Estée Lauder Companies take corporate citizenship to the next level with their new Environmental, Social & Governance targets for 2025.
Responsible Sourcing, Packaging & Social Initiatives are key!
Today the Estée Lauder group of companies have announced their priority Environmental, Social and Corporate Governance goals.
The targets were set by the Estée Lauder Companies CEO Fabrizio Freda who stated the goals intended to maintain the companies lead role in responsible corporate citizenship.
He commented on the awareness that consumers now have when it comes to brands & companies that have purpose and demonstrate responsibility. Indeed Estée Lauder does have impressive credentials when it comes to giving back and improving the places where they conduct their work. Freda now wants to take this to the next level.
Their ESG goals are now being accelerated and new targets are being incorporated into Estée’s current strategy and business operations.
The company went on further to say that brands like Avenda, M-A-C and origins have led the way in sustainability over the years. They have delivered meaningful results to not just consumer but all stakeholders including the brands direct employees as well as the communities they source raw materials from.
The company has an organisation wide ESG policy with the goal of a more sustainable business model that ultimately helps the planet. It;s impressive to see that Estée Lauder have the intention to create sustainability principles and social purpose, long term in every area of the business.
Today”s new ESG goals announced were:
A commitment to responsible sourcing!
By 2025 Identify sensitive ingredient supply chains and develop a strong biodiversity and social action plan.
Certify palm based ingredients and their derivatives sustainable by 2025.
Emission
- Intend to reach net zero carbon emissions by 2020.
Packaging
- Make 75-100% of Bulk packaging for Beauty Products recyclable by 2025.
- Increase the amount of refillable and reusable packaging pouches whilst increasing the amount of consumer recycled material by 50%
- Use sustainable packaging like responsible sourced paper as opposed to energy intensive products like foil packaging and glassware products
Transparency of Ingredients
- Creation of a terms glossary for key ingredients. Featuring descriptions and intended uses. To be made available online by 2025.
Employee Safety & Education
- By 2020 all employees will be able to access training programs on sustainability and social impact initiatives.
- Decrease the total ‘incident’ rate further by becoming world leaders in health and safety awareness.
Social Initiatives & Employee Voices
- Impact the lives of 10 million people through social initiatives, heath and environmental programs around the world.
- Engage 50% of the workforce by 2025 in local or regional volunteer programmes.
Investing in Sustainability
The Estée Lauder Companies Inc. (ELC) has been making investments in sustainability for a long time, and they have a strong commitment to environmental, social, and governance (ESG) best practices. This dedication is demonstrated by the publication of their Fiscal Year 2022 Social Impact and Sustainability Report (SI&S Report), which outlines the development of their objectives.
This comprehensive report confirms that this company is using data-backed goals to create real solutions for the future. Through developing eco-friendly packaging initiatives and green manufacturing processes, ELC is taking steps to make its products better for both people and our planet.
Their ESG leadership has also led them down new paths; implementing solutions to address socio-economic inequality such as building more equitable workplaces and creating economic opportunity in communities where they operate. The Estée Lauder Companies Inc. is truly invested in innovating sustainable solutions that will benefit all stakeholders involved today and into the future.
Meaningful Strides
For The Estée Lauder Companies (ELC), the past fiscal year was marked by meaningful strides toward its commitment to driving long-term social impact and sustainability for all its stakeholders across the globe. Through its pillars of climate, packaging, sourcing, green chemistry and ingredient transparency, women’s advancement, racial equality, and social impact, ELC is actively championing the move toward a more sustainable future with initiatives such as plastic-free packaging solutions and green manufacturing processes.
Furthermore, it has recently launched the Breaking Barriers Accelerator Program to empower female entrepreneurs, supported civil rights movements through donations and grants to U.S.-based racial justice organizations in 2020, and provided global aid in times of crisis due to pandemics through donating hygiene products to communities around the world.
It is this dedication that drives not only ELC's corporate success but also projects a positive image into society. It serves as an inspiration to other organizations seeking to achieve sustainable growth. With nearly 75 years of experience behind them, it is clear from the strides made over the past year that ELC will continue to dedicate itself to making a lasting mark on our local and global communities for years to come.
Key Highlights
Estée Lauder Companies (ELC) have just announced some truly exciting commitments! They are committed to transitioning their global corporate vehicle fleet to electric vehicles by the end of 2030. Additionally, they want to reduce water withdrawal from their direct manufacturing sites by 20% by the end of 2025 compared to a fiscal 2019 baseline. Additionally, they have already met ELC's target of obtaining 90% of ingredients made from sustainable palm oil (RSPO) physically, which they did. The company's brands have already gone above and beyond their own goals by supporting at least one social or environmental cause.
These milestones are highly commendable as ELC continues to move towards greater sustainability and positively impact society going forward.
Estée Lauder has been a leader in corporate responsibility initiatives for many years, but 2020 saw a flurry of innovative and profoundly impactful projects from the company. Most notably, Estée Lauder created the ELC Cares Employee Relief
Fund to financially support its workers during the pandemic.
Through this fund, they distributed $10.6 million in grants to 18,500 individual employees. In addition, they distributed $12 million to various nonprofits working towards racial and social justice to drive meaningful change. To further demonstrate its commitment to making a positive difference in communities of colour, the brand increased its spending on Black-owned suppliers by more than double its previous amount of \$20 million.
Lastly, Estée Lauder launched an important campaign through their signature Open Doors women's leadership program. It creates spaces where essential skills can be taught that are needed for advancing careers — another step towards equality and inclusivity in the workplace. Estée Lauder is committed not only to their customers but also to making a huge impact on its community. As one of the largest beauty companies on the planet, we look forward to seeing how this giant will continue to make even bigger contributions over time. Even more powerful changes lie ahead.
