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Environmental, Social & Governance

Agenda 2025

Our ESG goals were developed with the help of our cross-functional ESG subcommittees and applying the learnings from our materiality analysis. The result of those efforts was Agenda 2025, our ESG Strategy for the next five years. This strategy will be guided by the ESG Executive Committee and responsibility for achieving these goals will sit with each of our ESG subcommittees. These cross functional teams will ensure that all of our ESG efforts include the subject matter expertise needed to ensure success and the our efforts are fully embedded and integrated across the enterprise.

Our Goals Include:

Environment
  • Reduce greenhouse gas emission intensity (Scope 1 and 2) by 5% by 2025 against a 2020 baseline.
  • Work with suppliers to complete Scope 3 Assessment and set a reduction goal by the end of 2025.
  • Reduce water intensity by 10% by 2025, against a 2020 baseline.
  • Achieve a company-wide landfill diversion rate of 85% by 2025.
  • Reduce food loss waste from plant operations by 50% by 2030.
  • Conduct a Sustainable Packaging Assessment by the end of 2021.
Social
  • Reduce the occupational injury rate by 15% by 2025, compared to 2020 baseline, to continue towards the goal of zero injuries.
  • Expand the responsible sourcing program to include a Responsible Sourcing Policy, ESG Screening Tool, and Annual Supplier Survey prior to 2025.
  • Complete regular, ongoing employee engagement surveys, beginning in 2020. Based on results, develop plan by the end of 2021 to unlock a values-led, high performance and customer centric work culture marked by meeting or exceeding peer employee engagement benchmarks.
Governance
  • Create a Diversity, Equity, and Inclusion (DEI) Council by the end of 2021.
  • Develop a strategic plan by the end of 2021 with the objective of creating a diverse, equitable and inclusive workplace. The plan will outline the timeline for:
    • Annual DEI goals to ensure our business better represents our customers, consumers and communities.
    • D&I training curriculum for all employees.
    • Recruitment and hiring processes with a focus on DEI.
  • Integrate climate change risks into our Business Continuity Plan by 2025.

Areas of Focus

Our process for developing our ESG goals was based on identifying the material issues that are of greatest importance to our business. This was done following the completion of a materiality analysis and ensures that we were able to identify the most meaningful concerns for TreeHouse and our keys stakeholders. Our five key focus areas that our strategy is based on includes:

ESG Integration

An effective ESG strategy has quickly become an essential part of successful business management. To maximize the success of that strategy, we realize that we need to fully integrate and embed ESG across our enterprise. TreeHouse has created an internal governance structure that includes Board and Executive oversight to ensure that our entire business is aligned around and agreed upon the ESG strategy and its importance.

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Transparency & Disclosure

We strive to be as transparent as possible in all of our communications with our constituencies. In order to ensure that our key stakeholders are aware of our efforts and are able to make informed decisions about working with us, we will provide consistent and regular communication on our ESG performance, using respected disclosure frameworks like the Sustainable Accounting Standards board and the Task Force on Climate Related Financial Disclosure. Our annual ESG report provides an update on our progress against our ESG goals and is available to the public for review.

Supply Chain & Operations

Our materiality analysis highlighted the importance of issues like climate change, supply chain management and responsible sourcing. Based on that, TreeHouse is committed to developing a responsible sourcing program that defines our expectations for our suppliers and ensures that we are proactively addressing environmental and social risks in our supply chain. In addition, TreeHouse will continue to build on our efforts to reduce our operational environmental impact by focusing on reducing our carbon footprint, increasing water efficiency and eliminating waste.

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Employee Engagement & Welfare

TreeHouse believes in the importance of ensuring that all of our employees have a safe and inclusive work environment. We work proactively to create strategies and programs that elevate the importance of diversity and inclusion, employee safety and wellbeing and environmental health and safety at all of our sites and all of our offices. In addition, we will continue to engage with our team members to seek out input on what is important to them so that we can ensure we are responding to those needs.

Plastics & Packaging

TreeHouse understands that the issue of plastic waste has become a global concern. We know that many of our customers are actively working to address the challenges of single use plastics the importance of developing more sustainable alternatives. TreeHouse is committed to the development of sustainable packaging options that are recyclable, recycled and compostable and that meet our customer expectations.

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Materiality Analysis

In 2019, we completed a materiality analysis in order to ensure we thoroughly assessed the range of ESG issues relevant to our industry and the unique characteristics of our business, as well as areas of importance to our stakeholders. This assessment ensures that we understand the issues that are of greatest concern to us and to our stakeholders. This acts as aguidepost and has helped us to set the path forward for our ESG efforts and overall strategy.

Priority Analysis: Importance of Economic, Environmental and Social Impacts

Importance to Stakeholders