NaDiVeG compliance table

Respect for human rights

• Policy on Human Rights and Labor Standards
• Code of Conduct
• FSC^® certification
• Better Growth Strategy
• Sustainability Policy

• Risks of non-compliance with human rights might affect employees of suppliers – especially in forestry
• Health and safety risks for the supply chain
• Risks of discrimination

• Legal and compliance risk
• Fines
• Lawsuits
• Reputation loss

• Whistleblower System
• Works council
• Supplier assessment to mitigate supply chain risks
• Policy on Human Rights and Labor Standards

Combating of corruption and bribery

• Code of Conduct
• Whistleblower Directive
• Anti-Bribery and Corruption Directive

• Supply chain risk for Lenzing’s customers
• Risks concerning corruption and bribery may affect the societies of countries where Lenzing operates in a negative way.

• Legal and compliance risk
• Business damage
• Reputation loss
• Fines
• Lawsuits

• Whistleblower System
• Compliance trainings
• Enforcement
• Reporting to the audit committee of the supervisory board twice a year
• Supplier assessment to mitigate supply chain risks

Diversity

• Better Growth Strategy
• Policy on Human Rights and Labor Standards
• Code of Conduct

• Discrimination of gender, cultural background, age and further diversity aspects
• Mental health risks for employees

• Compliance risk
• Reputation loss

• Grievance mechanism through works council
• Diversity concept

Social (employees)

• Better Growth Strategy
• Sustainability Strategy
• Sustainability Policy
• Works council/trade union at all sites
• Policy for Safety, Health and Environment
• Life-long learning program
• Whistleblower Directive

• Safety and health risks for employees and supervised workers
• Negative effects on employee development, communities and value chain partners
• Risk of infectious disease like COVID-19

• Reputation loss
• Negative impact on employer branding
• Difficult recruitment
• High employee turnover
• Loss of know-how and lack of competence
• Lawsuits

• Whistleblower System
• SHEARS platform
• Safety trainings
• Health infrastructure at all sites
• Specific regional events for employees
• Work Councils/Trade Unions

Social (society)

• Compliance with applicable laws
• Sustainability Strategy (focus area community wellbeing)
• Sustainability Policy
• Whistleblower Directive

• Health and safety risks for local communities
• Environmental risks
• Supply chain risks for Lenzing’s downstream customers

• Reputation loss
• Lawsuits
• Business damage

• Whistleblower System
• Community activities at production sites

Environment

• Sustainability Strategy
• Sustainability Policy
• Policy for Safety, Health and Environment
• Policy for Wood and Pulp
• Group Sustainability targets
• Science-based target
• ISO management systems
• Enterprise Excellence (EPEX)

• Risks of negative effects on the ecological systems of forests of suppliers and water bodies
• Risks of high contribution to climate change through own emissions to air
• Risks of substance leakage

• Lack of availability of wood due to climate change
• Any climate-related disruption in one of the production sites will influence the business model and its success
• Reputation loss
• Lawsuits
• Business damage
• Regulatory risks (increased costs for CO₂-emissions, stronger regulations concerning environmental laws)

• Afforestation project starting in 2018
• Higg FEM 3.0
• Supplier assessment to mitigate supply chain risks
• Lenzing Enterprise Excellence Program for continuous improvement (EPEX)
• Applying voluntary benchmarks, such as the EU Ecolabel
• Management of climate-related risks and opportunities (TCFD)
• Reporting on CDP Climate, Forests and Water
• Roadmaps of group level and of site level targets
• Net-zero CO₂ emissions by 2050