Performance

Targets

• 100% of our products are reusable, recyclable or compostableOn track

2021 performance

In 2021, 78% of our portfolio of packaging and paper solutions are reusable, recyclable or compostable (based on our revenue).

We made great strides in 2021 to develop a comprehensive and harmonised Group-wide approach to drive and report on progress towards our commitment. Mondi business teams developed Circular Driven Solutions roadmaps and linked their developmental and R&D initiatives to this MAP2030 commitment. Our new ‘Path to circularity’ scorecard, developed by a cross-functional team of commercial, R&D, innovation and sustainability experts, established a harmonised approach to the definition of recyclable, reusable or compostable paper-based or plastic-based solutions, including thresholds and other key parameters.

Targets

• Eliminate waste to landfill from our manufacturing processesOn track

2021 performance

In 2021, we reduced our waste to landfill from our manufacturing processes by around 33,500 tonnes. This is equivalent to a 22% reduction of specific waste to landfill (per tonne of saleable production) against a 2020 baseline. This reduction was driven by the start-up of a recultivation project for a second sludge pond at Syktyvkar (Russia) and the modernisation of the sludge dewatering unit at Richards Bay (South Africa).

Targets

• Progress made through our partnerships and stakeholder engagement activities every yearOn track

2021 performance

We have continued to collaborate across the value chain and shared our expertise to unlock new opportunities for our business and our industry. In 2021, we announced a three-years-partnership with the World Food Programme with the aim of bringing in our expertise to improve packaging quality standards and support the delivery of nutritious food over long and complex humanitarian supply chains while reducing food waste and environmental impacts. We also worked in cross-value chain collaborations such as 4evergreen and CEFLEX to drive sustainable practices and the transition to a circular economy, for example supporting the development of design for circularity and design for recycling guidelines for paper-based and plastic-based packaging respectively.

Targets

• Enable our employees to participate in upskilling programmesOn track

2021 performance

In 2021, around 8,600 employees completed the Mondi 'Performance and Development Review' process as an individual feedback tool. 69% of employees with access to the Mondi 'Individual Development Plan' completed their individual career plans and 616 employees received 360° feedback in 2021.

We had 26,200 Mondi participants attend training offered by Mondi Academy international and local operations, with a 21% female participation rate. Additionally, we offered sustainability training sessions with 2,780 internal participants in 2021.

Targets

• Achieve 90% Purpose Satisfaction score in our employee surveyOn track
• Achieve 90% Inclusiveness score in our employee surveyOn track
• Employ 30% women across MondiOn track

2021 performance

Our 2020 Mondi employee survey showed an overall Purpose Satisfaction score of 78%. To deliver against our 90% score target, we have implemented various measures in 2021, for example the launch of internal communication and engagement campaigns and the establishment of an Employer Branding focus group. To increase our Inclusiveness score from 79% (2020 employee survey) to 90%, we consolidated our diversity & inclusion activities, hired a D&I manager to lead progress, designed a strategic D&I roadmap and offered conscious inclusion training in 2021.

21% of employees and 44% of the Mondi Board were women at the end of 2021. Female representation on our Executive Committee was 33% and the proportion of female direct reports to the Executive Committee was 30%.

Targets

• Zero fatalitiesOn track
• Zero life-altering injuriesSlightly behind target
• 15% reduction of total recordable case rateOn track
• Support our employees in pursuit of a work-life experience that enhances their wellbeingOn track
• Our operations drive awareness of and take measures to improve health and mental wellbeingOn track

2021 performance

Our employees and contractors completed 741,700 hours of training in 2021, including 46% of hours dedicated to safety training. There were no fatalities in 2021. Unfortunately, a contractor experienced a life-altering injury in Finland in January 2021. In January 2022, a life-altering injury occurred, when an employee lost four fingers. Both incidents were investigated, and actions were taken to prevent reoccurrence. 

We had 240 recordable cases in our operations (excluding acquisitions) in 2021. This equates to a TRCR of 0.62 and represents a 6.2% increase compared with our 2020 baseline of 0.58. We achieved our TRCR milestone for 2021, which was set at 0.62 to allow for the longer annual shut planned for the last quarter in Richards Bay mill. The shut included a recovery boiler rebuild, involving many contractors with additional risk and working hours.

We made progress in various areas promoting positive work-life experiences for our employees in 2021: We published the first part of the Remote Work Framework and expanded the access of the Employee Assistance Programme covering 97% of Mondi employees now. We offered webinars on health and mental wellbeing and dedicated campaigns at Making A Difference Day 2021. We also supported our employees with testing and vaccination facilities during another year with the COVID-19 pandemic.

Targets

• Reduce our Scope 1 and 2 GHG emissions by 34% per tonne of saleable production by 2025 and 72% by 2050 from the 2014 base yearOn track
• Reduce Scope 2 GHG emissions by 39% per MWh by 2025 and by 86% by 2050 from the 2014 base year On track
• Set a science-based Scope 3 reduction target set by 2025On track

2021 performance

In 2021, we reduced the Group’s specific Scope 1 GHG emissions of our pulp and paper mills by 2.6% compared to 2020. Since 2004, the baseline year of our first Group-wide GHG target, we have reduced specific GHG emissions by 46% and our absolute GHG emissions by 2.4 million t CO₂e.

43% of our purchased electricity is from renewable sources (2020: 5%). In 2021, we decreased our total Group’s Scope 2 emissions by 3.4% by securing renewable electricity at our mills in Dynäs, Ružomberok and Frantschach.

At the end of 2021, the Board approved setting a Scope 3 target as part of our Net-Zero plan. The process of validation of our new Scope 3 target with SBTi has now commenced. We will publish details of our new Scope 3 short-term 2025 science-based target and our long-term 2050 science-based Net-Zero target upon validation by the SBTi.

Our Scope 3 emissions in 2021 were estimated at 3.5 million tonnes CO₂e, a slight increase of 9.1% against 2020, mainly due to an improved data base (e.g. replacing secondary data from publicly available and accepted data sources with primary data from our suppliers).

Targets

• Maintain 100% FSC^TM certification in our own forest landholdingsOn track
• 100% responsibly sourced fibre with 75% FSC^TM- or PEFC-certified fibre procured by 2025 and the remainder meeting the FSC^TM Controlled Wood standardOn track
• Implement leading forestry measures to ensure productive, healthy and resilient forestsOn track

2021 performance

We have maintained 100% of our own forestry landholdings in Russia and South Africa as FSC-certified complemented by other certification schemes. 100% of our wood fibre procured in 2021 was from responsible sources with 77% FSC- or PEFC-certified wood and the remainder being compliant with the FSC Controlled Wood standard.

Furthermore, we established a new partnership with the International Union of Forest Research Organizations (IUFRO) combining scientific thinking with operational best practice to identify ways to improve the resilience of our European forests for the benefit of the entire forestry sector.

Targets

• Conduct water stewardship assessments at our mills and forest operations by 2025, and implement required actions to address the findings by 2030On track
• Conduct biodiversity assessments at our mills and forest operations, introducing biodiversity action plans where necessary by 2025On track

2021 performance

In 2021, 50% of our forestry operations and 15% of our mills have completed water stewardship assessments. Furthermore, we revised the water stewardship assessments already conducted at our South African operations to assess compliance with our new corporate Group Water Stewardship Standard.

In addition, we finalised biodiversity status reviews for all pulp and paper mills and completed in-depth analyses of the findings of three mills (Austria, Russia). We also conducted a biodiversity status review in the forestry operations in South Africa and started the development of an action plan.

Targets

• 100% of our operations will be certified according to globally accepted environmental standards equivalent to ISO 14001 by 2025On track
• Reduce specific contact water consumption of our pulp and paper mills in water-stressed areas by 5% by 2025 compared to a 2020 baseline standards equivalent to ISO 14001 by 2025Slightly behind target
• Reduce specific effluent load to the environment (measure COD) by 5% by 2025 compared to a 2020 baseline standards equivalent to ISO 14001 by 2025On track
• Reduce specific NOx emissions from our pulp and paper mills by 5% by 2025 compared to a 2020 baselineOn track
• Reduce specific waste to landfill by 20% by 2025 compared to a 2020 baselineOn track

2021 performance

We made progress in improving our environmental performance through various efficiency and modernisation projects in our mills.

In 2021, our specific contact water consumption of our pulp and paper mills in water-stressed areas slightly increased by 0.2% compared to the 2020 baseline. This was mainly caused by operational instabilities at our Richards Bay mill in South Africa. However, we achieved a reduction in contact water consumption by successfully introducing several water-efficiency projects at our mills in Świecie (Poland) and Štětí (Czech Republic).

We achieved a specific COD reduction of 10.9% compared with last year, mainly due to a wastewater treatment plant modernisation in Syktyvkar (Russia). An expansion project in Ružomberok (Slovakia) led to a 5.8% reduction of Group’s total specific NOx emissions compared to 2020.

We also reported a 22.1% decrease in specific waste sent to landfill compared with the previous year, mainly by starting up a recultivation project involving a second sludge pond at our mill in Syktyvkar (Russia).

Targets

• Develop the due diligence and risk assessment methodology and guidance with the support of the Danish Institute for Human Rights (DIHR) by end of 2021On track (completed)
• 100% of operations with a completed human rights due diligence & risk assessment, and action plan in place to address findings by 2025In development
• 100% of operations to have addressed their human rights impacts (investigate, prevent future occurrences and remedy adverse impacts) by 2030In development

2021 performance

We made progress in delivering against our commitment with the newly developed Human Rights and Working Conditions Operating Standards and a Human Rights Practice Note as guidance for operations in 2021. We also launched a supplementary Human Rights Due Diligence toolbox with examples, templates, practical tips and additional education material for the operations. These documents serve as the foundation on which we deliver the two further targets under this commitment. 

Targets

• Group spend as a % of profit-before-tax annually, in strategic categories named above (target: >1% annually for Group)On track

2021 performance

In 2021, we delivered above our 1% target with €11.8 million community investments, equating to 1.2% of profit before-tax. We continued to support a broad spectrum of investment areas and projects, with community health provision and infrastructure development as long-standing and important parts of our community strategy. Our operations also supported local job creation projects and participated in various community engagement initiatives in 2021, such as the World Environment Day or the World Zero Emissions Day.

Targets

• We will minimise the supplier risk ratio year-on-yearOn track

2021 performance

In 2021, we conducted a comprehensive supplier screening process and broadened our understanding of their business practices. We screened 2,617 supplier production sites in 2021. We have actively worked with local buyers to encourage their suppliers to respond to our questionnaire. This reduced the total percentage of non-responsive suppliers to 2.3% and the number of incomplete questionnaires to 0.2%. By the end of 2021, 0.1% of screened supplier production sites were classified as high risk.

Targets

• Maintain 100% of wood fibre compliant with credible standards (FSC^TM, PEFC, or Controlled Wood)On track
• Maintain 100% FSC^TM-certified fibre from high-risk countries
  Exception: countries where Mondi has local operations and expertise (i.e. Russia, Bulgaria)On track
• 100% FSC^TM- or PEFC-certified market pulpOn track
• 100% FSC^TM or PEFC Chain-of-Custody certification for our pulp and paper millsOn track
• We will continue to work with certification bodies to ensure credibility of the certification and Controlled Wood systemsOn track

2021 performance

In 2021, we maintained 100% compliant wood fibre with credible standards comprising 77% of FSC and PEFC and the remainder Controlled Wood. We maintained 100% FSC-certified fibre from high-risk countries, with a small volume of FSC-certified wood sourced from Ukraine and FSC-certified pulp sourced from Brazil as high-risk countries. We have achieved 100% certified pulp sourcing and maintained 100% Chain-of-Custody certification with Controlled Wood requirements for our pulp and paper mills. Throughout 2021, we engaged with key stakeholders on upcoming changes in the evolving standards, contributing to working groups and public consultations.

A revised SD training and audit scheme will be introduced to prevent the occurrence of non-compliances

Targets

• Implement a Governance Operating Standard in 2021On track
• Train auditors by 2022In development

Compliance audits at all our mills by 2025 and at all our converting operations by 2030

Targets

• Conduct compliance audits at all mills by 2025In development
• Conduct compliance audits at all converting operations by 2030In development
• Management review and measurements to improve audit scores by 2022, ongoing process thereafterIn development

Employees will be trained on relevant sustainability topics

Targets

• Training needs identified by 2022On track
• Relevant training developed and implemented as an ongoing processOn track

Sustainability assessment criteria developed by 2021 which will be applied for 100% of our CAPEX investments >500k EUR from 2022

Targets

• Identify relevant metrics (e.g. GHG emissions, waste to landfill, water)On track
• Implement processes to integrate into investment decision-makingOn track

2021 performance

In 2021, we made progress in a number of key commitments and areas: We instituted a Governance Operating Standard, supporting progress towards our commitment to support us to prevent the occurrence of incidents and non-compliances. We also developed a comprehensive online sustainability training programme with 2,780 employees participating in 2021. We also successfully integrated the reporting of positive and negative impacts on environmental parameters and sustainability targets into the Capex investment decision-making process for all investments over €500,000.