green Century Capital Management, Inc. (Green Century) is the investment advisor to the Green Century Funds (The Funds). The Green Century Funds are one of the first families of fossil fuel-free, environmentally responsible mutual funds. Green Century hosts an award-winning and in-house shareholder advocacy program and is the only mutual fund company in the U.S. wholly owned by environmental and public health nonprofit organizations.
*As of 3.28.2025, McDonald’s Corporation comprised 0.00%, 0.94%, 0.00% of Green Century Balanced Fund, the Green Century Equity Fund, and the Green Century International Index Fund respectively. As of the same date, other securities mentioned were not held in the portfolios of any of the Green Century Funds. References to specific securities, which will change due to ongoing management of the Funds, should not be construed as a recommendation by the Funds, their administrator, or their distributor.
You should carefully consider the Fund’s investment objectives, risks, charges, and expenses before investing. To obtain a Prospectus that contains this and other information about the Funds please visit www.greencentury.com, email info@greencentury.com, or call 1-800-934-7336. Please read the Prospectus carefully before investing.
An investment strategy that incorporates environmental, social and governance criteria may result in lower or higher returns than an investment strategy that does not include such criteria.
Stocks will fluctuate in response to factors that may affect a single company, industry, sector, country, region or the market as a whole and may perform worse than the market. Foreign securities are subject to additional risks such as currency fluctuations, regional economic and political conditions, differences in accounting methods, and other unique risks compared to investing in securities of U.S. issuers. Bonds are subject to a variety of risks including interest rate, credit, and inflation risk.
This information has been prepared from sources believed reliable. The views expressed are as the date of this writing and are those of the Advisor to the Funds.
The Green Century Funds are distributed by Distribution Services, LLC. 5/25. Distribution Services and Green Century are not affiliated.