2019 Corporate Social Responsibility Report - Purolator
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Contents 2019 CSR Report 1 Delivering the future, 14 Empowering our people 24 Delivering for our planet 31 Helping our neighbours responsibly 15 Enriching Purolator’s 25 Focus on addressing climate 32 Focus on community 2 Highlights from this year employee experience in 2019 change investment 3 Message from the President 17 Focus on occupational 25 What it means to us 32 What it means to us and CEO health and safety 25 Our approach 32 Our approach 4 Who we are 17 What it means to us 27 Key performance highlights 33 Key performance highlights 6 Our strategy 17 Our approach 29 Focus on sustainable 7 About this report 21 Focus on diversity and products and services inclusion 29 What it means to us 21 What it means to us 34 Appendix A: Detailed 29 Our approach performance data table 21 Our approach 30 Key performance highlights 36 Appendix B: GRI content index 23 Key performance highlights 8 Driving purposeful change at Purolator 9 How we work 11 Mapping our material topics against the United Nations Sustainable Development Goals 12 Our commitments Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 3
2019 CSR Report Delivering the future, responsibly Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 11
Highlights from this year 2019 CSR Report Empowering our people Delivering for our planet Helping our neighbours Growing our business Launched innovation pilots Opened four new terminals Heightened health and 100% Canadian organization with E-Bikes, Parcel Lockers, to support capacity growth safety focus with programs in partnering with 55 food banks Self-Serve Kiosks and Sort-to- with the flagship addition in onboarding, defensive driving, across Canada Route concepts North York, Ont. Geotab pilots, and sharing weekly learnings Delivery to virtually every postal code in the country (99.9% of 29% reduction in scope Canadian postal codes) Enhanced network visibility: 2 indirect greenhouse gas Continued our Lean journey emissions since last year 3,000 new scanners with employees achieving 1,000 GPS tracking on trailers 1,233 Yellow Belts, 144 Green Belts and 14 Black Belts 1.65 million lbs of food 700 new vehicles in the fleet 83% of employees agreeing raised through Purolator Tackle Hunger® Creation of 2,500 jobs since that Purolator provides 13% overall decrease in direct 2016 to keep up with our learning and development 18 million meals donated scope 1 emissions since 2015 pace of growth opportunities to local food agencies since 767 fuel efficient fleet 2003 through Purolator Tackle $1 billion Delivering the Enhanced safety onboarding vehicles purchased and driver training programs, Hunger® Future growth and innovation with three new programs plan launched 11.41% increased use of Vendors selected for $330 overall Employee and Family million 430,000 sq ft new Assistance Program (EFAP), 20 refurbished curbside national “Super Hub” in representing progress on 90,000 sq feet LEED certified delivery vehicles donated to Toronto, tripling network access to mental health head office space opened local food banks since 2003 capacity in future years Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 22
Message from the President and CEO 2019 CSR Report As Canada’s largest express courier A few highlights include: Hunger®, bringing our total to company, we have the responsibility 18 million meals donated to local • Launching the company’s historic to lead by delivering shared value food agencies since the $1 billion Delivering the Future to society, the economy and every program began in 2003. growth and innovation plan, stakeholder who relies on our which was designed to future- I would like to thank the many business. We are also accountable for proof our business and customer employees, customers and key addressing the major challenges that experience. It includes significant stakeholders who are driven our industry creates, like reducing investment in job creation, long- to advancing corporate social greenhouse gas (GHG) emissions. term operational scale – like our responsibility at Purolator. We have To achieve this, it starts with new national “Super Hub,” and made marked progress in a short listening and learning. And that’s sustainability advancements such period of time, which is a direct exactly what we've been doing. as our fleet of e-cargo bikes. reflection of Purolator’s pride and purpose culture. We are making Last year was a pivotal one for • Advancing health and safety a difference in virtually every corporate social responsibility across the organization by community in Canada by delivering at Purolator. We completed opening 16 Learning and We are making a the company’s first materiality Development Centres of promises, every day. Our spirit and difference in virtually assessment, engaging our customers Excellence to ensure our couriers enthusiasm help meet our vision of becoming the most sustainable every community in and our employees to identify have the best training available courier company in Canada. Canada by delivering the critical environmental, social and governance issues facing our for on-road safety. John Ferguson, President and CEO promises, every business. This information guides • Developing a five-year Purolator day. Our spirit and our long-term corporate social employment equity plan to strengthen diversity enthusiasm help us responsibility strategy founded on and inclusion. meet our vision of three key pillars: • Establishing specific, aggressive becoming the most • Empowering our people GHG emission reduction targets sustainable courier • Delivering for our planet to curb our fleet emissions. company in Canada. • Helping our neighbours • Raising 1.65 million pounds of food through our signature We're proud of the significant corporate social responsibility progress we made in these areas program, Purolator Tackle throughout the year. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 33
Who we are 2019 CSR Report Purolator Inc. is Canada’s leading integrated freight, parcel and 1 logistics solutions provider. Celebrating Shipment Creation 60 years of delivering its customers’ Customers use a variety of promises, we continue to expand channels to generate their 5 our reach, renowned service levels shipment labels. Hub sorting & Transport Packages from all and reliability to more people, more terminals are sorted businesses and more places across the and consolidated for country and around the world. final destination. 4 We are proud of our Canadian Transportation heritage and are focused on Packages are moved sustainably positioning ourselves for using different modes future growth and innovation to benefit of transportation. customers, employees and society. Fostering a safe work environment, 2 we are committed to the physical Dispatch & Pickup The national dispatch safety of our employees as well as centres work together with 6 strong policies against discrimination, our couriers and linehaul Delivery sexual harassment or other forms of Packages are sorted drivers to pick up packages. and sent out for inappropriate behaviour. delivery to their final In support of our mission to create destination such as a 3 retailerʼs store, an office, a more diverse and inclusive work Terminal Sorting or a customerʼs home. environment, Purolator is focused Sorters consolidate packages on building innovative solutions to ready to be transported to the strengthen diversity, inclusion, and regional hub. cultural proficiencies across our organization. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 44
2019 CSR Report As a part of the transportation We're supporting continuous industry, we recognize the importance improvement culture, making a safer of investing in cycle logistics and working environment and introducing sustainable fleet, in an effort to innovations that are environmentally mitigate the negative impacts of sustainable. freight activities and reduce our carbon emissions. We are equally committed to contributing to the well- being of the communities we serve We are proud and where 12,000 of our people live, work and play, through its Purolator of our Canadian Tackle Hunger® program. heritage and In Canada and globally, e-commerce are focused growth projections are on an upward on sustainably trajectory, which will continue to positioning transform the entire industry. Rapid parcel growth and digitization have ourselves for lowered the barrier to entry for future growth participating in the final mile delivery. and innovation to Nimble, asset-light models are also driving the disaggregation of the benefit customers, traditional supply chain. Customers employees and expect high levels of speed, real- time tracking, pricing transparency society. and customization. The “Amazon Prime effect” is accelerating the change in expectations. To continue to lead the market during this time of unprecedented change, we are focused on strengthening employee health and safety, matching capacity with fluctuating demand, and enhancing the customer access network and customer experience. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 55
Our strategy 2019 CSR Report In 2019, Purolator introduced a 5. Advancing social responsibility understanding and establishing historic five-year $1billion investment strategy in growth and innovation and sustainability across all areas of the business trust-based relationships. More customers want to understand their In 2019, called Delivering the Future. This Our strategy is to differentiate carbon footprint and are requesting Purolator introduced investment strategy is designed to through service excellence, leveraging greenhouse gas (GHG) emission a historic five-year future-proof our company and invest in the areas that are most important to our premium Canadian network information to help in their decision- making process when it comes to $1 billion investment our customers, our people and society. and customer-first mindset. Our differentiation strategy will include shipping. strategy in growth The recent events of COVID-19 building our network infrastructure Finally, we will achieve success in and innovation tested the mettle of our strategic to be the most expansive premium the area of service and reliability by called Delivering plan. In fact, we accelerated many of our long-term priorities, including network in Canada with strategic consolidation points in the US. continuing with our strong record of on-time performance, and going the Future. contactless deliveries. Our strategy is the extra mile to deliver a positive We will establish a customer-first founded on five pillars: experience. mindset through deep customer 1. Empowering our people through health and safety and new technologies to keep employees and communities safe and connected 2. Increasing network capacity, speed and access to help businesses grow and benefit from emerging market opportunities 3. Enriching the digital experience of shippers and receivers 4. Expanding global supply chain capabilities for businesses shipping to and from Canada Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 66
About this report 2019 CSR Report Following our inaugural Corporate • Empowering our people Social Responsibility (CSR) report Health & safety • Delivering for our planet produced in 2019, this report Very high summarizes Purolator’s strategy, • Helping our neighbours (material) management and performance on The outcomes from the materiality important CSR topics in Canada. Climate change & GHG emissions assessment will guide the evolution of Ethical conduct Through it, we encourage you to our CSR strategy in the coming years. Perceived Purolator impact learn more about our initiatives Diversity & inclusion It will ultimately help us focus on Corporate Data protection & security which continue to evolve. governance the issues and opportunities where Demonstrating our commitment to we can make the greatest positive Community investment Labour practices accountability and transparency to impact. Sustainable products & services our stakeholders, we have made High With the goal of focusing on what Employee engagement & development significant improvements to our matters most, this report explores report this year. We have applied Hazardous goods transport the five material topics that emerged global best practices and the Global Transparency & disclosure from this assessment. We continue to Reporting Initiative standard to Energy management identify, monitor and manage topics Moderate define the content and focus of the not reported on, such as labour report. In the future, we look forward Materials practices and data protection and efficiency to sharing additional performance & waste Human rights security, and will continue to refine management metrics and broadening the scope Humanitarian assistance our reporting across all pillars in of our reporting to include our future reports. operations beyond Canada. Importance to stakeholders and business Last year, we conducted our first materiality analysis. Through interviews with our people and customers, we identified the most pressing environmental, social and governance topics facing our business. Our list of material topics focus around three key CSR pillars: Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 77
2019 CSR Report Driving purposeful change at Purolator Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 88
How we work 2019 CSR Report For almost 60 years, responsible corporate governance has been an important promise to our customers, stakeholders, employees, and the broader community. Our Board of Directors is responsible for managing, or supervising the management of, Purolator’s business. Its work to fulfill Purolator's vision and strategy is supported by three committees: Audit Committee, Governance Committee, and Human Resources and Compensation Committee. The President and CEO is responsible for developing Purolator’s strategic plan, managing the day-to-day business, and reporting on Purolator affairs to the Board on a timely and regular basis. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 99
2019 CSR Report Our management of corporate Reflecting the importance of social responsibility creating a more diverse and inclusive Our leadership team brings an workplace, our Diversity and extensive and diverse background Inclusion (D&I) Leadership Council is to drive our collective vision and responsible for the development and mission. The Senior Vice President execution of Purolator’s D&I strategy. and Chief Human Resources The D&I Leadership Council works Officer oversees policies, programs, with Regional Councils to better performance and overarching execute and maximize employee strategy of Purolator’s CSR. Under engagement on the strategy. that leadership, a Corporate Social The President and CEO Responsibility department was communicates Purolator’s CSR introduced to develop Purolator’s policies, programs and performance CSR strategy and roadmap. The at Board meetings and Board department is also responsible for committee meetings. Purolator’s raising the visibility of Purolator’s annual CSR Report is reviewed by CSR and sustainability initiatives, the Board and the board Human actively demonstrating our focus on Resources committee. safety, environmental performance, community engagement, and diversity and inclusion. The D&I Leadership Council works with Regional Councils to better execute and maximize employee engagement on the strategy. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1010
Mapping our material topics against the United 2019 CSR Report Nations Sustainable Development Goals Minimizing our value chain footprint for our people and the planet. https://sdgs.un.org/goals Provide a proactive employee wellness program Develop evidence-based strategies to attract and retain a higher proportion of female workers Increase share of women on Board of Directors and in senior roles Provide targeted internships for young people from disadvantaged backgrounds to promote social mobility Integrate diversity and inclusion into Develop the skills of lower paid workers to give them improved professional opportunities supply chain management practices Expand Purolator Tackle Hunger® across communities and review opportunities and alignment with the business to provide opportunities for women and minority-owned businesses Increasing positive impact Distribution Delivery Dispatch Company Sorting and Packages sorted Suppliers and pickup Raw materials operations Shipment creation transport and sent out for Suppliers selected for National dispatch Product end of life Sourcing and Systems, equipment, Customers use a variety Packages from all delivery to their final services, facilities, centres work with Packaging material loses extraction of raw people and processes of channels to generate terminals are sorted destination such as supplies and our couriers and its original purpose materials needed for the company their shipment labels and consolidated for a retailer’s store, equipment linehaul drivers to to function final destination an office or a pick up packages customer’s home Minimizing negative impact Reduce waste generation throughout the business, Minimize the use of non-renewable including through adoption mineral resources through the use of new technologies of reused, recycled, repurposed and Provide customers with renewable material content options for sustainable Invest in systems, institutions and climate-smart technology to Improve operation and management of fleets to Explore models that enable Build cross-sector partnerships to products and services reduce, mitigate or adapt to climate change (e.g., retrofit energy maximize energy efficiency of transport more circular flows of goods and unlock complementary investments efficient fixtures) materials (e.g., reverse logistics in sustainable, resilient business and Upgrade fleet to enable use of alternative, and resource flows) products Integrate climate risks into analysis and decision-making less carbon-intensive fuels and drive use of renewables (e.g., Mobile Quick Stop) Move towards reusable or Measure, reduce and report climate exposure and progress on recyclable packaging actions to confront climate change Work with government and peers to reduce deaths and injuries from road traffic accidents Use data-driven solutions to optimise management, planning and operation of transport networks over time Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1111
Our commitments 2019 CSR Report We are committed to operating our practices and decision-making. business in a responsible manner, We work together to strengthen as reflected in our Corporate the communities we serve, and we Stewardship value and supported by manage our business ethically and our management systems, business sustainably. CSR Pillar Commitments Relevant material topics 2019 highlights Empowering Open 16 Learning and Development Centres of Excellence for 1. Occupational In October 2019, 16 Learning and Development Centres of Excellence our people timely and consistent training of our frontline employees. health and safety were launched across the country in time to meet greater than 80 per cent of our new hires during peak season. Launch a standardized onboarding program for all new hires 2. Diversity and inclusion to foster a safe working environment from day one and reduce The new experiential training developed for the Learning and 3. Labor practices turnover. Development Centres of Excellence became the standard onboarding program for all new hires. Deploy our mentorship program to provide our diverse mentees additional opportunities to grow their leadership, interpersonal Our Mentorship Program launched in Q3 of 2019 to all employees, and technical skills. enabling our employees to learn from one another. It is housed on SuccessFactors, and this system matches employees based on competence, Develop a five-year employment equity plan outlining way to More providing the opportunity for mentees to drive their own learning. reach targets for employment, equity, and diversity, and address Material the statutory requirements of the Canadian Human Rights Link Commission regarding the four designated groups. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1212
2019 CSR Report CSR Pillar Commitments Relevant material topics 2019 highlights Delivering Establish GHG emission reduction targets by setting a 1. Climate change Our inaugural CSR Report was released in October 2019. We disclosed our GHG for our planet baseline and engaging with stakeholders to implement and GHG emissions emissions data and emissions intensity metrics to our internal and external initiatives to reduce emissions. stakeholders. Based on the feedback gathered from our key stakeholders, 2. Sustainable products we are in the process of establishing a baseline against which the emission Conduct energy audits and retrofits in our facilities and services reduction targets will be set, measured, and tracked. We are also in the process to drive energy efficiency, reduce energy consumption, of exploring GHG emissions reduction targets that are aligned with the industry and improve building performance. best practices. Join industry-led initiatives to modernize urban This year, we tracked and reported our energy consumption and buildings freight operations and address last-mile urban freight intensity data to identify opportunities to drive energy efficiency in our buildings. operations. We will leverage this data to roll out a series of energy optimization projects Develop a waste diversion and recycling strategy in our facilities to decrease energy consumption and GHG emissions, and to More to reduce waste consumption in our facilities, and improve employee well-being. Material identify programs to support sustainable packaging. Link Towards our industry-led initiatives, Purolator joined the Urban Delivery Solutions Initiative (USDI) as a founding partner. The UDSI is a national network of organizations working to modernize urban freight operations in Canadian cities. By coming together, businesses, academia, government and not-for-profit institutions can share, engage and champion for efficient and sustainable urban freight activities. In 2019, we started collecting our waste management data for our facilities to assess our recycling versus landfill rate. This data was used to understand the current state of Purolator’s waste diversion and how to move towards a circular economy in the long-term. In 2020, we will identify gaps in the waste data, work with our vendors to track and report data, and review our packaging options. Helping our Launch a portal for our employees to track and report volunteer 1. Community investment In 2019, vendors were sourced to explore external development of a portal to neighbours hours for all events that contribute to a collective impact. track and report on our employees’ philanthropic efforts. Work is still ongoing. 2. Ethical conduct Develop a process to track food and monetary donations A group of our Purolator Tackle Hunger® Champions developed an online for the Purolator Tackle Hunger® program. solution to help track all food and monetary donations. Create a partnership strategy to engage with vendors and In 2019, we also conducted a thorough review to map our material topics against relevant partners for food drive campaigns implemented the SDGs and pillars, with consideration of our value chain impacts. across the organization. Identify United Nations Sustainable Development Goals (SDGs) that are most relevant to our business and stakeholders and More prioritize them based on those that will have the greatest impact Material on our three CSR pillars. Link Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1313
2019 CSR Report Empowering our people Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1414
2019 CSR Report In order to empower our people, Enriching Purolator's Enhancing our Employee Improving employee we recognize that we need to invest employee experience Value Proposition performance management in their growth, build an even more in 2019 In developing our employer brand, In 2018, we launched new inclusive workplace, demonstrate fair Purolator asked employees through behavioural competencies by level, We are proud of the progress we labour practices, and protect their multiple focus group sessions, and incorporated them into our have made in 2019 to enhance well-being and safety. leadership interviews, and a talent management processes, the talent experience of our comprehensive review of employee including performance management. Last year can best be described employees. We took significant feedback (e.g., engagement surveys, Following this, we launched a as an enterprise-wide, foundation- steps forward this year to enhance exit surveys and commissioned new tool through SuccessFactors building and capabilities-building our value proposition and evolve Cultural Assessment Survey) to define called Continuous Performance year. In June 2019, our President our training programs to provide Purolator’s uniqueness. It became Management (CPM), to support and CEO announced Purolator’s new opportunities for learning and clear that what makes Purolator ongoing discussions and feedback. $1 billion “Delivering the Future” development. unique is teamwork, learning This tool supports more regular investment strategy that included A great place to work opportunities, and the ability for check-ins between managers and building a national “Super Hub” Service excellence is critical to our employees to make an impact. employees and day-to-day routine facility in Toronto. Because workforce Purolator strategy. Attracting and goal alignment, ongoing feedback, expansion is essential to complement This led to our EVP which now forms retaining a future-ready workforce and in-the-moment coaching. With these capital enhancements, we have the backbone of our internal and will help us continue to achieve our this approach, managers have earmarked significant investments in external campaigns, providing job aspirations. Developing a unique increased visibility into employee employee training, development, and candidates with an insightful outlook Employee Value Proposition (EVP) activities and achievements, enabling health and safety. Multiple training on Purolator’s culture. We are proud and empowering our managers them to provide coaching and programs and initiatives were rolled that our inaugural campaign features through real-time performance guidance. Employees can also give out over the course of the year. a diverse group of employees from management are just two ways in and receive feedback at any time, to across our organization. which we helped make this possible or from anyone in the organization. in 2019. This modern, mobile-enabled approach helps foster happier, more We are proud of the engaged employees and higher progress we have performance aligned to our business. made in 2019 to enhance the talent experience of our employees. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1515
2019 CSR Report Providing new opportunities Mentorship program schedule prepared by their manager, for learning and development In 2019, we launched our mentorship which includes key activities, including Purolator is a people first program. It provides additional partnering with an onboarding coach, organization. We are successful opportunity for rich learning and meetings with teammates and key when we provide our teammates development for both mentors and stakeholders, role-specific training, with a safe and healthy workplace, mentees, and is accessible to all completion of Lean Six Sigma Yellow and have the right people in the right employees. Employees themselves Belt training, and visits to local roles, with the support they need to define their competency strengths terminal and hub operations. succeed. Learning is just one way facilitating a more effective pairing New hires are then assigned we empower our people to deliver with a mentor, with the primary talent management e-learnings outstanding work, safely. criteria being competencies and that provide knowledge of specialized skills. To support an We are proud of our progress in Purolator’s performance and talent effective mentoring relationship, 2019. In fact, this year’s employee management processes, as well participants are provided with engagement survey found that 83 as the organization’s behavioural support resources. Current per cent of professional employees competency model that defines key participants represent unionized agreed or strongly agreed that competencies required for success and non-unionized employees, up Purolator provides them with at each level. Within their first 30 to the executive level. The program the opportunity for learning and days, professionals set meaningful is being monitored and future development. performance goals aligned to the program enhancements will include organizational strategy. Lean Six Sigma Continuous the introduction of key performance Improvement Training program indicators and tracking capabilities. Purolator’s 2019 employee We deployed Lean Six Sigma engagement survey demonstrated Enhanced onboarding experience Continuous Improvement training the impact of the onboarding We improved our onboarding in 2019, resulting in over 1,300 program on new hires. Eighty-five per program for professional employees employees certified in Yellow, cent of employees who have been to incorporate additional elements Green and Black Belts across the with Purolator for less than three of training and development that will organization. Employees leading Lean months are engaged, compared to set them up for long-term success continuous improvement projects the IBM Global Norm of 71 per cent. at Purolator. Professional employees delivered over $24 million in savings/ received a role-specific onboarding revenue to the organization. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1616
Focus on occupational health and safety 2019 CSR Report Protecting the psychological and physical health of our people, so they arrive home safe, every day. What it means to us Our approach Committee (WHSC) to ensure worker participation and consultation in Safety in action We know that our frontline employees Our vision is to be the industry’s the development, implementation, are exposed to a wide variety of safest workplace in Canada. At Our voluntary snow-rated and evaluation of the Health physical hazards throughout their Purolator this is achieved through footwear program, launched in and Safety Management System. workdays – whether they are a our health and safety policies and 2018, is one way our frontline WHSC members participate in any courier navigating icy roads in local procedures, training and controls, employees are supported to occupational hygiene testing that neighbourhoods or team members and measured by illness, injury and carry out their work safely. may occur at their location, hold navigating conveyer belts and aisles motor vehicle incidents. All of these Each courier is provided with monthly meetings, conduct workplace in our delivery warehouses. We also aspects are indicative of a strong vouchers to purchase footwear inspections, and communicate acknowledge the importance of safety culture. We are focused on specifically engineered and relevant information on all aspects of mental health in the well-being of our developing: designed to perform on wet icy occupational health and safety to the people and the critical role work plays surfaces. Couriers who chose • An interdependent safety employees in their workplace. in the quality of their day-to-day lives. to participate in this program culture, where our people can One hundred per cent of our are seeing the results. Since Our people are our most important rely on each other to make the employees and contractors the launch of the voluntary asset, as reflected in our People First right decisions are covered under our Safety snow-rated footwear program, value. Purolator is committed to • Best-in-class safety process Management System (GRI403-8). couriers who chose to wear engaging and developing our team standards, that help us think boots during our busy winter so that they are successful in a safe As part of the Health and Safety about and carry out our work season in 2019 had fewer and and healthy workplace. We aim to Management System, job hazard safely less severe falls. empower our employees with the and risk assessments are conducted tools and skills to arrive home safe, • Effective digital tools, that regularly to identify and put into every day. enable us to make the right place appropriate controls to manage decisions, real-time, and execute employee safety. To execute their our work in better ways work safely, front-line employees are provided health and safety training, Our vision is to be At the center of health and safety at access to safe operating procedures, the industry’s safest Purolator is an integrated Internal Responsibility System. To achieve and depending on their job function, workplace in Canada this, each Purolator location has access to equipment and protection (such as safety footwear, gloves and a Workplace Health and Safety hearing protection). Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1717
2019 CSR Report Starting off on the right foot: Site safety tours (1,490 completed) • Enhanced safety onboarding Spotlight on our safety We've improved the site safety tour and driver training programs training programs with stops in key locations of the The journey to first-class health We have enhanced the way that facility where important messaging and safety is never finished. In Safety in action new employees are exposed to about that area can be accessed 2019, Purolator invested in several and familiarized with the policies, through multiple formats. This Ashley Brand, Courier, is a initiatives in occupational health procedures and expectations ensures new employees know how to Humble Hero. In September and safety, including mental health addressed in several e-learnings. navigate their workplace safely and 2019, Ashley was performing and wellness aimed at ensuring our Our goal was to improve the where to quickly access specific areas her delivery at a local company remains a great place to employee onboarding experience in emergency situations. McDonald's when an elderly work. As part of our Lean Continuous while maintaining or improving gentleman in line collapsed. Simulated defensive driving Improvement culture, areas of the employee awareness of these Her first aid training kicked training (217 completed) improvement to our risk-based policies. These policies include, in and she went to his aid. Our defensive driving theory and Health and Safety Management but are not limited to, Purolator As Ashley started performing simulated driving training for couriers System were identified through an Crisis Management – Employees. All CPR, the McDonald's staff address common preventable risks. external health and safety audit employees across the organization, called 9-1-1. As the gentleman Plus, coaching ensures safe driving conducted the previous year. This regardless of role, now have a started to breathe on his own, practices. spurred terminal safety assessments, consistent onboarding experience Ashley stayed with him until the conducted at over 90 Purolator from day one. The orientation is more Continuous improvement paramedic came. locations in 2019. engaging and interactive, covering We are proud of the significant She was recognized by our key policies, procedures and safety milestones we achieved in health Putting continuous improvement Scarborough team, who protocols. and safety in 2019: into action, Purolator focused on provided her an award for her making foundational program Operations safety – Eight common • Designed an integrated Health bravery and courage. She was improvements in health and safety risks (1,164 completed) and Safety Management System also recognized company-wide in 2019. To prevent recurrence of All front-line employees proceed to framework and governance with a Circle of Excellence Award. common incidents in our terminals, a standardized day two for safety model for the organization the Operations leadership team onboarding. Throughout the day, new • Completed baseline established a weekly incident review hires complete hands-on activities organizational (terminal) safety call where incidents transpired that reinforce safe behaviours on assessment study identifying within terminals and relevant the terminal floor (such as wearing gaps in safety compliance lessons learned are shared to foster personal protective equipment, and culture ongoing learning. This call is led by safe lifting practices, and conveyor the Chief Operations Officer or Chief safety). This is followed by role-specific • Completed health and safety Human Resources Officer, and the training, and multiple check-points on reorganization design and the job that ensure employees are expanded Return-to-Work team equipped to perform their roles safely. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1818
2019 CSR Report incident is described by the affected Employee and Family Assistance how to build towards a financially pension and other investments, manager, followed by a review of the Program (EFAP). Some of these secure future by meeting with and reminded about their flexible determination of the root cause(s) activities are outlined below. some of our external experts. benefits re-enrolment window. and lessons learned. As a result, Taking care of mental health • Benefits re-enrolment and the risk assessment is reviewed In the fall of 2019, Purolator introduced pension review: During Financial and hazard analysis updated where a new wellness program, Thrive. It's Literacy Month, employees were required to prevent recurrence. designed to help our employees stay encouraged to review their Much of this work forms the building physically, mentally, and financially blocks for the new Health and resilient and healthy. Thrive initiatives Safety Management System being ranged from fitness and nutrition developed in 2020 that affects programming, financial literacy and all employees, contractors and planning expertise, and awareness and subcontractors, and activities at all education on public and self-stigma Purolator locations and on the road. related to mental health: • Mental Illness Awareness Helping employees thrive: Week: With Purolator’s ongoing Spotlight on mental health commitment to mental health awareness initiatives and and safety, Purolator recognized inclusive practices Canadian Mental Illness Awareness Our mental wellness strategy is Week from October 6 to 12 and aimed at supporting all employees World Mental Health Day on with an environment that supports October 10. During this time, we their physical, psychological, social, provided education and brought mental and emotional well-being. awareness around the importance Last year, we updated our policy of mental health and reducing and procedural documents, and both public and self-stigma. provided guidance and training on • November Financial Literacy accommodations, return to work Month: Purolator empowered and disability. This year we focused employees across the country on promoting the support programs to take control of their finances, and services available through our reduce financial stress, and learn Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 1919 19
2019 CSR Report Encouraging access to Mental health individual course completions by Purolator will continue to partner mental health resources awareness education our front-line employees, which with the Mental Health Commission Our goal is to help our employees In 2019, as part of our multi- represents approximately 15 per of Canada to train Mental Health learn more about their own mental year mental health strategy, we cent completion of the mandatory First Aid (MHFA) Responders across health, and how to support others launched our e-learning program – courses. This was considered a strong all Purolator locations. Our goal is to who may be experiencing a mental called Building Blocks for Positive start to the program given that front- have at least one MHFA Responder health challenge. In 2019, in Mental Health to all of our frontline line employees are heavily focused on in every location, with multiple partnership with our EFAP service employees on June 25, 2019. operational execution during the last responders in large locations like providers, the Total Rewards team Developed in partnership with our four months of the calendar year. Hubs and facilities. launched a major promotional EFAP provider, Morneau Shepell, six Mental health first aid training In People leader training campaign encouraging the use of training modules were offered, with fall 2019, our first group of employees We aim to equip our people extensive mental health, general three being mandatory. Employees successfully completed the two-day, leaders with the tools to address health and wellness resources have 12 months to complete in-class training program and became mental health in the workplace. available to them. Overall, we the training and each module is certified by the Mental Health That’s why we offer training that experienced 11.41 per cent overall approximately 10-15 minutes Commission of Canada as Mental focuses on reducing mental EFAP utilization representing in duration. Health First Aiders. Participants from health stigma, dealing with increases over both 2017 and 2018. All new employees hired after all levels of the organization and workplace accommodations, While still below industry average and the initial launch have the mental across the country were nominated and supporting employees with national norm, we are committed to health program automatically by their people leaders. As part of mental health challenges. This exceeding both of them. assigned to their training and the ongoing Mental Health First Aid training module will be included In 2019, Purolator’s Total Rewards development program. As of certification program, 21 employees in our Evolve manager training team also introduced the Cleveland December 2019, we had over 4,500 from across the organization program. Clinic Canada Virtual Health Care completed this certification and In 2019, designated facilitators Program. Employees can virtually are available to provide support to connect with a medical professional Our goal is to help colleagues in need in their respective completed the Mental Health Commission of Canada's Working through live video for non-emergency medical health issues using the our employees learn work locations. This will continue into 2020 and beyond. Mind Train-the-Trainer program Express Care Online® app from the more about their in order to be able to develop App Store or Google Play. Once the own mental health, “I feel lucky to be part of an organization that supports mental appropriate mental health content for our people leaders. Training app is downloaded and the employee is registered to use TytoClinic®, they and how to support health awareness and breaking down content is under development with have access to diagnostic tools such others who may the cultural stigmas that exist.” – a roll-out schedule for 2020. as a thermometer or a stethoscope be experiencing Training participant to conduct a health assessment onsite in the First Aid Room. a mental health challenge. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 2020
Focus on diversity and inclusion (D&I) 2019 CSR Report Capturing the uniqueness of our individual people and creating an environment that values and respects individuals for their talents, skills and abilities to the benefit of the collective. What it means to us Our approach Continuous improvement in 2019 Diversity and Purolator has experienced record inclusion in action At Purolator, diversity is about the A diverse, inclusive work environment growth in 2019 thanks to our individual. It is about the variety allows employees to reach their full International Women’s Day employees, their incredible diversity of unique dimensions, qualities potential. Our goal is to develop is the focal point for gender of thought, and their unique and characteristics we all possess. talent across all stages of the equality and women’s rights perspectives, experiences and We consider inclusion to be about employee lifecycle. With this in mind, across the world. This year, we backgrounds. With this in mind, the collective. It is about a culture our strategic talent management hosted a panel discussion to we were proud the recipient of the that strives for equity. Our culture plan ensures we adopt a proactive share insights on how we can Canada’s Most Admired™ Corporate embraces, respects, accepts and approach in attracting, managing think equal, build smart and Cultures of 2019 – Enterprise and values difference, and demonstrates and developing talent. We use role innovate for change to find Best Talent Management Strategy it in what we say and do. profiles and competency needs as a #BalanceforBetter. 2019 (Canadian HR Awards) awards. means of identifying essential skills to We believe that having a diverse team Our panel featured a cross- be developed in all employees. Additionally, our 2019 MyVoice survey with different cultural backgrounds section of women in the results indicated that 76 per cent and experiences encourages We are committed to building organization, sharing their of our people agreed that Purolator debate and problem-solving to the most diverse and inclusive unique insights on how is committed to providing equal inspire innovative solutions to the organization across all levels of our individuals and our business opportunity for all employees. While organization’s business challenges. business. In addition to providing can balance for better. this is positive feedback, we can We consider diversity and inclusion of equal opportunities to our employees continue to ensure our employees our workforce in our hiring choices, with respect to our talent experience, from coast-to-coast feel empowered the opportunities we provide for a number of initiatives to improve to share in these opportunities and learning and development, and how strategic support and executive help shape our company to support we treat each other. sponsorship, and advance inclusion their needs. in all of our programs and initiatives. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 2121
2019 CSR Report In the past several years, we focused Diversity and Inclusion Future Leaders on building the D&I fundamentals Leadership Council Development program Diversity and aligned with our business objectives: The Leadership Council consists of Launched in 2019, all people inclusion in action senior leaders across our business managers were trained on talent • 2020-2025 Employment that can affect positive changes management best practices, to Unique perspectives, Equity Plan within their respective business lines. remove bias, promote inclusion, experiences and backgrounds • Diversity and Inclusion Together, these leaders provide add consistency and to reinforce are in Purolator’s DNA. Governance and Accountability strategic support and executive the value of career/development As co-chairs of our National Diversity Framework sponsorship aimed at advancing planning. This program accelerates and Inclusion Council, Shikha inclusion in all our programs and the development of future leaders • Diversity and Inclusion Strategy Gandhi, VP, Finance, Corporate initiatives. through flexible and customizable Services and Sue-Lynn Noel, VP, • Diversity Recruitment Strategy development journeys that “I am proud of Purolator’s approach General Counsel and Corporate may include personal coaching, • Diversity and Inclusion to diversity and inclusion and of the Secretary, know this firsthand. They mentoring, external training, special Communication Strategy progress being made in this area. help champion diversity initiatives assignment/projects and job At the same time, there is still a lot throughout the company. Our next stage will be identifying rotations. further to go. I’m looking forward to multiple key performance indicators Shikha says the council aims making it a business imperative to Mentorship program (KPIs) to track our progress towards “to create the most inclusive, drive real change and add immense Accessible to all employees, our meeting our priorities and targets, accessible workplace in Canada value in the coming years.” mentorship program provides to hold our business accountable by fostering an environment additional opportunity for rich for living our values. This work is in – Shikha Gandhi, co-chair, where women, people living with learning and development for both addition to our efforts to enhance D&I Leadership Council disabilities, people of colour, mentors and mentees. After self- workplace awareness and de- and Indigenous Peoples feel identifying strengths, employees are stigmatization of mental health empowered and have equal paired with a suitable mentor and through training and education. opportunity.” The council will also support resources. In 2019, 54 per focus on newcomers to Canada Spotlight on diverse and cent of mentees were female. As the and LGBT+. inclusive leadership program evolves, we look forward to It's important to have a diverse and including key performance indicators “The Diversity and Inclusion inclusive leadership team as well. and tracking capabilities. Council is a platform to raise That's why we’re exploring new ways awareness of diversity and to inform our talent experience inclusion issues,” says Sue Lynn. and nurture growth of the next Guiding the future, the council generation of unique leaders. will develop training programs, workshops and initiatives aimed at fostering a rich, dynamic workplace for all. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 2222
2019 CSR Report Key performance highlights Indicator: Diversity of governance bodies and employees Diversity of employees GRI 405-1 2015 2016 2017 2018 2019 Diversity of senior management (%) Gender Women - - - - 21% Men - - - - 79% Other indicators of diversity (%) Representation of - - - - 6% people with disabilities Representation of visible - - - - 14% minorities Representation of - - - - 0% Indigenous people Diversity of non-management (%) Gender Women - - 20% 20% 20% Men - - 80% 80% 80% Other indicators of diversity (%) Representation of - - 1.8% 4.7% 4.5% people with disabilities Representation of visible - - 32.3% 26.8% 27% minorities Representation of - - 2.4% 3.3% 3.2% Indigenous people Please see Appendices for applicable assumptions, scope, and boundary information. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 2323
2019 CSR Report Delivering for our planet Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 2424
Focus on addressing climate change 2019 CSR Report Managing our GHG emissions and considering climate-related environmental impact and risks. What it means to us on a detailed emissions inventory, In addition to our impact on the conducted a comprehensive using ISO 14064-1 (and the WRI/ climate, physical and transition risks GHG inventory aligned to leading There is scientific consensus that WBCSD GHG Protocol’s convention), of climate change may affect our practices – evidence of Purolator’s the global climate is changing as a our direct emissions are mainly ability to achieve our business goals commitment to actively manage our direct result of human activities. This driven by the on-site combustion of in the future. However, these same environmental impact. The GHG change will continue to intensify and fuels, used for operation of buildings risks provide Purolator with the inventory and study set the stage is the most serious environmental and mobile emissions from fleet opportunity to explore efficiency and for our sustainability story, which is challenge our world faces today. directly operated by Purolator. adoption of low-emission products helping us to understand magnitude Our business is linked to climate and services. and distribution of GHG emissions Purolator is well-positioned to change in many ways, especially as associated with our operations. showcase climate leadership and we continue to expand our reach to more people, more businesses and to facilitate the transition to a more Our approach Our strategy is evergreen as energy efficient, low-carbon economy. we incorporate best practices more places, across the country and Our approach to addressing climate We are determined to invest in and guidance on strategy and around the world. We have a vital role change continues to evolve. We sustainable fleets, buildings and management. to play in addressing climate change continuously track our emissions to technologies to transition Purolator risks in the transportation industry, understand our current performance into a low-carbon resilient economy including limiting our contributions to and identify opportunities for and be recognized as an effective and global GHG emissions associated with improvement. Since 2007, we’ve accountable Canadian business. energy use and transport fuels. Based We have a vital role to play in addressing climate change risks in the transportation industry, including limiting our contributions to global GHG emissions associated with energy use and transport fuels. Delivering the future, Driving purposeful Empowering our Delivering for Helping our neighbours Appendices responsibly change at Purolator people our planet 2525
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