Overview
We are committed to an ESG agenda which aims to exceed our stakeholders' expectations. Building on our strategy announced last year, we are now starting to make meaningful progress. The COVID-19 pandemic and broader social factors have accelerated expectations for progress, including more robust regulatory requirements, a fairer society, and a greater urgency to tackle climate change. We will continue to review and refresh our ESG strategy in line with this fast-changing environment and ensure we have a sustainable business that delivers for all stakeholders.
In our FY20 Annual Report, we set out our ESG strategy and demonstrated its alignment to the Group's purpose: 'To Inspire and Support a Lifetime of motoring and cycling'. In a fast-moving landscape, we have since refreshed our strategy, including a clear prioritisation on the topics most important to us and our broad stakeholder base, and a clear roadmap for building the capabilities and governance processes to drive further progress against the strategy.
Key:
- Inspire
- Support
- Lifetime
Our Priorities
Electrification
"The leading name in electric services giving everybody the confidence to switch and continually enjoy the benefits of electric mobility."
Description
- Lead the market in Electric Servicing as the UK shifts towards more sustainable mobility options, specifically Electric Vehicles ("EVs"), E-Bikes and E-Scooters.
- Investing in education and community engagement programmes to help and support consumers to make climate-smart choices.
- Providing industry-leading training to our colleagues to better support customers as they make the switch to electric.
- Broadening our ranges of electric services and solutions e.g. E-bikes/E-scooters making the transition to electric travel easier.
- Lobbying campaigns designed to accelerate the transition to electric vehicles.
Priorities for the next 12 months:
- Further develop the means we communicate with our customers to better engage with, support and educate them on the benefits of electric mobility.
- Broaden the range of electric products and services we offer.
- Accelerate investment in colleague training for electric servicing.
- Continue lobbying campaigns for the legalisation of private E-scooters in public areas.
Net Zero Commitment
"Achieve Net Zero value chain emissions by 2050 and interim reductions aligned to science-based principles."
Description
- Commit to a 1.5ºC science-based target across our own operations by 2030, reducing our emissions by at least 42% in this time period (vs. FY20 baseline).
- Engage with 67% of our suppliers by emissions, covering purchased goods and services and capital goods, with the objective of them having science-based targets by the start of 2026.
- Our ultimate aim is to achieve net zero emissions across our value chain by 2050. We recognise we cannot do this alone, so will collaborate and partner with our suppliers, vendors and customers to work towards a net zero future.
Priorities for the next 12 months:
- Make the switch to 100% renewable energy suppliers.
- Complete roll out of LED lighting and Building Management Systems across our estate, looking to identify and act upon new energy efficiency measures.
- Engage with suppliers to gather more data on their emissions, educate them on the importance of reducing emissions and support them in setting their own science-based targets.
- Develop a set of sustainable procurement criteria for all tenders and decisions.
- Preparation for reporting against the TCFD framework.
Diversity & Inclusion
"Make Halfords a truly inclusive place to work and representative of the customers and communities we serve."
Description
- Create an inclusive workplace in which all colleagues are able to be themselves at work, feel valued for their contribution and are supported to perform their best.
- Provide equal opportunities for all colleagues.
- Remove the gender/ethnic/diversity pay gap.
- Create accessible opportunities and training to improve female representation across our Group, particularly in our garages.
Priorities for the next 12 months:
- Further reduce our gender pay gap.
- Collect baseline data on a number of categories, including gender, age and ethnicity.
- Proactive engagement with colleagues to increase knowledge of D&I in the workplace, such as webinars, events and videos from business leaders.
- Launch Business Resource Groups ("BRGs") to provide peer-to-peer support for LGBTQ+, disability, race and ethnicity and women.
- Establish a D&I awareness and compliance programme for all colleagues across the Group.
Product, Packaging & Waste Management
"Minimise our environmental impact and increase our transparency whilst continuing to pursue sustainability opportunities within our product portfolio."
Description
- Increase repair services across products and mitigate environmental impact of returns.
- Increase the recyclability of retail packaging and reduce transit packaging.
- Extend waste management to accommodate new streams including rubber-based products and flexible plastics.
Priorities for the next 12 months:
- Reduce commercial and industrial packaging with increased transparency.
- Increase known recyclability of retail packaging, including the introduction of on-pack recycling labelling to drive customer awareness of recycling options.
- Establish the UK's industry-leading tyre, tubes and car mat recycling processes.
- Extend repair capabilities of faulty returns to E-bikes and E-scooters.
- Develop a UK-wide capacity to safely manage end-of-life E-mobility batteries to combat the growing waste stream.
- Trial reselling of reconditioned products for discounted prices, specifically piloting selling second-hand bikes to explore the opportunity within this market.