Gildan Publishes its 18ᵗʰ Environmental, Social, and Governance (ESG) Report
July 29 2022 - 10:42AM
Gildan Activewear Inc. (GIL: TSX and NYSE) is pleased to announce
that it has published its 18th Environmental, Social, and
Governance (ESG) Report, which outlines the Company’s ESG
commitments and performance results, accompanied by further details
on Gildan’s Next Generation ESG strategy and future targets.
2021 was characterized by the ongoing COVID-19
pandemic, supply chain disruptions, labour shortages, and
geo-political and climate uncertainty. Despite these global
challenges, Gildan continued its leadership in responsible apparel
manufacturing and closed-off the year with strong ESG performance
and further progress against its strategic initiatives.
“We are pleased with the work we’ve done to
continue playing a role in improving the livelihood of people who
make our clothes, protecting the environment, empowering our
communities, and increasing the sustainability of our products,”
said Glenn J. Chamandy, President and CEO of Gildan. “Our
vertically integrated business model continues to be the driving
force behind our leading ESG practices and allows us to ensure that
our products are made with respect throughout our entire supply
chain.”
The report is available here and key highlights
can be found below:
Environment:
In 2021, Gildan continued to make investments in
systems, technologies, and initiatives towards reducing its carbon
footprint and improving water efficiency. The Company thus set a
strong base for fulfilling its future environmental goals and
reaching the level of decarbonization required to meet the goals of
the Paris Agreement, and early in 2022, Gildan signed the Science
Based Targets initiative (SBTi) commitment letter.
Key environmental highlights in 2021 included
the following:
- 39% of Gildan’s energy came from
renewable sources
- 18% reduction in water intensity
compared to 2018
- 15% decrease in total waste
intensity compared to 2018
- 68% reduction in waste clippings
compared to 2020
Social:
Gildan prioritizes being an ethical manufacturer
by respecting human rights; health and safety; diversity, equity,
and inclusion; and communities. In 2021, the Company continued to
focus on ensuring fairness, inclusion, and opportunity in its
labour practices – including across its supplier base – and on its
community engagement work.
Key social highlights in 2021 included the
following:
- $15.1 million towards in-kind
benefits for employees
- 98% of Gildan workers were
represented by formal Health and Safety committees
- 78% of respondents from Gildan’s
2021 employee engagement survey said they believed the Company was
an inclusive workplace
- Steadily increased female
representation by 2% per quarter at the senior management
level
- $2.1 million donated to community
partners
- $850 million total expenditures in
materials and services with local suppliers
Governance:
With a longstanding commitment to operating
transparently and with integrity, Gildan has been publishing its
ESG reports in alignment with the Global Reporting Initiative (GRI)
Standards: Comprehensive option since 2008, and the Sustainability
Accounting Standards Board (SASB) Apparel, Accessories and Footwear
Sustainable Accounting Standard since 2020. The Company also plans
to publish its first stand-alone Task Force on Climate Related
Financial Disclosures (TCFD) report in 2022 and expects to be fully
aligned with TCFD recommendations by 2025. In addition, in 2022,
the Company incorporated sustainability linked terms into its
credit facility and has tied a portion of CEO and senior executive
compensation to the accomplishment of ESG targets.
Key governance highlights in 2021 included the
following:
- Nine out of 10 of Gildan’s Board of
Directors were independent
- Two thirds of Gildan’s three Board
level committees were chaired by women
- The Board Diversity Policy was
updated to reflect an expanded definition of diversity and the
Company committed to a target of achieving at least 30% female
representation on the Board at or prior to the 2023 shareholder
meeting
- Retained an independent advisory
firm to review the Board’s processes and structure, composition and
succession planning, and oversight of ESG matters
Recognitions:
In 2021, Gildan was recognized by the following
organizations:
- Named one of the “World’s 100 Most
Sustainable Corporations” by Corporate Knights
- Included on the Dow Jones
Sustainability Index (DJSI) for the ninth consecutive year
- Named one of the “Top 100 ESG
Companies of 2021” by The Investor’s Business Daily
- Received a “B” score on climate
change and water security from CDP
- Ranked sixth out of 250 brands on
the 2021 Fashion Transparency Index
More information on Gildan’s ESG practices and
program is available here.
About Gildan
Gildan is a leading manufacturer of everyday
basic apparel which markets its products in North America, Europe,
Asia Pacific, and Latin America, under a strong portfolio of
Company-owned brands, including Gildan®, American Apparel®, Comfort
Colors®, GOLDTOE®, Peds®, and under the Under Armour® brand through
a sock licensing agreement providing exclusive distribution rights
in the United States and Canada. The Company’s product offerings
include activewear, underwear and socks, sold to a broad range of
customers, including wholesale distributors, screenprinters or
embellishers, as well as to retailers that sell to consumers
through their physical stores and/or e-commerce platforms, and to
global lifestyle brand companies.
Gildan owns and operates vertically integrated,
large-scale manufacturing facilities which are primarily located in
Central America, the Caribbean, North America, and Bangladesh.
Gildan operates with a strong commitment to industry-leading
labour, environmental and governance practices throughout its
supply chain in accordance with its comprehensive ESG program
embedded in the Company's long-term business strategy. More
information about the Company and its ESG practices and initiatives
can be found at gildancorp.com.
Investor inquiries: Sophie Argiriou Vice
President, Investor Communications (514)
343-8815sargiriou@gildan.com |
Media inquiries: Genevieve
Gosselin Director, Global Communications and Corporate
Marketing (514) 343-8814 ggosselin@gildan.com |
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