Fazer includes food loss as a metric in its 2023 Short-Term Incentive plan
Fazer’s Board of Directors has decided to broaden the ESG (Environmental, Social, and Governance) criteria in the company’s Short-Term Incentive plan (STI), and to include food loss as a metric, in addition to Employee Safety, which has long been an ESG priority for Fazer. The portion of the ESG basket in the 2023 STI plan amounts to 15% of the total, highlighting the importance of ESG to the Group. The remainder of the annual STI performance criteria include Group and Business Area financial performance related goals.
Food loss has a major impact on climate, water, land and biodiversity. Cutting down on food loss is one of the most efficient ways to reduce the food system’s impact on the climate and the environment. Therefore, reducing food loss is a high priority at Fazer and the company has committed to 50% less avoidable food loss by 2030. Fazer will reach the target by optimising the use of raw materials and upcycling side streams. Promoting material efficiency and circularity supports the company’s efforts to decrease costs, boost profitability, and reduce its environmental impact. In 2022, Fazer had achieved an 8% reduction compared to the 2020 baseline.
“We all share the responsibility to work towards our ESG goals and to support our ESG commitments. That’s why we are extending our annual performance bonus model to include food loss”, President and CEO Christoph Vitzthum explains. “We believe that including food loss in our incentive scheme not only supports us in achieving our ESG goals, but also assists our businesses in achieving their financial goals. Going forward, we will continue integrating our ESG priorities with our business strategy.” Christoph continues.
For further information please contact:
Joséphine Mickwitz, Executive Vice President, Communications & Sustainability, Fazer Group, josephine.mickwitz@fazer.com, tel. +358 400 784 889
The Fazer media phone line is open Monday–Friday from 8 am to 4 pm, tel. +358 40 668 2998, media@fazer.com
Fazer develops food as a solution for a more sustainable planet and business
Caring for the well-being of people and the environment is part of Fazer's heritage and future. Our ambition is to be an innovative leader in whatever we do. We acknowledge the substantial impact that the way food is grown, produced and consumed has on people’s well-being, on the environment, and on society. Our sustainability work is guided by four focus areas: climate and circularity, sustainable products and innovations, sustainable sourcing, and people and well-being. We have identified our main development areas and defined clear goals and indicators for them. For us, sustainability is a journey towards a better tomorrow.
