Absolute scope 1 and 2 greenhouse gas (GHG) emissions decreased by 10.9% in 2022 compared to the base year of 2018, according to Canada’s Gildan Activewear Inc. Water intensity decreased by 18.4% over the same period. According to a recent report, the corporation incorporated sustainability-related terms into its current $1 billion revolving credit facility.
In terms of its environmental, social, and governance (ESG) initiatives, Gildan made substantial progress in 2022. According to the company’s 19th ESG report, 25% of all senior executives at Gildan had strategic goals that were linked to their yearly short-term incentive plans, supporting the achievement of ESG targets.
The success of Gildan in 2022 in comparison to key targets was noted in the report, as well as the significant momentum created across all of its international businesses in the first year that its Next Generation ESG strategy was operational. In addition, 14.2% of all SKUs of packaging and trim materials specifically for clothes now incorporate recycled materials or have pertinent sustainability certifications.
The company obtained 21.7% of its cotton supply from certified US-grown cotton providers (USCTP) and Better Cotton. In the collective group of employees who are directors and above, the corporation achieved gender parity of 30.3%, up from 26.7% in 2021. Gildan also released its first standalone Climate Change Disclosure Report and donated $1.1 million to local projects.
Recent 2023 accomplishments include the validation of Gildan’s 2030 near-term targets to cut scope 1 and 2 GHG emissions by 30% by 2030 from a 2018 base year by the Science Based Target program (SBTi). Gildan’s goal to cut scope 3 emissions by 13.5% by 2030 from the base year of 2019 was also confirmed by SBTi. Additionally, one of Gildan’s sewing factories in the Dominican Republic received the first ISO 45001 certification.
Recognitions for Gildan emphasize the company’s dedication to ESG principles. The company was ranked in CDP’s Leadership Band in 2022 and was included in the Dow Jones Sustainability Index for the tenth year in a row. Gildan was also listed in Canada’s Best 50 Corporate Citizens and one of the “World’s 100 Most Sustainable Corporations” by Corporate Knights. Additionally, Institutional Shareholder Services (ISS) ESG Corporate Rating has given the business a “Prime” classification, making it a 2023 “Top-Rated ESG Company” according to Sustainalytics’ ESG Risk Ratings.
Glenn J. Chamandy, president and CEO of Gildan, said, “Looking back at 2022, I am pleased with our continued commitment to ESG across our operations, as well as our enhanced processes, cross-functional collaboration, and accountability.” ESG is one of the three main pillars of Gildan’s Sustainable Growth (GSG) business strategy. As we work to meet our 2030 ESG targets, we are dedicated to delivering on our promises and reporting on our progress.
