Sustainability report

305-7 Nitrogen oxides (NOX), sulfur oxides (SOX), and other significant air emissions Important topic for AAK. Source of emission factors and GWP are from IPCC Firth Assessment Report, 2014 (AR5)*, using GHG protocol Standards with centralized approach where the sites report activity data. See page 42. 306-2 Management of significant waste-related impacts Important topic for AAK. The information reported has been collected from the operational sites and their disposal contrac- tors. See page 46. 307-1 Non-compliance with environmental laws and regulations Important topic for AAK: AAK experienced two non-monetary sanctions for non-compliance with environmental laws and regulations during 2020. 308-1 New suppliers that were screened using environmental criteria Significant topic: Omission: Information unavailable. Suppliers in AAK are currently screened using regional systems. Plans are ongoing to establish a global system. GRI 400 Standard: Socio economic compliance 2016 Management approach 103 1/2/3 Management approach Pages 13, 19, 37, 38–39, 40, 66–67, 76–77 and 81 403-9 Work-related injuries Important topic for AAK. See page 37. Omission: Information not available. Difference between employees and other workers not reported. This will be included going forward. 404-2 Programs for upgrading employee skills and transition assistance programs Significant topic. See pages 38–39 and 86. The type and scope of educational programs during 2020 was e.g. emergency preparedness and fire safety training for our production employees, also including sites in West Africa. Food safety, FSSC, Pest management, traceability, CCP and RSPO training including HACCP, VACCP & TACCP courses. Transition assistance programs also took place in e.g. Aarhus, Denmark where we are giving extra days off for seniors, reducing working hours for seniors and when leaving for retirement we pay a severance payment. Courses for retirement planning also took place in the US. 405-1 Diversity of governance bodies and employees Important topic for AAK. See pages 38–39. 405-2 Ratio of basic salary and remuneration of women to men Important topic for AAK. Omission: Information missing in terms of consolidated global ratio. AAK has a thorough process for each local region using Mercer salary benchmark. We follow up to ensure we do not have any remuneration gaps due to diversity reasons. 406-1 Incidents of discrimination and corrective actions taken Significant topic. AAK experienced four incidents of discrimination during 2020. All cases were investigated, and corrective actions taken. 408-1 Operations and suppliers at significant risk for incidents of child labor Important topic for AAK. AAK does not accept child labor and we are committed to ensure that workers are not exploited in forced or compulsory labor. The operations considered to have underlying potential risk for incidents of child labor and were we have dedicated efforts to ensure mitigation of the risk is in our supply chain in West Africa. During 2020, AAK has focused on preventative measures such as posters with clear messages and a supplier engagement program including a self-assessment tool. No incidents of child labor were reported during 2020. 413-1 Operations with local community engagement, impact assessments, and development programs Important topic for AAK: During 2020, the community engagement programs suffered due to Covid-19. 50 percent of the sites have still engaged in local activities including support to local schools, green areas, mothers in exposed areas, food donations and partnerships of different kinds, as well as programs that have led to improved women empowerment, free basic medical advice in the community, improved infrastructure and nutrition. Going forward, AAK will focus more on social impact assessments to continue develop relevant community engagement programs. See pages 48–49. 414-1 New suppliers that were screened using social criteria Significant topic. Omission: Information unavailable. Suppliers in AAK are currently screened using regional systems. Plans are ongoing to establish a global system. 419-1 Non-compliance with laws and regulations in the social and economic area Important topic for AAK: AAK experienced nine monetary sanction for non-compliance with laws and regulations in the social area during 2020. Together they represented a value of SEK 2,206,716. *The Greenhouse Gas Protocol: A standard designed to provide a framework for businesses, governments and other entities to measure and report their greenhouse gas emissions in ways that support their mission and goals. ** IPCC Fifth Assessment Report, 2014 (AR5): Intergovernmental Panel on Climate Change report AR5 provides an update of knowledge on the scientific, technical and socio-economic aspect of climate change. Fully reported Partly reported Topic Disclosure Disclosure description Page number and comments AAK Sustainability Report 2020 Reporting framework | 85