As of last year, U of T has held a variety of investments in a number of tobacco companies-a fact which has many members of the university community concerned. There is currently a movement on campus aimed at persuading the University of Toronto to divest itself of the shares it holds in the tobacco industry, and I personally encourage U of T to sell these shares because I do not believe that our university should support an industry that negatively affects the health of its consumers. Although ethical divestment within the context of a university is a complex and tricky subject, I argue that tobacco divestment is an exceptional case because of the health problems it causes.
It is important to point out that the issue at stake is unrelated to the question of whether or not people should take up smoking. The movement encouraging U of T to divest its tobacco shares focuses solely on the companies that produce tobacco, and not on individuals that who tobacco products. I do not wish to pass judgment on smokers, nor do I wish to impinge upon an individuals’ right to take up smoking.
There are a number of pertinent questions relating to the efforts on campus to convince U of T to divest its tobacco stocks. The first, and most obvious question is, why should U of T divest from this area? The answer is that it is unethical for U of T to support an industry that adversely affects the health of Canadians. The negative health effects of tobacco are indisputable: according to the Centre for Addiction and Mental Health, tobacco use is the number one preventable cause of disease and death in Canada. The Centre also cites a study estimating that over 45,000 Canadians die of causes related to smoking a year. Moreover, research shows that even cigarettes branded as “light” still cause serious health problems for smokers. Health Canada warnings listed on packets announce risks of heart disease, stroke, and cancer of the lungs, colon, mouth, throat, pancreas, bladder, and cervix.
The issue of ethical investment, however, is not a straightforward question. What role should ethics play in investment? Why divest in tobacco shares and not other controversial stocks? My answer to this question is that tobacco shares are an exceptional case since the adverse health affects of smoking and second hand smoke are so widely known and are socially demonstrable. Since tobacco is the singular most deadly preventable disease-factor in Canada, arguably no other U of T investment has a more adverse preventable affect on Canadian health.
It is important to point out that divesting the tobacco industry is not guaranteed to negatively affect U of T financially, and if there was a negative economic effect, it would probably be minimal since U of T has such a diverse and sizeable investment portfolio. Considering the role tobacco plays in harming human health, the ethical imperative to disassociate from tobacco companies trumps the potential economic consequences.
Considering these arguments, I would encourage all members of the university community to support the movement on campus to convince U of T to divest its tobacco stocks. We should not have a share in companies that cause tens of thousands of Canadians to experience preventable health problems, and the university should set a model for societal responsibility and intelligent decisions in both the financial the ethical arena.
