TE Connectivity Ltd.
Climate Impact & Sustainability Data (2018, 2019, 2020, 2021, 2022, 2023)
Reporting Period: 2018
Environmental Metrics
ESG Focus Areas
- Climate Change
- Diversity & Inclusion
- Supplier Responsibility
- Product Stewardship
- Workplace Health and Safety
- Data Protection and Privacy
- Community Investment
- Ethical Conduct
Environmental Achievements
- Reduced energy use intensity by 30% since FY2010
- Reduced GHG emissions intensity by 14% since FY2010
- Reduced SF6 gas releases from electron beams by 89% since FY2010
- Recycled over 7.2 million pounds of plastic scrap in North America in FY2018
- Reduced water usage at Évreux, France plant by 520,000 liters per year
Social Achievements
- Launched Energy Treasure Hunt (ETH) initiative, resulting in average energy spend reduction opportunities of over 6%
- 99%+ of employees certified their commitment to the Guide to Ethical Conduct
- 36,000+ employee volunteer hours
- Five Employee Resource Groups (ERGs) with chapters in over 40 countries
- Supported over 100 robotics teams through FIRST®
Governance Achievements
- Enhanced Enterprise Risk Management approach
- Revised website privacy policy to align with GDPR
- Completed a self-assessment of all TE legal entities in China on compliance with new data regulations
- Implemented online GDPR training for over 5,600 employees
Climate Goals & Targets
Environmental Challenges
- Reducing GHG emissions
- Managing waste from the molding process for plastic due to changes in the plastics recycling industry
- Cybersecurity threats
- Evolving data privacy and security demands
- Meeting customer expectations for secure products
Mitigation Strategies
- Embedded energy conservation into business practices
- Actively sought vendors with higher-tech solutions for plastic recycling
- Implemented a balanced approach to cybersecurity focusing on people, process, and technology
- Revised privacy policies and procedures
- Built partnerships across the company to securely develop software embedded in products
Supply Chain Management
Supplier Audits: 75 audits conducted (FY2018)
Responsible Procurement
- TE’s Guide to Supplier Social Responsibility
- Supplier scorecard stressing product compliance information and SSR data
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI Standards (Core level)
Third-party Assurance: Deloitte & Touche LLP (Greenhouse Gas Emissions, Energy Consumption and Water Withdrawal)
Sustainable Products & Innovation
- SOLARLOK products for solar energy connectivity
Awards & Recognition
- Dow Jones Sustainability Indices (7th year)
- Ethisphere® Institute World’s Most Ethical Company® (5th year)
- FORTUNE’s World Most Admired Company (2nd year)
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Human Rights
- Labor
- Environment
- Anti-corruption
Environmental Achievements
- Company-wide efforts to reduce energy and water usage, waste, and greenhouse gas emissions
Social Achievements
- Commitment to equal opportunity and fair treatment, prohibiting discrimination
- Prohibition of child labor and forced labor at TE and subcontractors' facilities
Governance Achievements
- Policy prohibiting offering, promising, or giving benefits to gain improper advantage or induce decisions; also prohibits employees from requesting or receiving benefits to induce improper actions.
Climate Goals & Targets
Supply Chain Management
Responsible Procurement
- TE Connectivity Guide to Supplier Social Responsibility
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: UN Global Compact
Awards & Recognition
- Ethisphere Institute’s Most Ethical Companies 2019
- Dow Jones Sustainability Index 2018
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Co-Creating Tomorrow
- Connecting Sustainably
- Empowering Innovators
Environmental Achievements
- Reduced water withdrawal by 7.7% in fiscal year 2020 vs. fiscal year 2019
- Reduced GHG emissions (Scope 1 + Scope 2) by 1.8% in fiscal year 2020 vs. fiscal year 2019
- Percentage of hazardous waste recycled increased by 6% in fiscal year 2020 vs. fiscal year 2019
- 37% reduction in overall energy use intensity since FY2010
- Achieved net zero carbon footprints at Niederwinkling and Niedernhall, Germany sites in 2020
- Reduced water usage at Évora, Portugal site by 63,499 m3 from fiscal year 2016 to fiscal year 2020
Social Achievements
- Total Recordable Incident Rate (TRIR) decreased by 16% in fiscal year 2020 vs. fiscal year 2019 to 0.16
- Refreshed I&D commitment, strategic priorities and success measurements
- Launched African Heritage Leadership Development Program
- Published our first Human Trafficking and Modern Slavery Policy
- Impacted 650,000+ people through next-generation technology education in fiscal year 2020
Governance Achievements
- 99%+ of employees certified their compliance to our Guide to Ethical Conduct in fiscal year 2020
- 144,700 ethics and compliance trainings completed in fiscal year 2020
- Updated the Guide to Ethical Conduct booklet and online version to include the new Human Trafficking and Modern Slavery Policy
Climate Goals & Targets
- Not disclosed
- Reduce GHG emissions by 35% by 2030
- Track sustainability efforts of top 400 (75%) direct spend suppliers by 2030
- Align 100% of new building construction or major renovations with the Sustainable Facility Initiative by 2030
- Align 80% of logistics spend with suppliers demonstrating best-in-class green initiatives by 2030
- Strengthen our workplace culture, in which all differences are valued and all opinions count by 2030
- Reduce GHG emissions by 18% by 2025
- Reduce TRIR to 0.12 by 2025
- Procure 2% of global spend from diverse suppliers by 2025
- 50% of new building construction or major renovations to be aligned with the Sustainable Facility Initiative by 2025
- Impact 1.5 million people by 2025
Environmental Challenges
- COVID-19 pandemic created disruptions to supply chains and operations
- Increased waste disposed by 3.6% in fiscal year 2020 vs. fiscal year 2019
- GHG emissions (Scope 1 + Scope 2) per net sales increased by 8.5% in fiscal year 2020 vs. fiscal year 2019
Mitigation Strategies
- Implemented strategy to manage supply chain disruptions and meet customer commitments
- Developed an automated solution to populate more than 87,000 records into the European Chemicals Agency’s Substances of Concern in Products database
- Established a TE Environmental, Health and Safety and Facilities leadership team to enhance collaboration on GHG reduction initiatives
- Implemented energy efficiency operating standards at all TE manufacturing locations
Supply Chain Management
Supplier Audits: 336 site audits and quality audits conducted (combined total)
Responsible Procurement
- Guide to Supplier Social Responsibility
- Supplier scorecard assessing alignment with sustainability goals
- Audits of strategic suppliers for certification compliance
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: GRI Standards (Core level), SASB, TCFD
Certifications: Null
Third-party Assurance: Deloitte & Touche LLP (limited assurance on GHG emissions, energy consumption, and water withdrawal)
UN Sustainable Development Goals
- Goal 7 (Affordable and clean energy)
- Goal 13 (Climate action)
Initiatives contribute to these goals through GHG emissions reduction, renewable energy sourcing, and sustainable product development
Sustainable Products & Innovation
- GreenSilver™ technology
- Sustainable packaging substitute
Awards & Recognition
- Ethisphere Institute's World's Most Ethical Companies
- Security Magazine's Security 500 list (9th place in manufacturing sector)
Reporting Period: 2021
Environmental Metrics
ESG Focus Areas
- Environmental Sustainability
- Social Responsibility
- Governance
Environmental Achievements
- 30 percent reduction in absolute greenhouse gas (GHG) emissions (FY2021 vs. FY2020)
- Increased renewable energy sourcing at approximately 35 sites globally
- First-time reporting of comprehensive Scope 3 emissions
Social Achievements
- Launched first enterprise Global Human Rights Policy
- $3.5 million investment in the new African Heritage Scholarship program
- Global inclusion training implemented for 94% of employees
Governance Achievements
- Two-thirds of the 12-member board identify as diverse
- Recognized as one of the 2022 World’s Most Ethical Companies® for the eighth year in a row
- Realigned risk assessment and risk management programs to increase focus on risk owner accountability and governance
Climate Goals & Targets
- Apply Sustainable Construction Guide to 100% of new projects by 2030
- Reduce absolute Scope 1 and 2 GHG emissions by more than 40 percent by 2030
- Achieve 4% annual spend with diverse suppliers by 2027
- Apply Sustainable Construction Guide to 50% of new projects by 2025
- Decrease hazardous waste disposed by 15 percent by 2025
- Decrease water withdrawals by 15 percent by 2025 at 30 sites
- Reduce TRIR to 0.12 by 2025
Environmental Challenges
- Lingering challenges of the pandemic
- Severe supply capacity constraints within the supply base
- Fast demand recovery coupled with labor shortages
Mitigation Strategies
- Exceptional resilience, flexibility and efficiency in dealing with pandemic challenges
- Engaging with suppliers to develop sustainability plans despite supply constraints
- Implementing more specific training to address safety risks identified through comprehensive incident reporting
Supply Chain Management
Supplier Audits: 498 audits conducted in FY2021
Responsible Procurement
- Guide to Supplier Social Responsibility (SSR Guide)
- Supplier self-assessment component using Slavery & Trafficking Risk Template
- Third-party supplier social responsibility audits
Climate-Related Risks & Opportunities
Transition Risks
- Current and emerging regulations
- Reputation management
- Disaster preparedness
Opportunities
- Developing products that support customers’ climate change needs
- Using technological capabilities to develop climate-focused solutions
Reporting Standards
Frameworks Used: GRI Standards: Core level, SASB, TCFD, UN Global Compact
Third-party Assurance: Deloitte & Touche LLP (review of GHG Emissions, Energy Consumption and Water Withdrawal)
Awards & Recognition
- Named in the Dow Jones Sustainability Indices for the 10th consecutive year
- Ranked in the top 20 of Investor’s Business Daily’s 100 best ESG companies
- Recognized as one of the 2022 World’s Most Ethical Companies®
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Human Rights
- Labor
- Environment
- Anti-Corruption
Environmental Achievements
- Company-wide efforts to reduce energy and water usage, waste, and greenhouse gas emissions
Social Achievements
- Commitment to equal opportunity and fair treatment, prohibiting discrimination
- Prohibition of child labor and forced labor at TE and subcontractors’ facilities
Governance Achievements
- Policy prohibiting offering, promising, or giving benefits to gain improper advantage or induce decisions; prohibiting requesting or receiving benefits to induce improper actions.
Climate Goals & Targets
Supply Chain Management
Responsible Procurement
- TE Connectivity Guide to Supplier Social Responsibility
- Responsible Minerals and Materials Policy
- TE Connectivity Slavery and Human Trafficking Statement
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: UN Global Compact
Awards & Recognition
- Ethisphere Institute’s Most Ethical Companies 2022
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- climate change
- diversity
- governance
- sustainability
Environmental Achievements
- More than a 20% reduction in energy use intensity from fiscal 2020 to 2023
- More than a 15% reduction in total water withdrawal from fiscal 2020 to 2023
- More than a 60% reduction in absolute GHG emissions for Scopes 1 and 2 from fiscal 2020 to 2023
Social Achievements
- Aspire to have 30% of leadership roles filled by women by fiscal 2026
- Over 85% participation rate in the fourth annual employee engagement survey in fiscal 2023
- Eight employee resource groups (ERGs) with approximately 9,500 members as of fiscal year end 2023
Governance Achievements
- Management development and compensation committee oversees policies and practices related to human capital resources
Climate Goals & Targets
- Not disclosed
- 70%+ reduction in absolute GHG emissions for Scopes 1 and 2 by 2030
- Reduce water withdrawals at target sites with extremely high and high water stress by 15% by 2025
- Reduce hazardous waste disposed by 15% by 2025
- Achieve 80% renewable electricity use in operations by 2025
- Reduce OSHA total recordable incident rate to 0.12 by fiscal 2025
Environmental Challenges
- Supply chain disruptions and inflationary cost pressures
- Military conflict between Russia and Ukraine
- COVID-19 pandemic
Mitigation Strategies
- Price increases and productivity improvements
- Restructuring and cost reduction initiatives
- Managing capital resources and monitoring capital availability
- Sold business operations in Russia, reduced operations in Ukraine
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Regulatory changes
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: TCFD
Certifications: Null
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Not disclosed