The Greenbrier Companies, Inc.
Climate Impact & Sustainability Data (2018, 2019-09 to 2020-08, 2021, 2022, 2023)
Reporting Period: 2018
Environmental Metrics
ESG Focus Areas
- Employee health and safety
- Quality and safety certifications
- Diversity practices
- Equal employment opportunities
- Talent development initiatives
- Sustainable designs
- Reduction of tare weight
- Articulation in product offerings
- Participation in trade associations
- Industry-led safety coalitions
- Campaign development and management
- Product innovation efforts
- Charitable giving
- Worldwide volunteer action
- Employee giving campaigns
Environmental Achievements
- Introduced sustainable designs, including the reduction of tare weight and implementing articulation in more of its product offerings
Social Achievements
- Commitment to employee health and safety
- Quality and safety certifications
- Diversity practices
- Equal employment opportunities
- Talent development initiatives
- Charitable giving efforts
- Worldwide volunteer action
- Employee giving campaigns
Governance Achievements
- Not disclosed
Climate Goals & Targets
- Not disclosed
- Not disclosed
- Not disclosed
Environmental Challenges
- Not disclosed
Mitigation Strategies
- Not disclosed
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: Null
Certifications: Null
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Not disclosed
Reporting Period: 2019-09 to 2020-08
Environmental Metrics
ESG Focus Areas
- Governance and Ethics
- Environmental Sustainability
- Employee Safety
- Employee Diversity, Equity & Inclusion
- Stakeholder Engagement
- Community Stewardship
Environmental Achievements
- Eliminated the use of toluene to clean paint equipment in favor of water-based paints at key locations
- Southwest Steel Corsicana partnership resulted in 100% recycled railcar material used to produce castings, reducing carbon usage during steel manufacturing to zero.
Social Achievements
- Welcomed more than 1,600 new employees through the acquisition of American Railcar Industries’ (ARI) railcar manufacturing business
- Expanded Virtual Sample Railcar™ (VSR) technology, reducing travel costs and environmental impact
- Improved workplace safety performance year-over-year
- Advanced Diversity, Equity & Inclusion (DEI) program (IDEAL)
- Won Portland Business Journal’s “Excellence in Training” award for internal talent development
- President and Chief Operating Officer Lorie Tekorius received The Manufacturing Institute’s STEP Ahead Award
Governance Achievements
- Board of Directors reduced compensation during the COVID-19 pandemic
- Greenbrier’s Nominating and Governance Committee oversees environmental, social, and governance matters, including approval of this report
- 30% female Board representation
Climate Goals & Targets
- Not disclosed
- Increase steel use efficiency
- Develop a measure for carbon intensity related to production
- Complete a materiality assessment
- Expand stakeholder engagement
- Track actual recycled steel content for material supplied
- Measure energy used per unit of production
- Allocate over 50% of annual charitable contributions to underserved communities by 2022
- Channel at least 25% of philanthropic giving to diversity scholarships by 2023
Environmental Challenges
- Global COVID-19 pandemic
- Fatal injury at a Romanian factory in March 2019
Mitigation Strategies
- Implemented COVID-19 safety measures (temperature checks, increased cleaning, flexible work shifts, enhanced employee benefits, expanded remote work policy)
- Undertook intensive root cause analyses of the fatal injury and made changes to safety programs, increased training frequency and rigor, and invested in infrastructure improvements
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Responsibly sourcing raw materials
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: GRI, SASB
Certifications: ISO 45001 (Swidnica, Poland)
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- 2020 Women on Boards (WOB) recognition
- Portland Business Journal’s “Excellence in Training” award
- TTX Excellent Supplier designation
- Portland Business Journal’s “Corporate Philanthropy” and “Most Admired” lists
- LRW Member of the Year award
Reporting Period: 2021
Environmental Metrics
ESG Focus Areas
- Safety
- People
- Environmental Sustainability
- Governance & Ethics
- Communities
Environmental Achievements
- Greenbrier’s recycled steel content increased from 47% to 51% in 2021
- Enhanced environmental sustainability efforts, including improving data tracking practices
Social Achievements
- Improved OSHA recordable injury and DART rates by >60% since 2013
- Four consecutive years of improved safety statistics
- Contributed $425,000+ in nonprofit donations
- Participated in 7,000+ global volunteer hours
- Prepared employees throughout Greenbrier to deliver IDEAL diversity, equity and inclusion training to colleagues
- Hosted 93 interviews with various levels of management to establish alignment and prioritize IDEAL actions
- Created an IDEAL communication program delivered to all U.S. sites
Governance Achievements
- 92% of directors are independent
- Greenbrier’s 25% female board membership exceeds the 2020 Women on Boards target
Climate Goals & Targets
- Expand our TCFD work toward full alignment by 2030
- Increase steel use efficiency over the long term
- Implement Volunteer Time Off program at all U.S. business sites by 2025
- Create five new pathways to providing consistent diversity scholarship funding by 2025
- Reach partial alignment with the Task Force on Climate-related Financial Disclosures (TCFD) by 2025
- Expand near miss tracking to remaining production facilities in 2022
- Introduce a short-term energy and GHG reduction target for electricity usage and Scope 2 emission reporting in 2022
- Incorporate a formal Environment, Health and Safety policy among our production groups by 2023
- Expand waste management tracking to include what our facilities send to landfills by 2023
- Initiate Greenbrier’s first two employee resource groups in 2022
- Develop a formal process for inclusive onboarding and retention strategies. Achieve board sign-off by 2023
- Establish vendor selection criteria to include IDEAL values
- Establish a formal, publicly available Corporate Social Responsibility policy by 2023
- Manage 20 risks through Enterprise Risk Management program in 2022
Environmental Challenges
- COVID-19 pandemic created additional challenges ranging from worker safety to supply chain shortages and economic uncertainty across the globe
- Increased railcars in storage and lower commodity prices prior to the pandemic
Mitigation Strategies
- Launched Virtual Sample RailcarTM (VSR) program in 2020
- COVID-19 response team made adjustments to keep our employees safe and healthy (enhanced cleaning and social distancing protocols, telecommuting policy, increased sick leave, mental health resources)
- Maintained continuous operations as an essential business
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Prioritize vendors that fit our environmental selection criteria, such as those who take steps to mitigate climate change, work with recycled steel or are in close proximity to our facilities
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: SASB
Certifications: ISO 9001, ISO 14001, ISO 45001 (at some facilities)
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Goal 3
- Goal 8
- Goal 12
- Goal 13
The report links SASB topics to UN SDG targets
Sustainable Products & Innovation
- Virtual Sample RailcarTM
- Automated hatch cover
- Multi-Max PlusTM
Awards & Recognition
- Jacksonville Business Journal Women of Influence
- 50/50 Women on Boards™
- Portland Business Journal Corporate Philanthropy Awards
- 2020 Canadian Association of Railway Suppliers (CARS) Innovation Award
- Savoy Magazine Most Influential Black Corporate Directors
- Oregon History Makers
- Progressive Railroading Reader’s Choice Award for New Products
- American Marketing Association (AMA) PDX Pivot Award
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Safety & Quality
- People
- Environmental Sustainability
- Governance & Ethics
- Communities
Environmental Achievements
- Introduced the high-strength steel gondola railcar, reducing unloaded weight by up to 15,000 pounds per car and improving sustainability.
- Expanded waste management tracking to include landfill waste by 2023.
- Introduced a short-term energy and GHG reduction target for electricity usage and Scope 2 reporting.
Social Achievements
- Developed a formal process for inclusive onboarding and retention strategies.
- Launched six employee resource groups (ERGs).
- Increased Board gender diversity to 36%.
Governance Achievements
- Established a formal, publicly available Corporate Social Responsibility (CSR) policy by 2023.
- Appointed an independent director as Board Chair.
- Linked executive compensation to ESG goals.
Climate Goals & Targets
- Increase the hiring and promotion of diverse employees.
- Reach full alignment with the Task Force on Climate-Related Financial Disclosures (TCFD) by 2030 or sooner.
- Create five new pathways to providing consistent diversity scholarship funding by 2025.
- Implement a corporate level Environmental Management System (EMS) by fiscal year 2025.
- Implement Volunteer Time Off (VTO) program by 2025.
- Reduce Scope 2 GHG emissions by 20% by 2027.
- Engage in an external ESG audit by 2025.
- Fully implement new non-destructive testing (NDT) techniques in 2023.
- Audit seven additional manufacturing facilities for corporate safety standards in 2023.
- Establish a recognition and rewards program in 2023.
- Expand the employee survey to Mexico in 2023.
- Expand waste management tracking to include landfill waste by 2023.
- Implement procedures for air quality, waste management and water quality control.
Environmental Challenges
- Supply chain disruptions due to the COVID-19 pandemic and the war in Ukraine.
- Difficulty in tracking recycled steel content due to supply chain disruptions.
Mitigation Strategies
- Developed alternative sourcing strategies to maintain production schedules.
- Implemented robust supply chain management to mitigate risks.
Supply Chain Management
Supplier Audits: Annual audits of key suppliers
Responsible Procurement
- Supplier Code of Conduct
- Conflict Minerals Policy
- Commitment to supplier diversity
Climate-Related Risks & Opportunities
Physical Risks
- Severe weather events
Transition Risks
- Regulatory changes
- Changes in demand for products
Opportunities
- Increased demand for energy-efficient transportation
Reporting Standards
Frameworks Used: SASB, TCFD (partial alignment), UN SDGs
Certifications: ISO 14001 (two facilities), ISO 45001 (implied through Safety Manual)
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Goal 3
- Goal 8
- Goal 12
- Goal 13
Greenbrier's initiatives contribute to these goals through various programs and policies.
Sustainable Products & Innovation
- High-strength steel gondola
- Sustainable Conversions™ program
Awards & Recognition
- Railway Age Readers’ Most Influential Leader
- Progressive Railroading Rising Stars
- Railway Age Women in Rail
- Railway Age 25 Under 40
- STEP Ahead Award
- 50/50 Women on Boards
- TTX Excellent Supplier Award
- Progressive Railroading Reader’s Choice Awards
- Portland Business Journal Most Admired Company
- Portland Business Journal Corporate Philanthropy
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Safety
- Talent Acquisition, Retention & Recognition
- Risk Management
- Innovation and Economic Performance
- Diversity & Inclusion
- Greenhouse Gas Emissions & Climate
Environmental Achievements
- 925 solar panels installed at Greenbrier Tlaxcala with a projected average energy production of 67,000 kW-hours per month
- 49% recycled steel purchased for railcar manufacturing
- 46,000 U.S. tons material reused, reclaimed or recycled through Sustainable Conversions
Social Achievements
- Rolled out a new employee onboarding program spanning pre-hire through the first 90 days of employment
- Launched GBX RailDepot, an online communication platform for connecting people and information and employee recognition
- Mexico employee survey achieved 95% participation rate
- Introduced Dynamic Hand Safety program to address the most significant injury type
Governance Achievements
- Rolled out Environment, Health and Safety (EHS) policy across all manufacturing facilities
- Completed safety audits at eight production facilities
- Internal audit of ESG data (100% of Greenbrier manufacturing facilities audited)
Climate Goals & Targets
- Fully align with the Task Force on Climate-Related Financial Disclosures (TCFD)
- Reduce Scope 2 GHG emissions per unit of output by 20% by 2027 (from 2022 baseline)
- Create five new pathways to providing consistent diversity scholarship funding by 2025
- Establish Volunteer Time Off (VTO) program by 2025
- Implement a corporate-level Environmental Management System (EMS) by 2025
- Implement air quality, waste management and water quality control procedures
- Bolster employee feedback loops through additional surveys in the U.S., Mexico and Europe
- Introduce an enhanced safety onboarding approach across North American operations
Environmental Challenges
- Limited Tier 1 supplier base for manufacturing materials
- Need for a single source diverse vendor tracking mechanism for reporting vendor diversity metrics
- Increased cost of goods
- Limited supplier base
- Supply chain disruptions
Mitigation Strategies
- Developed a strategy committee to analyze vendor selection approach and develop next steps in a holistic review of supply chain partners, including building a vendor survey to track supplier diversity
- Identifying additional suppliers
- Increasing insourcing capabilities for manufacturing railcar components
Supply Chain Management
Supplier Audits: 21 audits/year
Responsible Procurement
- Supplier Code of Conduct
- California Transparency in Supply Chains Act Statement
- Coercive Labor Practices Policy
- Corporate Social Responsibility Policy
- Human Rights Policy
Climate-Related Risks & Opportunities
Physical Risks
- Extreme precipitation, wind, temperature, drought
Transition Risks
- Regulatory changes, market shifts, cost of moving to lower emissions technology
Opportunities
- Development of energy-efficient products, increased demand for rail transportation
Reporting Standards
Frameworks Used: TCFD, SASB, UN SDGs
Certifications: ISO 14001 (five manufacturing facilities), ISO 9001, ISO 45001, AAR M-1003, AAR M-1002, TSI Module SD
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 8 (Decent Work and Economic Growth)
- Goal 9 (Industry, Innovation and Infrastructure)
- Goal 12 (Responsible Consumption and Production)
- Goal 13 (Climate Action)
Not disclosed
Sustainable Products & Innovation
- Advanced High-Strength Steel GondolaTM
- Tsunami Automated HatchTM
- Sustainable Conversions
Awards & Recognition
- America’s Most Responsible Companies (Newsweek and Statista)
- Best Small Companies (Forbes)
- Best ESG Investment Ideas for 2023 (TD Cowen)
- Most Admired Companies (Portland Business Journal)
- Corporate Philanthropy (Portland Business Journal)
- Outstanding Executive of the Brazilian Railroad Industry (Railroad Magazine)
- Best Freight Railcar Manufacturer (Railroad Magazine)
- 2023 Manufacturing Leadership Award Finalist (National Association of Manufacturers)