groupe_rocher_global_csr_report_2015
Transcription
groupe_rocher_global_csr_report_2015
APPENDIX TO THE MANAGEMENT REPORT OF THE BOARD OF DIRECTORS TO THE GENERAL SHAREHOLDERS MEETING OF 2 MAY 2016 YVES ROCHER PLANT BIOLOGY LABORATORIES French Public Limited Liability Company with capital of 4,377,796 Euros Head office: La Croix des Archers - 56200 La Gacilly - France 876 580 077 RCS Vannes Ladies and Gentlemen, In accordance with Article 225-102-1 paragraph 5 and the following of the French Commercial Code, we present below the corporate social and environmental responsibility report of the Yves Rocher Plant Biology Laboratories and its subsidiaries (hereafter the Groupe Rocher). CSR REPORT 2015 2 Table of contents A GROUP COMMITTED TO ITS CAUSES ................................................................................ 5 A HISTORIC APPROACH .................................................................................................................................... 6 GROUPE ROCHER PERFORMANCE & OBJECTIVES FOR 2020 ..........................................................................7 IMPROVING OUR ENVIRONMENTAL FOOTPRINT ............................................................................................... 8 ENVIRONMENTAL POLICY ................................................................................................................................ 8 SAFEGUARDING BIODIVERSITY ........................................................................................................................ 9 SUSTAINABLY USING RESOURCES .................................................................................................................. 11 ADAPTING AND FIGHTING GLOBAL WARMING ............................................................................................. 14 REDUCING WASTE............................................................................................................................................ 18 PROVISION FOR ENVIRONMENT-RELATED RISKS ......................................................................................... 21 RESPECTING THE GROUP'S COMMUNITIES BY IMPROVING WELL-BEING .......................................................22 THE GROUPE ROCHER’S HUMAN RESOURCES POLICY ................................................................................. 22 THE GROUPE ROCHER’S WORKFORCE .......................................................................................................... 24 SHARING AND INVOLVING OUR COMMUNITIES IN THE GROUPE ROCHER'S CAUSES .................................... 35 GROWTH AND ECONOMIC VITALITY ...............................................................................................................35 SUPPLIER AND SUBCONTRACTOR RELATIONS .............................................................................................35 FAIR TRADE PRACTICES .................................................................................................................................. 39 BRINGING TOGETHER GROUPE ROCHER EMPLOYEES ................................................................................. 43 SPONSORSHIP ................................................................................................................................................. 46 BRANDS WORKING TOGETHER.......................................................................................47 Yves Rocher .......................................................................................................................................................... 47 Daniel Jouvance ................................................................................................................................................... 54 Stanhome Company ............................................................................................................................................ 56 Dr Pierre Ricaud ................................................................................................................................................... 58 Flormar ................................................................................................................................................................. 59 Petit Bateau.......................................................................................................................................................... 60 APPENDICES .................................................................................................. 63 Methodology Note .............................................................................................................................................. 63 Correlation Table ................................................................................................................................................. 67 CSR REPORT 2015 3 GR O U P E R O CH E R P R OF ILE E nd o f 2 0 1 5 figures 8 Bran d s, l i sten i n g to wo men and for ming more p er sonal t ies wit h t h e m A f a m i l y group , cre atin g e mo tio n s INDEPENDENT D AT MO LLE RE RO 97 % WOMEN 40 AN TH CO NT STABLE MILLION € BY THE FOUNDER’S FAMILY, trust the quality and the efficacy of the products created by the Group’s Brands 2,057 from Brittany CEO : TURNOVER BILLION BRIS ROCHER since 2010 15 000 More than 500 ORIGINAL POSITIONING p r o d u c e r MANUFACTURER MILLION products delivered each year distributor An i nte r n at i o n a l gro up , c re ati ng di fference % on the markets of : cosmectic textile-clothing household An integrated grou p , 44 8 22 15 COUNTRIES indirect employees DIVERSITY OF DISTRIBUTION CHANNELS A PRESENCE IN NEARLY 7 000 people in France 8 000 abroad More than 220 000 ac tin g d iffe re ntl y G eographical distribution turnover 110 E M P LOYE E S IN-STORE SALES DIGITAL % 38 % France 34 11 % Western Europe % Eastern Europe 17 % DISTANCE SALES % DIRECT SALES OTHERS : 11% % Others Turnover by distribution channels A co m m i t te d group , in fusin g me an in g Each Brand of the Group advocate an E CO - D E S I G N value chain. Performance social societal environnemental Sustainable Development along the whole The Groupe Rocher has been awarded a T R I P L E CE R T I F I C AT I O N for Q UA L I T Y, E N V I R O N M E N T ,and S A F E T Y , for its industrial sites, and grows more than 5 0 Pr oximity La Gacilly precursor engagement roots in Brittany S T R AT E G Y H E C TA R E S of fields certified « O R G A N I C AG R I C U LT U R A L FA R M I N G » . Led by Jacques Rocher, The Yves Rocher Foundation - Institute of France invests in collaborations to protect the environment with various initiatives such as, amongst others : « PLANTING FOR THE PLANET » et « TERRE DE FEMMES » . The Groupe Rocher has also been pioneer in finding so-called A LT E R N AT I V E M E T H O D S TO A N I MA L T E S T I N G . A Group Committed to its Causes The values shared by the Groupe Rocher's brands across all of the Group’s areas of expertise and business in France and abroad, are: “Commitment to its causes, because the Group’s difference lies in its status as a family group that commits in the long term.” “High standards, because the Group has a duty to create value in a bid to ensure our company's longevity.” “Passion, because without passion we wouldn't be where we are today. Without passion, we wouldn't have been able to build a group with such a strong identity, and without passion, we wouldn't be able to keep the flame that burns within us alive.” “Respect, because ever since our Group's beginnings, we have been committed to sustainable development, before the concept ever became a buzzword. Caring for the economy, communities and the environment has been close to our hearts from the very start.” Bris Rocher, Chairman and CEO These powerful core values are incorporated into employees' general working environments. The Group's culture prioritises collaborative work, trust, taking initiative and responsibility, and recognising merit as well as efficiency and agility. The Groupe Rocher has always believed that economic performance, which is essential for the development and long-term survival of its brands, must serve human aspirations, and in particular good job quality and industrial relations. The Groupe Rocher has seized sustainable development as an opportunity that is exercised in its highest form by the Group's senior management. The principles of sustainable development are put into practice within all teams with a view to building awareness and involving all of the Group's 15,000 employees. Senior management has been implementing the Group’s official Sustainable development policy since 2008. This policy provides a framework for the Group's Sustainable development strategy and associated action plans. “The Groupe Rocher is a pioneering family-run group that has always acted to protect the natural environment and to transform sustainable development into a driving force for creating value.” CSR REPORT 2015 5 A HISTORIC APPROACH 1959: In his native village of La Gacilly, in the 1998: Gacilly flower fields run by Yves Rocher. Brittany region of France, Yves Rocher used plants to develop his very first 2005: products. 1972: The first convention of the young friends Organic Agriculture certification of La The “Eco-Design” Observeur du Design Prize for Inositol Végétal. 2007: The Jury prize at the Oxygen Awards for of animals and nature is held in La Gacilly the (1,500 young people). logistics policy. 1989: The Yves Rocher brand brings a halt to its 2008: animal testing. 1991: Creation of the Yves Rocher Foundation for Groupe Rocher’s sustainable Jacques Rocher co-founds the Natural Resources Stewardship Circle. 2010: the protection and preservation of the Establishment of the Yves Rocher brand’s Biodiversity Strategy. plant world. 2011: 1992: Participation of the Yves Rocher brand Enterprises & Environment Prize, Biodiversity & Enterprises category. at the Earth Summit in Rio and the presentation of a petition to save the 2013: Stanhome France are covered by an Amazon rainforest, signed by 300,000 ecological bonus. customers. 1994: The first Daniel Jouvance eco-refills. 100% of the new vehicles used by 2014: Signature of the New York Declaration on Forests at the UN by the Groupe 1997: First ISO 14001 certification for Rocher and the Yves Rocher Foundation. the Yves Rocher factory in Ploërmel. 2015: Assessing the Groupe Rocher's CSR policy via ECOVADIS - Gold rating. CSR REPORT 2015 6 GROUPE ROCHER PERFORMANCE & OBJECTIVES FOR 2020 The Groupe Rocher is committed to proactively striving for progress: Improving its ENVIRONMENTAL FOOTPRINT throughout its value chain, as this approach is inherent to the brands' DNA. 2015 performance Water 12% reduction in water consumption in manufacturing cosmetics and textiles (in m3/production unit) between 2010 and 2015 2020 targets 10% reduction in water consumption for the entire Group (in m3/production unit) compared to 2015 9% reduction in the Group’s gross consumption (in m3) between 2010 and 2015 Energy 14% reduction in the Group’s energy consumption (in kWh) between 2010 and 2015 14% of the energy used by the Groupe Rocher is from renewable sources 97% of the paper purchased by the Group around the world sourced from sustainably managed forests Paper 10% reduction in energy consumption kWh/production unit) compared to 2015 (in 30% of energy purchased to be renewable Measure and cut energy consumption in the Group's stores 10% reduction in paper consumption on a Group scale (in kg/production unit) compared to 2015 Source 100% of paper and cardboard from sustainably managed forests Exercise its RESPONSIBILITY as an employer by acting as a GROUP THAT CREATES JOB AND DEVELOPMENT OPPORTUNITIES for women and a group that promotes gender equality. Access to employment Gender Equality Commitments for 2015 2020 targets In 2015, the Group created jobs for over 250,000 women around the world (direct and indirect employment) Provide access to employment and to the development of professional skills for over 1 million women across the world in 5 years At the end of 2015, 98% of activity at the Entreprise Adaptée des Primevères, an 'adapted workshop' and Breton subsidiary of the Group that employs 25 workers with disabilities, was dedicated to the Group In 2015, the Group agreed to sign the UN Women Women’s Empowerment Principles charter. CSR REPORT 2015 Enable and encourage the employment of workers with disabilities Voluntarily contribute to improving working conditions and gender equality in the workplace 7 IMPROVING OUR ENVIRONMENTAL FOOTPRINT ENVIRONMENTAL POLICY The Groupe Rocher is committed to limiting its environmental impact across all of its sites by implementing the following initiatives: Protection of Biodiversity; Sustainable use of resources in terms of water and raw materials; Reduction in consumption levels of fossil fuels and use of renewable sources of energy; Recycling of industrial waste by specialists in the trade and processing of effluents; The four major cosmetics production plants (shared by all the Group’s cosmetic brands - except Flormar) obtained the following certifications: ISO 9001 Quality, ISO 14001 Environment and OHSAS 18001 Safety. Three of them are located in Brittany, France and one in Cork, Ireland. The site for the joint production of detergents and cosmetics products in Venezuela (Stanhome), while not yet certified, has received investments to meet “Good Manufacturing Practice” (GMP) requirements that guarantee a product’s quality and process and the Group's environmental standards. Measures were taken long ago to monitor and reduce energy consumption and waste, with water effluents managed through the site’s treatment plant. The Group's two textile manufacturing sites are located in France (Troyes) and Morocco (Marrakesh). The lean management process initiated in 2013 across these industrial sites was pursued in 2015. It aims to further the actions already underway by helping to reduce the output of waste and cut water and energy consumption, among other things. RELATIONSHIPS WITH ENVIRONMENTAL ORGANISATIONS Through its Brands and Foundations, the Groupe Rocher has committed to environmental protection with many other national and international institutions and associations. Through the Yves Rocher Foundation, the Group is a long-standing member of the IUCN1 and its French branch. The Group is also a member of the French National Natural History Museum's doctoral board. It enjoys strong ties with the LPO 2 which resulted in a joint initiative for the COP 21 in 2015. An active participant in United Nations' Conventions such as the UN Convention on Biological Diversity via the Ecosoc-accredited3 Yves Rocher Foundation, the Convention on Climate Change, the Group also works with the UNCTAD4 in Geneva on the links between business and biodiversity, and with UNESCO 5 on issues such as botanics and the green economy in Africa. In France, the Groupe Rocher is a member of the Environmental Bureau of the Federation of Beauty (FEBEA), as well as a member and vice-president of the COS Cosmetics Group (Strategic Orientation Committee) and the Foundation for Biodiversity Research (FRB). The company was also a founding member of a number of associations in which it remains an active participant, such as the Orée6 association in which the Group co-chairs a working group on biodiversity, thus supporting the publishing of the association’s “Climate and Biodiversity: Stakes and Solutions” guide, as well as the “Natural Resources Stewardship Circle”, whose aim is to work on natural resource supply. 1 The International Union for the Conservation of Nature Ligue pour la Protection des Oiseaux, equivalent of Bird Life International in France 3 United Nations Economic and Social Council 4 UN Conference on Trade and Development 5 The United Nations Organization for Education, Science and Culture 6 Association for business, regions and the environment 2 CSR REPORT 2015 8 NRSC - Natural Resources Stewardship Circle The Groupe Rocher co-founded the NRSC (Natural Resources Stewardship Circle), a non-profit organisation whose purpose is to collectively engage brands and suppliers in the supply of natural resources on a sustainable and ethical basis. Work on the plant supply chains and their sustainability is being conducted by the association, as well as on an approach to issues of Access and Benefit Sharing (ABS) under the Nagoya Protocol, which was signed by the United Nations in 2010. In 2015, the NRSC continued its initiatives to support vetiver farmers in Haiti, on an environmental level (anti-erosion testing and geo-referencing of vetiver fields) as well as on an economic and social scale, setting up six cooperatives for the benefit of over 600 families, and implementing the NRSC-recommended specifications and traceability system. These initiatives, among others, paved the way for a 70% increase in the prices paid to farmers between 2012 and 2015 and have improved the quality and harvest of the vetiver oil produced. The NRSC has also lent its support to Liquidambar farmers in Honduras and has helped slow down deforestation in the Comoros by helping ylang-ylang farmers to install wood fuel energy-saving stills. In parallel to this, NRSC members and their belief in joint action as the way forward, have been continuing their analysis and monitoring of new sectors in order to identify any potential issues that may arise in terms of their sustainability, known solutions and the specifications to be applied to ensure their sustainable development. SAFEGUARDING BIODIVERSITY The Groupe Rocher has clearly identified the need to protect Biodiversity in its strategy SITE MANAGEMENT All the Groupe Rocher's industrial sites in France have adopted a biodiversity management process in partnership with the Ligue pour la Protection des Oiseaux (LPO), equivalent of Bird Life International in France. Following a naturalist diagnosis of the site (inventory of wildlife, flora, and environmental elements), the LPO proposes an ecological management plan that is adapted to the location, with the aim of providing living environments that support biodiversity. In Brittany, 100% of the Groupe Rocher’s industrial sites specialising in cosmetics and detergents are now “Biodiversity Sanctuaries”. Thus, 70ha are now dedicated as environmentally-friendly areas. In Ploërmel, for example, after 5 years of biodiversity-friendly management, the naturalist diagnosis identified eight new species of birds on site, making a total of 50 species, including 33 that nest on site. The “Biodiversity Sanctuaries” sites also host vulnerable species, both animal (Meadow Pipit, Spotted Grey Flycatcher, Bullfinch Peony, and Melodious Linnet) and plant (Water Violets and Royal Ferns). Given these positive results, the LPO and the Groupe Rocher have extended their agreements for 5 years. In France's Aube region, the Petit Bateau Murard site in Troyes has enjoyed “Biodiversity Sanctuary” status since 2014. Construction plans for the future Petit Bateau warehouse in Buchères are based on a biodiversity-friendly management approach. In Venezuela, the Stanhome Maracai site is a safe haven for iguanas, thus contributing to protecting the species. In Issy-les-Moulineaux, the new Cap Rocher site features 2,200m 2 of green spaces that were listed as a “Biodiversity Sanctuary” by the LPO in January 2015. The group has committed to the cause in a range of areas: CSR REPORT 2015 9 using local raw materials and plant species; making provisions to host local fauna: 4 nesting boxes and bird houses (for sparrows, tits, robins and kestrels), 2 insect refuges and 3 beehives were set up on the site's patio and planted terraces; an automatic watering system was set up using rainwater collected in underground collection pools, as well as a watering network fitted with probes to measure humidity, temperature and rainwater levels. AMBASSADOR FOR BIODIVERSITY As a true Ambassador for Biodiversity, the Groupe Rocher welcomed more than 2,250 participants during awareness-raising activities conducted in La Gacilly, in its Yves Rocher Botanical Garden. More than 150 events were held in the summer of 2015 for employees and the general public. In Issy-les-Moulineaux, 80 employees received training on the town's local plant species thanks to botanical day trips out to Saint Germain Island and a tour of the town's public parks and gardens. The Ambassador for Biodiversity role also involves interacting with public institutions and authorities. The Yves Rocher Foundation and the Group were invited by UNESCO to speak at the UNESCO's first African Biosphere Reserve round table discussion held on the island of Principe (Sao Tome and Principe) in December 2015. AGREEMENTS ON BIOLOGICAL DIVERSITY, THE FIGHT AGAINST DESERTIFICATION, AND CLIMATE CHANGE In September 2014, the Yves Rocher brand was invited by Ban Ki-Moon, Secretary-General of the UN, to a special climate summit at UN headquarters in New York. The LBV Yves Rocher company and the Yves Rocher Foundation thus signed the New York Declaration on Forests in a bid to eradicate deforestation around the world. Pushing this initiative ever further, the Yves Rocher Foundation was awarded 'NGO Observer' status under the UN Desertification Convention and enabled a winner of the Prix Terre de Femmes 2015 women's award to present a talk on her initiatives against desertification at the COP 21 in Ankara in October 2015. COP 21 - PARIS The Groupe Rocher was invited to take part in drafting recommendations for promoting and protecting biodiversity in September 2015 at the Positive Forum in Le Havre. The final report on action to be taken for future generations was submitted to François Hollande as part of COP 21. The LBV Yves Rocher company (for the Yves Rocher brand) co-chaired the Orée working group on biodiversity and the economy and contributed to the COP 21-accredited publication of Orée's findings, “Climate and Biodiversity: Stakes and Solutions”. The Yves Rocher brand also took part in shaping the UN's Climate Change conference calendar for 2016, providing a description of its initiatives for climate change for the month of January. Representatives from the Daniel Jouvance brand and the Daniel Jouvance Foundation were invited to speak during a round table discussion. During this event, initiatives for the protection and safeguarding of marine resources were put forward in a bid to consolidate the COP 21's ocean theme. The Groupe Rocher asserted its commitment to fighting climate change during the COP 21 in Paris in December 2015 via two interventions on sustainable farming and on the UN's televised debate with the Orée multi-stakeholder association and a talk on sustainable consumption and production at the Grand Palais. CSR REPORT 2015 10 SUSTAINABLY USING RESOURCES WATER The scope of the indicators covered is explained in the methodological note on page 63. Water is at the heart of the Groupe Rocher’s businesses: as raw material for cosmetics and cleaning products, water is vital to our activities. In 2015, 534,405m³ of water were consumed on all sites to power the production process and meet employees’ health needs. On a like-for-like basis, this was 9% less than in 2010. Water management is a key concern at the Groupe Rocher's sites, and a great effort is made every year to reduce and optimise consumption. Between 2014 and 2015, 52% of the sites reduced their consumption of water. The major source of the Group’s water consumption is the production of textiles (56%), followed by the production of cosmetics and detergents (36%). Breakdown of the Groupe Rocher’s water consumption for 2015 36% Production cosmétique et détergence Cosmetics and detergent production 56% Textile production Production Textile 4% 4% Distribution Distribution Other Autre The water needed for production (cosmetics and textiles) dropped by 12% between 2010 and 2015 (m³/production unit). The production of textiles consumes water mainly for the dye baths and the heat setting procedures. To reduce water consumption, Petit Bateau is making innovations in its technology in the dyeing service and is investing in dyeing machines with a lower liquor ratio. Recent years have seen work done on the water systems and to cut waste (repairing leaks, promoting employee awareness). However, carrying out some textile printing operations in-house (previously outsourced) within the Tenmar factory in Morocco results in higher water consumption levels this year across the site (+50% water) as a result of having purchased a continuous printing machine. The main consumption areas in the manufacturing of cosmetics result from washing the manufacturing and packaging machinery, which is indispensable in order to comply with hygiene regulations. All the sites concerned are working to optimise and adapt automatic washing facilities. Good Practice: In 2015, a water consumption reduction initiative at the Villes Geffs production site allowed us to reduce the site's total water consumption by over 8%. In addition, each cubic metre of water saved reduces the site's energy consumption, as water that is not used is not therefore heated unnecessarily: as a result, a 6% saving in the site's gas consumption was achieved. 10% reduction in water consumption across the entire Group (in m3/production unit) compared to 2015 CSR REPORT 2015 11 m3/tonne of manufactured bulk m3/ tonne de vrac fabriquée products Trends in performance index for water in cosmetics production – Groupe Rocher 5,3 5,3 4,8 4,4 2009 2010 2011 Trends inIndice waterperformance performance index Evolution Eau 2012 4,5 4,2 2013 2014 4,1 2015 Linear (Evolution (trends in water index) Linéaire Indiceperformance performance Eau) Sources of consumption Good Practices Saint Joseph factory, Troyes Investment in two high-tech dyeing machines with low bath ratio* for the Petit Bateau factory. These machines consume nearly twice as less energy as well as less auxiliary dyeing products. *The bath ratio refers to the quantity of water needed to dye 1kg of fabric. One dyeing process requires an average of 10 baths. Most sites are supplied by their local municipal system. The Petit Bateau sites Tenmar in Marrakesh - Morocco and Murard in Troyes - France use water pumped directly from the groundwater with the agreement of the local authorities. No source of water supply has been significantly impacted by a site’s water use. Nor are any of the Group’s production plants located in an area of absolute stress regarding the water supply 7 . While the Tenmar factory in Morocco is located in a water stress area8, all the other sites are located in areas where there is a sufficient or even abundant supply of water. RAW MATERIALS Raw plant materials “Profit Sharing Actions” A key component of its responsible sourcing policy, in 2007 the Groupe Rocher set up a returns structure for partner stakeholders and countries with a view to sharing the profits of their produce with the countries and people responsible for supplying the plants used. In a bid to lend structure and consolidate longevity for this initiative, a dedicated budget given over to these “sharing” initiatives was set up in early 2010. Three types of projects are being given support: the preservation of biodiversity; the improvement of living conditions; and, the main one, economic development of the supply chain. These projects are a priority because they are win-win: their aim is to achieve more value added locally, higher volumes, an improvement in quality and thanks to all this the empowerment of the local partner. For example, the Group supports the industrial development of a Malagasy partner, as well as its Burkinabe partners in the Shea sector. 7 8 Renewable water resources of less than 500m³ per person per year (Source: Global Water Tool 2009 - 3) Renewable water resources of between 500m³ and 1,000m³ per person per year (Source: Global Water Tool 2009 - 3) CSR REPORT 2015 12 This process is built through interaction with representatives of the local population as well as with UN authorities (Convention on Biological Diversity), and in late 2014 led to the signing of a Prior Inform Content (PIC) contract between LBV Yves Rocher (for the Yves Rocher brand) and the Government of Madagascar. This contract, a pioneer in this area, as it is the first PIC contract for Madagascar under the Nagoya Protocol signed in 2010 by the members of the UN, reflects the Yves Rocher brand’s pioneering strategy in the fields of biodiversity and its capacity to co-construct new forms of interaction with the public authorities and government administration. Palm oil As the Group is well aware of the potential environmental and social issues related to the production of palm oil, it has been making a thorough review of this sector for many years. Since 2010, the Groupe Rocher has taken the initiative to implement a number of crucial measures regarding palm oil: most significantly, taking part in discussions and certification structure from the RSPO (Round Table on Sustainable Palm Oil, an international round table for sustainable palm oil, which the Group was a member of from 2010 to late 2014); organising working group sessions with all suppliers; supporting the NGOs Paneco and YEL in Indonesia from 2011 to 2014 in planting organically farmed palm trees on degraded land and supporting small independent farmers. Taking this initiative ever further, the Groupe Rocher works with the TFT (The Forest Trust), of which it has been a member since early 2015, and with all of its suppliers and other interested parties to map and trace its supply chains. The Groupe Rocher selected its biggest suppliers as part of a project that aims to work with them to achieve total traceability from source to end refiners by the end of 2016. These initiatives aim to contribute to helping transform the sector and to ultimately meet the end goal of having 100% of all its palm oil-derived ingredients sourced without causing deforestation or overexploitation. (http://www.groupe-rocher-fournisseurs.com/en/content/zero-deforestation-palm-oil). The Group’s objective for 2020 is to have 100% of oil and palm derivatives coming from sustainable sources, with no deforestation. Paper The Groupe Rocher’s activities (including mail-order sales) make it a major consumer of paper (about 15,750 tonnes in 2015). Since 2007, work was carried out by the central purchasing department with paper suppliers (mainly European) to ensure the sustainability of the resource. Thus, more than 97.2% of the paper pulp used in the Groupe Rocher's activities is now FSC or PEFC certified 9. The Group's objective for 2020 is to have 100% cardboard and paper (all uses: mailings, books, office, packaging) from sustainably managed forests. In addition and in compliance with a widened definition of the concept of manufacturers' obligations, the Groupe Rocher contributes to waste management on a national scale. By applying the principle of ensuring 'polluting parties pay', this contribution funds local authority schemes to collect and process waste. This contribution amounts to €323,000 for paper waste on the French market for the year 2015. 9 The Forest Stewardship Council (FSC) and the Programme for the Endorsement of Forest Certification (PEFC) are environmental labels, which ensure that the production of wood or a wood-based product has complied with procedures ensuring sustainable forest management. CSR REPORT 2015 13 ECO-DESIGN PACKAGING The Groupe Rocher's packaging is designed to protect the various different products throughout their entire life cycle. The packaging protects consumer safety whilst communicating the brands’ values. The Groupe Rocher's Eco-Design strategy is implemented via: Eco-design training provided for all employees involved in product development. By the end of 2015, 61% of the employees in question had already received training. The Group is aiming to provide 100% of the relevant employees with eco-design training by 2020. Aiming to reduce raw materials consumption (notably reducing the volumes of virgin plastic used) and to use recycled materials. Building awareness of good recycling practices among our consumers. From 2016, consumers will be made aware of recyclable packaging in France via the Triman logo and the Tri Point Vert label. ADAPTING AND FIGHTING GLOBAL WARMING CONTRIBUTION TO ADAPTATION AND THE FIGHT AGAINST GLOBAL WARMING The scope of the indicators covered is explained in the methodological note on page 63. The Group has not identified any major immediate risks from its business related to climate change. Protecting Biodiversity is nevertheless a clear challenge for the Group, which is committed to this cause (cf. Protection of Biodiversity page 9). Well aware of the challenges associated with climate change and its responsibility as an industrial, the Groupe Rocher is working to reduce its greenhouse gas emissions (GHGs). The main fields of activity include improving energy efficiency and the search for alternatives to fossil fuels on its sites. The fight against climate change also involves the selection of raw materials, the reduction of their use, and the recycling of packaging. REDUCING DEPENDENCE ON FOSSIL FUELS Improving energy efficiency The Groupe Rocher is reducing its energy consumption in order to minimise its impact on climate change. In 2015, the Groupe Rocher consumed 96,607 MWh on its sites (excluding stores), or 81,042 MWh on the likefor-like perimeter. CSR REPORT 2015 14 Energy consumed (MWh) by the Groupe Rocher's tertiary and industrial sites equivalent on like-forlike perimeter (excluding stores) 81 042 2015 81 579 2014 87 311 2013 2012 88 073 2011 88 187 93 852 2010 Energy consumption by brand (MWh/year) 2015 (excluding stores) Energy consumption by energy type used by the Groupe Rocher in 2015 ( excluding stores) 96 607 Electricité Electricity 7% 6% 15% Natural gas Gaz naturel 56 624 42% Autres Othergaz gas 34 073 30% Fuelwood Fioul domestique Domestic fuel Bois énergie 3 008 2 902 Flormar Stanhome Petit Bateau Yves Rocher TOTAL The Yves Rocher cosmetics production (which represents 30% of the Group’s total energy consumption) improved its energy efficiency by optimising the energy consumed by industrial workshops and by investing in more fuel-efficient equipment. Between 2010 and 2015, the improvement represented 17% (Wh/finished product). Energy efficiency for Yves Rocher cosmetics production in 2015 Efficacité énergétique de la production cosmétique Yves Rocher 2015- à Iso périmètre equivalent on the ISO scope 2015 2014 2014 2013 2013 2012 2012 2011 2011 2010 2010 CSR REPORT 2015 96 96 100100 104 104 107 Wh/produit fini Wh/finished product Wh/produit fini 107 111 111 115 115 15 At the industrial sites, investments are made each year to purchase more energy-efficient equipment or to adapt the industrial processes in order to optimise their consumption. The industrial processes are also regularly audited by external providers so as to identify possibilities for reductions and to develop good practices. Good Practice: Saint Joseph factory, Troyes The Petit Bateau factory in Troyes is currently gradually transitioning from neon strip lighting and sodium vapour lamps to LED lighting. Intensive renovation and insulation works on the workshop have been launched and will be carried out over a period of several years. The sites gradually are eradicating greenhouse gas refrigerants such as CFC and HCFC 10 , replacing the cooling units with newer models. Work projects are also being carried out on the repair of lighting, the automation of heating systems (operation only if employees are present, off on weekends, installation of thermostats, etc.) and the renewal of air, always with the aim of reducing energy consumption. Energy consumption of the network of stores In 2015, the Groupe Rocher and its agents boasted a network Number of stores by brand of sales points and brands in almost 110 countries around the Docteur Pierre 12 world. Ricaud Flormar One study estimates the electricity consumption for all 2,825 stores in the 273 Groupe Rocher's network (excluding points of sale Petit Bateau managed by agents) at 411 46,700 MWh. Yves Rocher 2128 Energy consumption by BUSINESS SECTOR Groupe Rocher 2015 1% 8% Production Production 13% Distribution Distribution Tertiaire Tertiary 17% 61% Tourisme Tourism The components of this network of stores that are Groupe Rocher assets (1,114 points of sale) consume approximately 15,060 MWh of electricity. The electricity consumed by the Group's own stores accounts for around 13% of the Groupe Rocher's overall energy consumption (and 27% of its electricity consumption). Points Pointsde ofvente sale Renewable energy11 The industrial sites are also involved in the fight against global warming by reducing their consumption of fossil fuels in favour of renewable energies. 20% of the electricity consumed by the Group is renewablysourced electricity. The use of fuel oil is marginal and being reduced, often by being replaced by natural gas. Good Practice: Some of the Group's subsidiaries are choosing green suppliers for their energy. The Yves Rocher subsidiary in Belgium, for example, opted to use the company Lampiris, a supplier that guarantees 100% renewable electricity thanks to its “proven origin” system. 10 CFC: Chlorofluorocarbons, HCFC: Hydro-chlorofluorocarbons Renewable energy refers to sources of energy that naturally self-renew at a speed sufficient enough for them to be considered non-exhaustible on a human time scale. 11 CSR REPORT 2015 16 The two main cosmetic logistic-distribution sites in Brittany are now equipped with wood boilers (installed in 2011 and 2014, respectively), which now provide heating for 950 employees from renewable energy. In 2015, these new boilers saved the sites 1,608 tonnes of CO2 emissions. Thus 14% of the energy used by the Groupe Rocher is from renewable sources. In addition, the Group is contributing to funding renewable energy development by paying a Contribution to the Public Electricity Service (CSPE) to EDF, managed by the Energy Regulation Commission. This contribution allows electricity distributors to buy energy from solar panels and wind turbines at a higher price than market rates. In doing so, the Groupe Rocher paid its energy supplier CSPE amounting to €504k in 2014 and €541k in 2015, with over half the amounts funding the 'renewable energy' division of the Energy Regulation Commission12. MEASURING GREENHOUSE GAS EMISSIONS The greenhouse gas emissions of the Groupe Rocher came to 19,778 tCO2-equivalent in 2015. They are mainly due to fossil fuel consumption for heating the buildings and the water to clean the industrial sites, as well as to electricity consumption: 2013 2014 2015 Trends 2013/2015 Direct emissions of the sites Direct emissions of the automobile stock 9,958 8,512 7,903 -21% 1,702 1,934 1,707 0% DIRECT EMISSIONS 11,660 10,446 9,610 -18% Indirect emissions of the sites 3,235 3,106 2,846 -12% INDIRECT EMISSIONS 3,235 3,106 2,846 -12% 14,895 13,552 12,456 -16% GHG emissions in tCO2-equivalent on like-for-like scope - Groupe Rocher SCOPE 1 SCOPE 2 TOTAL EMISSIONS on like-for-like scope GHG emissions in tCO2-equivalent on the total scope - Groupe Rocher Direct emissions of the sites SCOPE 1 SCOPE 2 2015 10,466 Direct emissions of the automobile stock in France 1,707 DIRECT EMISSIONS 12,173 Indirect emissions of the sites 7,308 Indirect emissions of the Cosmetics stores in equity in France 79 Indirect emissions of the Petit Bateau stores in equity in France 219 INDIRECT EMISSIONS 7,605 TOTAL EMISSIONS 19,778 12 Source: The Energy Regulation Commission website: http://www.cre.fr/operateurs/service-public-de-l-electricitecspe/montant CSR REPORT 2015 17 ENVIRONMENTAL SHIPPING POLICY In late 2015, a desire to speed up turnover in the automotive stock towards a fleet of green vehicles, meaning vehicles emitting less than 100g of CO2/km, and/or hybrids, and/or electric, led to changes made in functional car policy, with these criteria being taken into account. The aim is for 80% of the stock to be comprised of green vehicles by the end of 2020. For many years, the Groupe Rocher’s environmental policy has been at the heart of all its developments, and the Group’s Shipping Department has been particularly concerned because of the decisive role it plays. Since May 2015, all deliveries to the Yves Rocher and Dr Pierre Ricaud brands' Parisian stores have been made in Greenway electric vehicles. Key points in the environmental policy of the transport sector include In making these choices, systematic consideration is given to training drivers in “Eco Driving 13”, which is not only the best guarantee of the security of the staff and the goods being carried, but is also the most important vector for saving fuel and reducing CO2 emissions; The widespread use of what are known as “double-decker” trucks equipped for optimal filling so as to reduce hauls across Europe by more than 40%; It is standard practice in calls for tender to prioritise shippers using the latest generation of more environmentally-friendly vehicle (EURO V / EURO VI); To complement these arrangements, the Group has asked its courier services to progressively equip themselves with “green” vehicles for urban deliveries (electric and hybrid vehicles in the Paris region in particular); The Groupe Rocher is also counting on the development of multimodal schemes, including rail/road in Sweden and sea/road in Russia (ranked 5 th in the Groupe Rocher in terms of turnover in 2015). REDUCING WASTE WASTEWATER Water management is a major concern for both the Groupe Rocher’s cosmetics business and its textile business. One of the Group’s priorities is to control the quality of both its wastewater and its facilities in order to avoid polluting the water in the natural environment. USE OF SOIL The impact on soil is a concern that is at the heart of the Groupe Rocher’s Biodiversity strategy. The first significant action was the conversion to organic farming of 55 ha of fields in La Gacilly in 1997, which was awarded certification in 1998. The “Plant Charter” and the botanical supply chain approaches around the world have also encouraged partners to grow their plants organically. Moreover, financing and support 13 Eco-driving refers to driving while saving on fuel, an eco-friendly and budget-friendly approach suited to modern engines. CSR REPORT 2015 18 from the Yves Rocher Foundation Institut de France for planting 8 million trees in 2015 has put an area of approximately 8,000ha to use. WASTE MANAGEMENT ON OUR SITES The scope of the indicators covered is explained in the methodological note on page 63. The Groupe Rocher's waste management policy aims to: raise employee awareness about sorting, reduce the amount of waste generated by its activities, and to direct a growing share of its waste to recovery facilities. Breakdown of waste type in tonnes Groupe Rocher - equivalent on like-for-like scope 478 751 546 573 9 438 6 605 7 262 6234 In 2015, over the total scope, 12,116 tonnes of waste were generated by the Group, including: 3,685 tonnes of composting sludge; 7,748 tonnes of non-hazardous waste; 683 tonnes of hazardous industrial waste; On a like-for-like basis, the Group had thus reduced its waste by 20% since 2012. 3 420 3 243 ■2012 Sludge Reductions at source 3 773 3685 2013 2014 2015waste ■ Non-hazardous waste ■ Industrial As part of its botanical business, the Yves Rocher brand encourages its partners to recycle their co-products or waste as fuel to run their processing equipment or into compost to grow their produce. The Groupe Rocher also seeks to limit the waste generated by the consumption of its products by its customers. This will be discussed in the section on eco-design (page 14). Cooperation strategy Brittany's industrial sites share a joint monitoring system with the focus on eco-friendly performance of waste management. This more centralised management system enables the sites to find common solutions for cutting waste and reducing the impact of transporting waste, as well as for waste sorting arrangements. Between 2010 and 2015, the production of waste per product manufactured decreased by 25% in the main cosmetics production sites. Recycling Main recycled wastes include cartons, pallets and paper. Some other recycled waste is more specific to each site. The industrial sites are constantly on the lookout for new recycling systems that are suitable for their waste. waste/product ggdéchet/produit Waste reduction policy Waste - cosmetics production performance index Groupe Rocher - Equivalent on like-forlike perimeter 27,9 26,8 22,7 2010 2011 2012 20,7 20,8 20,9 2013 2014 2015 5,617 tonnes of waste, i.e. 46% of the Groupe Rocher’s waste, was recycled in 2015. CSR REPORT 2015 19 Reuse The reused waste mainly concerns cardboard trays from the production of cosmetics. For several years now, the cardboard used in the supply of finished products from the cosmetics production sites has been sorted on the French distribution site, La Croix des Archers in La Gacilly, and then sent back to the production sites for reuse. Some Stanhome sites and cosmetics production sites also recycle the packaging waste from their suppliers. Recycling At the Group level, the portion of waste that was used, recycled or reused came to 90.78% in 2015. Recovery sludge produced by the waste water treatment plant located on the Group’s industrial sites is composted. This represents about 3,685 tonnes, i.e. 30% of the Group’s total waste. 10% of the Groupe Rocher’s waste is also used to produce energy. Good Practices Saving on cardboard In 2015, the Villes Geffs production site began using 'returnable' packaging in partnership with its supplier, Serioplast, for all PET plastic bottles. This enabled cardboard savings of 22 tonnes. Share of various waste removal means Groupe Rocher - on a like-for-like perimeter Décharge Landfill 5% 4% 30% Incinération Incineration Recyclage Recycling Réutilisation Reuse Landfill 46% 10% All of our sites aim to minimise their share of landfill waste. Thus, only 5% of waste went to landfill, and 59% of sites did not send any waste to landfill. 4% Energy recovery Valorisation énergétique Material recovery (sludge) Valorisation matière (boues) MANAGEMENT OF CLIENT-GENERATED WASTE In compliance with its environmental obligations and the concept of having 'polluting parties pay', the Groupe Rocher provided Eco-Emballages packaging with €1,538,000 in funding in 2015 for managing household packaging waste generated by the sales of its products in France. Eco-Emballages pools financial contributions from 50,000 companies to fund Point Vert which allowed 67% of household product packaging to be recycled in 2014, for a total of 3.2 million tonnes of household product packaging recycled. Thanks to this system of pooling funds, our contribution amounts to the equivalent of the average cost of collecting and sorting waste in 2015 for 153,033 individuals, whose sorting led to around 7,616 tonnes of household packaging being recycled 14. NOISE POLLUTION In 2015, all sites complied with the noise standards that they are governed by and did not have to deal with specific problems or issues on the part of their employees and/or their neighbours. When necessary due to the noise volume, employees are informed of the protocols to follow and are equipped with the appropriate personal protective gear, and an area for visitors is clearly marked. 14 Source: http://www.ecoemballages.fr/eco-calculette CSR REPORT 2015 20 PROVISION FOR ENVIRONMENT-RELATED RISKS At this point, the Group companies do not have any provisions or guarantees for risks related to the environment. In the 2015 fiscal year, no Group company paid compensation pursuant to a judicial decision concerning the environment, and there were no legal actions to repair any damage caused to it. The certificates mentioned in the Group Policy are helpful in preventing environmental risks. The same standards as those required in the certified European plants are applied in the Venezuelan and Moroccan production sites. CSR REPORT 2015 21 RESPECTING THE GROUP'S COMMUNITIES BY IMPROVING WELL-BEING THE GROUPE ROCHER’S HUMAN RESOURCES POLICY The Group’s Human Resources policy is based on various concrete elements to promote and develop talent: The Groupe Rocher’s strong appeal among young graduates, which is reflected in various independent opinion surveys, particularly in France, and an active presence in schools of commerce and engineering as well as universities, including in the main European countries. In 2013, the Groupe Rocher won the “Region Jobs” label as the second-most attractive employer for Brittany; Recruiting young professionals with increasingly international profiles in order to deal with the major challenges facing the Groupe Rocher's development on world markets; A talent development policy based on: Geographic and vocational mobility; A training policy; Putting personnel into responsible business situations where they can learn right from the start of their careers; Regular feedback through an efficient evaluation system (EPG system: Evaluation of overall performance for managers) that recognises and rewards professional and human relations practices in addition to pure performance; The development of modern digital HR tools (such as Success Factor) worldwide for all managers with a view to promoting and further developing the Groupe Rocher’s main assets. LISA As part of the Group's Human Resources and Communications policy and in a bid to improve both individual and collective performances in the Groupe Rocher in terms of quality, time saving and innovation, the Groupe Rocher set up a corporate social network. A friendly, multi-departmental, international and virtual space, the LISA social network allows the Group to develop communities via which to share ideas, skills and experience with a view to becoming an ever more innovative, collaborative and agile organisation. CSR REPORT 2015 22 In addition to this individual development policy there is a well-developed company approach to human resources: A compensation policy defined at the global level for managers; An effort to develop a working environment and conditions that promote career development, ergonomics and job security; An active dialogue with the employee representatives from the country / brands where the Groupe Rocher operates; A special proactive focus on diversity, particularly concerning gender (the Group's workforce is over 80% female) and disability; A special proactive focus on diversity, particularly concerning gender (the Group's workforce is over 80% female) and disability. In-house mobility In Brittany, a large-scale project named VIADUC was rolled out to fulfil recruitment needs by prioritising internal mobility. The aim was to open up and increase flexibility within the organisations while heightening employee development. Participants are offered temporary assignments, permanent positions or timesharing roles between two jobs. This initiative has promoted employees' talents and successes, allowing them to acquire new skills while streamlining and optimising the organisational structures. A mobile app was also especially designed in Brittany in order to facilitate access to employee information and feedback (450 downloads carried out in December 2015). Numerous videos on employee feedback were filmed. The VIADUC initiative was awarded the Grand Ouest ANDRH & Michael Page International Human Resources prize in December 2014. Inspired by this kind of platform, a tool called MobilBoost was developed at Petit Bateau to boost internal mobility. CSR REPORT 2015 23 THE GROUPE ROCHER’S WORKFORCE EMPLOYMENT The scope of the indicators covered is explained in the methodological note on page 65. Total workforce and breakdown of employees by geographic area, gender and age In 2015, the Groupe Rocher had 15,906 employees around the world, 65% of them in Europe. Breakdown of workforce by geographical area Groupe Rocher et Europe horsEU UE Asia andAsie Europe excluding 1 574 Amériques America s Afrique et Moyen Africa and MiddleOrient East 1 736 Breakdown of workforce by business sector Groupe Rocher 17% 2 288 Union Européenne hors EU excluding France France Detergents Détergence 3 541 6 767 Breakdown of workforce by gender and brand Groupe Rocher 18% 18% Breakdown of workforce by age Groupe Rocher 19% 24% 82% 82% 81% Cosmétiques Petit bateau Stanhome GROUPE GROUP Femmes Women Hommes Men 81% Textiles Textile 64% France France 19% Cosmetics Cosmétiques 19% 31% 45% Moins de30 30 ans Under Entre 30 et 30 50 and ans 50 Between Plus de 50 50 ans Over The Groupe Rocher workforce is mainly female: 81% of employees are women. Hiring and departures The Groupe Rocher does not generally run into difficulties with recruitment, for any category of staff, and regardless of the country. An active policy of partnership with educational institutions has been set up in France to promote brand awareness and enhance their attractiveness. A human resources structure (HR) is established in a country once our operations have reached a certain minimum size. Where this is not the case, the country in question is then supervised by a crossdepartmental HR so that there is still HR support. CSR REPORT 2015 24 In 2015, there were 4,961 departures. 15 The Groupe Rocher hired 5,533 employees in 2015, including 2,537 on permanent contracts (CDI) and 2,996 on fixed-term contracts (CDD), due mainly to the steady growth of the store network in numerous countries. The Groupe Rocher also had 144 redundancies and 770 dismissals for individual reasons. The Groupe Rocher, like any business, must ensure a level of performance that ensures its long-term future. In most countries, natural turnover (number of resignations) exceeds redundancies and dismissals. In some countries and business lines facing serious economic difficulties, it may be indispensable to carry out restructuring in order to adapt the situation to the local context. These actions will be as limited as possible and conducted in such a way as to support the personnel while ensuring the protection of the Groupe Rocher’s other activities, which must have all the resources necessary to grow and invest. In-house mobility The Groupe Rocher also has an internal mobility policy designed to support the personal development of employees whenever the activity permits. Inter-site mobility in Brittany is, for example, sometimes necessary when carried out in liaison with employee representatives in order to harmonise with activity fluctuation. Job changes Inter-site transfers within the same company Group transfers within the same company Total mobility Total mobility in % of workforce 2015 Petit Bateau Stanhome 450 155 2 426 78 12 35 6 21 911 239 35 9% 8% 1% GROUPE ROCHER 607 516 62 1,185 7% Cosmetics Remuneration policy The Groupe Rocher considers its pay policy to be a major component of its Human Resources policy. Thus, for managers, the remuneration and pay rise processes are defined and monitored at a global level as part of a comprehensive policy. This system aims to reward responsibility and individual performance, in direct connection with the annual staff appraisal process (called the Global Assessment of Performance). The level of responsibility of each member of management is also reviewed periodically so as to be in line with market data on remuneration, which are transmitted by specialised firms that are internationally recognised and independent of the company. As for the vast majority of employees, the lowest wages paid in most countries are higher than the legal minimum wage. Profit-sharing, stock options and incentives The Groupe Rocher aims to associate employees with the results of their company, while taking into account the fact that the Group is not listed on the financial markets and is controlled by a family shareholding. In addition to the legal system of profit-sharing, and leaving aside the Stanhome France sales representatives whose remuneration is based on turnover, over 90% of the Groupe Rocher employees in France have an incentive system. This incentive system is designed on an equal footing so that the least15 Departures include dismissals for economic and personal reasons, resignations, retirements, deaths and departures for other reasons, including the end of fixed-term “CDD” contracts. CSR REPORT 2015 25 skilled employees receive the same level of incentives as senior management. This system uses an egalitarian approach to associate all employees with the collective performance of their company and therefore represents for the least-skilled employees an additional amount of income that is particularly significant (over 10% of income for the least-qualified Groupe Rocher employees). Similarly for legal profit-sharing, the agreement signed by the parent company Laboratoire de Biologie Végétale (LBV) Yves Rocher, which has a floor and a ceiling, leads to profit-sharing that favours the leastqualified employees. Finally, a Company Savings Plan has been established, which is a specific fund enabling employees to invest their assets in shares of the parent company LBV Yves Rocher. In order to enable the Groupe Rocher's French companies to take avail of this possibility if they want, a Group Savings Plan was created in 2009. Employee costs Staff costs represent a very significant element in the Group's expenses, i.e. 480,852 euros in 2015. The share of employee remuneration in relation to the Group’s added value has increased in recent years, and today represents 70%. ORGANISATION OF WORK Organisation of the work week The Groupe Rocher naturally fulfils its legal and contractual obligations in every country where it operates; working hours thus depend on the local context and the activity. Breakdown of women by working hours Groupe Rocher Breakdown of men by working hours Groupe Rocher 5% 20% 80% Full-time Full time Part-time Part time 95% Full-time Full time Part-time Part time There are part-time employees in all the professional categories. 94% of part-time staff are women. Recall that in France; in 1996 the parent company LBV Yves Rocher implemented a reduced work week agreement, which very early on meant a work week that was shorter than the legal requirement, even before a reduction in working time was made compulsory in France. This agreement has remained in force ever since, with a few adjustments, and is always negotiated with the social partners. Absenteeism Reducing the rate of absenteeism may be an important issue in some countries. Many steps are being taken to reduce this rate, and the rates are mostly low. Absenteeism in France other than for a lengthy illness is well below 3%. CSR REPORT 2015 26 Absenteeism rate by reason - Groupe Rocher 2015 Overall rate of absenteeism - Groupe Rocher 2015 Work accidents 0.10% Cosmetics 3.87% Travel accidents 0.03% Petit Bateau 3.88% Illness with time off 3.22% Stanhome 1.15% Groupe Rocher 3.35% Groupe Rocher 3.35% SOCIAL RELATIONS The organisation of the social dialogue (employee information and consultation procedures and negotiations) The Groupe Rocher has always been attentive to ensuring a good quality social dialogue in its various companies around the world. The Groupe Rocher strives to respect the trade union rights laid down by local legislation. Employee representative bodies have been set up, particularly in the European subsidiaries. In France, the legal entities generally have trade union organisations as well as works councils, committees on hygiene, safety and working conditions and staff representatives. If it is not possible to set this up because there is no legal framework or the subsidiary is not large enough, management will opt for a direct dialogue with employees. At European level, an Yves Rocher Europe Committee (CYRE) was established by a trade union agreement in 2001. This committee meets once a year on a plenary basis, in addition to smaller meetings of its Bureau. The Yves Rocher Europe Committee (CYRE) is kept informed of the general progress of the Group's activities in Europe, and more specifically, with regard to transnational projects. An agreement signed on 21 June 2011 with the social partners representing the Group’s main companies in Europe (CYRE) reformed its information and consultation powers upstream of transnational decisions that could significantly affect jobs in several countries. Thus, depending on the situation, large-scale projects could lead to consultation of a plenary session of the Yves Rocher Europe Committee (CYRE), or, for smaller projects, meetings could be expanded to include CYRE members representing the countries directly impacted. Summary of collective agreements The Groupe Rocher carries on a social dialogue that makes it possible to reach many collective agreements in its various entities every year. In 2015, 15 agreements were signed in France. Most international agreements cover pay and changes in various social benefits. In 2015, after having consulted with the employee representative bodies, a restructuring initiative for the Groupe Rocher's businesses was consolidated with a view to clarifying the Group's legal and financial structure, which had been in place for a number of years. On 31 December 2015, the Laboratoires de Biologie Végétale Yves Rocher was divided into four distinct entities. A joint ESU16 was set up by unanimous agreement with the representative trade union bodies, thus allowing the existing staff representation structure to be maintained. The founding of the ESU is set to give rise to renegotiations aiming to safeguard the provisions that were previously applicable. 16 ESU: economic and social unit CSR REPORT 2015 27 HEALTH AND SAFETY Occupational health and safety 167 accidents leading to time off were recorded in 2015 at the Groupe Rocher’s various sites. Level of severity of accidents - Groupe Rocher 2015 Cosmetics 0.10 Petit Bateau 0.32 Stanhome 0.06 Groupe Rocher 0.13 In 2015, averages of 0.13 days of absence for accidents with time off were declared in the Groupe Rocher per 1,000 hours theoretically worked. In 2015, an average of 7 accidents were declared in the Groupe Rocher per million hours theoretically worked. No. of people affected by an occupational illness- Groupe Rocher– 2015 The main causes of work accidents are related to risks associated with carrying loads and handling. Prevention and training activities are organised every year to limit these risks. As for LBV Yves Rocher, safety training represents more than 20% of the time spent on vocational training. In % of workforce cosmetics 22 0.3% Petit Bateau 3 0.1% Stanhome 2 0.1% Groupe Rocher 27 0.2% Level of frequency of accidents - Groupe Rocher– 2015 Cosmetics 3.8 Petit Bateau 15 Stanhome 9.1 Groupe Rocher 7.0 27 people were affected by an occupational illness in 2015 in the Groupe Rocher. The Groupe Rocher is particularly attentive to the working conditions of its employees. It works every day on all its industrial sites to improve the working conditions of the staff, to prevent occupational accidents and diseases and to reduce any exposure to risk and hardship. In the sites most exposed to risks or hardship factors, the factories and distribution centres, policies to prevent accidents on the job have been implemented. This policy is based on the involvement of the staff, on regular, targeted communications, and on action plans developed for each business line. Concretely this is expressed in terms of measures such as improving the ergonomics of work stations, reducing handling and exposure to chemicals, work station rotation, organising awareness days and information and training sessions. In France, studies on psychosocial risks were carried out in all sites, in close connection with the social partners. In effect, health, safety and well-being in the workplace are issues that affect all employees and it is important to build awareness among managers of preventing psychosocial risk factors. Assessing the quality of working conditions is crucial to sustainably improving employee behaviour and its impact on wellbeing. CSR REPORT 2015 28 CAP ROCHER Employees were transferred to the new head office christened 'Cap Rocher' in January 2015, which was a good opportunity to bring the Groupe Rocher's different brands closer together in a physical sense. Designed collaboratively by and for employees from the very start, Cap Rocher is first and foremost a space that boosts trans-departmental collaboration and promotes expertise and skills, a place that increases innovation, facilitates exchange, pooling and a better working lifestyle. The ergonomics of the building were designed to ensure total comfort for Groupe Rocher employees: acoustic ceilings, ergonomic office furniture, lighting optimised with motion detectors and light-sensitive cells that allow lighting to be adapted to the natural light available. Working in partnership with a specialised firm, the Human Resources department built awareness among management and employees ahead of time, educating them on the specific factors to be taken into account regarding a new workspace, particularly via training and talks. In addition, in order to improve day-to-day working conditions and strike a good work/life balance, a series of corporate concierge services were set up inside the buildings and in two other dedicated spaces for beauty treatments (salon) and invigorating breaks (gym). Following the move, a targeted psychosocial risks study was launched within the establishment in order to identify and better consider potential risk factors in the organisation, thus ensuring areas requiring adapted preventative action are prioritised. The building is the perfect embodiment of the values of respect and commitment to our causes - an eco-friendly building designed to mirror the Groupe Rocher’s sustainable values. In effect, the building stands out through its plethora of French and international environmental certifications: sustainable building certification (BREEAM, NF HQE), a high energy performance label (BBC) and a local environmental quality charter (Isséo). In addition, the site is a listed LPO (Ligue de Protection des Oiseaux) Sanctuary, boasting green spaces, planted terraces and a green wall designed to recreate the most locally-adapted ecosystem possible. This year, the Cap Rocher building was awarded the Arseg de l’Environnement de Travail (working environment) gold trophy in the 'Best Building Project' category. This category rewards the best new building, whether a new build or a renovation, or structures and facilities designed to improve quality of working conditions. Projects are assessed on the following criteria: project support, change management, assessment of use and occupancy constraints, energy efficiency, rationalisation of square metres and the quality of collaborative work. ERGONOMICS Industrial and tertiary sites 2015 was a particularly good year for Breton production and distribution sites. 29 initiatives for projects aimed at improving ergonomics at work stations and working conditions were rolled out. These projects included: studies on non-ergonomic work stations and managing prevention of employees with impaired skills; ergonomic expert assessments and audits of different work spaces, such as the Rennes site, the Cap Rocher laboratories, and the Yves Rocher and Dr Pierre Ricaud concept stores; CSR REPORT 2015 29 tests on innovative new materials for health: exoskeletons, new adjustable workshop seating; establishing partnerships with the Work Psychology and Ergonomics Masters programme at the University of Rennes and the Vannes engineering school (ICAM), where ergonomics awarenessbuilding events are held and where students research and put forward improvements for work stations at the Breton sites; collective initiatives to improve work station ergonomics and in particular to reduce or remove postural constraints, physical or handling exertion; individual facilities for the ongoing employment of employees recognised as workers with a disability; improvements to work station accessibility and in particular for employees with medical restrictions. In 2015, Petit Bateau firmly established its efforts to improve the quality of life at work. Founded in 2014 in partnership with the occupational health care service and the committee on health, safety and working conditions, the preliminary study supported by a specialised consultancy allowed various different focus areas to be identified, such as management and IT, departmental collaboration and employee support. Petit Bateau's Occupational Health and Disability Network department also continued to work to improve working conditions and build awareness among employees on these issues. As a result, a number of work stations were upgraded and the month of October was dedicated to breast cancer prevention. This 'Pink October' event brought together around a hundred employees for conferences, talks and relaxing moments enjoyed by all. Retail In order to improve the well-being of employees and customers, an ergonomic audit was conducted in the new Yves Rocher concept store and the new Laboratoire Yves Rocher workshop store as well as in the Dr Pierre Ricaud concept store opened in September 2014. The analysis and the ensuing recommendations have helped to adjust the heights of some items (the tills, for instance). A guide to good postures and movements was also developed in the training module for Yves Rocher and Dr Pierre Ricaud sales advisers so as to prevent the onset of pain due to prolonged poor positions. Finally, online training in fire safety and in welcoming people with disabilities has been available from October 2014 for Yves Rocher advisers, which has had a good take-up rate. Summary of agreements with the trade unions or employee representatives on health and safety at work In 2015, six agreements on health and safety were signed internationally. The Groupe Rocher strives to involve the social partners at the level of the employee representative bodies in the process of implementing ergonomic measures and programmes related to psychosocial risks. In addition to these collective bargaining agreements, it is especially important to take a hands-on approach to defining and implementing well-adapted measures. As for Stanhome France, on 3 December 2014 it reached a collective agreement to improve working conditions with its social partners and to define global and national actions for staff exposed to hardships at work. TRAINING Training policies implemented Training is an integral part of the Group’s human resources policy and is intended, in all countries, to maintain the skills necessary for assuming positions and responsibilities and to ensure safety at work and the professional development of the employees. In addition, once again this year the inter-cultural and language classes that contribute to the success of our professional and sales exchanges continue to be developed. The “corporate” training complements measures that are implemented in each country based on their own respective needs. CSR REPORT 2015 30 Hours of training In total, 146,884 hours of training were provided to Groupe Rocher employees in 2015. Average number of training hours by gender Groupe Rocher 2015 32 29 32 19 20 17 11 17 10 8 Cosmétique Cosmetics Textile Textiles 8 8 Détergence Detergents Groupe Group Average hours per woman Nombre d'heure moyen par femme Nombre d'heure Average hours moyen per manpar homme Nombre moyenand (hommes + femmes) Averaged'heure hours (men women) Average number of training hours by status Groupe Rocher 2015 29 15 32 17 Cosmetics Cosmétique 12 Textiles Textile 8 Detergents Détergence Group Value -– Nombre Average hours by management Valeur d'heures moyen par Cadres Valeur Average - Nombre hours byd'heure non management moyen par Non cadre CSR REPORT 2015 31 The Groupe Rocher managerial integration training programme Integration sessions are held every year for all new management employees recruited on permanent contracts by the Groupe Rocher, both in France and abroad. The sessions aim to provide them with a clear, overarching view of the Groupe Rocher and its subsidiaries, the strategies rolled out in the different entities, their primary challenges and focal points and their key projects. They are also an opportunity to share the values and identities of the Groupe Rocher's different companies and to ensure a better understanding of the ways in which the different sites, brands and departments interact. The sessions last five days each, over the course of which participants can meet with the Groupe Rocher's key Heads and Managers directly. This is an exclusive opportunity to learn more about the Group's corporate culture and the defining characteristics of the companies it comprises. A number of highly symbolic tours and trips are held (the village of La Gacilly, the Primevères Adapted workshop, Yves Rocher's family home, a trip to the granary where the group has its roots). The integration sessions allow new employees to get to know one another, creating an internal network of 'alumni' and encouraging them to work together to draft the 'discovery report' they then present at the end of the session to Bris Rocher, the Groupe Rocher Chair and CEO: a very special event filled with constructive, interactive exchanges with no constraints on news items and/or strategic issues. DIVERSITY AND EQUAL OPPORTUNITIES Measures taken to promote gender equality The Groupe Rocher overwhelmingly has women employees and naturally ensures equal pay for equal work, regardless of the employee’s gender. The Groupe Rocher has a policy of non-discrimination, which is an integral part of the Group’s culture and its human resources policy. Also in terms of governance, an effort to achieve parity is being made, with the result that 54% of the members of the management committees of the Groupe Rocher’s main brands are women. In France, in response to legal criteria, the Groupe Rocher’s companies have entered into agreements with the social partners on “Equality between Women and Men”. LBV Yves Rocher concluded an agreement of this type on 30 October 2014 for a period of 3 years with all its representative trade unions. In the course of the wage bargaining conducted within the LBV Yves Rocher parent firm, the social partners have been able to observe that there are no significant differences in pay rates for equivalent positions. These observations have been recorded in the wage agreements every year since 2008 as well as in the Agreement of 30 October 2014. Beyond the simple issue of remuneration, equal access for women and men to all aspects of human resources policy (e.g. training) is being carefully monitored. CSR REPORT 2015 32 Measures taken to promote the employment and integration of people with a disability In 2015, the Groupe Rocher employed 398 people with disabilities. These workers represent on average 2.5% of the Group companies’ total workforce. This low value does not reflect the reality on the ground, as the legislation defining disability differs greatly from one country to another, and not all the sites abroad are able to calculate this rate. DISABILITY POLICY The year 2015 was characterised by the rollout of an ambitious disability policy in the Groupe Rocher in France. An assessment and advisory programme is currently under-way with an external consultancy, which will result in the Group being able to draw up effective action plans to meet the needs of all employees. In France, taking into account all brands, the average rate of employment of disabled people is 4.5%, and 5.8% in the textile sector. The Groupe Rocher has long been strongly concerned about the issue of disability. Number of disabled workers 2015 Rate of employment of disabled workers 2015 Cosmetics 258 2.5% Petit Bateau 68 2.2% Stanhome 73 2.7% GROUPE ROCHER 398 2.5% Average employment rate for disabled people Groupe Rocher 2015 2,6% 2,5% 2,4% 2,2% 2,2% 2011 2012 2013 2014 2015 These actions are combined with numerous local efforts aimed primarily at promoting the ongoing employment of all employees, disabled or not, who face restrictions on their professional activity for medical reasons. The Groupe Rocher strives to find solutions that promote job retention. Les Primevères Entreprise Adaptée (Adapted Workshop) Access to employment is one of the Groupe Rocher's priorities and the Les Primevères workshop perfectly illustrates its commitment to this cause. This Group subsidiary was founded in 1994 and enjoys 'Entreprise Adaptée' ('adapted workshop') status, with over 80% of its workforce having a disability. Les Primevères contributes to inclusion, mobility, professional development and creating jobs for individuals at the Group's Breton sites or those seeking employment in the La Gacilly area. The employees working in this exceptional company carry out a range of processes (manual packaging, data processing, mailing services, etc.), 98% of which are dedicated to the Groupe Rocher's subsidiaries. Anti-discrimination policies CSR REPORT 2015 33 The Groupe Rocher, which is an international firm, promotes the recruitment of multicultural profiles. A large number of employees work in countries that they are not natives of, thus making for a mixture of cultures that can help avoid any a priori cultural generator of discrimination. Thus the Yves Rocher brand in Canada, Germany, Spain, Belgium, Italy, and Russia, as well as the Stanhome brand, are all run by nonnatives. Similarly, HR policy, which focuses on talent development, aims to allow all executive employees to be quickly exposed to their responsibilities. These practices have resulted in a wide range of ages within the population of managers. Percentage of foreign nationals Groupe Rocher - 2015 7% 5,9% 6% 5% 4% 3,6% 3,7% 3% 2% 0,5% 1% 0% Cosmétiques Cosmetics 2010 Petit Bateau 2011 2012 Stanhome 2013 2014 GROUPE GROUP 2015 Collective agreements entered into force in France, such as the generation contract, also help to enhance access to training, particularly for older workers, so as not to shunt them aside and to promote their career development. All these practices are very carefully monitored. Thus, in 2011 managers’ awareness was raised about these topics on the occasion of the introduction of a general principle of the absolute prohibition of discrimination in the internal regulations of most Group entities. CSR REPORT 2015 34 SHARING AND INVOLVING OUR COMMUNITIES IN THE GROUPE ROCHER'S CAUSES GROWTH AND ECONOMIC VITALITY The presence of the Groupe Rocher boosts the vitality of the regions where it is located through its industrial activities but also through its involvement in the development of tourism. Groupe Rocher employees in Brittany 2015 In 2015, the Groupe Rocher’s activities employed (excl. sales reps) 2,672 people in Brittany, including 1,486 directly in La Gacilly. Executives and similar 517 In La Gacilly, most of the Group employees reside in the surrounding area: 63% of employees live less than 20km away, 63% live in Morbihan, and 32% live in Ille-et- Vilaine. Supervisors and employees 1,192 Workers 848 Apprenticeship or other contracts 116 Total workforce 2,672 These activities also generate indirect employment among external local suppliers and service providers: logistics, storage, cleaning, security, construction, catering, temp agencies, and dispatching. SUPPLIER AND SUBCONTRACTOR RELATIONS SUPPLIER AND SUBCONTRACTOR NETWORK - COSMETICS & DETERGENTS PRODUCTION The Purchasing & Quality Department of the Groupe Rocher handles the management of subcontracting. The programmes and procedures that are used in relationships with subcontractors are the same as those developed for suppliers (see Purchasing Policy). Subcontractors can, for instance, take part in the Supplier Awards. Subcontracting plays a diversity of roles in Cosmetics and Detergents: The Yves Rocher, Dr Pierre Ricaud and Daniel Jouvance cosmetics brands make use of subcontracting for the production of make-up (except mascara and lipstick), some face care, soaps, depilatory waxes, food supplements and herbal teas, wipes, and candles, and cosmetic accessories; For the Yves Rocher brand, and to reduce the impact of shipping large volumes of products for major sales markets, the Groupe Rocher can also use subcontracting, hygiene products in Russia; The Stanhome brand uses subcontractors for the production of its entire Home Care range (detergents and accessories). For Stanhome’s Family Care line as well as for the Kiotis brand, 10 to 20% of the output is provided by subcontractors, with the rest manufactured by the Groupe Rocher's factories. Management of relations with suppliers & subcontractors The Groupe Rocher’s Purchasing & Quality Department is concerned about its supplier and subcontractor ecosystem, and is committed to developing and promoting among its partners the values of respect for nature and for people supported by the Groupe Rocher. As proof of this commitment, since late 2013 the new umbrella procurement and production contracts systematically include requirements about sustainable development. Purchasing policy The Groupe Rocher’s Purchasing & Quality Department places Quality and Sustainable Development at the heart of its concerns as part of its effort to produce excellent products and services based on continuous improvements and competitiveness. It propagates the Groupe Rocher’s values, giving a purpose to all its work. CSR REPORT 2015 35 The Groupe Rocher already relies first of all on the suppliers selected on their sensitivity to the Group’s values, as they bring their expertise and contribute to the accessibility of the products and services by sharing three fundamental principles: The preservation of the environment and biodiversity; Innovation and boldness as driving forces in differentiation and competitive strength; A refusal to stoop to dissimulation and deception. Today, more than ever, the Groupe Rocher's employees are committed to undertaking the future-oriented projects in which the Groupe Rocher’s purchasing and Quality Department wants to involve its suppliers. For this reason, the Groupe Rocher's Sustainable Purchasing Policy is published for all to see on the online portal dedicated to its suppliers: http://www.groupe-rocher-fournisseurs.com/fr/content/politique-et-objectifs-rse-achats. This determination is a step towards the achievement of everyone’s goal of long-term relationships and an efficient business model. To continue developing this Responsible Purchasing approach, the Groupe Rocher has created the position of CSR-Purchasing Manager. Examples of practical achievements Signature of the Responsible Supplier Relations Charter On 5 April 2013, the Operations Manager of the Groupe Rocher signed the Responsible Supplier Relations Charter at La Gacilly, in the presence of the Prefect of Morbihan. This Charter, called the “Charter of 10 commitments for responsible purchasing”, was created to address the difficulties facing SMEs in their relations with suppliers and to establish a framework for mutual trust. It is also helpful in defining, within the signing entity, one or more “SME Correspondent” who can be contacted by suppliers in case of a dispute. Supplier Awards Following on from its four previous editions, the Groupe Rocher held its 5th Suppliers France Awards in 2015, as well as its 2nd Suppliers China Awards and 1st Suppliers Mexico Awards, all of which are aimed at suppliers and subcontractors. The themes recognised this year were: Competitiveness, Innovation, Sustainability, and Quality. These events are intended to help further organise the ecosystem of Groupe Rocher suppliers by promoting mutual exchanges of knowledge and skills and ensuring the success of its brands and its partners. Supplier Portal In late 2013, the Groupe Rocher launched its Supplier Portal (www.groupe-rocher-fournisseurs.com), a website dedicated to all Groupe Rocher suppliers. This site, which was set up at the instigation of the Purchasing and Quality Department, aims to arouse the interest of current and future suppliers of the Groupe Rocher, to motivate innovation, and to recognise the suppliers as a more proactive force. In 2015, a section dedicated to the CSR commitments of the Group and the Purchasing Quality Division was added to the site, including a copy of the report and a page dedicated to supplier innovation. Business review The Groupe Rocher holds annual business reviews with its largest suppliers, whether in the field of packaging, raw materials or subcontracting. These provide an opportunity for the suppliers to present their performance and a summary of the year, and for the Groupe Rocher to share its strategic vision with its suppliers. Quality support programme for our suppliers Quality is a key element in building a reliable and lasting relationship with suppliers. The consolidation of the Quality Department into a single Purchasing and Quality Department has facilitated the development of targeted support programs to improve the quality of Groupe Rocher suppliers. During the last 2 years, these programmes have led to a 25% reduction in the non-compliance of packaging items coming into the factory. CSR REPORT 2015 36 To achieve this, the Groupe Rocher conducts very regular monitoring using tools such as audits and quality & business reviews. Every month, the suppliers are assessed by the central Quality Department based on the rate of non-compliance and follow-up of client complaints. Action plans are overseen by the central Quality Department or by the on-site Quality teams, with regular reporting. There is collaboration between the various stakeholders, including the central Quality Department and the on-site Quality teams. In addition, between 80 and 100 supplier quality audits are carried out annually, mainly by the Groupe Rocher’s auditors. Overall, the quality monitoring operations cover 92% of the subcontracted turnover of the cosmetic brands. Lean management project Lean management projects are another example of the consolidation of the supplier ecosystem, by cobuilding win-win projects between the Groupe Rocher and motivated supplier partners. In 2013-2014, two lean management projects were developed jointly between Yves Rocher and two suppliers, one in packaging, the other a products subcontractor. This project concerns the Crèmes Fondantes and Exfoliants Plaisir Nature jars. Thanks to the joint effort from Groupe Rocher and its subcontractors, and the shared investment for new equipment, the perceived product quality has improved significantly, and prices have been cut (and the gains divided equally between the Groupe Rocher and the subcontractor). The quality of the relationship has been strengthened, thanks to a better understanding of the workings and constraints on each party. Work with the sheltered sector employing disabled people The Purchasing and Quality Department is committed to developing purchases from the sector with sheltered employment in specially adapted work environments. In 2015, subcontracting with specialist companies (EA, ESAT, prisons) represented 1.6% of total subcontract sales. The Group's objective for 2020 is to increase its purchases with the sheltered sector by 5% (in % of Purchasing Turnover). Payment terms In a very challenging economic environment, meeting payment deadlines is crucial for the financial sustainability of SMEs. The Groupe Rocher pays special attention to compliance with payment terms. In order to spread awareness of this approach across all levels of the Groupe Rocher and to promote good practices, general as well as targeted communication campaigns were rolled out in the summer of 2015, and both shall regularly be repeated. CSR REPORT 2015 37 EcoVadis CSR evaluation The Groupe Rocher has always been attentive to the environmental, social and labour performances of its suppliers, and given the size of its network of suppliers, the Groupe Rocher decided to extend its action by drawing on the EcoVadis CSR Monitoring Platform. This helps organise and strengthen the Supplier-Groupe Rocher relationship, a topic at the heart of the Group's values. In 2015, 150 additional suppliers out of the entire range of purchasing portfolios were asked to undergo this assessment. In addition to this, the Groupe Rocher chose to assess its CSR performance via the EcoVadis tool, which confirmed its Gold level CSR commitment (64% rating). This figure means that the Groupe Rocher is one of the top 11% of companies assessed by EcoVadis. Social audit policy in countries at risk Social audits are conducted in countries identified as “at risk” in which the Groupe Rocher is dealing with suppliers and subcontractors. Suppliers doing business with the Asia Operations Department (DOPA) are subject to a quality audit before being qualified, followed by a social audit upon the first order. China, India and Vietnam in particular have been identified as “countries at risk”. The Groupe Rocher's suppliers in these countries are therefore subject to social audits. These are carried out by the Bureau Veritas in China and WethicA in India and Vietnam, in accordance with their respective social audit grid, based on the issues in the SA 8000 standard. The audit criteria concern respect for human rights and are based on the Universal Declaration of Human Rights, International Labour Organisation conventions, and the UN Convention on the Rights of the Child. In particular they take into account freedom of association and collective bargaining, the elimination of discrimination with respect to employment and occupations, and the actual abolition of child labour. For these three countries, the evaluation is based on the themes below, which are described and reorganised based on an expert reading of the standard by our auditor partners, according to the specificities of the country. An environmental theme is also included that is not present in SA 8000. Criteria for generic audits, which may be subject to changes: Internal control and documentation; Labour law; Employee rights (information, trade union representation, etc.); Working hours; Pay and social security benefits; Subcontracting and distance work (China); Right of recourse (India, Vietnam); CSR REPORT 2015 Freedom of association and right to collective bargaining; Child labour; Forced labour; Discrimination, harassment or abuse; Non-discrimination; Disciplinary measures (China); Health, safety, hygiene; The environment. 38 Each audit gives rise to an evaluation and an analysis sent to the Groupe Rocher. Plans for corrective action are then drawn up, shared with our suppliers, and monitored by the Groupe Rocher. If a social audit highlights critical non-compliance, the business relationship with the offending supplier or factory is brought to a halt. TEXTILE SUPPLIER AND SUBCONTRACTOR ECOSYSTEM Role of textile subcontracting Petit Bateau sometimes makes use of subcontracting in Tunisia or around its Moroccan factory. In France, Petit Bateau is one of the last firms to place orders for industrial textiles, so the brand has found itself increasingly alone in supporting the existence of enterprises that perform the textile finishing that its activity requires. Gradually, to deal with the disappearance of this sector, these skills have been integrated into Petit Bateau’s own activities. Textile supplier ecosystem To meet quality requirements and comply with its OEKO-TEX certification, Petit Bateau must be heavily involved in choosing the components provided by its second-tier suppliers. Its employees make frequent visits to the sites carrying out weaving, spinning, stamping, injections, printing, etc. Certification with the OEKO-TEX Label means that these suppliers use chemical products with little or no impact on the environment. The sourcing process also involves working with a specific textile zone by relying to the utmost on the expertise present in the area so as to minimise the carbon impact of shipments of goods between the various industrial sites. FAIR TRADE PRACTICES ACTIONS UNDERTAKEN TO PREVENT CORRUPTION In 2014, the Groupe Rocher implemented a Code of Business Conduct aimed at all its employees, suppliers, partners and sales agents as well as its co-contractors and distributors. This Code of Conduct is intended, in compliance with the laws and regulations applicable to the Groupe Rocher, to create, in all the countries where it operates, a minimum set of common rules in order to ensure the compliance of the Group's operations, to guarantee that each employee of the Groupe Rocher benefits from at least the minimum rights set out by the International Labour Organisation, and to ensure the development of a common corporate culture that benefits everyone. It is based on a number of principles that the Groupe Rocher intends to apply in the conduct of its business and specifies the rules that guide the behaviour of employees in their professional practice. Since 2015, this Business Code of Conduct has been published and made available to suppliers online at http://www.groupe-rocher-fournisseurs.com/fr/content/politique-et-objectifs-rse-achats. Moreover, the Group's system of internal control provides procedures for checking on operational activities, particularly in terms of the separation of duties. The Group's Internal Audit teams are particularly vigilant in this respect. Any risks of corruption are subject to specific examinations during audits. CSR REPORT 2015 39 MEASURES TAKEN IN FAVOUR OF CONSUMER HEALTH AND SAFETY Internal quality policy The French and Irish sites for the production of cosmetics have ISO 9001 “Quality Management Systems – Requirements” certification from an independent recognised third party (Bureau Veritas) for the development, production and testing of cosmetic products. This guarantees that the products manufactured and packaged are controlled using established methods. Groupe Rocher aims to put on the market only products that meet its quality requirements. In addition, all the production sites (in and outside Europe) strive to comply with “Good Manufacturing Practices (GMP) for cosmetics” (ISO 22716), which provides for controls at the various stages of production (reception, checks during production, final inspection and the release of products) by the quality of the site. These checks cover the compliance of the products and components with established standards. A “compliant” product or component (by its design and its development) is considered to be satisfactory in terms of safety for the consumer. The checks carried out on bulk and finished products are generally: Organoleptic inspections (appearance - colour - odour); Physico-chemical inspections (viscosity, density, active ingredient contents, preservatives); Microbiological controls (total germs, yeasts and moulds). Quality policy - Suppliers Product / process-type audits are conducted on suppliers. These help to ensure that the suppliers are able to meet the quality requirements of the Groupe Rocher, and to identify their weak points. If a supplier has certain weaknesses but demonstrates its motivation to work with the Groupe Rocher and to support its growth, the Groupe Rocher Purchasing & Quality Department has the capability to invest the time and resources needed to help this supplier deal with its weaknesses by defining and implementing corrective action plans. This helps to foster long-term relationships between the Groupe Rocher and the suppliers. Safety and efficacy in Cosmetics Founded by the Groupe Rocher in 1977, the Centre for Cosmetology Studies and Research (Centre d’Etudes et de Recherches en Cosmétologie, or CERCO) tests cosmetic products from various different stakeholders in the cosmetics industry on a panel of 4,000 testers every year. Certified by the French Ministry of Health, the centre specialises in assessing the in-vivo efficacy and sensory appeal of cosmetic products. It also evaluates tolerance under dermatological and/or ophthalmological control. Confirmed by a state-of-the-art cosmetics monitoring system, the guarantees of respect and safety for the skin provided by the Groupe Rocher are well-known to consumers around the world. Cosmetics and detergents The Groupe Rocher pays special attention to compliance with the regulatory frameworks established for marketing authorisations for the finished products that it sells. In this respect, in Europe, the REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals) regulations have a direct impact on the vast majority of the Group's products. As a downstream user of raw materials, this means cosmetics and home maintenance products, gifts, home fragrance products, accessories and textile products. Ensuring the compliance of these products with the requirements of REACH requires the involvement of all the business lines involved in their development and manufacture. Furthermore, through these professional representative bodies, the Groupe Rocher has been active in the discussions that led to the development of these regulations, whose principles are part of the policy that the Group has held for many years, namely, environmental protection and the health and safety of the workers who come into contact with the raw materials, as well as the end consumers. The work goes on in these bodies in such a way that the industrial sectors concerned remain fully aware of their obligations. Since 2007, depending on the current situation, the Groupe Rocher’s various businesses affected by REACH meet 2-3 times a year to: CSR REPORT 2015 40 Share the knowledge they have acquired on REACH; Centralise the information required for the application of REACH; Decide on and implement any necessary actions vis-à-vis suppliers and subcontractors; Inform and when necessary alert the Group’s General Management about any difficulties that might be encountered. Thus in 2013, three working meetings were devoted to the development of an internal procedure designed to optimise the management of the Material Safety Data Sheets (MSDS) and Extended Safety Data Sheets (eSDS) of cosmetic raw materials. In-house experts are involved in continuous training through their participation in training sessions organised in particular by the French Union of Chemical Industries (UIC). These experts belong to different departments of the Group: regulatory, research and innovation, purchasing, safety and the environment . In order to support its suppliers and subcontractors in fulfilling their regulatory obligations, up until 2010 the Groupe Rocher conducted a number of training campaigns for them, drawing on various communications and surveys designed to: Clarify their intentions concerning the registration of raw materials; Spell out any measures taken by the Group, particularly with respect to modifications in specifications; Communicate the exposure scenarios for cosmetics products drawn up by the trade. These numerous exchanges led to the establishment of a genuine dialogue, which now greatly facilitates discussions about the internal qualification process for new materials or items, as well as for updating the documentation attached to these products. In addition, every year the Groupe Rocher develops, maintains and communicates a list of prohibited substances to its suppliers and subcontractors, with the dual aim of eliminating any that present a risk early on and helping the suppliers to come up with alternatives as quickly as possible. Two issues have been the subject of particular developments under this regulation: first, substances of very high concern (SVHC), and second, the processing of information conveyed in the eSDS (Security data record). With regard to the SVHC, they are the subject of specific measures that are adapted to the nature of the products. If they are banned in cosmetics, textiles and accessories, the Group carries out analytical checks on representative samples to ensure they are absent. For other types of products, imports in particular, a content of less than 0.1%, as required by the REACH regulation, is required and is also checked by a series of analytical assays. The processing of information in the e-SDS constitutes a major new challenge, due both to the complexity of interpretation and to the implications in terms of the protection of employees at industrial sites. This has led the Group to organise a team of experts responsible for making a diagnosis immediately after receiving a raw material with respect to its validated use in cosmetics. A constructive dialogue is engaged with the suppliers in order to make this diagnosis. For detergent products manufactured under contract in Europe, a mapping was drawn after an audit of all the suppliers concerning the measures in place or planned to accompany the entry into force of the REACH regulations. This mapping also provides an opportunity for dialogue and continuous improvements with the Groupe Rocher's external service providers. CSR REPORT 2015 41 RESPECT FOR INTERNATIONAL CONVENTIONS AND HUMAN RIGHTS The Groupe Rocher strives to promote and respect the principles contained in International Conventions on human rights within the Group and in its sphere of influence. Based on the Group’s measures and procedures related to internal controls and human resources, it ensures that these rights are respected internally, in all the Groupe Rocher’s subsidiaries. Moreover, the Purchasing Department checks these issues by asking suppliers and subcontractors to make a commitment to respect international conventions on human rights, and in some countries identified as “at risk”, it carries out social audits. The Groupe Rocher’s internal measures to promote and ensure respect for the conventions of the International Labour Organisation (ILO) The Groupe Rocher is committed to respect the fundamental conventions of the International Labour Organisation, even in countries where the Conventions have not been ratified. The point for the Groupe Rocher is to respect freedom of association and recognise the right to collective bargaining, to strive for the elimination of all forms of forced or compulsory labour and child labour, and to work to combat all forms of discrimination in employment and professionally. It is the responsibility of the Human Resources Department to ensure that these Conventions are respected and properly applied. The Purchasing Department, for its part, ensures that suppliers and subcontractors who have direct relationships with the Group undertake to respect and ensure respect for the following international instruments, in particular the latest version in force: The Universal Declaration of Human Rights; The UN Convention on the Rights of the Child; The UN Convention on the Elimination of All Forms of Discrimination against Women; The Conventions of the International Labour Organisation (ILO), including on forced and compulsory labour (Conventions 29 and 105), minimum age (Convention 138 and Recommendation 146) and the prohibition of the worst forms of child labour (Convention 182). As preserving the environment is a core value of the Groupe Rocher, the suppliers and subcontractors under contract also undertake to comply with all the laws and various regulations in force that are applicable in the territory or territories involved with respect to the environment. The freedom of association and collective bargaining is implemented through compliance with the applicable laws and collective agreements in the countries where the Group operates, with it being understood that when such provisions are inapplicable due to the lack of a legal framework or because the business is too small, the Groupe Rocher ensures that other forms of dialogue with the employees will be set up. Certain measures dealing with discrimination were evoked in the section on anti-discrimination policy, it being understood that the protection of children is ensured by the following means: Verification of the age of employees hired by the Groupe Rocher's employees, and A demand made of suppliers and subcontractors doing business with the Groupe Rocher to respect and enforce the International Conventions on the rights of the child. Audit processes are used to verify compliance with this obligation. CSR REPORT 2015 42 BRINGING TOGETHER GROUPE ROCHER EMPLOYEES The Groupe Rocher encourages all of its subsidiaries to hold events to build awareness among employees of a different social or environmental issue or topic every year. The goal is to bring together, rally, and build awareness among employees, structured around a single theme related to responsible development. These events break with the routine of work to surprise, teach and bring employees together around the Groupe Rocher values, lending meaning to their work and motivating them across the Groupe Rocher's brands. As a result, around 7,000 employees were offered events and activities of this type in their workplace within the Groupe Rocher in 2015. INVESTMENT REQUESTS IN LINE WITH THE GROUP'S VALUES In April 2015, the Groupe Rocher's Finance division decided to make environmental and social criteria a key part of all of the Group's investment requests. A selection of keywords are made available to the financial controllers, allowing them to specify the environmental and social impact of projects and to promote accountability among each and every stakeholder when projects are being drafted. 'GREEN DAYS' ON MOST OF OUR SITES As part of the COP 21 and the “Feed the Planet” Milan Universal Expo 2015, food and climate change were the focus in the 'Green Days 2015' line-up of events and activities during Sustainable Development week. Employees were made aware of ways in which they could reduce their impact on climate change via food choices, eating local and organic produce and restricting waste through better recycling, promoting fair trade, etc. These topics were widely celebrated and covered by all, from the Breton production sites to the Parisian head office, from the Petit Bateau site in Troyes to the Yves Rocher subsidiaries in Sweden, Spain and Germany as well as Stanhome in Venezuela and Italy. ILLUSTRATIONS of the Green Days events in the Groupe Rocher The Yves Rocher Helsingborg distribution site in Sweden 140 people celebrated 5 million trees planted in Scandinavia via tree hugs as well as human hugs. A competition was held for the up-coming Yves Rocher 'green concept store', a store with a sustainable development theme. CSR REPORT 2015 43 Yves Rocher tertiary site in Madrid, Spain A day out in Madrid's sweeping 'Casa de Campo' park, where a group of 80 were split into two smaller groups. While one group busied themselves clearing the banks of a stream (an hour's work covering two kilometres), the other group analysed the stream's water and amphibians with the help of instructors. The two groups then came together for a Tree Hugs Party followed by a picnic of local eco-friendly produce. Stanhome production site in Venezuela A campaign covering the importance of recycling. Employee awareness building on how to recycle and reuse paper and plastic. Cosmetics distribution site, La Croix des Archers, La Gacilly, France 530 employees took part in the Archers rally, galvanised by the slogan: “c’est bon, c’est bio, c’est breton et c’est simple” (“tasty, organic, Breton and simple”). A fun activity trail featuring workshops such as an interactive map of local farmers, tastes and flavours, seasons and tips on conservation, finishing off with a photo competition and an eco-friendly plant swap stand. CSR REPORT 2015 44 BIODIVERSITY AWARENESS-BUILDING INITIATIVES Each site involved in the “Biodiversity Sanctuary” initiative led in partnership with the Ligue pour la Protection des Oiseaux (LPO) holds regular employee awareness-building activities (nature discovery and safeguarding biodiversity) led by LPO speakers and guides. A biodiversity-themed day was held at the Petit Bateau Murard site in 2015. The LPO attended the event to explain to employees how the process rolled out at the site works. A bee-keeping employee gave a talk on the role played by bees in the environment and how beehives are organised, and the Drive Fermier de l'Aube was on-hand to present how it works and the local products available. For the inauguration of the Cap Rocher site in February 2015, around hundred employees planted over fifty trees (hazel trees, liquidambars and birch trees) along the tram line on land owned by the council in the presence of the Issy-les-Moulineaux deputy mayor responsible for Sustainable Development. In July, around twenty Cap Rocher employees harvested nearly 74 kilos of honey produced by the three beehives on the building's roof. The pots of honey were labelled with the Group's logo and sold to employees during a community Christmas market alongside products by the Terre de Femme prize-winners. All of the profits were ploughed back into the Yves Rocher Foundation to support its various initiatives. THE 'I LOVE TREES' CAMPAIGN To celebrate the planting of 50 million trees, the Yves Rocher Foundation launched a collaborative operation in June 2015 to help people get closer to nature and to take action by giving encouraging everyone to plant a tree. The 'I Love Trees' platform was born via the ilovetrees.eu website: users were invited to upload photos of a tree hug and to share their experiences on social media. For each of these acts, the Yves Rocher Foundation promised to plant a tree in exchange. After six months of joint efforts, 3,032 tree hug photos were published and shared, resulting in a total of 3,032 trees planted by the Yves Rocher Foundation. A number of gatherings known as ‘Tree Hug Parties’ were held around the world in nearly 12 Yves Rocher subsidiaries. CSR REPORT 2015 45 EVENTS AND ACTIVITIES FOR DISABILITY WEEK During Disability Employment Week, events and activities were held and were a huge hit with employees. Of particular note were: - A number of awareness-building workshops across all Breton sites. In Ploërmel, the Mille et Un Sourires association for sick and disabled children took part in Disability Week to build awareness among employees of the challenges faced by these children. - A conference held at our Parisian head office, bringing together a number of key stakeholders in the disability-friendly sector (including the director of our Les Primevères 'adapted workshop’, associations, our occupational health nurse and a high-level Disability sports athlete). - Two films showing employees directly affected by and working for disability in the workplace, notably those working in Human Resources, training, purchasing and store accommodations. DRAWING ON SALES CONSULTANTS IN OUR STORE NETWORKS The Yves Rocher brand rolled out a new programme for integrating its beauty advisers, called the Cours de la Cosmétique Végétale® (Botanic Cosmetics Course). This training programme has been rolled out around the world for French and international teams alike, and comprises a module dedicated to the brand's Sustainable Development initiatives and an overview of the Yves Rocher Foundation. As part of COP 21, the Yves Rocher brand celebrated the 50 million trees planted by the Yves Rocher Foundation and the new target of planting 100 million by 2020, with a special campaign rolled out across the French network on 20 November 2015. Signs, window stickers and manifestos given out by the consultants served to communicate the Yves Rocher brand's environmental commitments. The beauty consultants were trained ahead of time with a special focus placed on talking about the Group's commitments. SPONSORSHIP The Groupe Rocher spent 4.1 million euros on gifts and sponsorships in 2015. This breaks down as follows: 72% to help environmental actions; 13% to promote social actions; 5% to help the fight against disease; 10% to help miscellaneous actions (La Gacilly Photo Festival, etc.). CSR REPORT 2015 46 Brands working together Founder of Cosmétique Végétale® Yves Rocher “As long-standing and passionate supporters of the world of plants, the Yves Rocher brand aims to act in harmony with the environment, following the example of each and every plant and tree. This vision dedicated to women's beauty and founded in La Gacilly in France inspires us every day in what we do and is embodied in our Cosmétique Végétale®”. The Yves Rocher brand has made a contract with the world of plants. Our proactiveness in respecting the environment and protecting biodiversity is in our genes. A Botanist, Harvester, Manufacturer and Retailer, Yves Rocher is the only global brand of Beauty products that chooses to manage all the aspects of its products' life-cycles: from the plant itself to the skin of its 30 million customers. This unique approach allows the brand to both reduce its impact on the environment and to bring its customers the best beauty at the best price. Cosmétique Végétale® Yves Rocher is an exclusive cosmetic experience. This unique product was created by Mr Yves Rocher, a pioneering botanist and women's beauty visionary who founded the company in 1959. Yves Rocher products are alone in offering these avant-garde cosmetics. Over 150 plant cosmetics research experts pool their talents and expertise to craft products from plant to skin in an entirely unique way of working with botanics. COSMETIQUE VEGETALE®, UNIQUE EXPERTISE RESPONSIBLE SOURCING The Yves Rocher brand organises its management approach to the botanical supply chains around 3 core values: Supply, Protect and Share. Supply The Yves Rocher brand wants to ensure that there is thorough knowledge and traceability concerning the plants used in its products, their harvesting and their use as cosmetic ingredients. The brand selects its plants from La Gacilly but also from around the world. The brand employs an ambitious procedure targeting continuous improvements based on the sustainability of its plant sectors for all its supplies. Drawing on over 50 years of experience in Cosmétique Végétale®, the Yves Rocher brand boasts a total of around 250 plantbased raw materials, each related to a procurement sector. We thus have an overview of our entire portfolio of botanical raw materials, and our commitments and management procedures are adapted to the needs of each category of material. A botanical supply chain refers to the continuous chain involved in using a plant raw material from a given geographical area. A supply chain depends on a closely linked network of established partners. It aims to ensure the traceability and quality of the raw material at every stage of processing right to the end product. Protecting resources and respecting communities While prioritising the quality of its ingredients, the brand remains attentive to on-the-ground realities. In a bid to remain loyal to its commitments, the Yves Rocher brand sources raw materials while respecting the CSR REPORT 2015 47 environment and safeguarding production and fair pay for all associated stakeholders. Harvesting chamomile in Brittany, Shea butter in Africa or producing monoi in Tahiti - whatever the countries and types of these plant-based sectors, the Yves Rocher brand is committed to respecting nature and communities. PLANT CHARTER The Yves Rocher brand defines out rules on plants in its Plants Charter that must be abided by all its in-house teams and all its partners. The rules include the following actions: Protecting endangered species; Promoting the use of cultivated plants or regenerative plant parts; Refusing to incorporate genetically modified plant ingredients; Developing activities certified by the French Organic label AB “Agriculture Biologique”. Profit-sharing for a fairer world Through responsible action that involves caring for local communities, the Yves Rocher brand is committed to fair and equitable sharing of profits generated by the use of these plants. The benefits yielded from these natural resources should be ploughed back into local communities, allowing them to improve their living conditions and to co-exist in harmony with their natural environment while safeguarding their traditional know-how. Case study: SIEGESBECKIA ORIENTALIS As part of a recent project to develop a new active ingredient from the Siegesbeckia orientalis plant, the Yves Rocher brand drew on a long-standing, reliable and committed Malagasy partner. This development was planned and rolled out in compliance with the framework governing access to genetic resources and the fair and equitable sharing of benefits related to their use (APA) resulting from the Convention on Biological Diversity (CBD). As a way of sharing the benefits of the 'Research' phase for the Siegesbeckia orientalis plant, the Yves Rocher brand funded a study on the plant's ecology. A research agreement was signed in order to do so by the Antananarivo Faculty of Science and the Yves Rocher brand and its Malagasy partner in October 2014. In September 2015, a new contract was signed with the Malagasy partner, formally recognising support provided to its local industry. This contract fulfilled the benefit-sharing obligation for the 'Sales' stage of the plant. CSR REPORT 2015 48 Audits and assessments Audits and assessments are conducted, mostly by the Groupe Rocher teams in the field, but they can also be performed on the basis of an initial self-assessment by the supplier partners. These audits are used to set up coordinated actions between the Groupe Rocher and its supplier partner in order to improve and strengthen the supply chain wherever necessary. In the first four years following the implementation of the position of Coordination of Botanical supply, approximately 40 plants were audited in 16 different countries. Steps were taken at every stage in these rights up to our Yves Rocher factories in order to render the use of plant raw materials more efficient. These improvements included specifications for harvesting or cultivation, quality controls at all the relevant stages, optimising storage areas and the FIFO system, adapting container sizes, making use of by-products, etc. ECO-DESIGNED PRODUCTS A formula that respects skin and the planet For 50 years now, the Yves Rocher brand has been committed to incorporating the power of plants into all of its formulas. From plant to skin, the Cosmétique Végétale® experts pool their different areas of activity into a global vision that strives to achieve effectiveness, sensory appeal and respect for the environment. In doing so, they work to achieve ever greener and more effective formulas with a higher level of respect for skin. All Yves Rocher brand products are designed from plants: All the products contain plants that are specially studied and selected for their cosmetic properties; Many botanical active ingredients present in Yves Rocher products are exclusive creations that arise from research and have a patent; The Yves Rocher brand experts develop their own eco-extraction processes that respect the environment; Each formula's ingredient has a positive effect on skin. Each is incorporated into the formula in the exact right concentration for optimum effectiveness and guaranteed safety. The Yves Rocher brand teams do not test on animals, nor do they promote animal testing, whether on finished products or the ingredients they contain. 100% of packaging is developed with eco-design in mind For the Yves Rocher brand, eco-design packaging is a way of thinking differently, based on Innovation, Creativity and Desirability. The emphasis is on the use and pleasure values. The two cornerstones of this approach are: REDUCE the consumption of renewable resources by reducing the weight of packaging and incorporating recycled raw materials. RECYCLE by designing recyclable packaging within the existing sectors and encouraging customers to sort their packaging. To support the teams involved in product development, for the last 4 years the Yves Rocher brand has developed “eco-design packaging guidelines”. This tool is updated annually and is shared by the teams from marketing, purchasing, development and R&I. It lays out rules and guidelines to follow in terms of eco-design packaging for all Yves Rocher brand products. 175 people were directly trained in eco-design between 2012 and 2015, and any newcomer to the above-mentioned teams routinely receives this training. As a result, all cosmetic product development involves an eco-design stage. CSR REPORT 2015 49 2015 performance 2020 TARGETS The average weight of Yves Rocher plastic bottles has dropped by 8% since 2010 (measured in grams of plastic per millilitre of product sold) Our plastic bottles weigh 20% less than in 2010 56% of PET plastic bottles already contain plastic sourced from recycled bottles (PET). 100% of PET bottles contain recycled plastic Overall, thanks to recycled plastic being incorporated into the packaging, over 140 tonnes of virgin plastic were saved in 2015 92% of the cardboard used in the boxes is certified as having been sourced from sustainably-managed forests 100% of cardboard sourced sustainably managed forests1 from 85% of the Yves Rocher face care jars are glass 100% of Yves Rocher face care jars will be in glass, and thus recyclable. Good Practice In 2015, the Hydra Végétal range was overhauled to incorporate Yves Rocher's commitment to eco-packaging, featuring: A recyclable glass jar that prolongs the longevity of natural resources. A new eco-tube for a 25% saving on plastic compared to the old tube. A new eco-designed bottle using less plastic and containing 25% recycled plastic. A sustainable distribution network The Yves Rocher stores are being gradually transformed into Botanical Beauty Ateliers (Ateliers de la Cosmétique Végétale®), a unique concept created in 2009, one of whose objectives is to reduce the impact of the stores on climate change. In France, the air conditioning, lighting and appliances in these stores have been optimised to reduce the annual energy costs by 25%. In order to preserve biodiversity, the materials used in the Botanical Beauty Ateliers have been carefully chosen both for their ecological qualities (wood furniture from sustainably managed forests) and for their ease of recycling at end of life (easily disassembled furniture and laminate floors). In addition, these stores have significantly reduced their waste by using new advertising media from renewable resources (cardboard). Seventy-three tonnes of plastic are thus saved each year in France. Around 96% of stores in France were turned into Plant-based Cosmetic Workshops by the end of 2015. The goal is to reach 100% by the end of 2016. In September 2014, a 'laboratory' store was set up in Boulogne-Billancourt with a view to refreshing the 'Cosmétique Végétale® Lab Workshop' concept store, treating consumers to a new customer experience. It will in particular feature more sustainable lighting using LEDs, which have a lifespan of almost 12 years. 1 Cardboard using FSC- or PEFC-certified pulp CSR REPORT 2015 50 Concept Store The Yves Rocher brand's first concept store occupies a symbolic location on the Boulevard Haussmann in Paris where the world's very first Yves Rocher store once stood in 1969. This unique, experience-based space measures 450m2 and conveys a crucial message: that Cosmétique Végétale® is the future of cosmetics. Designed as an innovative laboratory of services, it aims to provide women with the unprecedented Cosmétique Végétale® experience, and embodies like never before the Yves Rocher brand's vision and know-how. This urban refuge in which nature is given free rein to express its diversity over three floors reveals the inherent intelligence of plants, illustrates the brand's roots and demonstrates how the Laboratoires Yves Rocher strive to provide skin with the very best. Tucked away in the hustle and bustle of the Boulevard Haussmann, passersby are surrounded by nature: an airy garden where 250 plant species live and flourish side-by-side across a 50m2 wall. A BRAND ROOTED IN ITS HOME TOWN LA GACILLY, THE BIRTHPLACE OF PLANT-BASED COSMETICS In 1959, in his home village of La Gacilly in Brittany, Yves Rocher developed his first ointment based on the Lesser Celandine flower. The brand is now present in over 90 countries across 5 continents, and distributes more than 300 million products every year throughout the world. A botanist, cultivator, manufacturer and retailer, Yves Rocher mastered the entire life cycle of his products – from plant to skin. As a result, the brand is able to reduce its environmental impact at each stage of the life cycle of its products. La Gacilly, birthplace of the brand, epitomises this unique expertise. Botanist: Since 1977, La Gacilly’s botanical garden has afforded Yves Rocher experts observe and conserve over a million plant species. Cultivator: La Gacilly is the brand’s first supply channel with more than 55 hectares of organically cultivated fields, which provide a significant portion of the brand’s plant needs. Manufacturer: Yves Rocher applies a responsible management model to the manufacture of its products in its three Breton production plants. These plants are triple-certified – Quality, Safety and Environment – and, in partnership with the LPO (League for the Protection of Birds), they are “Biodiversity Sanctuaries”. Retailer: All commercial network deliveries are prepared in La Gacilly. The logistics platform permits over 300 million products to be shipped throughout the world every year. Transport is optimised so as to reduce the environmental impact. CSR REPORT 2015 51 LA GREE DES LANDES: YVES ROCHER’S ECO-HOTEL SPA The Yves Rocher Eco-Hotel Spa opened in 2009 in La Gacilly. Its aim is to show that a place of well-being can be developed on a long-term basis that minimises its environmental impact. The activity of the Eco-Hotel Spa contributes to job creation and growth in the region; it raises awareness about sustainable development and contemporary art through its occasional events and its very purpose. With European Ecolabel certification, its energy performance is very good thanks to the choice of building materials, the electrical equipment and the heating system: thermo-stone walls, green roofs, hemp insulation, eaves that allow thermal regulation, a wood boiler, solar panels, etc. The Yves Rocher Eco-Hotel Spa is also a pacesetter for its management of water (use of a number of innovative technologies, rainwater recovery, etc.) and waste (100% of waste is re-used or recycled). It plays a role in the preservation of biodiversity by protecting the local fauna and flora. The “Biodviersity Sanctuary” management plan and the arrangements made in the last 5 years have had a remarkable positive effect on the site’s biodiversity. The Hotel's gourmet restaurant “Les Jardins Sauvages” has been certified organic since July 2013. Its cuisine is local, since it works mainly with growers located within a radius of 30 to 40 kilometres. SHARING AND CONVEYING OUR CONVICTIONS YVES ROCHER: COMMITTED TO MAKING BEAUTY ACCESSIBLE TO ALL WOMEN The Yves Rocher brand has been a long-standing player in the democratisation of beauty. Since 1959, Yves Rocher has been bringing beauty to women through mail order sales delivered throughout France. It then expanded its territorial network through stores, Internet sales and direct sales across all continents. Today, the brand is present in over 90 countries, making it one of the world’s most accessible international cosmetics brands. In addition, its affordability reinforces the notion of accessibility of beauty. Free from stereotypes and prejudices, the Yves Rocher is the natural ally to women of all beauty types, worldwide. In France, through its partnership with HandiCaPZero, the Yves Rocher brand has made beauty accessible to blind and partially sighted women. Every year, the brand publishes a Braille version of its Green Book of Beauty and provides them with an adapted audio version and two dedicated newsletters. In 2015, the brand signed a partnership with the “Dons Solidaires” association to donate 264,000 products with short use-by dates or that have been dereferenced to charitable organisations or social and solidaritybased grocer’s shops. CSR REPORT 2015 52 A BRAND COMMITTED TO NATURE THROUGH ITS FOUNDATION The Yves Rocher Foundation - Institut de France was established in 1991 at the initiative of Yves Rocher and Jacques Rocher. It helps to carry on the commitments made by Yves Rocher at the creation of his company, such as environmental protection, the education of young people, and expertise in plants. The Yves Rocher Foundation is today under the aegis of the Institut de France, and it is funded by both donations from companies in the Groupe Rocher and private donations (the general public and other sponsors). Its activity is based on four points: To support the struggle of women with the Women of the Earth Award, which recognises women who work every day to protect the environment; To promote reforestation with the Plant for the Planet programme. In 2015, the Yves Rocher Foundation celebrated its goal of planting 50 million trees. On this occasion, the Foundation announced its new goal of planting 100 million trees by 2020. To support botanical expertise; To support photographic work through sponsorships. CSR REPORT 2015 53 Daniel Jouvance The Ocean: A unique source of beauty THE ECLOSARIUM: A LOCAL ANCHORAGE BETWEEN LAND AND SEA For over 30 years, the Daniel Jouvance brand has been committed to the ocean’s biodiversity and developing marine cosmetics that respect and value the environment. Formulas are developed as part of an effective, sensory and safe research dynamic that respects the environment. Active ingredients derived from micro-algae, a renewable plant resource, are developed in the Eclosarium on the island of Houat, a Daniel Jouvance brand research and production centre. The Eclosarium’s research and development activities focus on the properties of phytoplankton: contribution to the development of marine biotechnology; promotion of micro-algae culture and research into new active marine substances; and a centre where researchers from different backgrounds meet to explore the culture of micro-algae in photobioreactors, and learn and share knowledge. The Eclosarium is also a cultural and educational tool. Exhibitions and events in the museum space that are open to the public are designed to: raise awareness of the life of these islanders through this unique example of an unspoiled site, a veritable ecological paradise; and serve as an information and awareness tool for the general public. Indeed, the sea is threatened habitat that must be protected for the very survival of the Earth; so it is important to promote visitors’ awareness of the complexity and fragility of Houat’s ecosystem given its close proximity to the ocean. NATURAL, EFFECTIVE AND SENSORY SKINCARE THAT ENCOURAGES RESPONSIBLE CONSUMPTION Daniel Jouvance encourages responsible consumption by offering women skincare in refillable jars, cobranded products that help fund the Daniel Jouvance Foundation - Institut de France. In perfect harmony with the Foundation’s support of the Cœur de Corail® programme, the Ocea Fermeté Lift line launched in 2016 is based on the effectiveness of the micro-algae symbiosis of coral. Symbiodinium, a micro-algae skin architect, is able to stimulate collagen synthesis and strengthen the skin’s network (in vitro test). CSR REPORT 2015 54 A FOUNDATION DEDICATED TO THE MARINE WORLD The Daniel Jouvance Foundation - Institut de France, established in 2008, carries forward the ethical and environmental commitments that have been promoted by the Daniel Jouvance brand for many years. Completely dedicated to the preservation of the marine world and the sharing of knowledge in this area, the Foundation operates through two fields of action: - The “International Schools of Marine Biology”: Organised in emerging countries, these courses last 10 days and promote the transfer of expertise in the fields of marine biology and marine ecology. These courses have been held in Chile and Brazil for PhD-level students and will be held in Crete at the end of 2016. - 2015 - First phase of the Cœur de Corail® programme in Indonesia carried out with experts from the French NGO Coral Guardian. This repopulation programme of coral reefs damaged by dynamite fishing addresses three core missions: Preserve coral ecosystems and regenerate the local marine biodiversity; Empower local people by creating sustainable jobs; Raise public awareness to these environmental issues. CSR REPORT 2015 55 Stanhome Company STANHOME: JOB CREATOR In 1931, Stanhome created a new sales system designed for and embodied by women: Direct sales were born. Based on the strength of the community and network, Stanhome helped thousands of women gain independence and financial autonomy in the midst of a full-blown American crisis. 85 years later, although the cultural and geographic context has changed, the commitment has stayed the same. In 2015, Stanhome had 205,000 consultants in five countries: Mexico, Venezuela, Italy, France and Spain. Mexico currently has the highest rate of employment (+18.5% in 2015 vs 2014). The Venezuelan subsidiary alone employs 90,000 consultants, despite a difficult economic and political environment. Stanhome’s commitment to employment includes personalised support and free training so that everyone can develop skills and reveal their potential. As a job creator, Stanhome’s subsidiaries regularly hold “recruitment operations” open to all. Regardless of age, gender or status (student or retired), Stanhome’s subsidiaries offer the possibility of earning additional part-time income or being employed in a full-time job. During these recruitment operations, Stanhome’s subsidiaries unearth potential. With the help of interviews with Facilitators (who were consultants promoted to managers), those interested in direct sales are oriented towards the position that best suits their profile. Some become sales representatives; others, team managers. Everyone’s differences are respected and everyone is supported. Stanhome’s subsidiaries offer equal employment opportunities, even to those without a degree. Personality, potential and/or experience are what is valued above all else. Initial training is not required. Stanhome provides it. In France, newcomers are provided with sustained support during their first few weeks to give them the best chance to succeed. This approach is materialised through: - field training to learn all about products, sales techniques, organisation of coaching; - online training to acquire and validate skills through teaching modules. To encourage beginners, levels have been established to track their progress and motivate them through easily achievable short-term sales targets. But the training does not stop there. Stanhome, above all, provides human support: a manager is there at all times to answer questions from newcomers to start their professional lives in the best conditions. Throughout their career at Stanhome, consultants – called “coaches” – have access to E-learning, free, remote and online training, available 24/7, to encourage continuous improvement. Stanhome also founded its Business School, which offers innovative training sessions integrating discovery and development sessions and sessions specifically dedicated to team management. Stanhome’s employment process offers personalised advice and follow-up to develop everyone’s potential. STANHOME: COMMITTED TO CONSUMER SAFETY The Stanhome and Kiotis brands have always made consumer safety a priority commitment. This commitment translates into product formulation to final use by the consumer. Stanhome Home Care always chooses ingredients based on effectiveness while refusing to compromise on safety. In this respect, the Stanhome brand has developed its own list of prohibited ingredients which goes beyond regulatory requirements. Ingredients are examined in the context of final product use and those at risk or in doubt with regard to consumer safety and security are consistently excluded. This safety requirement extends to the selection of perfumes that meet strict Charter standards which limit the presence of allergens to ensure usage comfort. CSR REPORT 2015 56 This same requirement is found in product manufacture since the Stanhome brand requires its Home Care products to meet strict microbiological cleanliness thresholds based on cosmetic standards and practices. Lastly, all products that will be used on skin are dermatologically tested. To evaluate these products under real use conditions, Stanhome has partnered with a toxicologist. To ensure optimum safety during the products’ use, Child Resistant Closure (Child Safety) caps are fitted on all bottles containing formulas presenting the greatest use risks. Stanhome goes even further with its CARE products, launched in March 2016. Its CARE products are a genuine corporate commitment to offer daily household and personal care products that meet consumer expectations, focused more than ever on the health and well-being of our loved ones. These products meet Stanhome’s Derm-Safe Charter standards. This demanding Charter ensures high skin tolerance formulas, meaning: - Formulas developed in collaboration with a toxicologist to ensure tolerance and effectiveness; - EXTRA CARE perfumes specifically developed to respect sensitive skin-types; - Tests inspired by dermo-cosmetics, applied for the first time to household and personal care products used daily. CARE provides consumers an alternative with natural ingredient products while ensuring maximum effectiveness. Stanhome pursues its commitment to always: care for consumers. STANHOME: COMMITTED TO CHILDREN In France, Italy, Spain, Mexico and Venezuela, each of Stanhome’s subsidiaries has undertaken to locally support an organisation that helps children. Stanhome subsidiaries support the following organisations: Petits Princes, Peter Pan, Aldeas Infantiles, Ministerios de Amor and Campos de Sueños. In 2015, more than €265,000 was donated to these organisations to help sick children and children in danger or difficulty. The Ministerios de Amor organisation in Mexico helps children living in the street; Aldeas Infantiles in Spain provides a home for orphans. True partnerships were formed with these organisations that the Stanhome subsidiaries have supported for many years. For nearly 20 years, Stanhome France has supported the Petits Princes organisation, which makes sick children’s wishes come true. This year, a share gift was sold in December, with proceeds going to the organisation. The mug, sold for €3, resulted in proceeds of €134,000. Italy celebrated its ten-year partnership with the Peter Pan organisation and donated €73,000 in 2015. CSR REPORT 2015 57 Dr Pierre Ricaud DR PIERRE RICAUD: PERSONALISED BEAUTY EXPERT Because every beauty type is unique, and because, to be effective, cosmetics must be perfectly adapted to the skin-type, the Dr Pierre Ricaud brand offers personalised skincare, extending to customised skincare, to meet women’s needs. 29 years of scientific innovation Pioneers and visionaries since 1986, the Laboratoires Dr Pierre Ricaud have developed cosmetic treatments at the forefront of innovation that better understand biological mechanisms to stimulate the skin’s youth functions. All of the brand’s new products are now developed as part of an eco-design approach. DERMO-COSMETICS Our laboratories maximise the effectiveness of our skincare by establishing the optimal concentration of active ingredients for each product and subjecting them to rigorous and continuous testing. All our products are dermatologically tested to ensure their safety. Effectiveness and quality at the best price is our leitmotif. The Dr Pierre Ricaud business has mastered the creation and manufacture of skincare in France to ensure effectiveness and quality at the best price. DR PIERRE RICAUD: COMMITTED TO WOMEN In 2015, the Dr Pierre Ricaud brand met its clients through interactive workshops with the brand’s experts to give them a unique and individualised beauty experience. The brand has also redefined its social commitment to develop a business plan corresponding to the brand’s values which brings together and engages consumers and employees. In 2016, the Dr Pierre Ricaud brand launched its “FEMMES EN CHŒUR” (Women in Chorus) prize to reward women for their social commitment to the health and well-being of other women in France. CSR REPORT 2015 58 Flormar FLORMAR: MAKE-UP PROFESSIONALS Flormar was founded in Milan, Italy in 1970. The company and its production soon transferred to Turkey, where it has been located for 40 years. With over 350 stores to its brand worldwide, the Flormar brand continues to open a new store every day. Flormar is also distributed in over 40,000 drug-stores and perfumeries throughout the world through its partner network. COMMITTED TO THE RECYCLING OF PACKAGING The Flormar Group and the ÇEVKO Foundation have been partners since 2010. This non-governmental organisation was established by 14 major Turkish industrial businesses to promote the implementation of a selective sorting system and the recycling of packaging in Turkey. Beginning with glass, the organisation is now focused on promoting and raising awareness about the sorting of metal, plastic and paper/cardboard. Through this partnership, the Flormar Group contributes to the collection and recycling of packaging waste in Turkey. CSR REPORT 2015 59 Clothes to do things in Petit Bateau RAW MATERIALS PURCHASING POLICY Petit Bateau’s raw materials purchasing policy is based on 3 points: Quality of the threads and fibres used; Economic criteria: Price and capacity; supplier durability, sustainability, equipment, procedure. The geographical origin and the process of harvesting the fibres used are major selection criteria for Petit Bateau’s buyers and technicians, because they have a strong impact on the yarn’s final quality and the knitting of the finished products. The high quality of the yarn provides a solid guarantee that the finished products are long-lasting, a quality that is essential to Petit Bateau. The mills are well-known, as are some of the cotton fields which have been visited by Petit Bateau teams. Petit Bateau’s need for top quality and its high rate of light colours requires the use of cotton from industrialised crops, which can be taken from GMO farms. Sustainable or even organic cotton crops can be exploited only at the margins, as there is no guarantee of the regularity of the technical properties of these fibres. TEXTILE QUALITY POLICY Quality is part of the DNA of the Petit Bateau brand. Petit Bateau’s quality policy is based on the safety and quality of product use. Petit Bateau has gained an OEKO-TEX label, and thus imposes very strict standards in terms of toxicology. Petit Bateau’s standards go beyond the REACH standards in place in Europe. Petit Bateau checks the quality of the components at various stages of production in its own laboratories or in external labs. Petit Bateau includes its suppliers in its strategy by ensuring that they meet OEKO-TEX standards, which represent a guarantee of their textile know-how. Petit Bateau is hazard-free! CSR REPORT 2015 Petit Bateau is solid! Petit Bateau means safety guaranteed! 60 Petit Bateau - Consumer Safety Specialising in knits for 120 years, PETIT BATEAU designs knit collections for new-borns as well as undergarments and sleepwear bearing the OEKO-TEX® Standard 100 label. This European label - which imposes strict standards - forms part of the voluntary approach adopted by the Petit Bateau House and ensures the complete safety of baby products, undergarments and sleepwear that meet the label’s requirements. No allergies or irritations for the wellbeing and comfort of our little ones! Social audit policy in countries at risk Suppliers working with Petit Bateau in areas deemed to be at risk (India, China, Vietnam, Madagascar) have earned several OEKO-TEX labels and ISO 9000 or even ISO 14000 compliance. There is a consistently direct relationship with plants. The most critical countries have been avoided, including Bangladesh, which today is very exposed. Several times a season Petit Bateau suppliers receive a visit from Purchase or Quality teams, some of whom have been trained in carrying out simplified audits on the basis of the SA 8000 standard. These evaluations give rise to plans for improvement, which are intended to improve the product quality and the production environment, thereby eliminating any risk factors. ECO-DESIGN Petit Bateau has launched an eco-design approach. For the moment this involves a limited part of the packaging, but it is being applied as quickly as possible: The media used for the “hangtags”2 and cardboard packaging of boxed products is recyclable. These are produced from cardboard made from wood from sustainably managed forests. The protective window is not stack to the box and is made of cellulose acetate, which is made from wood. The white colour of the boxes is obtained without the addition of chlorine. The printing inks are plant-based and are authorised for food contact, and the adhesives do not use solvents. The use of plastic is very limited (mostly hangers and bags), and the use of PVC has been eliminated (e.g. gift cards are no longer made from PVC plastic but composite cardboard). Since 2014, the new eco-packaging charter has been affixed to all CD boxes, gift boxes and paper bags. This charter encourages the consumer to sort more clearly (disposable plastic hook, recyclable cardboard box, etc.). 2 Removable label specifying the composition of an item. CSR REPORT 2015 61 GROWTH AND ECONOMIC VITALITY Petit Bateau has opted to remain a French manufacturer while also being an international corporation. Based in Troyes since 1893, Petit Bateau’s St. Joseph factory perpetuates know-how and unique qualities that have been transmitted from generation to generation. To maintain its profitability and a high-quality manufacturing tradition, starting in the 1980s Petit Bateau has developed industrial clusters in the Maghreb. The factories that make Petit Bateau products from Maghreb use exactly the same raw materials, manufacturing processes and quality control, as do the factories in Troyes. Petit Bateau has 3,000 employees worldwide, nearly half of whom are in France. In the context of a French textile industry that is suffering (loss of half of its workforce between 2000 and 2011); Petit Bateau has kept its workforce in the Aube at more than 1,000 people. Petit Bateau is thus now one of the largest employers in the French textile industry. Petit Bateau’s activities in the Troyes employment area also generate indirect jobs locally: Good practice PETIT BATEAU TENMAR MOROCCO: CREATING EMPLOYMENT OPPORTUNITIES FOR WOMEN Petit Bateau Tenmar Morocco offers paid training for the professional integration of unskilled women as well as the retraining of women and female students in sewing skills. These two- to three-month training courses allow women to train in basic sewing skills and the specific techniques of Petit Bateau knitwear, and, at the same time, learn about the company’s operations and safety rules. Nearly 50% of women who have taken these courses have been hired as skilled workers. In 2015, 47 people joined Tenmar Confection in Marrakesh through this integration programme. SKILL-BASED SPONSORSHIP Petit Bateau has been working to fulfil its commitment to the development of the creativity and imagination of childhood. In 2014, Petit Bateau signed a sponsorship partnership with the “La Source” charity for a period of three years. Petit Bateau has chosen this organisation because its values are so close to the brand's own DNA. La Source is a charity under Law 1901 and has been recognised as a public interest charity since May 2002; its primary mission is to help children and youth aged 6 to 18 in difficulty (family, school or identity) to develop their artistic creativity. Through this partnership, Petit Bateau finances 3 to 5 creative and artistic courses for children in difficulty and supplies the textile materials (fabric, thread, packaging, etc.) used in the workshops. The children’s creations were exhibited at the Petit Bateau sites. CSR REPORT 2015 62 Appendices Methodology Note THE ENVIRONMENT Scope of the reports The consolidation scope for the environmental reporting includes the production and distribution industrial sites for cosmetics, detergents and textiles that belong to the Groupe Rocher: 9 production sites (Yves Rocher Villes Geffs, Yves Rocher Ploërmel, Yves Rocher Rieux, Yves Rocher Cork, Stanhome Venezuela, Flormar Production Kosan Sanayi, Petit Bateau Troyes, Petit Bateau Tenmar TT and Petit Bateau Tenmar Confection) 11 logistical distribution sites (Yves Rocher La Croix des Archers, Yves Rocher La Villouet, Stanhome Les Lauriers Verts, Petit Bateau Chapelle St Luc, Petit Bateau Pont Sainte Marie, Yves Rocher Kain, Yves Rocher Helsingborg, Yves Rocher Portugal, Yves Rocher Longueuil, Yves Rocher Russia and Flormar Distribution Kosan Pazarlama). 6 tertiary sites in France and international tertiary sites employing at least 250 people (Cap Rocher, Stanhome Les Primevères, Yves Rocher Rennes, Petit Bateau Réaumur, Yves Rocher Stuttgart and Yves Rocher Madrid) 1 tourism site (Eco Hotel Spa La Grée des Landes). In total, the data from 26 sites are consolidated in the environmental part of the reporting. Noteworthy: the changes from 2014 to 2015 over the environmental scope: Cap Rocher: New building since January 2015 (grouping employees from Grenelle and Roosevelt). Cap Rocher is considered a new building so it cannot be compared to the accumulated historical data from the two YR Issy Grenelle & Roosevelt sites. It has been excluded from the like-for-like scope of consolidation. Following an internal audit of Petit Bateau Tenmar Morocco in October 2015: The Petit Bateau Tenmar Confection site was established to differentiate the Petit Bateau Tenmar TT site’s water and electricity consumption. One is focused on dyeing and knitting and the other on dressmaking and sewing. Waste: Since January 2015, waste has been collected at PT Bateau Tenmar. Waste data recorded in Flormar Production includes all of the waste generated at FLORMAR’s production and distribution sites in Turkey: Flormar Production Kosan Sanayi + Flormar Distribution Kosan Pazarlama. Stanhome Venezuela has been consolidated in the 2015 CSR Report but not in the Groupe Rocher’s financial report: Explanation: In the first quarter of 2015, following the major difficulties – if not impossibilities – encountered in repatriating dividends or in getting paid brand royalties, LBV Yves Rocher decided not to integrate its Stanhome Venezuela subsidiary. Now, only repatriated amounts are recognised in profit or loss. The store network is excluded from the scope of consolidation, except when specified in the text. In this case, these are 1,114 institutions operated by the Groupe Rocher Brands (own funds, branches). The following have been excluded from the “store” scope: the 1,711 establishments operating under the Group’s brand names as independent franchises or under leasing contracts; the 4,337 multi-brand points of sale operated by our agents. CSR REPORT 2015 63 Details on the scopes by environmental theme By “Cosmetics and detergents production” is understood the activities of the six sites operated by LBV Yves Rocher, which produce cosmetics and detergents for various Group brands. These sites include Yves Rocher Villes Geffs, Yves Rocher Ploërmel, Yves Rocher Rieux, Yves Rocher Cork, Stanhome Venezuela and Flormar Production Kosan Sanayi. In order to compare them over time and over an equivalent scope (since 2010), the indicators showing the change in the impact of “cosmetics production” are calculated on the scope of the Group’s 2010 main production sites, Yves Rocher Villes Geffs, Yves Rocher Ploërmel, Yves Rocher Rieux and Yves Rocher Cork (these sites cover 89% of the Group's cosmetic production in 2015). For indicators relating to energy and the calculation of GHG emissions, the words “Group” or “Groupe Rocher” refer to all the sites within the global scope, except for the Yves Rocher Longueuil site. This site is also excluded from its business sub-categories (commercial sites). In order to compare them over time and over an equivalent scope (since 2010), the indicators illustrating the changes in the impacts of the Groupe Rocher and its business sub-categories are calculated over the same scope as mentioned earlier, with the exclusion of 7 sites (Petit Bateau Chapelle St Luc, Petit Bateau Pont Sainte Marie, Stanhome Venezuela, Yves Rocher Portugal, Flormar Production Kosan Sanayi, Flormar Distribution Kozan Pazarlama and Cap Rocher), which represent 6% of the Group's energy consumption in 2015. For waste-related indicators, the words “Group” or “Groupe Rocher” refer to all the sites within the global scope, except for 2 sites: Stanhome Venezuela and Petit Bateau Réaumur. These sites are also excluded in their respective business categories (cosmetics and detergents production / textile production / commercial sites / Cosmetics Distribution). To compare them over time and over a like-for-like scope (since 2012), indicators illustrating the evolution of impacts of the Groupe Rocher and its sub-categories of activity are calculated on the same basis as cited above, except for the five sites (Flormar Production Kosan Sanayi, Yves Rocher Portugal, Eco Hotel La Grée des Landes, Cap Rocher, Petit Bateau Tenmar TT) representing 13% of the waste produced by the Group in 2015. For indicators related to water consumption, the terms “Group” or “Groupe Rocher” refer to all the sites within the global scope, except for 4 sites: Petit Bateau Réaumur, Petit Bateau Pont Sainte Marie, Yves Rocher Longueuil and Yves Rocher Russia. These sites are also excluded in their respective business categories (commercial sites / textile distribution). In order to compare them over time and over an equivalent scope (since 2010), the indicators illustrating the changes in the impacts of the Groupe Rocher and its business sub-categories are calculated over the same scope as mentioned earlier, with the exclusion of six sites (Flormar Production Kozan Sanayi, Flormar Distribution Kozan Pazarlama, Petit Bateau Chapelle Saint Luc, Stanhome Venezuela, Yves Rocher Portugal and Cap Rocher), which represent 10% of the Group's water consumption in 2015. For indicators relating to eco-design products from the Yves Rocher brand: indicators are calculated for all products referenced in the 2015 Green Beauty Book. Indicators The indicators presented are those monitored by the sites’ operational personnel. They reflect the Groupe Rocher’ s commitments on environmental policy. Data The data are collected through an online sharing tool. Every month one or more contributors per site input quantitative and qualitative data on water, energy and waste. This data is consolidated annually by the Sustainable Development Department. Each site must then validate the consolidated data that are submitted to it. CSR REPORT 2015 64 Calculation of GHG emissions The operating scope for emissions includes scope 1 and 2 of the accounting method of the GHG Protocol 3. The emission factors used are those in the ADEME Carbone® Base4. The share of renewable electricity for each country comes from the Observ’ER 5. In some cases, electricity emissions factors and the share of electricity from renewable sources are given directly by suppliers. Calculation of the stores’ energy consumption and GHG emissions The 1,114 stores operated as capital by the Petit Bateau, Yves Rocher and Dr Pierre Ricaud brands are the basis for calculating energy consumption; among which the 173 stores operated in France form the basis for the calculation of stores’ GHG emissions. Their large number and their diverse situations (in shopping centres, city centres, etc.) make it extremely complex to collect their actual energy consumption. Given that stores only consume electricity, the method chosen was to have a specialised consulting firm carry out an analysis of the consumption of a sample of Yves Rocher brand stores and to calculate their average kWh/m²/year. Specifically, the average kWh/year/m2 for each generation of Yves Rocher stores were calculated. There are currently four generations: 3G, 4G, 5G and Botanical Beauty Workshops (ACV®), the most recent and most widespread version. For stores operated by Petit Bateau and Pierre Ricaud, in the absence of their own values, the activity data provided by the ADEME was used in average kWh/m2/year. Thanks to these estimates, the total average energy consumption of the stores was then calculated. In calculating GHG for this activity data in France, the emissions factor of the ADEME’s Base Carbone® (Carbon Base) for electricity in France in 2015 was then applied. SOCIAL Scope “Groupe Rocher” is to be understood as all companies related to the parent company Laboratoires de Biologie Végétale Yves Rocher, as shown on page 26 of the Consolidated Financial Statements at 31 December 2015. The scope of consolidation for the “labour information” section is based on the average annual workforce of the Groupe Rocher subsidiaries that had employees as of 31 December 2015. Data are recorded in number of staff, not FTE. Regarding the data described for pay and changes, working time, absenteeism, work accidents and occupational diseases and training, the indicators calculated are based on permanent employees only. Annual data for 2015 Training for LBV Yves Rocher are partial. The following sites are excluded: Stanhome Primevères, Les Lauriers Verts, Standyr, DJ eclosarium, La Grée des Landes, YR Atelier Protégé “Les Primevères”. With respect to training data outside France, the aggregate data excludes Petit Bateau Tenmar Morocco and Petit Bateau Russia. 3 Greenhouse Gas Protocol, an international standard for the calculation of carbon. French Agency for the Environment and Energy Management (ADEME). 5 Renewable energy monitor. 4 CSR REPORT 2015 65 Data The quantitative data are collected through an online sharing tool. Every month one or more contributors per subsidiary input the data. These contributors are primarily the Human Resources managers of their respective subsidiaries. The quantitative data is then consolidated annually by the Sustainable Development Department, on behalf of the Human Resources Department, which checks the consistency and accuracy with the contributors. The data on the workforce and mobility are averages over the year 2015. The qualitative information is provided by the Human Resources Department of LBV Yves Rocher. Definitions of indicators Rate of absenteeism: Number of absentee days (staff on permanent employment contracts)/ theoretical number of days worked (staff on permanent employment contracts) not reduced to FTE. Days absent includes absences for work accidents with time off, travel accidents with time off, and illness with time off. Level of severity: Number of days absent for work accidents with time off (permanent employees) x 1,000 / number of theoretical hours worked (permanent employees). Level of frequency: Number of work accidents with time off (permanent employees) x 1,000,000 / number of theoretical hours worked (permanent employees). 2015 Geographic Breakdown France European Union excluding France Austria, Belgium, United Kingdom, Ireland, Luxembourg, Netherlands, Finland, Hungary, Romania, Slovakia, Poland, Sweden, Czech Republic, Spain, Italy, Portugal Asia and Europe outside EU China, Thailand, Ukraine, Russia, Japan, Switzerland, Kazakhstan Americas Canada, Venezuela, Mexico Africa and Middle East Morocco, Turkey SOCIETAL The information presented in the Fair trade practices section is provided directly by the Purchasing, Risk Management, Human Resources and Asia Operations (DOPA) Departments, and then integrated into the report by the Sustainable Development Department CSR REPORT 2015 66 Correlation Table Art 225 Grenelle 2 Report page Social Information Employment Organisation of work Labour-management relations Total workforce 24 Breakdown of employees by gender, age and geographical area 24 Hires and Dismissals 24 Remuneration and changes in remuneration 25 Organisation of work times 26 Absenteeism 27 Organisation of the social dialogue, including employee information and consultation procedures and negotiations Summary of collective agreements 27; 28 Occupational health and safety conditions Summary Health and Safety Training Equal treatment of agreements with 27 the 28 trade unions or employee representatives on health and safety at work 30 Frequency and severity of workplace accidents 28 Professional diseases 28 Training policies implemented 31 Total hours of training 31 Measures taken to promote gender equality 32 Measures taken to promote the employment and integration of people with a disability 33 Anti-discrimination policies 34 Promotion and Respect for freedom of association and the right to collective bargaining 42 enforcement of ILO Elimination of discrimination in employment and occupation 42 Core Conventions Elimination of forced or compulsory labour 42 provisions Effective abolition of child labour 42 CSR REPORT 2015 67 Environmental information Organisation of company to consider environmental issues and, if applicable, environmental assessment approaches or environmental 8; 9 certification General environmental policy Training and information actions of employees carried out in the area of environmental protection Resources allocated to the prevention of environmental risks and pollution Amount of provisions and guarantees for environment-related risks (except risk of harm) Measures to prevent, reduce or repair emissions to air, water and Pollution and waste management soil that seriously affect the environment Measures to prevent, recycle and eliminate waste Consideration of noise pollution and other forms of activity-specific pollution Water consumption and water supply based on local constraints Consumption of raw materials and measures implemented to Sustainable use of improve efficiency of use resources Energy consumption, measures implemented to improve energy efficiency and use of renewable energy Climate change Protection of Biodiversity CSR REPORT 2015 14 8 21 18 19 20 11 12 15; 16 Land use 18 GHG emissions 17 Adaptation to climate change consequences 14 Measures implemented to preserve or develop biodiversity 9; 10 68 Information on social commitments supporting sustainable development Territorial, economic and social impact of the company’s operations In terms of employment and regional development 35 On neighbouring or local populations 35 Relationships with people or organisations interested in the company’s operations (...) Conditions for dialogue with these organisations or people 8 Subcontracting and suppliers Partnership and sponsorship actions 46 Factored into the purchasing policy of social and environmental issues 35; 36 Importance of subcontracting and factored into relations with suppliers and subcontractors for their social and environmental responsibility 38 Actions undertaken to prevent corruption 39 Fair trade practices Measures taken in favour of consumer health and safety Other actions taken in support of human rights CSR REPORT 2015 39; 40 41 69