Michelin

1. Sustainable natural rubber policy or commitment for all its operations?

The company has published a sustainable natural rubber policy which covers all rubber operations.

2. Sustainable natural rubber policy or commitment applies to all suppliers?

The company has published a sustainable natural rubber policy which applies to all suppliers.

3. High-level position of responsibility for sustainability?

The company has appointed an Executive Vice President for Sustainable Development, and also has a dedicated natural rubber sustainability manager.

4. One or more members within the board of the company have responsibility for sustainability?

The company has a board-level Corporate Social Responsibility Committee which is responsible for sustainability and comprises of three board members.

5. Percentage or number of women in senior management team?

7 (35%) - As of January 2021, seven of the 20 members of the Group Management Committee are female.

6. Percentage or number of women board members?

5 (45%) - Figure as of 2020. Five of the 11 supervisory board members are women.

7. Member of multiple industry schemes or other external initiatives to reduce negative environmental or social outcomes associated with natural rubber production?

[Externally verified] The company is a WBCSD member and participates in its Tire Industry Project. It is also an SNR-i working group member and a member of UN Global Compact.

8. Collaboration with stakeholders to reduce negative environmental or social outcomes associated with natural rubber production?

The company collaborates with Continental AG and software developer Smag to develop Rubberway, a tool used to map social and environmental risk in natural rubber supply chains. It also hosts scientists at its ecological reserve and supports their research, collaborates with WWF, holds forums for civil society organisations to discuss improvements in natural rubber value chains, is involved in think tanks tackling deforestation, and contributes to the French Ministry strategy tackling imported deforestation.

9. Sustainability report published within last two years?

The company's latest sustainability report was published in 2021, it is integrated with the annual report.

10. Reports through standardised reporting systems?

The company reports via CDP questionnaires and has prepared its reporting in line with GRI Standards Core Option.

11. Climate risks assessment available?

The company has published a CDP Climate Change questionnaire inclusive of a risk assessment. Information is self-reported.

12. Lists countries and operations?

Brazil (plantation & processing). The company does not disclose country locations for its manufacturing facilities.

13. Lists countries sourcing from?

This indicator is disabled as it is not applicable to this company.

14. Total land area managed/controlled for natural rubber (ha)?

4578 - Figure as of 2020.

15. Total natural rubber planted area (ha)?

513 - Figure as of 2020.

16. Scheme smallholders/outgrowers planted area (ha)?

This indicator is disabled as it is not applicable to this company.

17. Unplanted area (areas designated for future planting) (ha)?

0 - The company states that it has 0 Ha designated for future planting.

18. Conservation set-aside area, including HCV area (ha)?

3182 - Figure as of 2020.

19. Maps of estates/management units?

The company reports a static image file with PCS coordinates showing the location of its estate.

20. Management plans for natural rubber production are available for all estates/management units?

21. Monitoring of management plan implementation available for all estates/management units?

22. Maps of scheme/outgrower smallholders?

This indicator is disabled as it is not applicable to this company.

23. Names and locations of all third-party supplying industrial estates/management units?

24. List of jurisdictions where sourcing from smallholders?

The company reports 56 jurisdictions over six countries have been mapped for smallholder risk, however, it is not clear if this covers all sourcing.

25. Number of company owned natural rubber processing facilities?

2 - The company reports that it has two natural rubber processing facilities located solely in Brazil.

26. Names and locations of company owned natural rubber processing facilities?

The company provides the names and coordinates of both processing facilities: Bahia site and Sooretama site.

27. Number (or percentage) of company-owned processing facilities that source from company-owned operations and/or third parties?

2 (100%) - The company reports that one processing facility (Bahia) sources both from company-owned operations and third parties whilst the other (Sooretama) sources from third parties only.

28. Reports total volumes (or percentages) sourced by company-owned processing facilities that come from company's own operations and/or third-parties?

99.4% - The company reports that in 2020 99.4% of total volumes sourced by company-owned processing facilities came from or third-parties and 0.6% came from the company's own operations.

29. Number of third party supplying processing facilities?

150 - The company reports that it sources from "approximately 150 processing factories", as this is an approximate figure, only partial points can be awarded.

30. Names and locations of all third party supplying processing facilities?

The company reports the name and coordinates of 10 third party supplying processing facilities, however this does not cover all the estimated 150 third-party supplying processing facilities hence partial scoring.

31. Number (or percentage) of third party supplying processing facilities that source from their own plantations and/or third party plantations?

100% - The company reports that 13% of third party supplying processing facilities source from supplier's own plantations only; 12% from both suppliers own plantation and third parties; 75% from third parties only.

32. Reports total volume (or percentages) sourced from third-party supplying processing facilities that come from the supplying facilities' own operations and/or third parties?

100% - The company reports that 10% of the total volume sourced from third-party supplying processing facilities is from suppliers own operations and 90% is from third parties.

33. Total volume (or percentage) sourced for manufacturing that comes from intermediary traders rather than directly from processing facilities?

12% - The company reports that in 2020 12% of its total volumes sourced for manufacturing came from intermediary traders rather than directly from processing facilities.

34. Time-bound commitment to achieve 100% traceability to processing facility level?

The company reports that 100% of its natural rubber supply is traceable to processing facility level in 2020.

35. Percentage of supply traceable to processing facility level?

The company stated that all supply was traceable to processing facility level in 2020.

36. Time-bound commitment to achieve 100% traceability to industrial plantation level?

The company has reported a commitment to achieve 100% traceability of its natural rubber supply from industrial plantations by 2025.

37. Percentage of supply from own processing facilities traceable to industrial plantation level?

The company reports that 91% of supply from its own processing facilities is traceable to industrial plantation level.

38. Percentage of supply from third-party processing facilities traceable to industrial plantation level?

The company reports that 89% of its supply from third-party processing facilities is traceable to industrial plantation level.

39. Time-bound commitment to achieve 100% traceability to jurisdictional level for smallholders?

The company has reported a commitment to achieve 100% traceability to jurisdictional level of its natural rubber supply from smallholders by 2030.

40. Percentage of supply from own processing facilities traceable to smallholder at jurisdictional level?

The company reports that in 2020, 52% of rubber procured from smallholders was traceable to jurisdictional level.

41. Percentage of supply from third party processing facilities traceable to smallholders at jurisdictional level?

The company reports that 29% of supply from third party processing facilities is traceable to smallholders at jurisdictional level.

42. Member of the Global Platform for Sustainable Natural Rubber (GPSNR)?

[Externally verified] The company is a member of GPSNR. This has been verified via the GPSNR website.

43. Submitted self-declaration form for the Sustainable Natural Rubber Initiative (SNR-i)?

The company has submitted a self-declaration form for SNR-i.

44. Percentage area (ha) FSC certified?

45. Time-bound plan for achieving FSC FM certification of estates/management units?

46. Percentage of scheme/outgrower smallholders (ha) FSC-certified?

This indicator is disabled as it is not applicable to this company.

47. Time-bound plan for achieving FSC certification of scheme/outgrower smallholders?

This indicator is disabled as it is not applicable to this company.

48. Percentage of natural rubber supply (tonnes) from independent smallholders/outgrowers/third-party natural rubber suppliers that is FSC-certified?

49. Percentage of all natural rubber products handled/traded/processed (tonnes) that is FSC-certified?

50. Percentage area (ha) PEFC certified (excluding FSC certified area)?

51. Certified under voluntary sustainability certification scheme?

The company states that 92% of all facilities are ISO 14001 certified. Information is not externally verified.

52. Commitment to become 100% certified under voluntary sustainability certification scheme?

The company commitments to incrementally increase certification but does not state by how much and by what date.

53. Commitment to zero conversion of natural ecosystems?

The company commits to "no conversion of natural ecosystems".

54. Commitment to zero conversion of natural ecosystems applies to all suppliers?

The company commits all suppliers to no/zero conversion of all natural ecosystems.

55. Commitment to zero deforestation?

The company commits to zero deforestation.

56. Commitment to zero deforestation applies to all suppliers?

The company commits all suppliers to zero deforestation.

57. Criteria and cut-off date for defining deforestation and/or ecosystem conversion?

The company defines forests as primary forest, HCV and HCS areas. It specifies any deforestation, or instances where HCV areas have been degraded, past 1st April 2019 will not be in conformance with its zero-deforestation policy.

58. Evidence of monitoring deforestation and/or ecosystem conversion?

The company reports that it monitors deforestation through patrols. The company also reports that it's property's boundaries are monitored by the Global Forest Watch Pro tool. The area being monitored is "3,500 hectares (set-aside areas and additional area managed under the purview of the Michelin Ecological reserve).".

59. Evidence of monitoring deforestation and/or ecosystem conversion in supplier operations?

Two of the company's joint venture suppliers are implementing satellite monitoring approaches with Satelligence to monitor encroachment. The methodology, extent of area being monitored for deforestation and/or conversion, and time-frame is unclear, hence partial scoring.

60. Amount of deforestation and/or ecosystem conversion recorded in own operations since cut-off date?

The company reports that it has undertaken zero deforestation since its 2015 commitment to zero deforestation.

61. Amount of deforestation and/or ecosystem conversion recorded in supplier operations since cut-off date?

The company reports that since the GPSNR cut-off date of April 2019 no instances of deforestation from new development by suppliers' industrial plantations, although one supplier reported "11 Ha of accidental clearing on the margins of a set-aside area in 2020; they plan to rectify the incident with rehabilitation at the site or other equivalent area".

62. Commitment to restoration of deforestation/conversion?

The company commits to restore ecosystems in their own operations to their prior condition. The cut-off date beyond which deforestation is not accepted, and therefore will be restored, is 1st April 2019.

63. Commitment to restoration of deforestation/conversion applies to all suppliers?

The company commits suppliers to restore ecosystems in their operations to their prior condition. The cut-off date beyond which deforestation is not accepted, and therefore will be restored, is 1st April 2019.

64. Implementing a landscape or jurisdictional level approach?

The company reports that it recognises the importance of a landscape approach but does not give examples of implementing one.

65. Biodiversity policy?

The company has a clear commitment to protect biodiversity which goes beyond HCV/HCS/set-asides that covers all the company's natural rubber operations. The company does not have a time-bound target, hence partial scoring.

66. Biodiversity policy applies to all suppliers?

The company has a clear commitment to protect biodiversity which goes beyond HCV/HCS/set-asides that covers all suppliers and a policy which covers multiple dimensions of biodiversity.

67. Identified species of conservation concern, referencing international or national system of species classification?

The company has identified a list of species of conservation concern using the IUCN species classification. Information is not externally verified.

68. Examples of species and/or habitat conservation management?

The company provides examples of supporting research, organising patrols, and planting native species in its biological reserve. Information is not externally verified.

69. Commitment to no hunting or only sustainable hunting of species?

The company states that it will protect wildlife from hunting, "except certain instances of sustainable hunting by local communities for subsistence purposes that do not cause decline of local species populations.".

70. Commitment to no hunting or only sustainable hunting of species applies to all suppliers?

The company commits all suppliers to only allow sustainable hunting of species by local communities for subsistence purposes in their operations.

71. Commitment to protect areas from illegal activities?

The company commits to protect the natural ecosystems and plantations under its management from illegal activities.

72. Commitment to protect forest areas from illegal activities applies to all suppliers?

The company commits suppliers to protect the natural ecosystems and plantations under their management from illegal activities.

73. Evidence of protecting forest areas from illegal activities?

The company reports to conduct regular patrols and educate surrounding communities on issues relating to illegal activities.

74. Commitment to conduct High Conservation Value (HCV) assessments?

The company commits to conduct HCV assessments.

75. Commitment to conduct High Conservation Value (HCV) assessments applies to all suppliers?

The company commits all suppliers to conduct HCV assessments.

76. High Conservation Value (HCV) assessments available for all new plantings since 1st April 2019?

This indicator is disabled as it is not applicable to this company.

77. High Conservation Value (HCV) management and monitoring plans available for all new plantings since 1st April 2019?

This indicator is disabled as it is not applicable to this company.

78. Commitment to the High Carbon Stock (HCS) approach?

The company commits to apply the HCS Approach, as defined by the HCS Approach Toolkit.

79. Commitment to the High Carbon Stock (HCS) Approach applies to all suppliers?

The company commits all suppliers to apply the HCS Approach, as defined by the HCS Approach Toolkit.

80. High Carbon Stock (HCS) assessments available?

This indicator is disabled as it is not applicable to this company.

81. Peer review of all High Carbon Stock (HCS) assessments undertaken since April 2015 by the HCSA Quality Assurance Process?

This indicator is disabled as it is not applicable to this company.

82. Commitment to conduct social and environmental impact assessments (SEIAs)?

The company commits to conduct SEIAs for all its operations.

83. Commitment to conduct social and environmental impact assessments (SEIAs) applies to all suppliers?

84. Social and environmental impact assessment (SEIAs) undertaken, and associated management and monitoring plans?

85. Commitment to no planting on peat of any depth?

The company commits to no planting on peat of any depth.

86. Commitment to no planting on peat of any depth applies to all suppliers?

The company commits all suppliers to no planting on peat of any depth.

87. Landbank or planted area on peat (ha)?

0 (0%) - The company reports that it has 0 Ha of landbank on peat.

88. Implementation of commitment to no planting on peat of any depth?

This indicator is disabled as it is not applicable to this company.

89. Commitment to best management practices for soils and peat?

The company commits to best management practices for soils and peat.

90. Commitment to best management practices for soils and peat applies to all suppliers?

The company commits all suppliers to best management practices for soils and peat.

91. Evidence of best management practices for soils and peat?

[Externally verified] The company reports to undertake mechanical weeding in order to reduce chemical and pesticide use and to avoid nutrient depletion of soil. The company also reports to have planted cover crops in some areas to protect the soil. The company is part of the FERTIM project which has contributed to understanding how biomass retention and the use of legume cover crops can support soil health on rubber plantation. This information is externally verified by CIRAD.

92. Commitment to best/sustainable tapping practices?

The company commits to sustainable/good tapping practices.

93. Commitment to best/sustainable tapping practices applies to all suppliers?

The company commits all suppliers to sustainable/good tapping practices.

94. Evidence of best/sustainable tapping practices?

The company reports to conduct a 4-week training course for new tapping employees on sustainable and best tapping practices. This course includes training on tapping techniques and health and safety. The company reports to teach best tapping practice in its smallholder training too. The company also support research conducted by CIRAD and IFC relating to sustainable natural rubber production through good latex harvesting practices. This information is not externally verified.

95. Commitment to zero burning?

The company commits to no burning.

96. Commitment to zero burning applies to all suppliers?

The company commits all suppliers to no burning.

97. Evidence of fire monitoring and management?

The company reports to train forest patrol guards to monitor and respond to fire incidents. Fire monitoring is primarily carried out by physical patrols of the company's estate. This information is not externally verified.

98. Details/number of hotspots/fires in company estates/management units?

0 - The company reports that in 2019 and 2020 there were 0 fire incidents.

99. Details/number of hotspots/fires in suppliers operations/jurisdictions?

The company reports the number of fire incidents of major suppliers (industrial plantations >500 Ha) by country for C�te d'Ivoire, Ghana, and Nigeria and the area affected (Ha) for Indonesia. As the unit of measure is not consistent across countries and this does not include all suppliers, partial points have been awarded.

100. Time-bound commitment to reduce greenhouse gas (GHG) emissions intensity?

The company reports a commitment to reduce GHG emissions intensity by 32% by 2020 from a 2010 base year. The company reports to have achieved this in 2020.

101. GHG emissions intensity?

In 2020, GHG emissions intensity was 0.87 tCO2 per tonne of finished product.

102. GHG emissions from land use change?

This indicator is disabled as it is not applicable to this company.

103. Progress towards commitment to reduce GHG emissions intensity?

[Externally verified] The company reports to have achieved its commitment to reduce GHG emissions intensity by 32% (0.87 tCO2 per tonne finished product) by 2020 from a 2010 base year. Information has been audited by PricewaterhouseCoopers.

104. Methodology used to calculate GHG emissions?

WBCSD & WRI The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (revised edition) for Scope 1 & 2 emissions, and Corporate Value Chain (Scope 3) Accounting and Reporting Standard for Scope 3.

105. Time-bound commitment to improve water use intensity?

The company reports a commitment to a 30% reduction in water use per tyre from 2010 to 2020. At the end of 2020, the company had achieved product water intensity reduction of 36% since 2010.

106. Water use intensity?

8.38 - The company reports a water use intensity of 8.38 (cu.m./t FP).

107. Progress towards commitment on water use intensity?

[Externally verified] In its 2020 Water Security CDP questionnaire, the company reports a 36% reduction in water intensity from 2010 to 2020. The company also reports an increase in water withdrawals (cu.m./t FP) from 2019 to 2020 and a reduction of just 29% from 2010 to 2020. This has been externally verified by a third-party chartered accountant. It is unclear if this is conflicting information as the unit of measure is not stated in the CDP questionnaire hence partial scoring.

108. Time-bound commitment to improve water quality (BOD or COD)?

The company reports that it ensure wastewater is "properly treated in full compliance with national and local regulations" and "implements timebound improvement plans regarding quality of wastewater (including COD and BOD)", no time-bound targets for water quality are provided, hence partial scoring.

109. Progress towards commitment on water quality (BOD or COD)?

The company reports that in 2019 and 2020, sites maintained BOD levels in effluent that were "within specified legal limits in Brazil (defined as a maximum of 120 mg/l or a minimum 60% reduction efficiency". This is not externally verified.

110. Treatment of effluents from processing facilities?

The company commits that all wastewater generated from natural rubber production is properly treated in full compliance with national and local regulations. This information is not externally verified.

111. Treatment of effluents from manufacturing facilities?

The company does not describe waste water treatment in detail. Information is not externally verified.

112. Commitment to protect natural waterways through buffer zones?

The company commits to protect natural waterways through buffer zones.

113. Implementation of commitment to protect natural waterways through buffer zones?

The company reports to maintain buffer zones via designated Permanent Protection Areas (APP - �rea de Preserva��o Permanente) which are required by law, and to have restored some previously damaged APP areas. The company provides a map of these areas. Information is not externally verified.

114. Reducing odours from natural rubber processing or manufacuring facilities?

The company states some manufacturing facilities have been retrofitted to reduce odour, and reports that processing facilities have been fitted with an air scrubber and filter to reduce odours. Information is not externally verified.

115. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers?

The company commits to minimise the use of chemical fertilisers and pesticides.

116. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers, applies to all suppliers?

The company commits all suppliers to minimise the use of chemical fertilisers and pesticides.

117. Commitment to no use of paraquat?

The company commits to not use paraquat.

118. Commitment to no use of paraquat applies to all suppliers?

The company commits all suppliers to not use paraquat.

119. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides?

The company commits to not use World Health Organisation (WHO) Class 1A and 1B pesticides.

120. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides applies to all suppliers?

The company commits all suppliers to not use World Health Organisation (WHO) Class 1A and 1B pesticides.

121. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention?

The company commits all suppliers to not use Stockholm and Rotterdam Convention chemicals.

122. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention applies to all suppliers?

The company commits all suppliers to not use Stockholm and Rotterdam Convention chemicals.

123. Chemical usage per ha or list of chemicals used?

The company reports both pesticide and fertiliser use as 2.7 and 44.7 (kg active ingredient/Ha) respectively.

124. Implementation of commitment to reduce chemical usage?

The company reports a reduction in pesticide use of 9% from 2019 to 2020 and 40% for fertilisers for the same period. Information is not externally verified.

125. Integrated Pest Management (IPM) approach?

The company reports to implement an IPM approach citing examples of mechanical weeding, optimisation of use of fertiliser, and planting nitrogen fixing cover crops. This information is not externally verified.

126. Commitment to human rights?

The company commits to the UN Guiding Principles on Business and Human rights.

127. Commitment to human rights applies to all suppliers?

The company commits all suppliers to the UN Guiding Principles on Business and Human rights.

128. Progress on human rights commitment?

The company provides multiple examples of progress including opening the Group's ethics hotline to suppliers, and taking over the chair of the Human Rights Club of the Global Compact France network. Information is not externally verified.

129. Commitment to respect Indigenous and local communities' rights?

The company commits to the ILO Indigenous and Tribal Peoples Convention (no. 169) and the UN Declaration on the Rights of Indigenous Peoples.

130. Commitment to indigenous and local communities' rights applies to all suppliers?

The company commits suppliers to the ILO Indigenous and Tribal Peoples Convention (no. 169) and the UN Declaration on the Rights of Indigenous Peoples.

131. Commitment to respect legal and customary land tenure rights?

The company commits to respect legal and customary land tenure rights.

132. Commitment to legal and customary land rights applies to all suppliers?

The company commits all suppliers to respect legal and customary land tenure rights.

133. Commitment to free, prior and informed consent (FPIC)?

The company commits to respect FPIC.

134. Commitment to free, prior and informed consent (FPIC) applies to all suppliers?

The company commits all suppliers to respect FPIC.

135. Details on Free, prior and informed consent (FPIC) process available?

The company states it complies with the FAO technical guidance on FPIC and the UN-REDD Program Guidelines on FPIC.

136. Examples of local stakeholder engagement to prevent conflicts?

The company has dedicated teams, committees, and staff members that communicate with stakeholders regularly throughout each year. Information is not externally verified.

137. Details of process for addressing land conflicts available?

138. Supports the inclusion of women across natural rubber operations, including addressing barriers faced?

The company details efforts to support women and improve gender balance across its operations, but no examples were found referring to producing operations - this indicator currently only applies to producing operations. The company provides an example of a smallholder programme in Indonesia which focuses on the inclusion of women (the company does not have operations in Indonesia).

139. Commitment to mitigate impacts on food security?

The company commits to ensure food security for local communities.

140. Progress on commitment to mitigate impacts on food security?

The company reports that it developed the 'Family Agriculture Program' which encourages smallholders to grow bananas and cocoa alongside rubber to promote crop diversity and subsequently food security. The company also reports its involvement in the Casa Familiar Rural - Igrapi�na (Country House Project) which encourages smallholders to grow diverse crops to foster food security. The company is listed as a institutional partner on the Casa Familiar Rural website which the company links to, however food security is not mentioned by Casa Familiar Rural, hence partial scoring.

141. Commitment to provide essential community services and facilities?

The company commits to provide essential community services and facilities.

142. Progress on commitment to provide essential community services and facilities?

[Externally verified] The company reports to have set up and maintained "two schools, (including transport infrastructure), a health clinic, subsidized housing for low-income families and the upgrading of electricity, water and telecom infrastructure", through its Green Gold Bahia Programme. The company has also established a agricultural technical school Casa Familiar Rural (Country House Project) to train the children of smallholders in sustainable agricultural practices. This information is externally verified by Casa Familiar Rural.

143. Commitment to provide business/work opportunities for local communities?

The company states that it provides direct and indirect employment to local communities, and supports sustainable livelihoods.

144. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles?

The company commits to all Fundamental ILO Conventions. It refers to each Convention by name and number individually within a policy.

145. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles applies to all suppliers?

The company commits all suppliers to all Fundamental ILO Conventions.

146. Progress on commitment to respect all workers' rights?

The company reports multiple examples of implementing workers' rights commitments such as projects to promote hiring of workers with disabilities, efforts combatting racism, and setting up a Global Works Council to increase worker representation. Information is not externally verified.

147. Commitment to eliminate gender related discrimination with regards to employment?

The company commits to prevent employment-related discrimination based on gender.

148. Commitment to eliminate gender related discrimination with regards to employment applies to all suppliers?

The company commits all suppliers to prevent employment-related discrimination based on gender.

149. Progress on commitment to eliminate gender related discrimination with regards to employment?

The company provides examples of bias awareness training for employees and auditing of gender pay gaps. Information is not externally verified.

150. Percentage or number of temporary employees?

4937 (4.2%) - The company states that contract employees represented 4.2% of full-time equivalent (FTE) employees in 2020. There were 117,454 FTE employees in 2020.

151. Percentage or number of women employees?

19.1% - Percentage for 2020.

152. Commitment to pay a living wage?

The company commits to pay workers at least the country's minimum salary. It has the view of fostering an adequate/decent living wage in the future.

153. Commitment to pay a living wage applies to all suppliers?

The company commits suppliers to pay workers at least the country's minimum salary. It has the view of fostering an adequate/decent living wage in the future.

154. Progress on commitment to pay a living wage?

155. Reporting of salary by gender?

The company states in 2020 the gender wage gap stood at -2.58%. However, reporting is not in line with GRI standards which requires the ratio of the basic salary and remuneration of women to men for each employee category, by significant locations of operation to be stated.

156. Commitment to address occupational health and safety?

The company commits to address health and safety at work for all workers.

157. Commitment to address occupational health and safety applies to all suppliers?

The company commits to address health and safety at work for all workers.

158. Provision of personal protective equipment and related training?

The company states safety training is conducted, and each role in the production and processing of natural rubber is assessed for specific risks and personal protective equipment and training is provided for each employee. Information is not externally verified.

159. Time lost due to work-based injuries?

1.2 - The company reports a Total Case Incident Rate (TCIR) of 1.2 for the year 2020.

160. Number of fatalities as a result of work-based accidents?

2 - The company reports that in 2020 there were two fatalities as a result of work-based accidents.

161. Commitment to support smallholders?

The company commits to support smallholders.

162. Percentage of supply from smallholders?

87% - The company states that 87% of supply came from smallholders in 2020.

163. Programme to support scheme smallholders/outgrowers?

This indicator is disabled as it is not applicable to this company.

164. Percentage of scheme smallholders/outgrowers involved in programme?

This indicator is disabled as it is not applicable to this company.

165. Programme to support independent smallholders?

[Externally verified] In 2020, the company contributed to supplying 1.36m high-yielding rubber saplings to smallholders at economical prices. In the same year 422,950 field trainings for farmers on best agricultural and ESG practices were delivered by the company and Joint Ventures. Information is not externally verified. The company also reports to have established a capacity building project called CASCADE for smallholder farmers to address livelihood, environmental and social risks identified through a digital training app called RubberWay. This is externally verified through a link to KSAPA's website.

166. Percentage of independent smallholders involved in programme?

[Externally verified] 1000 - The company reports that its smallholders capacity building project CASCADE has 1,000 smallholders involved. This is externally verified through a link to KSAPA's website. The percentage of the company's independent smallholders suppliers that this constitutes is unclear, as is the percent of supply, hence partial scoring.

167. Process used to engage smallholder suppliers on compliance with company's policy and/or legal requirements?

The company uses its tool, Rubberway, to map social and environmental risk in rubber supply chains for upstream supply, including that from smallholders. From this risk assessment, the company then prioritises compliance engagement with smallholder suppliers.

168. Number or percentage of smallholder suppliers engaged on compliance with company's policy and/or legal requirements?

The company states that 30% of it's natural rubber volume is sourced from factories that have had their smallholder supply chains risk-assessed at a jurisdictional level in 2020. To consider supply chains 'risk-assessed', 5% of smallholder suppliers to a factory need to have been assessed on Rubberway. Data is not externally verified.

169. Process used to prioritise, assess and/or engage non-smallholder suppliers on compliance with company's policy and/or legal requirements?

The company uses a combination of risk mapping, self-assessment questionnaires and onsite audits to assess tier 1 suppliers against sustainability and CSR criteria, including the Group's Purchasing Policy.

170. Number or percentage of non-smallholder suppliers assessed and/or engaged on compliance with company's policy and/or legal requirements?

85.2% - The company reports 85.2% of supply was assessed by EcoVadis in 2020. Additionally, of the 916 suppliers for which desktop reviews were conducted, 697 (76%) were confirmed as compliant with Group standards. Figures for self-assessments and onsite audits are not available. The company also reports that 100% of natural rubber contracts include the sustainable natural rubber policy and 100% of suppliers have been engaged on Michelin's Sustainable Natural Rubber Policy.

171. Suspension or exclusion criteria for non-smallholder suppliers?

The company states that where serious human rights abuses or environmental breaches are found, business relations are immediately suspended. However, it is not clear what specific criteria would lead to suspension or termination, and the timelines for corrective actions are also unclear.

172. Time-bound action plans (including Key Performance Indicators) for suppliers to be in compliance with natural rubber sourcing commitments?

The company states targets for percentage of supply to be in compliance with principles such as FPIC, and zero deforestation, as well as a target for 70% of supply to be risk-assessed at jurisdictional level and engaged by 2025 with incremental year-on-year percentage increases 2020-2025.

173. Proportion of direct and indirect supply that comes from natural rubber plantations which are compliant with natural rubber sourcing policies?

174. Percentage of supply coming from agroforestry?

0.54% - The company reports that in 2020 0.54% of its natural rubber supply by volume originated from farms operating agroforestry models. This is not externally verified.

175. Commitment to ethical conduct and prohibition of corruption?

The company commits to ethical conduct and the prohibition of corruption.

176. Commitment to ethical conduct and prohibition of corruption applies to all suppliers?

The company commits all suppliers to ethical conduct and the prohibition of corruption.

177. Progress on commitment to ethical conduct and prohibition of corruption?

The company reports it has improved its alert system to make it easier for stakeholders to raise alerts and the ability of the Group Ethics Committee to oversee investigations. Additionally, an updated Anti-Corruption Code of Practice was created and an analysis conducted to identify countries of high risk of corruption. Information is not externally verified.

178. Disclosure of the company’s management approach to tax and payments to governments?

The company discloses a tax strategy and who is responsible for its implementation.

179. Whistleblowing procedure?

The company allows for whistleblowing and guarantees anonymity. There is an online Ethics Line where unethical conduct can be reported.

180. Own grievance or complaints system open to all stakeholders?

The company's grievance system is open to internal and external stakeholders.

181. Details of complaints and grievances disclosed?

The company reports that there were 989 incidents of alleged non-compliance in 2020. No details of the cases are provided and therefore no points can be awarded.