08/08
About This Report
The goal of our 2020 Sustainability Report is to provide a transparent account of our sustainability management approach and performance. This report has been prepared in accordance with GRI Standards: Core option. This year’s report also includes disclosures from the Meat, Poultry and Dairy sector as outlined by the Sustainability Accounting Standards Board (SASB).
In 2015, in partnership with our parent company JBS USA, Pilgrim’s conducted a corporate materiality assessment, and this report is based on the most relevant sustainability issues that were identified in that analysis. The five areas we prioritized from that assessment are: Animal Welfare, Energy and Climate Change, Product Integrity, Team Member Health and Safety and Water. This report also focuses on additional key topics, including emissions, recycling, waste, human resources, the communities in which we operate and our relationships with our suppliers.
This is our sixth Pilgrim’s Sustainability Report and is inclusive of all of our facilities in France, England, Mexico, the Netherlands, Northern Ireland, Puerto Rico and the United States. The report describes our activities and performance from our own operations and information on our supply chain whenever possible for the calendar year 2020. All subsidiaries and wholly-owned companies are included in the reporting scope.
This report is published online at sustainability2020.pilgrims.com. We welcome your comments and feedback on this report at sustainability@pilgrims.com.
Global Reporting Initiative (GRI) Index
General Disclosures |
||
| Disclosures | References and Responses | |
| GRI 101: Foundation 2016 | ||
| GRI 102: General Disclosures 2016 | ||
| Organizational Profile | ||
| GRI 102-1 | Name of the organization | Who We Are > About Our Company |
| GRI 102-2 | Activities, brands, products, and services | Who We Are > About Our Company > Our Businesses |
| GRI 102-3 | Location of headquarters | Who We Are > About Our Company |
| GRI 102-4 | Location of operations | Who We Are > About Our Company |
| GRI 102-5 | Ownership and legal form | Who We Are > About Our Company |
| GRI 102-6 | Markets served | Who We Are > About Our Company |
| GRI 102-7 | Scale of the organization | Who We Are > About Our Company |
| GRI 102-8 | Information on employees and other workers | Team Members
Direct Response: In the U.S., compiled safety data includes company employees and any employees provided by temporary staffing agencies. 97% of JBS USA employees are full-time. 99.5% of Pilgrim’s US employees are full-time. In Australia, compiled safety data includes all people working on-site. 87% of JBS Australia employees are full-time. In Europe, compiled safety data includes all company employees and third-party agency staff. 80% of Pilgrim’s Europe employees are full-time. 100% of Pilgrim’s Mexico and JBS Canada employees are full-time. Omission |
| GRI 102-9 | Supply chain | Suppliers |
| GRI 102-10 | Significant changes to the organization and its supply chain | Direct Response: There have not been any significant changes. |
| GRI 102-11 | Precautionary principle or approach | Direct Response: Our risk-management approach is inclusive of the material issues identified by our stakeholders, compliance audits and our high-priority areas identified by our executive team. |
| GRI 102-12 | External initiatives | |
| GRI 102-13 | Membership of associations | Who We Are > Collaboration for a Better Future |
| Strategy | ||
| GRI 102-14 | Statement from senior decision-maker | |
| GRI 102-15 | Key impacts, risks, and opportunities | |
| Ethics & Integrity | ||
| GRI 102-16 | Values, principles, standards, and norms of behavior | Who We Are > Our Culture |
| GRI 102-17 | Mechanisms for advice and concerns about ethics | |
| Governance | ||
| GRI 102-18 | Governance structure | |
| GRI 102-20 | Executive-level responsibility for economic, environmental, and social topics | Who We Are > Our Management Approach |
| GRI 102-21 | Consulting stakeholders on economic, environmental, and social topics | |
| GRI 102-22 | Composition of the highest governance body and its committees |
Direct Response: The Pilgrim’s Board of Directors is made up of seven males and two females who have unique executive and non-executive experience. |
| GRI 102-23 | Chair of the highest governance body | Direct Response: Gilberto Tomazoni is Chairman of the Pilgrim’s Board of Directors. |
| GRI 102-25 | Conflicts of interest | Who We Are > Leadership and Governance > Corporate Governance and Compliance
Direct Response: Each Team Member, including members of the Board of Directors, must disclose any and all potential conflicts of interest he or she may encounter. No Team Member should serve as a director of a for-profit corporation without disclosing the position to an ethics officer and obtaining approval to serve. Pilgrim’s encourages Team Members to serve on the boards of not-for-profit organizations if such service does not conflict with their commitment to the Company. For more information, visit the Pilgrim’s Code of Conduct. |
| GRI 102-26 | Role of highest governance body in setting purpose, values, and strategy | Direct Response: The Pilgrim’s CEO takes a direct role in the development, approval and updating of the organizations’ purpose, value or mission statements, strategies, policies, and goals related to economic, environmental, and social topics. The Pilgrim’s Board of Directors discusses management policies and procedures in addressing these topics. |
| GRI 102-27 | Collective knowledge of highest governance body | |
| GRI 102-31 | Review of economic, environmental, and social topics | |
| GRI 102-32 | Highest governance body’s role in sustainability reporting | Direct Response: The Pilgrim’s Board of Directors reviews and approves the sustainability report to ensure all material topics are covered. |
| GRI 102-33 | Communicating critical concerns | Who We Are > Our Approach |
| Stakeholder Engagement | ||
| GRI 102-40 | List of stakeholder groups | |
| GRI 102-41 | Collective bargaining agreements | Team Members > Our Management Approach |
| GRI 102-42 | Identifying and selecting stakeholders | Who We Are > Our Approach |
| GRI 102-43 | Approach to stakeholder engagement | |
| GRI 102-44 | Key topics and concerns raised | |
| Reporting Practice | ||
| GRI 102-45 | Entities included in the consolidated financial statements | Who We Are > About Our Company > Our Businesses > Financials About This Report |
| GRI 102-46 | Defining report content and topic boundaries | |
| GRI 102-47 | List of material topics | |
| GRI 102-48 | Restatements of information | Direct Response: There are no significant restatements. In some cases, data collection was improved and/or calculation errors were corrected for previous years. |
| GRI 102-49 | Changes in reporting | Direct Response: There are no significant changes in the reporting scope. |
| GRI 102-50 | Reporting period | About This Report |
| GRI 102-51 | Date of most recent report | Direct Response: The 2020 Pilgrim’s Sustainability Report was published in June 2021. |
| GRI 102-52 | Reporting cycle | Direct Response: Pilgrim’s reports annually on its sustainability performance. |
| GRI 102-53 | Contact point for questions regarding the report | About This Report |
| GRI 102-54 | Claims of reporting in accordance with the GRI Standards | About This Report |
| GRI 102-55 | GRI content index | About This Report |
| GRI 102-56 | External assurance | Direct Response: We do not seek external assurance for this report. |
| Material Topics | ||
| Economic | References and Responses | |
| Economic Performance | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 201: Economic Performance 2016 | ||
| GRI 201-1 | Direct economic value generated and distributed | |
| GRI 201-3 | Defined benefit plan obligations and other retirement plans | 10-K Report for FY 2020 |
| GRI 201-4 | Financial assistance received from government | 10-K Report for FY 2020 |
| Procurement Practices | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Suppliers |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 204: Procurement Practices 2016 | ||
| GRI 204-1 | Proportion of spending on local suppliers | Suppliers > Our Supplier Standards |
| Anti-Corruption | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 205: Anti-Corruption 2016 | ||
| GRI 205-2 | Communication and training about anti-corruption policies and procedures | |
| Environmental | References and Responses | |
| Energy | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Environment > Energy and Emissions |
| GRI 103-2 | The management approach and its components | Environment > Energy and Emissions > Our Management Approach |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 302: Energy 2016 | ||
| GRI 302-1 | Energy consumption within the organization | Environment > Energy and Emissions |
| GRI 302-3 | Energy intensity | Environment > Energy and Emissions > 2020 Progress |
| GRI 302-4 | Reduction of energy consumption | Environment > Energy and Emissions > 2020 Progress |
| GRI 302-5 | Reductions in energy requirements of products and services | Environment > Energy and Emissions > 2020 Progress |
| Water and Effluents | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Environment > Water |
| GRI 103-2 | The management approach and its components | Environment > Water |
| GRI 103-3 | Evaluation of the management approach | Environment > Water |
| GRI 303: Water and Effluents 2018 | ||
| GRI 303-1 | Interactions with water as a shared resource | Environment > Water |
| GRI 303-2 | Management of water discharge-related impacts | Environment > Water |
| GRI 303-3 | Water withdrawal | Environment > Water |
| Emissions | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Environment > Energy and Emissions |
| GRI 103-2 | The management approach and its components | Environment > Energy and Emissions |
| GRI 103-3 | Evaluation of the management approach | Environment > Energy and Emissions |
| GRI 305: Emissions 2016 | ||
| GRI 305-1 | Direct (Scope 1) GHG emissions | Environment > Energy and Emissions > 2020 Progress |
| GRI 305-2 | Energy indirect (Scope 2) GHG emissions | Environment > Energy and Emissions > 2020 Progress |
| GRI 305-4 | GHG emissions intensity | Environment > Energy and Emissions > 2020 Progress |
| Effluents And Waste | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Environment > Waste Reduction and Recycling |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 306: Effluents and Waste 2016 | ||
| GRI 306-2 | Waste by type and disposal method | Environment > Waste Reduction and Recycling > 2020 Progress |
| Supplier Environmental Compliance | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Suppliers |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | Suppliers |
| GRI 308: Supplier Environmental Assessment 2016 | ||
| GRI 308-1 | New suppliers that were screened using environmental criteria | Suppliers
Direct Response: All new and existing Pilgrim’s Suppliers are held to the Supplier Code of Conduct, which covers a number criteria including environmental issues. |
| Social | References and Responses | |
| Employment | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Team Members |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | Team Members > Building a Diverse and Dedicated Workforce |
| GRI 401: Employment 2016 | ||
| GRI 401-1 | New employee hires and employee turnover | Omission Parts of Disclosure Omitted: New employee hires and employee turnover by category. Reason for Omission: Confidentiality constraints Explanation for Omission: Reasons for limiting disclosure include, but are not limited to, competitive advantage for the company. |
| GRI 401-2 | Benefits provided to full-time employees that are not provided to temporary or part-time employees | |
| Occupational Health and Safety | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 403: Occupational Health and Safety 2018 | ||
| GRI 403-1 | Occupational health and safety management system | Teams Members > Team Member Health and Safety |
| GRI 403-2 | Hazard identification, risk assessment, and incident investigation | Teams Members > Team Member Health and Safety |
| GRI 403-3 | Occupational health services | Teams Members > Team Member Health and Safety |
| GRI 403-4 | Worker participation, consultation, and communication on occupational health and safety | Teams Members > Team Member Health and Safety |
| GRI 403-5 | Worker training on occupational health and safety | Teams Members > Team Member Health and Safety |
| GRI 403-6 | Promotion of worker health | |
| GRI 403-7 | Prevention and mitigation of occupational health and safety impacts directly linked by business relationships | Teams Members > Team Member Health and Safety |
| GRI 403-9 | Work-related injuries | Teams Members > Team Member Health and Safety |
| Diversity and Equal Opportunity | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Team Members > Building a Diverse and Dedicated Workforce |
| GRI 103-2 | The management approach and its components | Team Members > Building a Diverse and Dedicated Workforce |
| GRI 103-3 | Evaluation of the management approach | Team Members > Building a Diverse and Dedicated Workforce |
| GRI 405: Diversity and Equal Opportunity 2016 | ||
| GRI 405-1 | Diversity of governance bodies and employees | |
| Non-Discrimination | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Team Members > Building a Diverse and Dedicated Workforce |
| GRI 103-2 | The management approach and its components | Team Members > Building a Diverse and Dedicated Workforce |
| GRI 103-3 | Evaluation of the management approach | Team Members > Building a Diverse and Dedicated Workforce |
| GRI 406: Non-Discrimination 2016 | ||
| GRI 406-1 | Incidents of discrimination and corrective actions taken | • Team Members > Our Code of Conduct and Ethics • Team Members > Our Open Door Policy and Ethics Line • Team Members > Building a Diverse and Dedicated Workforce Omission Part of Disclosure Omitted: Total number of incidents of discrimination during the reporting period. Reason for Omission: Confidentiality constraints Explanation for Omission: In 2020, 1,485 Ethics Line reports were filed, investigated and closed, with appropriate personnel or other administrative action taken when warranted. In order to protect the confidentially of those who filed reports, the Company will not disclose the number of alleged incidents in any category. |
| Freedom of Association and Collective Bargaining | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 407: Freedom of Association and Collective Bargaining 2016 | ||
| GRI 407-1 | Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk | |
| Child Labor | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Team Members > Our Management Approach |
| GRI 103-2 | The management approach and its components | Team Members > Our Management Approach |
| GRI 103-3 | Evaluation of the management approach | Team Members > Our Management Approach |
| GRI 408: Child Labor 2016 | ||
| GRI 408-1 | Operations and suppliers at significant risk for incidents of child labor | |
| Forced or Compulsory Labor | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Team Members > Our Management Approach |
| GRI 103-2 | The management approach and its components | Team Members > Our Management Approach |
| GRI 103-3 | Evaluation of the management approach | Team Members > Our Management Approach |
| GRI 409: Forced or Compulsory Labor 2016 | ||
| GRI 409-1 | Operations and suppliers at significant risk for incidents of forced or compulsory labor | |
| Human Rights Assessment | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 412: Human Rights Assessment 2016 | ||
| GRI 412-3 | Significant investment agreements and contracts that include human rights clauses or that underwent human rights screening | Suppliers |
| Supplier Social Assessment | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Suppliers |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | Suppliers |
| GRI 414: Supplier Social Assessment | ||
| GRI 414-1 | New suppliers that were screened using social criteria | Suppliers
Direct Response: All new and existing Pilgrim’s Suppliers are held to the Supplier Code of Conduct, which covers a number criteria including social issues. |
| Animal Welfare | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Animal Care |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI G4: Animal Welfare | ||
| G4-FP9 | Percentage and total of animals raised and/or processed, by species and breed type | |
| G4-FP10 | Policies and practices, by species and breed type, relate to physical alterations and the use of anesthetics | Animal Care > Health and Nutrition > Veterinary Care |
| G4-FP11 | Percentage and total number of animals raised and/or processed by species and breed type, per housing type | |
| G4-FP12 | Policies and practices on antibiotic, anti-inflammatory, hormone and/or growth promotion treatments, by species and breed type | |
| Customer Health and Safety | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | Customers and Consumers |
| GRI 103-2 | The management approach and its components | Customers and Consumers > Food Safety and Quality > Our Management Approach
Direct Response: In cases where product is stored for sale at a later date, it is held in approved on- or off-site cold storage facilities in accordance with our food safety and quality programs and labeled ready for sale. Our goal is to dispose of as little product as possible. As appropriate, we will investigate options for food donations or reuse in pet food production streams before we implement disposal of product. Of course, in the rare occurrence there is a food safety concern with the product, disposal will occur to ensure consumer safety. |
| GRI 103-3 | Evaluation of the management approach | Customers and Consumers |
| GRI 416: Customer Health and Safety 2016 | ||
| GRI 416-1 | Percentage of significant product and service categories for which health and safety impacts are assessed for improvement | |
| Marketing and Labeling | ||
| GRI 103: Management Approach 2016 | ||
| GRI 103-1 | Explanation of the material topic and its Boundary | |
| GRI 103-2 | The management approach and its components | |
| GRI 103-3 | Evaluation of the management approach | |
| GRI 417: Marketing and Labeling 2016 | ||
| GRI 417-1 | Requirements for product and service information and labeling |
Direct Response: In cases where product is stored for sale at a later date, it is held in approved on- or off-site cold storage facilities in accordance with our food safety and quality programs and labeled ready for sale. |
Sustainability Accounting Standards Board (SASB) Index
Table 1. Sustainability Disclosure Topics & Accounting Metrics |
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Topic |
Accounting Metric |
Category |
Unit of Measure |
Code |
Response |
| Greenhouse Gas Emissions | Gross global Scope 1 emissions | Quantitative | Metric tons (t) CO₂-e |
FB-MP-110a.1 | Environment > Energy and Emissions |
| Discussion of long-term and short-term strategy or plan to manage Scope 1 emissions, emissions reduction targets, and an analysis of performance against those targets | Discussion and Analysis | n/a | FB-MP-110a.2 | Environment > Energy and Emissions | |
| Energy Management | (1) Total energy consumed, (2) percentage grid electricity, (3) percentage renewable | Quantitative | Gigajoules (GJ), Percentage (%) |
FB-MP-130a.1 |
|
| Water Management | (1) Total water withdrawn, (2) total water consumed, percentage of each in regions with High or Extremely High Baseline Water Stress | Quantitative | Thousand cubic meters (m³), Percentage (%) |
FB-MP-140a.1 | Environment > Water |
| Description of water management risks and discussion of strategies and practices to mitigate those risks | Discussion and Analysis | n/a | FB-MP-140a.2 | Environment > Water | |
| Number of incidents of non-compliance with water quality permits, standards, and regulations | Quantitative | Number | FB-MP-140a.3 | Facilities are required to operate in accordance with all regionally-applicable water quality permits, standards, and regulations. Incidents of non-compliance, which occur across the industry, range in seriousness and are addressed swiftly. | |
| Land Use & Ecology Impacts | Amount of animal litter and manure generated, percentage managed according to a nutrient management plan |
Quantitative | Metric tons (t), Percentage (%) |
FB-MP-160a.1 |
|
| Percentage of pasture and grazing land managed to Natural Resources Conservation Service (NRCS) conservation plan criteria | Quantitative | Metric tons (t), Percentage (%) |
FB-MP-160a.2 |
|
|
| Animal protein production from concentrated animal feeding operations (CAFOs) | Quantitative | Metric tons (t), Percentage (%) |
FB-MP-160a.3 |
|
|
| Food Safety | Global Food Safety Initiative (GFSI) audit (1) non-conformance rate and (2) associated corrective action rate for (a) major and (b) minor non-conformances | Quantitative | Rate | FB-MP-250a.1 | Customers and Consumers > Food Safety and Quality |
| Percentage of supplier facilities certified to a Global Food Safety Initiative (GFSI) food safety certification program | Quantitative | Percentage (%) | FB-MP-250a.2 | Information on supplier engagement criteria and operations is available in the Suppliers section of this report. | |
| (1) Number of recalls issued and (2) total weight of products recalled | Quantitative | Number, Metric tons (t) |
FB-MP-250a.3 | Customers and Consumers > Food Safety and Quality | |
| Discussion of markets that ban imports of the entity’s products | Discussion and Analysis | n/a | FB-MP-250a.4 | Pilgrim’s complies fully with any restrictions, bans or suspended imports of its products. The Company does not currently have any products that fall into the category due to SPS measures. | |
| Antibiotic Use in Animal Production | Percentage of animal production that received (1) medically important antibiotics and (2) not medically important antibiotics, by animal type | Quantitative | Percentage (%) by weight |
FB-MP-260a.1 |
|
| Workforce Health & Safety | (1) Total recordable incident rate (TRIR) and (2) fatality rate |
Quantitative | Rate | FB-MP-320a.1 |
|
| Description of efforts to assess, monitor, and mitigate acute and chronic respiratory health conditions | Discussion and Analysis | n/a | FB-MP-320a.2 | ||
| Animal Care & Welfare | Percentage of pork produced without the use of gestation crates |
Quantitative | Percentage (%) by weight |
FB-MP-410a.1 |
|
| Percentage of cage-free shell egg sales | Quantitative | Percentage (%) | FB-MP-410a.2 | We do not sell eggs. | |
| Percentage of production certified to a third-party animal welfare standard | Quantitative | Percentage (%) by weight |
FB-MP-410a.3 | ||
| Environmental & Social Impacts of Animal Supply Chain | Percentage of livestock from suppliers implementing the Natural Resources Conservation Service (NRCS) conservation plan criteria or the equivalent | Quantitative | Percentage (%) by weight |
FB-MP-430a.1 |
|
| Percentage of supplier and contract production facilities verified to meet animal welfare standards | Quantitative | Percentage (%) | FB-MP-430a.2 | ||
| Animal & Feed Sourcing | Percentage of animal feed sourced from regions with High or Extremely High Baseline Water Stress | Quantitative | Percentage (%) by weight |
FB-MP-440a.1 | Animal Care > Health and Nutrition > Nutrition |
| Percentage of contracts with producers located in regions with High or Extremely High Baseline Water Stress | Quantitative | Percentage (%) by contract value |
FB-MP-440a.2 | Environment > Water | |
| Discussion of strategy to manage opportunities and risks to feed sourcing and livestock supply presented by climate change | Discussion and Analysis | n/a | FB-MP-440a.3 | ||
Table 2. Activity Metrics |
||||
Accounting Metric |
Category |
Unit of Measure |
Code |
Response |
| Number of processing and manufacturing facilities | Quantitative | Number | FB-MP-000.A | Who We Are > Facilities and Locations |
| Animal protein production, by category; percentage outsourced | Quantitative | Various, Percentages (%) | FB-MP-000.B | |
