Warner Music Group
Climate Impact & Sustainability Data (2021, 2022-10 to 2023-09)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:19,000 MT CO2e (Scope 1 & 2) + 21,000 MT CO2e (employee travel) in 2019
Scope 1 Emissions:4,582 MT CO2e (2019)
Scope 2 Emissions:13,525 MT CO2e (2019)
Renewable Energy Share:60% at EMP office
ESG Focus Areas
- Diversity, equity, and inclusion
- Great workplace and culture
- Health and well-being
- Relationship with artists and songwriters
- Social impact
- Content responsibility and freedom of expression
- Environmental sustainability
- Responsible sourcing
- Data privacy and security
- Intellectual property and piracy
Environmental Achievements
- Became a founding member of the Music Climate Pact, endorsed by the United Nations.
- Created first green physical product and packaging guidelines.
- Calculated WMG’s first global direct GHG emissions footprint baseline (Scope 1 and 2 and employee travel).
- Worked with Coldplay to produce their album on recycled vinyl and FSC-certified packaging, saving over 46 tons of virgin plastic.
- Helped other artists release recycled vinyl records.
- Eliminated paper statements for artist and songwriter royalties, reducing over 1.4 million pages of paper per year.
Social Achievements
- Launched a $100 million Social Justice Fund with the Blavatnik Family Foundation, supporting 24 grantees.
- Donated to more than 20 philanthropic organizations to aid in the fight against the impact of COVID-19.
- Received certifications as a Great Place to Work™ in the U.S. and France.
- Recognized for LGBTQ+ equality by the Human Rights Campaign.
- Improved policies with regional variations around paid leave and child care support.
- Introduced WMG’s Go Contribute program.
- Increased financial investment in strategic learning and development offerings by an average of more than 15% per year.
Governance Achievements
- Established an ESG governance structure with an ESG Executive Oversight Committee.
- Enhanced the Board’s diversity.
- Reconstituted Board committees to increase the number of independent directors.
- Implemented a robust compliance training program covering anti-bribery, anti-discrimination, anti-harassment, etc.
- Appointed a Global Head of Data Privacy.
Climate Goals & Targets
Long-term Goals:
- Reduce GHG emissions in line with climate science (Music Climate Pact commitment).
Medium-term Goals:
- Achieve measurable and time-bound goals for DEI.
- Triple annual learning investment by 2025.
Short-term Goals:
- Build strategic environmental sustainability strategy.
- Measure Scope 3 emissions and set reduction target.
- Implement new travel policy to reduce travel by 45% from 2019 levels.
- Develop a comprehensive responsible sourcing program.
Environmental Challenges
- Climate change and its impact on the music industry.
- The environmental impact of digital entertainment.
- Maintaining strong relationships with artists and songwriters in a dynamic market.
- Large-scale music piracy.
- Ensuring responsible sourcing throughout the supply chain.
Mitigation Strategies
- Developing a strategic environmental sustainability strategy.
- Setting a science-based target to reduce GHG emissions.
- Measuring Scope 3 emissions.
- Working with cross-industry partners to tackle climate change.
- Increasing investment in artists and songwriters.
- Implementing a global Supplier Code of Conduct.
- Conducting an assessment of the supply chain to segment suppliers into areas of risk.
- Taking measures to thwart music piracy.
- Protecting intellectual property rights.
Supply Chain Management
Responsible Procurement
- Developing a global Supplier Code of Conduct.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI, SASB, UN SDGs
Certifications: Great Place to Work™
Sustainable Products & Innovation
- Recycled vinyl records
Awards & Recognition
- Great Place to Work™
Reporting Period: 2022-10 to 2023-09
Environmental Metrics
Total Carbon Emissions:8,813 MTCO2e/year
Scope 1 Emissions:1,583 tCO2e/year
Scope 2 Emissions:7,230 tCO2e/year
Renewable Energy Share:0%
ESG Focus Areas
- Empowering Our People and Creative Talent
- Using Our Scale and Influence for Good
- Reducing Our Impact on the Environment
Environmental Achievements
- Set a goal of sourcing 100% renewable energy across our offices by 2030.
- Introduced an industry-first method of creating greener vinyl in conjunction with Sonopress (EcoRecord, using recyclable PET and reducing energy consumption by up to 85%).
- Launched a Vinyl Life Cycle Assessment (LCA) to understand the GHG impacts of vinyl production.
- Produced WMG’s first ever BioVinyl LPs using bio-based PVC.
Social Achievements
- Expanded Employee Assistance Program to include employees and their families in Egypt, Morocco, South Africa, and the UAE.
- Implemented industry-leading parental leave policy in the UK (26 weeks).
- Introduced flexible time off plan in the U.S. (starting 2024).
- Expanded partnership with Historically Black Colleges and Universities (HBCUs) in the U.S.
- Launched a Female A&R Internship program in the UK.
- Launched the ‘Count Me In’ campaign for DEI data collection.
- Partnered with Porter’s Call to provide mental health support to recording artists in Nashville.
- Launched the legacy unrecouped advances program for artists and songwriters who signed before 2000.
- Developed Level, an online platform for artists to independently distribute their music.
- Hosted SheSounds initiative in Spain to amplify women’s voices.
- Hosted Mono Stereo Groove/Lions Share camp in Los Angeles for emerging AANHPI artists.
Governance Achievements
- Updated and rolled out the Global WMG Supplier Code of Conduct.
- Automated certification processes for vendors to confirm compliance with the Supplier Code of Conduct.
- Bolstered ESG governance process by having the ESG team report to the Strategy Operations team.
- Established the ESG Executive Oversight Committee composed of cross-functional senior leaders.
Climate Goals & Targets
Long-term Goals:
- Decarbonize entire value chain (Scope 3 emissions reduction target not explicitly stated, but implied).
Medium-term Goals:
- Source 100% renewable energy for operations by 2030.
- Increase public transportation utilization by 20% at Warner Music Live events.
Short-term Goals:
- Roll out mandatory DEI Foundations course to all countries in 2024.
- Complete accessibility audits and neurodiverse workplace assessments across UK offices and implement results.
Environmental Challenges
- Climate crisis impacting concerts and festivals.
- Supply chain disruptions due to the pandemic, climate change, and geopolitical crises.
- Lack of representation for women and underrepresented groups in the music industry.
- Need for robust IP protections and enforcement in the context of AI.
- Measuring and reducing Scope 3 emissions across the value chain.
Mitigation Strategies
- Setting science-based targets to reduce emissions across Scopes 1, 2, and 3.
- Sourcing 100% renewable energy by 2030.
- Developing sustainable products and merchandise.
- Partnering with industry organizations to address climate change (MICC).
- Implementing DEI initiatives and programs.
- Collaborating with platforms to establish control, attribution, and monetization of AI-generated content.
- Advocating for responsible AI legislation.
- Developing sector-specific guidelines for measuring Scope 3 emissions.
Supply Chain Management
Supplier Audits: 299 new vendors certified in 2023
Responsible Procurement
- Global WMG Supplier Code of Conduct.
- Automated certification processes.
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events disrupting concerts and tours.
Opportunities
- Development of sustainable products and practices.
Reporting Standards
Frameworks Used: GRI, SASB, TCFD
Third-party Assurance: Third-party auditor (name not specified)
Sustainable Products & Innovation
- EcoRecord vinyl.
- BioVinyl LPs.
- Recycled vinyl records.
- Cardboard CD packaging.
Awards & Recognition
- U.S. Human Rights Campaign Corporate Equality Index Equality 100 Award