WestRock Company
Climate Impact & Sustainability Data (2019, 2019-10 to 2020-09, 2020, 2021-10 to 2022-09, 2022, 2022-10 to 2023-09, July 1, 2015 to December 31, 2015 and FY 2016)
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Greenhouse Gas Emissions
- Forest Certification
- Supplier Diversity
- Community Investment
- Circular Economy
- Responsible Fiber Sourcing
- Diversity and Inclusion
- Health and Safety
- Ethics and Integrity
- Water Management
- Waste Recycling
Environmental Achievements
- Reduced greenhouse gas emissions intensity by 15% per ton of production since 2015.
- Reduced coal use by approximately 37% since 2015.
- 81% of global facilities are certified for chain of custody.
Social Achievements
- Named first vice president of global diversity and inclusion.
- Founding member of the Valuable 500.
- Spent approximately $900 million with diverse suppliers in 2019.
- Provided more than 1,000 grants totaling more than $2.4 million through the Employee Relief Fund since 2005.
Governance Achievements
- Robust internal control environment for risk management, including annual reviews with senior executives and the Board of Directors.
- Annual mandatory compliance training for employees.
- Regular assessments of compliance with anti-corruption laws.
Climate Goals & Targets
- Reduce GHG emissions by 20% per ton of production by 2025.
Environmental Challenges
- OSHA Recordable Incident Rate increased 14% in 2019 from the 2015 baseline.
- Increased number of life-changing events related to PIT/Pedestrian interaction and caught-in incidents.
Mitigation Strategies
- Developing internal protocols for root-cause evaluations of potential life-changing events.
- Engaging teammates to proactively identify and remedy safety exposures.
- Sharing information on LCE prevention across the company.
Supply Chain Management
Supplier Audits: 116 WestRock sites completed self-assessments on labor standards, health and safety, environment and business practices (approx. 36% of operating facilities); 20 sites completed third-party audits initiated by customers in 2019.
Responsible Procurement
- WestRock Principles of Conduct
- Sustainable Forestry Initiative® (SFI®), Forest Stewardship Council® (FSC®), and Programme for the Endorsement of Forest Certification™ (PEFC™) chain of custody system.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI Standards: Core option, SASB standards for Containers & Packaging
Certifications: ISO 9001 (most mills)
Third-party Assurance: Ernst & Young LLP (limited assurance on Scope 1 and Scope 2 market-based greenhouse gas emissions and energy intensity data)
Sustainable Products & Innovation
- Paperboard solutions that replaced printed shrink wrap and plastic clamshell packaging.
Awards & Recognition
- Innovator Award from the Sustainable Packaging Coalition
- Winner of the NextGen Cup Challenge
- Leadership in Sustainability Award for Safety and Innovation in Sustainability Award from the American Forest & Paper Association
- Supplier Diversity Award from Conagra
- Top Corporation Award from the Greater Women's Business Council
Reporting Period: 2019-10 to 2020-09
Environmental Metrics
ESG Focus Areas
- Supporting People and Communities
- Bettering the Planet
- Innovating for Our Customers and Their Customers
Environmental Achievements
- 22.4% absolute reduction in Scope 1 and Scope 2 market-based greenhouse gas emissions
- 7.6 million tons of paper diverted from landfills
- 5.3 million tons of recovered paper consumed at our own paper mills
- 14.1% reduction in emissions per ton of production
- 3.4% reduction in energy efficiency
- 46% reduction in coal use
- 15% reduction in total energy usage
- Nearly six percent reduction in NOx emissions from its largest kraft paper mills
- Approximately 42 percent reduction in SO2 emissions from its largest kraft paper mills
Social Achievements
- Approximately $940 million spend with over 4600 diverse suppliers
- 42% reduction in serious injuries and fatalities
- Launched six WestRock Resource Groups: African American, Black + Allies, Early Career + Allies, Hispanic/Latinx + Allies, PRIDE + Allies, Veterans + Allies, Women + Allies
- 16,188 employees received training on our Code of Conduct and global Mutual Respect in the Workplace Policy (representing 11,993 hours of training and approximately 33% of the global employee population).
Governance Achievements
- Appointed a new chief sustainability officer (CSO)
- 11 of 12 director nominees are independent
Climate Goals & Targets
- Not disclosed
- Reduce our Scope 1 and Scope 2 GHG emissions per ton of production by 20% from a 2015 baseline by 2025
- Increase energy efficiency of purchased fuels by 10% per ton of production from a 2015 baseline by 2025
- Certify all of our wholly owned manufacturing facilities across the globe to internationally recognized chain-of-custody certification standards by 2025
- Increase our purchases of virgin fiber from lands certified to credible forest management standards by 25% by 2025
- Reduce our OSHA incident rate by 25% from a 2015 baseline by 2025
Environmental Challenges
- Physical climate presents risk to our manufacturing operations which can be impacted by weather-related events such as hurricanes, tornadoes or floods, potentially resulting in lost production, supply chain disruptions and increased material costs.
- Unpredictable weather patterns also have the potential to impact virgin fiber prices.
- Responses to climate change may result in regulatory risks as new laws and regulations aimed at mandating GHG reductions go into effect.
Mitigation Strategies
- Incorporate a review of meteorological forecast data into our fiber procurement decisions and strategies
- Systems in place for tracking GHG emissions from our energy-intensive facilities
- Carefully monitor developments in climate-related laws, regulations and policies
- Compliance with climate programs may require future expenditures to meet GHG emission-reduction obligations
Supply Chain Management
Responsible Procurement
- WestRock Principles of Conduct
Climate-Related Risks & Opportunities
Physical Risks
- hurricanes, tornadoes or floods
Transition Risks
- new laws and regulations aimed at mandating GHG reductions
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: GRI Standards: Core option
Certifications: ISO 45001:2018
Third-party Assurance: Ernst & Young LLP (limited assurance on select indicators)
UN Sustainable Development Goals
- Not disclosed
Sustainable Products & Innovation
- CanCollar® Fortuna™, Spruce Protein Tray, Bio-Pak Protect™, Pak On Demand™ Pouch System
Awards & Recognition
- Innovation in Sustainability Award (AF&PA) for six consecutive years
- Award from the Paperboard Packaging Council
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Supporting People and Communities
- Bettering the Planet
- Innovating for Our Customers and Their Customers
Environmental Achievements
- 22.4% absolute reduction in Scope 1 and Scope 2 market-based greenhouse gas emissions
- 7.6 million tons of paper diverted from landfills
- 5.3 million tons of recovered paper consumed at our own paper mills
- 30 new products launched with defined sustainability benefits
- 46% reduction in coal use
Social Achievements
- Approximately $940 million spend with over 4600 diverse suppliers
- 42% reduction in serious injuries and fatalities
- 90 grants totaling $141,500 provided to WestRock teammates through the WestRock Employee Relief Fund
Governance Achievements
- Named to the Dow Jones Sustainability Indices, DJSI World and DJSI North America
- Appointed a new chief sustainability officer
Climate Goals & Targets
- Not disclosed
- Reduce our Scope 1 and Scope 2 GHG emissions per ton of production by 20% from a 2015 baseline by 2025
- Not disclosed
Environmental Challenges
- Physical climate risks to manufacturing operations from weather-related events
- Unpredictable weather patterns impacting virgin fiber prices
- Regulatory risks from new laws and regulations aimed at mandating GHG reductions
Mitigation Strategies
- Incorporating meteorological forecast data into fiber procurement decisions
- Systems in place for tracking GHG emissions
- Careful monitoring of developments in climate-related laws, regulations and policies
- Investing in natural gas projects and infrastructure, implementing measures to improve energy efficiency
Supply Chain Management
Responsible Procurement
- WestRock Principles of Conduct
- Requires suppliers to meet environmental, social and legal standards
Climate-Related Risks & Opportunities
Physical Risks
- Hurricanes, tornadoes, floods resulting in lost production, supply chain disruptions and increased material costs
Transition Risks
- Regulatory changes mandating GHG reductions, higher fossil fuel prices or fuel efficiency standards
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: GRI Standards: Core option, SASB
Certifications: ISO 45001, ISO 9001, SFI, PEFC, FSC, CERFLOR
Third-party Assurance: Ernst & Young LLP (limited assurance on select indicators)
Sustainable Products & Innovation
- CanCollar® Fortuna™, Spruce Protein Tray, Bio-Pak Protect™, Pak On Demand™ Pouch System
Awards & Recognition
- Innovation in Sustainability Award (AF&PA) for six consecutive years
Reporting Period: 2021-10 to 2022-09
Environmental Metrics
ESG Focus Areas
- Climate Emissions and Energy
- Waste, Recycling and Circularity
- Sustainable Forestry and Biodiversity
- Water Stewardship
- Environmental Compliance and Product Stewardship
- Health and Safety
- Diversity, Inclusion, Equity and Belonging
- Ethics and Conduct
- Supplier Diversity
- Community Engagement
- Employee Engagement
- Governance
Environmental Achievements
- 5.6% total reduction in Scope 1 and Scope 2 GHG emissions from 2019 baseline
- 97.8% of products recyclable, compostable, or reusable
- Nearly 100% of wholly owned fiber-based manufacturing facilities were chain-of-custody certified
Social Achievements
- Spent more than $1 billion with small and diverse-owned suppliers
- Provided STEM, manufacturing, and technical training to 330K+ individuals since 2019
- Reduced life-changing events at facilities from four to two
Governance Achievements
- Established the WestRock Sustainability Council
- Strengthened governance of sustainability program at the board of directors level
- Short-term incentive plan (STIP) for FY22 assigned to approximately 100 leaders contained a diversity modifier of +/-5%
Climate Goals & Targets
- Not disclosed
- Reduce absolute Scope 1 and Scope 2 GHG emissions by 27.5% from FY19 base year by 2030
- Reduce absolute Scope 3 GHG emissions by 27.5% from FY19 base year by 2030
- Source 100% of virgin fiber from responsibly managed forests by 2030
- Invest in sustainable forestry by supporting certification of 1.5 million acres of forestland by 2030
- Engage with 10,000 private landowners by 2030
- Reduce water intake by 15% from FY19 baseline by 2030
- Launch a global employee education campaign emphasizing responsible water use by 2023
- Achieve 10% representation of veteran and military talent by 2025
- Grow plastics replacement revenue annual run rate to more than $700 million by fiscal year 2025
Environmental Challenges
- Supply chain disruptions
- Increased material costs
- Elevated attrition and hiring requirements
- Slight increase in lost workday rate (LWDR)
Mitigation Strategies
- Investing in talent acquisition processes and teams
- Introducing part-time schedules and benefits
- Expanding apprenticeship programs
- Implementing a formal change readiness framework
- Focusing on eliminating life-changing events
- Introducing Human Organizational Performance principles
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- WestRock Principles of Conduct
- Supplier diversity initiatives
Climate-Related Risks & Opportunities
Physical Risks
- Severe weather events
- Flooding
- Wildfires
Transition Risks
- Regulatory changes
- Market shifts
- Increased material and fuel costs
Opportunities
- Increased sales of fiber-based packaging
- Expanding packaging machinery solutions
- Attracting investors and employees
- Improving energy supply chain resiliency
Reporting Standards
Frameworks Used: GRI 2021 Universal Standards, SASB, TCFD
Certifications: ISO 9001, SQF, BRC, SFI©, PEFC®, FSC©, CERFLOR
Third-party Assurance: Ernst & Young LLP (limited assurance)
UN Sustainable Development Goals
- 5
- 6
- 7
- 8
- 10
- 12
- 13
- 15
Page 10 of the report details how sustainability targets contribute to these goals.
Sustainable Products & Innovation
- CanCollar®, EverGrow™ Collection, NatraPak™, Eco-friendly multipack sleeve
Awards & Recognition
- 2022 AF&PA Sustainability Award for Safety
- 2022 AF&PA Sustainability Award for Circular Value Chain
- Council of Singapore: EverGrow™ Fiber-based Produce Packaging
- Dow Jones Sustainability Index
- Human Rights Campaign Foundation Corporate Equality Index 2022
- North American Paperboard Packaging Competition: Excellence Award in Sustainability
- Singapore Packaging Star Awards 2022
- S&P Global Sustainability Yearbook 2022
- Pulp and Paper Safety Association (PPSA) awards
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Safety
- Diversity, Inclusion, Equity and Belonging
- Sustainable Packaging
- Sustainable Forestry
- Water Stewardship
Environmental Achievements
- Reduced absolute Scope 1 and Scope 2 GHG emissions by 5.6% from a 2019 baseline.
- 100% of wholly owned fiber-based manufacturing facilities were chain-of-custody certified to internationally recognized standards.
- Reduced water intake by 1.1% from FY19 baseline.
Social Achievements
- Reduced life-changing events at facilities from four to two.
- Spent over $1 billion with small and diverse-owned suppliers.
- 77% employee engagement in FY22.
- Provided STEM, manufacturing and technical training to 330,352 learners since FY19.
Governance Achievements
- The short-term incentive plan (STIP) for FY22 assigned to approximately 100 leaders contained a diversity modifier of +/-5%.
Climate Goals & Targets
- Not disclosed
- Support certification of 1.5 million acres of forestland to recognized forest management standards by 2030.
- Engage with 10,000 private landowners and their stakeholders by 2030.
- Commit $15 million to community projects that protect and benefit freshwater resources, working forests and biodiversity by 2030.
- Invest to reduce barriers to technical education and skills, inspiring careers in modern manufacturing by providing access to training for one million individuals by 2030.
- Reduce absolute Scope 1 and Scope 2 GHG emissions by 27.5% from a FY19 base year by 2030.
- Reduce absolute Scope 3 GHG emissions by 27.5% from a FY19 base year by 2030.
- Reduce water intake by 15% from a FY19 baseline by 2030.
Environmental Challenges
- Minor delays in achieving some targets related to sustainable packaging and forestry.
Mitigation Strategies
- Expecting recovery in the coming years.
Supply Chain Management
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: TCFD
Certifications:
Sustainable Products & Innovation
- CanCollar®
- EnShield® Natural Kraft (ENK)
Awards & Recognition
- PAC Global Award for Sustainable Design
Reporting Period: 2022-10 to 2023-09
Environmental Metrics
ESG Focus Areas
- Climate Change
- Sustainable Forestry
- Recycling
- Water Stewardship
- Communities
- Diversity and Inclusion
- Ethics and Conduct
- Health and Safety
- Business Performance
- Innovation
Environmental Achievements
- 11.3% total reduction in Scopes 1 and 2 GHG emissions and a 15.3% reduction in relevant Scope 3 emissions from a fiscal 2019 baseline
- 61% of WestRock’s energy needs are generated by burning renewable biomass
- Nearly 6.4 million tons of recyclable material managed
- 100% of virgin fiber sourced from responsibly managed forests
- 8.7% reduction in water intake since 2019
Social Achievements
- Over $940 million spent with small and diverse-owned businesses
- $3.6 million invested with strategic community partners
- 77% employee engagement score
Governance Achievements
- No material environmental enforcement actions were commenced against WestRock during fiscal 2023
- No public legal cases regarding corruption have been brought against the organization or its employees
- A component of executive compensation is tied to our performance on DIEB matters.
Climate Goals & Targets
- Not disclosed
- Reduce absolute Scope 1 and Scope 2 GHG emissions by 27.5% by 2030 from a 2019 base year
- Reduce absolute Scope 3 GHG emissions by 27.5% by 2030 from a 2019 base year
- Invest in the future of sustainable forestry by supporting certification of 1.5 million acres of forestland to recognized forest management standards by 2030
- 100% of WestRock’s packaging products will be recyclable, compostable or reusable by 2025
- Reduce water intake by 15% by 2030 from a 2019 baseline
Environmental Challenges
- Supply chain disruptions
- Severe weather events impacting physical assets and infrastructure
- Increased material costs due to climate change
- Additional compliance costs from new GHG reduction regulations
- Higher raw material and fuel prices due to the transition to a lower-carbon economy
Mitigation Strategies
- Contingency plans to address supply chain interruptions
- Property conservation program to minimize physical risks from severe weather
- Incorporating meteorological forecast data into fiber procurement
- Monitoring global developments in climate-related laws and regulations
- Investing in energy efficiency projects, fuel switching, and low-carbon technologies
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- WestRock Supplier Principles of Conduct
Climate-Related Risks & Opportunities
Physical Risks
- Severe weather events
- Flooding
- Wildfires
Transition Risks
- Regulatory changes
- Market shifts
- Increased capital expenditures
Opportunities
- Increased sales of fiber-based packaging
- Expanding packaging machinery solutions
- Attracting investors and employees
Reporting Standards
Frameworks Used: GRI 2021 Universal Standards, SASB, TCFD
Certifications: ISO 14001, ISO 9001, SQF, BRC
Third-party Assurance: Ernst & Young LLP
UN Sustainable Development Goals
- Goal 7
- Goal 8
- Goal 10
- Goal 12
- Goal 13
- Goal 15
The report details how various initiatives contribute to these goals.
Sustainable Products & Innovation
- EverGrow™
- KD Fold™
- CanCollar™
- Cluster-Clip™
- EnduraGrip™
- PETCollar™ Shield Plus
Awards & Recognition
- Barron’s 100 Most Sustainable Companies
- Newsweek America’s Most Responsible Companies
- Numerous other awards listed in the report
Reporting Period: July 1, 2015 to December 31, 2015 and FY 2016
Environmental Metrics
ESG Focus Areas
- Safety
- Diversity & Inclusion
- Communities
- Employee Engagement
- Ethics
- Supplier Diversity
- Certified Fiber
- Chain-of-Custody
- Greenhouse Gases
- Energy Efficiency
- Waste Recycling
- Water Use
- Certified Land
- Financial Health
- Supplier Conduct
- Customers
- Innovation
- Certified Office Products
Environmental Achievements
- Reduced absolute greenhouse gas emissions by more than two percent from FY15 to FY16.
- Certified 99% of manufacturing facilities.
- Reduced electricity needs at La Tuque, Quebec mill by more than six million kilowatt hours, avoiding approximately 900 metric tonnes of CO2e emissions.
- Reduced the volume of storm water discharges by more than 65 percent at Portland, Oregon facility.
- Corona, California box plant reused treated process water, saving approximately 500,000 gallons of fresh water annually.
- Diverted approximately 10,000 tons of material per month from the landfill at Três Barras, Brazil facility.
Social Achievements
- Completed vision statement and established new Employee Resource Groups.
- Established the WestRock Foundation.
- A subset of the company completed a pulse survey with 84% participation.
- Delivered Code of Conduct training to 11,000 employees.
- Expanded supplier diversity program.
- Employees volunteered approximately 22,870 hours of community service.
Governance Achievements
- Created WestRock’s Supplier Principles of Conduct.
- Surveyed nearly 4,500 customers, representing 49 countries and 10 languages.
- Established an Innovation Council.
- Maintained investment grade credit rating.
Climate Goals & Targets
- Increase purchases of certified virgin fiber by 25% by 2025.
- Increase the amount of land certified to internationally recognized forest management standards by 2025.
- Reduce our CO2e emissions by 20% per ton of production by 2025.
- Increase energy efficiency of purchased fuels by 10% per ton of production by 2025.
- Develop reduction plans for strategic watersheds by 2020.
- Establish waste reduction teams at our largest facilities by the end of 2018.
- Map the water use in our most water-intensive manufacturing operations by 2018.
- Certify all our wholly owned manufacturing facilities across the globe by 2018.
Environmental Challenges
- 2.7% increase in CO2e emissions per ton of production (though total emissions decreased 2.1%).
- 5.1% decrease in energy efficiency per ton of production (though total fossil fuel use decreased 4.7%).
Mitigation Strategies
- Intense focus on achieving long-term, production-based CO2e reduction goal through improvements in energy efficiency and optimization of renewable fuels.
- Developing site-specific strategies for improving water conservation and increasing water recycling at pulp and paper mills.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- WestRock Supplier Principles of Conduct
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Leveraging biomass for energy generation.
Reporting Standards
Frameworks Used: GRI G4 Core
Certifications: Null
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Bio-Plus Terra® II folding cartons, WestRock EnShield paperboard, lighter weight paperboard products, Meta® Automated Packaging Systems
Awards & Recognition
- Fortune’s Most Admired Companies (including Eco Award and Innovation Award), Supplier of the Year awards, Gold and Excellence Awards for products