Better for 2019 SUSTAINABILITY REPORT Woolworths Group Limited ABN 88 000 014 675 Contents SECTION 1 Performance highlights Chief Executive Officer’s message 2 Partnerships. Our Group Purpose 3 Woolworths Group 2020 commitments 4 Our journey 6 Our business 8 It is through the power of partnerships that we will be able to amplify our impact and SECTION 2 People: deliver on our bold ambitions to become a more Embracing diversity 10 sustainable business. SECTION 3 Planet: Working together to drive change has helped For a healthy environment 26 us achieve many of our results this year. SECTION 4 With our customers we have removed over 3 billion Prosperity: single-use plastic bags from our environment. Founded on trusted relationships 46 With our team members we are creating an inclusive SECTION 5 culture that values diversity in all its forms. Sustainability metrics Sustainability metrics 74 With our suppliers we are working together to safeguard Workplace metrics 76 the rights of the workers in our supply chain. Corporate governance 85 Materiality 86 With our community partners we are changing the Industry association 88 lives of Australians and New Zealanders in need. Glossary 89 United Nations Global Compact 90 With our shareholders we are creating Global Reporting Initiative 91 Assurance report 94 sustainable long-term value. Company directory Inside Back Cover We are proud of our achievements, but we need to, and want to, do This is an interactive PDF more to make things better. designed to enhance your experience. The best way to view this report is with Adobe Reader. Click on the links on the contents pages or use the home button in the footer to navigate Better for everyone. the report. Scope of report: Unless otherwise stated, this report covers all our operations in Australia and New Zealand for the 2019 financial year – 1 July 2018 to 30 June 2019 (F19). Only workforce data (excluding safety) is included for our global sourcing offices in China, Bangladesh and Thailand. Contents SECTION 1 Performance highlights Chief Executive Officer’s message 2 Partnerships. Our Group Purpose 3 Woolworths Group 2020 commitments 4 Our journey 6 Our business 8 It is through the power of partnerships that we will be able to amplify our impact and SECTION 2 People: deliver on our bold ambitions to become a more Embracing diversity 10 sustainable business. SECTION 3 Planet: Working together to drive change has helped For a healthy environment 26 us achieve many of our results this year. SECTION 4 With our customers we have removed over 3 billion Prosperity: single-use plastic bags from our environment. Founded on trusted relationships 46 With our team members we are creating an inclusive SECTION 5 culture that values diversity in all its forms. Sustainability metrics Sustainability metrics 74 With our suppliers we are working together to safeguard Workplace metrics 76 the rights of the workers in our supply chain. Corporate governance 85 Materiality 86 With our community partners we are changing the Industry association 88 lives of Australians and New Zealanders in need. Glossary 89 United Nations Global Compact 90 With our shareholders we are creating Global Reporting Initiative 91 Assurance report 94 sustainable long-term value. Company directory Inside Back Cover We are proud of our achievements, but we need to, and want to, do more to make things better. Better for everyone. Scope of report: Unless otherwise stated, this report covers all our operations in Australia and New Zealand for the 2019 financial year – 1 July 2018 to 30 June 2019 (F19). Only workforce data (excluding safety) is included for our global sourcing offices in China, Bangladesh and Thailand. 3 SUSTAINABILITY REPORT 2019 REPORT SUSTAINABILITY GROUP WOOLWORTHS Chief Executive Our Group Purpose Officer’s message The retail sector is being disrupted – rapidly changing customer preferences, increases in online shopping expe Our Ways-of-Working etter rience te b s to and, importantly, heightened customer and team Our Purpose ea ge H w wk cr t he expectations in regards to plastic, food waste and e r W . HIGHLIGHTS 1PERFORMANCE Wy w est W e clean energy. It is against this backdrop of change that ys wo a a rk lw g s e a n o n we are lifting our aspirations in regards to sustainability. e vi ne d ’r o t - e r e t p a o m - We understand our responsibility to not only work W im e n to improve our own business, but to partner with our d We put our customers, suppliers, team and other stakeholders customers 2PEOPLE W st s 1 g to build a better tomorrow. i e m e n k g i f p o e a in h l r t I r e e h u t c s , p t o i k h a t e t c r r o s h w g Retail is a team game, and our 2015 levels by 2030. This is consistent e i n o i r p n e r e e gs e m w o d t ci W do e e 190,000+ team members working with limiting warming to 1.5 C above e e a e h e a lly re am t p m f fr together and advocating for our brands pre‑industrial levels. l s a o y d s y are critical to our success. Keeping a Our team has continued to work lw our team, customers and visitors safe a hard and has made significant steps I continues to be our top priority and Our Values 3PLANET towards achieving – or in some cases our total injury frequency rate has I n exceeding – our 2020 Sustainability listen and lear improved by more than 5% from 2018. W w a commitments. However, real success We consider safety holistically and are goes much further than this. We want painfully aware of the mental health to integrate sustainability into the way challenges present in today’s society. that we go about our business every This year we launched our “I Am Here” day, so that every decision we make program to support our team and help is made with our purpose at its heart 4PROSPERITY embed the importance of psychological Woolworths Group Our customers are at the • Safeguarding the mental health – “Creating better experiences together... safety into our culture. Inclusivity is a diverse group of retail heart of everything we do. and wellbeing of our team to create a better tomorrow”. members and the human rights is another important element of this and businesses and brands We constantly embrace new we’re proud to this year have achieved We continue to be committed and innovative ideas, and new of those in our supply chain Gold Tier Employer status in Australian to providing genuine, transparent across Australia and New ways of thinking and doing, • Listening to our customers’ Workplace Equality Index for LGBTI reporting on our progress, and this Zealand united by our to enable us to be agile, concerns by reducing inclusion for the second year running, year have increased our disclosure common Purpose – to responsive and adaptable – ready the amount of single‑use and to have launched our second in our most strategically important plastic or packaging from create better experiences to meet the evolving needs 5METRICS SUSTAINABILITY Indigenous Reconciliation Action Plan. areas of sustainability. our supermarkets and demands of our customers Through our extensive agricultural in partnership with our On behalf of the Woolworths team and our changing environment. • Using more sustainable supply chain we have observed the I am pleased to share with you our customers, communities ingredients across our devastating effects that climate change 2019 Sustainability Report. and networks, and make Our Core Values define us, Own Brand product range is having on our farmers in Australia and what we stand for, and our a positive impact on our • Trialling or implementing and New Zealand. We have also Ways‑of‑Working describe the experienced this first hand during world. Our Purpose is new technologies, practices way we do things. Together, the Townsville floods in February. what drives us, and every or policies to further reduce As a large user of electricity, we our Purpose, Core Values the ecological footprint of our accept our responsibility to take one of our team members. and Ways‑of‑Working help us business operations. action and have re‑set our emissions to strive to continuously maintain Brad Banducci We are committed to building reduction target to 60% below our CHIEF EXECUTIVE OFFICER the optimal culture and conditions greater trust, loyalty and impact for all of our businesses to thrive. through our actions. This Our sustainability work is centred report presents some of our around making a positive impact achievements from the 2019 Woolworths Group is a signatory to the United Nations Global Compact (UNGC). across our network, whether it be: financial year. UNGC signatories embrace a set of core values in the areas of human rights, labour standards, the environment and anti‑corruption. In this report, we share our performance against the UNGC core values. 3 SUSTAINABILITY REPORT 2019 REPORT SUSTAINABILITY GROUP WOOLWORTHS Chief Executive Our Group Purpose Officer’s message The retail sector is being disrupted – rapidly changing customer preferences, increases in online shopping expe Our Ways-of-Working etter rience te b s to and, importantly, heightened customer and team Our Purpose ea ge H w wk cr t he expectations in regards to plastic, food waste and e r W . HIGHLIGHTS 1PERFORMANCE Wy w est W e clean energy. It is against this backdrop of change that ys wo a a rk lw g s e a n o n we are lifting our aspirations in regards to sustainability.