Outlines Progress and Programs to Drive
Business Resilience
HERSHEY,
Pa., May 23, 2023 /PRNewswire/ -- The Hershey
Company (NYSE: HSY) today shared its 2022 Environmental, Social,
and Governance (ESG) Report, outlining progress toward its key
sustainability priorities and goals. Our Shared Goodness
Promise, Hershey's global
sustainability strategy, guides how the company incorporates
responsible and sustainable practices into every aspect of its
business to drive long-term business resilience and growth.
In 2022, Hershey reaffirmed its
most material issues through its inaugural double materiality
assessment and an update to the company's most salient human rights
issues. The company remains focused on improving cocoa
farming communities, ensuring human rights for people across its
value chain, reducing its impact on the planet and creating a
stronger and more resilient workforce.
On its journey to become a Leading Snacking Powerhouse,
Hershey is embedding responsible
and sustainable practices into its business transformation
strategy to deliver its iconic brands for consumers to enjoy.
"As we continue to act on the most important areas of focus for
our business, including responsible sourcing, reducing our carbon
footprint, and promoting inclusivity, we are continually reminded
that our progress and achievements are made possible by our
employees, farmers, partners and other stakeholders who share our
commitment to creating a more sustainable and equitable future,"
said Michele Buck, CEO, The Hershey
Company. "We are grateful for their input and support and look
forward to continuing this journey together."
Supporting Cocoa Communities and Farmer Livelihoods
By 2030, Hershey's Cocoa For
Good strategy seeks to invest $500
million to positively impact cocoa farming communities.
Hershey recently launched a new Income Accelerator in Côte
d'Ivoire, a five-year program based on proven poverty reduction
strategies that provides cash transfers and investment in Village
Savings and Loan Associations to supplement farmer income and
combat poverty. Additional cocoa highlights from 2022 include:
- Increasing sourcing visibility: In 2022, Hershey achieved 77% cocoa sourcing visibility
by volume in Côte d'Ivoire and Ghana and is on track to reach 100% sourcing
visibility by 2025. As part of Hershey's commitment to prevent and eliminate
child labor, participating farms are covered by Child Labor
Monitoring and Remediation Systems (CLMRS). In 2022, 72% of farmers
in Côte d Ivoire and Ghana were
covered by CLMRS, on track to reach 100% by 2025.
- Supporting farmer development: Hershey's commitment to improving farmer
livelihoods is grounded in empowering and investing in cocoa
communities to foster a more equitable and sustainable cocoa supply
chain. This includes supporting initiatives that provide financial
literacy and agricultural training to farmers. Additionally,
farmers in Ghana can contribute to
emissions reductions through programs like the World Bank Carbon
Fund and the Nsuoekyir Apimanim's Community Resource Management
Areas (CREMAs) and earn income as a result.
Acting on Climate Change
Across its global operations and with the dedication of employees –
including its passionate group of Energy Champions – the company is
reducing its environmental impact with a goal to achieve a 50%
absolute reduction in Scope 1 and 2 greenhouse gas (GHG) emissions
by 2030 against a 2018 baseline. In 2022, the company's Scope 1 and
2 emissions data received limited assurance by EY. Additional
environment highlights from 2022 include:
- Using real-time data to monitor utility usage:
Hershey's $3 million investment in reporting systems
provides real-time utility usage data for electricity, natural gas
and water at each of its facilities globally, aiming to reduce
energy intensity by approximately 10% over the next five years.
These systems were installed in U.S. facilities in 2022, with the
remainder to be installed in international facilities during
2023.
- Leveraging biofuel to reduce carbon intensity:
Hershey is taking action to limit
and, when possible, remove carbon-intensive fuels from its
facilities. Most recently, Hershey's India plant transitioned from using coal to
rice husks as biofuel to power production.
- Improving energy and water conservation: Enabled by
Hershey's participation in the
U.S. EPA's ENERGY STAR Challenge for Industry and the U.S.
Department of Energy's Better Buildings, Better Plants program, the
company has improved the energy intensity of its manufacturing
sites by 6.1% compared to a 2018 baseline. With support from
Hershey's Energy and Water
Management Steering Committee, the company improved global water
intensity by 6% in 2022 with a 14% improvement in water intensity
at international facilities (compared to 2021). The company also
invested nearly $1.5 million in
high-efficiency equipment to reduce well water usage at our company
headquarters in Hershey, PA.
Investing in a Resilient Supply Chain and Workforce
Hershey employees help the company
realize its purpose to Make More Moments of Goodness each
and every day. Guided by The Pathways Project – Hershey's five-year diversity, equity and
inclusion (DEI) framework – the company continues to develop and
invest in a pipeline that provides opportunities for all. Most
recently, Hershey was named to
DiversityInc's 2023 'Top Companies for Diversity' list –
underscoring the company's ongoing work to create an inclusive
environment that fosters innovation and growth. Additional
highlights from 2022 include:
- Launching 'Say Hola': A strategic initiative at the
company's Hazleton, Pennsylvania
plant, 'Say Hola' seamlessly integrated both Spanish and
English-speaking employees under one roof, equipped with bilingual
trainings, managers and workplace materials. The program improved
hiring and retention and reduced recruitment costs. Today, more
than 90% of applicants have the desired manufacturing experience,
compared to 50% before the program launch.
- Supporting and hiring veterans: As part of Hershey's commitment to promoting diversity,
equity and inclusion, veterans are an important part of the
company's workforce, bringing specialized perspectives, experiences
and skill sets to the business. In 2023, the company will expand
its partnership with three military hiring organizations and aims
to increase veteran hiring by 4%. Under the guidance of its Veteran
Business Resource Group (employee resource group), Hershey joined the National Veterans Business
Development Council and donated to Veterans Outreach of PA, a
nonprofit that supports homeless veterans.
About The Hershey Company
The Hershey Company is
headquartered in Hershey, Pennsylvania and is an
industry-leading snacks company known for making more moments of
goodness through its iconic brands, remarkable people and enduring
commitment to doing the right thing for its people, planet and
communities. Hershey has nearly
20,000 employees in the U.S. and around the world who work every
day to deliver delicious, high-quality products. The company has
more than 100 brand names in approximately 80 countries worldwide
that drive more than $10.4 billion in annual revenues,
including Hershey's,
Reese's, Kit Kat®, Jolly Rancher and Ice
Breakers, and fast-growing salty snacks including
SkinnyPop, Pirate's Booty and Dot's
Homestyle Pretzels.
For more than 125 years, Hershey has been committed to operating
fairly, ethically and sustainably. The candy and snack maker's
founder, Milton Hershey, created Milton Hershey
School in 1909 and since then the company has focused on
helping children succeed through equitable access to education.
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SOURCE The Hershey Company