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illuminem summarizes for you the essential news of the day. Read the full piece on ESG Today or enjoy below:
🗞️ Driving the news: The LEGO Group announced it will tie a portion of bonuses for all salaried employees to emissions reduction goals, beginning this year
• This aligns with their climate strategy to meet their ambitious targets
🔭 The context: LEGO has set ambitious climate goals through the Science Based Targets initiative for Scope 1, 2, and 3 emissions, including a 37% reduction in emissions by 2032 and achieving net zero by 2050
• They pledged to invest over $1.4 billion in sustainability and introduced a carbon KPI for executive remuneration starting in 2024, aiming to encourage colleagues to help make a positive impact as they lower emissions across factories, stores and offices
🌍 Why it matters for the planet: Linking employee bonuses to emissions reductions embeds environmental accountability throughout the organization
• This approach supports broader efforts to reduce global carbon footprints and emphasizes corporate responsibility
⏭️ What's next: LEGO aims to expand its KPI to cover more Scope 3 emissions, which make up 98% of its carbon footprint
• This would enhance their ability to track and reduce emissions across their entire value chain.
💬 One quote: “To help keep us on track, from 2024, a percentage of our performance management programme for colleague bonuses will be tied to annual emissions as we take steps to reduce environmental impact across all areas of our business.” - LEGO Group, social media post
📈 One stat: Companies with highly engaged employees in sustainability initiatives can see a 67% improvement in their sustainability performance compared to companies with less engaged employees
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