People, communities & human rights

As a responsible company, we are committed to make a real positive difference for people and communities wherever we operate. While we are a global business, we operate very locally in each of our 75 markets. Thus, employing local people, compliance and respecting human rights, implementing sustainable procurement and establishing good and open relationships with our communities are at the core of our business.

 

Communities

We are proud to support the communities where we live and work. We regularly publish community initiatives on the sustainability case studies page.

Community investments: Over the last five years we have invested CHF 240 million in community projects. Since 2015, more than 28 million people have benefitted from our community programs worldwide. In 2019, LafargeHolcim countries spent CHF 42.1 million on social investments, inclusive business programs, and donations. Around 10,000 employees throughout the Group spent over 63,000 hours on volunteering programs in their local communities.

Inclusive business & affordable housing: To scale up our impact on affordable housing across developing countries, LafargeHolcim and CDC, the UK’s Development Finance Institution, established a joint-venture company, 14 Trees, which focuses on production and promotion of DURABRIC.

Education: Empowering people by providing access to education has been part of our contribution to community development for many years. In 2019, we provided access to education for more than 15,000 people at the 22 schools that we manage.

Health: We have a long tradition of working closely with our communities and promoting their health and well-being. In 2019, we offered health services to 250’000 of our employee’s dependents and other community members in 66 health clinics we owned and managed in 18 countries. During the Covid-19 crisis, we continue to support health efforts in the communities in which we operate. Our support to date includes, for example: Over 5,000 tons of building materials donated to build emergency field hospitals with 8,000 beds; Over 1,000,000 masks and gloves donated; Over 650,000 food packages distributed for communities, and 8,000 company employees volunteering to raise funds for vulnerable families.

Responsible employment

Our employees are at the center of everything we do.

Human Resources: The Group Human Resources policy provides global principles for the execution of HR processes.

Diversity: LafargeHolcim is committed to a diverse and inclusive workplace. LafargeHolcim is an equal opportunity employer, actively promotes diversity and makes no distinctions on the grounds of gender, sexual orientation, race or religion. Visit our Career’s page.

Engaging with unions: Our position is of full compliance and social dialogue with unions. Because our business is fundamentally local, we primarily work with labor organizations at a local or regional level, focusing on local issues. We are also in close relation with global industry unions, addressing topics such as H&S and the evolution of the Group.

Health & Safety: Health and Safety is a core value of LafargeHolcim. During the past 3 years, we have more than halved the number of fatalities throughout our operations and road with our program called Ambition “0”. When an incident does occur, it is thoroughly investigated and reviewed at EXCO level, and learnings are shared throughout the Group. The full Health and Safety Management System Standard can be accessed below. In the face of the coronavirus pandemic we have continued to act quickly and with solidarity to protect employees, contractors and all our stakeholders (Covid-19).

Compliance

As a global leader in our industry, LafargeHolcim adheres to the highest of standards when it comes to how we manage and operate our day to day business everywhere around the world. We see it as our ethical duty.

Code of Business Conduct: The Code of Business Conduct ensures that all directors, officers and employees share LafargeHolcim's commitment to conducting business with integrity, and provides guidance on how to put this commitment into practice.

Minimum Control Standards: We manage a set of Minimum Control Standards that every country and business in our organization must follow – with clear guidance and consequence management. These encompass 62 mandatory controls from Governance and Compliance, Fixed Assets, Revenue, HR, Inventory, Expenditure, IT, Accounting and Consolidation, Tax and Treasury to Sustainability.

Integrity Line: A reporting mechanism, called Integrity Line is open and available in 36 different languages for our employees, communities and other stakeholders to raise any concerns. In addition to reporting by phone or through the web portal, we enter all issues raised by other internal and external sources into the same process. This global system aims to facilitate, and respond effectively to reports of misconduct. Every report is reviewed by the Ethics, Integrity & Risk Committee, and followed up with an investigation if appropriate and remedy if the report is substantiated.

We have published our Compliance policy, our approach to tax, our Anti-bribery and Corruption policy, and the FAQ on compliance on our website.

Promoting human rights

Our approach to human rights due diligence is fully aligned with the UN Guiding Principles on Business and Human Rights. It includes a firm commitment, due diligence, remediation and strong engagement of stakeholders at local, national and global levels.

Our commitment: As a signatory of the UN Global Compact since 2003, we have a firm commitment to respecting human rights. In February 2020, CEO Jan Jenisch signed the Call to Action for Business Leadership on Human Rights by the World Business Council for Sustainable Development (WBCSD), joining forty other leaders in sending a clear message on the need to elevate companies’ ambitions concerning human rights.

Human rights due diligence: Our approach to identify risks and opportunities, act upon the findings and monitor and communicate on our advancements are further outlined in our Human Rights due diligence methodology.

Remediation: Reports can be made through the Integrity Line (see compliance) or through systems such as the OECD National Contact Point (NCP) in Switzerland. We collaborate with internal and external stakeholders to investigate these reports. In cases where misconduct is substantiated, we seek a fair and just remedy, and we ensure appropriate and proportionate steps are taken to prevent recurrence.

Stakeholder engagement: Our human rights approach is supported by a proactive stakeholder engagement that focuses on awareness, dialogue and collaboration and is designed to create shared value. This is further outlined in the Stakeholder Engagement directive.

Responsible sourcing

We have predominantly local supply chains. 93% of our suppliers are from the local and national market. While we bring great value to communities, our global footprint poses challenges, particularly in countries where business practices are not well regulated. We therefore identify suppliers with high environmental, social and governance (ESG) impact and ensure they are qualified to work with us.

Supplier Code of Business Conduct: All LafargeHolcim Suppliers are required to adhere and demonstrate compliance to ESG standards, as described in the Supplier Code of Business Conduct and to promote the application of the same principles in their supply chain.

Sustainable procurement: 'The Procurement - principles and processes' document outlines how we foster and track sustainability in procurement and contractors management.

Security service providers: We are committed to the protection of our people, assets, information and reputation. In order to do so, we engage security services on an “as needed” basis, following a strict risk-based methodology and stringent rules of professionalism and integrity. We strive to be aligned with the International Code of Conduct for Private Security Service Providers and the Voluntary Principles on Security and Human Rights, for which membership is currently under consideration.