Countdown Sustainability Report 2019
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CONTENTS Introduction from Natalie Davis...............................................................Page 2 Countdown’s 2020 commitments.............................................................Page 4 Performance Highlights.............................................................................Page 6 People..........................................................................................................Page 8 Planet.........................................................................................................Page 24 Prosperity................................................................................................ Page 40 ABOUT THIS REPORT: This is Countdown’s fifth New Zealand and in 2017 we launched our new Report has been independently Sustainability Report. Statistics are for Corporate Responsibility Strategy 2020. reviewed; other data and statements the year ended 30 June 2019, unless have been internally reviewed. The purpose of this report is to set otherwise specified. out our achievements and challenges For the full 2019 Woolworths Countdown has had a strong for our New Zealand customers and Sustainability Report please visit sustainability plan in place since 2007, stakeholders. Data included in the www.woolworthsgroup.com.au Woolworths Group Sustainability
2 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 3 Welcome to Countdown’s We’re here to make a 2019 Sustainability Report. difference to Kiwis’ lives We’re serious about sustainability because or others might need a bit of help, but also to In early 2019, the Colmar Brunton Tēnā koutou, tēnā koutou, tēnā We’ve listened, and are strongly committed of the solutions for issues like the climate with almost three million New Zealanders understand how to support their teammates Corporate Reputation Index showed that koutou katoa. to doing what we can, wherever we can, to emergency are shared. We need to move visiting our 180 stores each week, doing the when they need it most. our Countdown business had moved to remove it. quickly and make changes at scale and we It’s my great pleasure to share with you right thing for the environment, our people 11th place out of 50 of New Zealand’s top recognise that to do that, we need to play We’re continuing to make sure we’re Countdown’s work over the last year I’d like to thank our entire team of 18,400 and the communities we operate in, is a huge corporates - up from 43rd in 2015. I’m our part by working with other businesses providing working environments where our towards creating a more sustainable future Kiwis for their commitment to our part of our commitment to making Kiwis’ immensely proud that our customers are to make a collective change. There is so team can bring their whole selves to work for Aotearoa. communities and to our environment. lives a little better every day. seeing our changes for the better, and much at stake and the impacts if we don’t - regardless of their age, gender, religion, With friends and family across Aotearoa, at the forefront of this are our greatest I am particularly proud of what we have take action are undeniable. I am privileged to lead a team of 18,400 ethnicity or sexual orientation - and were it matters to all of us that we work for a ambassadors – our team. done to raise the profile of health and Kiwis who care deeply for each other and immensely proud to gain our Rainbow Tick business that’s committed to playing an We are proud of our achievements to date, safety in our business. Keeping our team, their communities. certification in late 2018. There is much more to do, and we look active role in keeping our country beautiful but we know this work is ongoing and will our visitors and our customers safe is an forward to continuing to partner with our for future generations. require the focus and efforts of many to This year, we have continued to increase our We are delivering programmes and policies absolute priority and we are working hard customers, our suppliers, and community protect this place we call home. focus on safety in the business, including our that make Countdown a great place to work to embed a strong safety culture. This work We remain focused on our response to the organisations across NZ, to contribute first business-wide ‘Stop for Safety’ huddles, and to develop skills and careers. Our Store is underpinned by care and a commitment climate crisis. We’re making our stores more Nāu te rourou, nāku te rourou, to building a more sustainable future for where our teams discussed how they could Manager in Training programme creates to promote the wellbeing of everyone who energy efficient and cutting refrigeration ka ora ai te iwi. Aotearoa. Please enjoy Countdown’s 2019 contribute to building a safer workplace. great leaders within our business, like our works for, or interacts with our business. gas emissions by introducing new CO2 Sustainability Report. We also provided our team with simple tools new Countdown Huntly Store Manager, based systems. We are seeing progress Removing single use plastic bags from our they could use, to reach out to those who Jaqueline Jones. Our graduate programme in making our logistics operations more checkouts and online service, two and a half may be suffering from mental health issues attracts fantastic young talent like Annabelle efficient, and are of course continuing months ahead of schedule and nine months Kiri Hannifin through our ‘I am here’ programme. Cole, and our Workplace Flexibility Policy with our work to divert food waste to ahead of legislation, was an outstanding General Manager Corporate Affairs, Safety encourages our team to work around their Natalie Davis landfill through food rescue and diversion Hundreds of our team have already taken the achievement. Kiwis embraced the change and Sustainability busy lives. Managing Director programmes in 100 per cent of our stores. opportunity to not only recognise when they wholeheartedly, but have been clear that there’s still much more to be done to tackle But there is still so much more to do. the unnecessary proliferation of plastic. We are a small country. Many, if not all,
4 COUNTDOWN SUSTAINABILITY REPORT 2019 PEOPLE: Encouraging PLANET: For a healthy PROSPERITY: Founded diversity Aotearoa New Zealand on trusted relationships Countdown’s 2020 Ensuring gender equity Moving to a Working with our 1 circular economy business partners 9 15 At least 40 per cent of executive and senior manager positions to be held by women. Towards zero food waste We will engage fairly and equitably with our going to landfill. suppliers, making fact-based decisions and 2 seeking regular feedback directly and through No salary wage gap between male and female 10 independent supplier surveys . 16 employees of equivalent positions on a per- Improve the recyclability of our own Commitments hour rate at all levels of the company, with a step-change improvement in closing any gaps brand packaging and contribute to the We will focus on a best practice by the end of FY17. circular economy. compliance system according to the Global Compliance Programme. We will collaborate with peak organisations to improve workers lives. Embracing our diversity Source environmentally 3 In 2017 we launched our Corporate 100 per cent of those responsible for hiring sustainable commodities Responsibility Strategy 2020, which Giving back to the 11 new team members to have completed brings focus, resources and energy to unconscious bias training. Source key raw materials and commodities communities in which to an independent standard by 2020. 4 we operate Countdown’s sustainability agenda. We will raise awareness of sustainably 17 Continue the focus on driving cultural sourced products. 12 diversity, with a commitment that by 2020 We have assigned targets under the the Countdown team will truly reflect the We will invest the equivalent of one per cent of a three year rolling average of total pillars of People, Planet and Prosperity. communities we serve. Achieve net zero supply chain deforestation for ‘high impact’ commodities in our own Countdown Earnings Before Interest and Tax (EBIT) into community partnerships These provide a framework for brand products, such as palm oil, timber, and programmes. pulp and paper, and packaging. 18 our engagement with customers, A focus on growing our team 5 We will publicly report social impact communities, suppliers and our team. We will develop the careers of the to quantify the positive change we are They also set out our commitment to Countdown team with a focus on youth. Action on creating with a focus on health, economic development and emergency relief. emissions 13 minimise the environmental impact of 6 our operations. We will continue to develop employment policies appropriate to our New Zealand team Reduce Countdown’s carbon emissions to 10 per cent below 2015 levels. to provide a supportive work environment. Creating shared value with our customers 14 19 Innovate with natural refrigerants and reduce refrigerant leakage in our stores We will achieve leading customer Creating opportunities for all 7 by 15 per cent of CO2 equivalent below satisfaction scores. 2015 levels. 20 We are committed to maintaining a workplace that safeguards the health and wellbeing of our people, customers and visitors. We will support and inform our customers 8 to help them to make healthier choices. Achieve Rainbow Tick certification in New Zealand, demonstrating our commitment to LGBTI inclusion.
6 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 7 Sustainability Report Snapshot 2019 + 18,400 team members + Increased the number + Achieved Rainbow + Bought 21 million kilos of women in senior Tick accreditation of meat and 54 million + Reduced carbon leadership roles to 35% free-range eggs from emissions by 13.9% + Reduced refrigerant Kiwi farmers + Donated $6.9 million of leakage by 28% + 338 million single-use food through Countdown + Removed a further 8.8 plastic carrier bags Food Rescue + Launched New Zealand’s tonnes of sugar and 7.4 gone from Aotearoa’s first Be Accessible tonnes of salt from our waste stream + Provided $2.2 million in accredited supermarket own brand products community donations 1 Refer to appendix for GRI Index.
8 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 9 People – encouraging diversity We employ an incredibly diverse team of more than 18,400 Kiwis across our stores, distribution centres, meat and seafood plants and support offices. Our people are a reflection of Aotearoa and we believe that our diversity - whether that’s age, gender, religion, race or sexual orientation - should be nurtured, grown and celebrated. Team Rainbow Tick members Accredited 18,400 Women in Team leadership roles under 25 35% 5,979
10 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 11 Working towards Store training programme delivers female leaders “I really enjoy gender equality Our most recently appointed Store Manager, Jacqueline Jones, comes from a family of strong women and her journey mentoring other female store managers and I to her management is largely due to Achieving gender equality across our team and embracing our her grandmother. always encourage diversity is not only the right thing to do, it’s also hugely beneficial women to take “She had to fight hard to get where she to our business and the decisions we make each day. got to. Listening to what she had to give up the next step and because she was a woman made me realise take risks.” how much fairness was not a part of her Tanya Lawrence, Countdown life. It made me want to strive to be seen Cambridge Store Manager and treated as an equal.” Jacqueline is proud to be leading the way for other women with leadership aspirations throughout our business. After completing the Women in Leadership and Store Manager in Training programmes, she is now a few months into a new role managing Countdown Huntly with a team of 91 people. “Growing someone’s Challenging biases in helped us lay foundations As a senior female leader, Jaqueline says confidence and helping succession planning for a more diverse way of she’s keen to show women who may be them to become who holding themselves back out of fear or thinking and leading. By they aspire to be is not uncertainty that taking on a leadership role We have also started to challenging our own biases in only very rewarding, is entirely possible. “I can use the tools that I challenge perceptions and supply chain, 50 per cent of am lucky enough to be given in my role and but is also what I think use them to guide and develop my team,” biases in our talent and the typically male-dominated should be a key part of she says. succession planning processes senior distribution centre any leader’s role.” Supporting other women into leadership and decisions. The Inclusive operational leadership roles Jacqueline Jones, Countdown roles is also a passion of Countdown Leadership and Whole are now held by women. Huntly Store Manager Cambridge Store Manager Tanya Lawrence, Brained Thinking workshops who was awarded Countdown’s Store that were delivered across Manager of the Year title for the second time in 2018. “I really enjoy mentoring Store Operations and Supply other female store managers and I always Chain late last year, have Women in leadership encourage women to take the next step and take risks - assuring them that they don’t Women make up 56 per cent of After canvassing our team, self-confidence need to know everything to do the next COMMITMENT 1 Countdown’s total team and hold roles was raised as a significant hurdle as well role. It’s so rewarding seeing how these At least 40 per cent of right across the spectrum of our company. as perceptions of potential gender bias women have progressed in their careers executive and senior Our salary wage gap is currently 1.46 per We are committed to attracting and for certain roles, feelings of imbalance over the years, knowing that I have been manager positions to cent. This continues to be considerably be held by women. retaining female talent at all levels whether between work and home commitments, involved in helping them to achieve their lower than New Zealand’s national gender COMMITMENT 2 that’s as part of our graduate programme, and concerns around support and dreams,” says Tanya. pay gap, which in June 2019 was 9.3 per cent No salary wage gap working in our stores, or in our senior development opportunities. between male and according to Statistics New Zealand. female employees of leadership team. In response, we developed a Women Closing the gap We are committed to reducing this gap to equivalent positions on a per-hour rate at all Over the last year, the number of women in Leadership programme, which is zero. Not only is this the right thing to do, levels of the company, at General Manager level and above has designed to help women in our business At Countdown, we’re committed to with a step-change but this continuous commitment to pay improvement in closing increased from 50 per cent in FY18 to 63 feel empowered and supported in their providing an inclusive and diverse parity has a positive impact on motivating any gaps by the end per cent. The overall number of senior development and career goals. More workplace, where our team is treated fairly, of FY17. and retaining our current team, and makes roles held by women in our business has than 300 women across our stores and and that extends to being paid fairly for Countdown an attractive place to work for increased from 32.7 per cent in FY18 to 35 supply chain are already benefiting from the work they do. We believe that team people who may be looking to join our team. per cent in FY19. the series of programme workshops, members who have the same skills and role designed to develop leadership capability shouldn’t be paid any differently because of Over the last year, we’ve also been working and confidence, and also provide a great their gender. to understand the barriers women are opportunity to network. facing in our leadership pipeline.
12 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 13 Celebrating our diversity We’re one of the largest employers in the country and we’re fortunate that our team reflects the broad range of ethnicities, cultures and backgrounds that make up New Zealand’s population. By working to celebrate our differences and seeing them as one of our greatest assets, we can create better experiences for our team, our customers and our communities every day. Inclusive workplaces inevitable that young women may face these issues as they start their careers. This year we rolled out our inclusive The New Zealand Young Women’s Festival leadership programme, aimed at Wāhine Kākano was established to give addressing any unconscious biases our women aged 16-22 the tools they need to hiring teams may have - something that navigate their first jobs, tackle issues they can have a big impact on the diversity of may face and empower women to stand up Our store teams are a reflection of Over the last year, we’ve supported events COMMITMENT 3 our teams. To date, 377 team members for their rights. COMMITMENT 4 the communities we serve. We are that celebrate the wide range of cultures 100 per cent of those have taken part in the programme. While Continue the focus incredibly proud of our diversity and take and ethnicities that call New Zealand As an employer that supports women in responsible for hiring on driving cultural new team members opportunities to celebrate the richness it home. Importantly, this has also given we continue to roll out this training to new the workplace, Countdown was proud diversity, with a to have completed brings. Diversity not only helps us make our teams an opportunity to share more leaders, we’ll also be looking at how well it to once again sponsor Wāhine Kākano commitment that by unconscious bias 2020 the Countdown training. better business decisions but it also brings about themselves, their traditions and has been embedded across our business for 2019. Countdown’s General Manager team will truly reflect new ideas and opportunities, and fosters their culture. These events have included and what difference it is making to Corporate Affairs, Safety and Sustainability, the communities we hiring decisions. serve. respectful and inclusive workplaces. For Samoan Language Week, Maori Language Kiri Hannifin, was invited to speak on a our customers, it also makes our stores a Week, the end of Ramadan, Diwali and panel that focused on sustainability and the great place to shop. Chinese New Year. Wāhine Kākano 2019 future of work. Throughout the festival, topics like bias in the workplace, closing With issues such as gender inequality, New Zealand’s gender and ethnic pay gaps, sexual harassment and discrimination still and navigating life after finishing school and prevalent in a number of workplaces, it’s university were also covered.
14 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 15 Promoting the use further embed Māori language, culture and “It’s great to be helping to encourage values across our business – starting with more use of te reo in Aotearoa - it’s of te reo Māori in our support office. such a beautiful language that deserves our business We have been increasingly weaving te our respect and protection. In my role I interact with a wide range of stakeholders reo Māori into store and workplace The Māori language is a taonga that throughout New Zealand and regularly use communications. We also introduced Countdown is proud to help protect by Māori greetings and words. Taking part in Te Reo classes for a number of our support supporting its use across our business. these sessions has further ensured that I’m office team. Led by experienced tutor not just using them correctly, but also have Earlier this year, the Government pledged Apimaera Thomas, attendees also learn a deeper understanding of their meaning.” to ensure one million people in Aotearoa about tikanga Māori. The weekly classes says sustainability team member, can speak basic te reo Māori by 2040. have been a hit with those taking part, Charlotte Haycock. While the majority of our stores already allowing team to further hone their skills feature bilingual signage; we wanted to and nail the basics like pronunciation and greetings. Ka rawe! “ Some New Zealanders believe that people speaking other languages are somehow less important. We wanted to change that. Through the bag, we’re helping to make using different languages a common occurrence when meeting new people.” Te Ahi group spokesperson, Jordan Smith “Te reo Māori is more than just a language, it is understanding a way of life. When learning te reo, Student-designed World The World Shopper bag, designed Countdown helped Te Ahi throughout the and developed by the college’s Young manufacturing and merchandising process you are not only learning syntax and vocab, you are Shopper bag a hit with Enterprise Scheme group Te Ahi (The to bring their reusable bag business idea learning tikanga particular to Māori and in doing so, Countdown customers Fire), not only celebrated New Zealand’s to life and stocked the bag in five central diverse population and cultures but also Auckland stores in late 2018. you learn of the richness of a people. This in turn can Year 12 students from Auckland’s St taught Kiwi shoppers how to say hello in 18 different languages. The students impact and further enrich one’s own wellbeing and Mary’s College took cultural awareness to a stylish new level, with their self-designed, wanted the bags to help New Zealanders life. Kia kaha tātou ki te kōrero Māori.” reusable bag rapidly selling out at a select with new ways to greet people and as such range of Countdown stores. grow our acceptance of other cultures. Apimaera Thomas
16 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 17 Developing SEEDS has been running since early 2018 in partnership with ServiceIQ. The number of students participating in the programme “I’ve been impressed by the our team has increased from 273 in 2018, to 333 in 2019. Students taking part in the amount of support the store programme not only gain practical skills and knowledge, but are also able to make management team gives to We know that if we want to continue to attract young, talented informed decisions about future career apprentices. Despite being opportunities at Countdown. Our stores people to work at Countdown, we need to provide great career also benefit, with store managers able to really busy, they are always pathways and the support our team needs to succeed. identify great, local talent. there to offer encouragement and advice - that’s very Butchery apprentice helpful when you’re starting a cut above the rest out in a new career. With Countdown Mailer Street Butchery their support, I’m looking Manager, Tristan Fraser, didn’t start his career in butchery, but is certainly well on forward to completing my the way to establishing one with help apprenticeship this year.” from Countdown. Tristan Fraser, Butchery apprentice Tristan is in his third year of Countdown’s apprenticeship programme, which offers team members the opportunity to earn while they learn through a butchery or bakery apprenticeship in our stores. The apprenticeships are run with support from Competenz and allow participants to gain internationally recognised qualifications. Over the last year, 11 of our team have completed apprenticeships and 99 are currently working towards completing their butchery or bakery apprenticeship. Team under 25 Tristan, who came to work for Countdown after eight years working in and then 5,979 managing a hunting and fishing store, has easily transitioned into his new role managing a team of four across the Mailer Street meat and seafood team. “Butchery is something I’m really passionate about and it’s been really great learning the tools of the trade by working alongside the experts. It’s humbling the amount of time they are willing to spend in Countdown careers teaching me the finer cuts.” COMMITMENT 5 centres, meat and seafood plants and The support for apprentices goes beyond We will develop Whether it’s working in our stores around support office. being taught by the experts. For Tristan, the careers of the school or university studies, completing Countdown team the store management team have also an apprenticeship or being a part of with a focus on An important part of attracting young been great to work with. youth. our SEEDs or graduate programmes, people to work with Countdown is Countdown continues to provide giving them an insight into how diverse hundreds of young Kiwis with their first job careers within our business can be. Our and a great start to their careers. SEEDS (Students Entering Employment We’re proud to employ 5,979 New Developing Skills) programme, which Zealanders who are 25 years old or brings secondary school students into younger across our stores, distribution stores one day a week over 10 weeks, is designed to do just that.
18 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 19 Policies for our people childcare pickups, and at times that work fantastic for a number of his team, who “ I am proud to work for an for them and their employer. have worked with flexibility for some time We know that all our team members make but now in a more supported way. organisation that is aware a choice every day to give their time to us. For our office-based team, we know having flexibility at work is really important. “In the buying team we’re conscious of the impact it has and Because of that, we have a responsibility to Not only does it help increase their work that many of our people at times either ensure we create a workplace that allows satisfaction and make Countdown a great need, or would like, to drop off or pick that does its best to utilise our team to be who they are and bring place to work, many of our team also say it up their children from school. Others like its resources and makes their whole selves to work. We want each makes them more productive. to be involved in their children’s sporting of our team members to feel supported endeavours which means managing Kiwis lives a little better and valued and also to be proud to work In early 2019 our new group-wide their time flexibly and not necessarily Flexibility Policy was launched, giving our every day. Countdown for Countdown. office-based team the freedom and tools the standard 9-5. To help, we recently changed all of our team meetings to be really cares about its team Making flexibility work to work in a way that works for them and within school hours,” says Scott Davidson, the business. As part of the launch for this and communities and is policy, our team have been encouraged General Manager Merchandise. Changes in technology and lifestyle have passionate about doing meant that the ways people work are to consider a range of flexible working Because of their process and service options and look at what might work best driven nature, the Flexibility Policy will the right thing.” changing significantly. Many people are for them and their team. look a little different in our stores. We’re now able to do their jobs from almost Annabelle Cole, Countdown graduate looking at how this might work to make anywhere, giving them more freedom to General Manager Merchandise, Scott sure workplace flexibility can be an option work around things like traffic, school and Davidson, says the policy has been for teams right across our business. “This policy allows From fashion to food “After finishing university, I wanted to competitive advantages that can come our team to maintain work for an organisation that would see from developing adaptable supply chains Our graduate programme continues to the strengths I could bring to a role, and - something that is paying dividends in her their contribution to attract hundreds of applicants each year. also be prepared to invest in me and offer graduate role in logistics. In early 2019, we were excited to welcome new opportunities. As someone who is important business “Our business is constantly adapting and 13 new graduates who are now working also passionate about social responsibility, changing to give our customers our best matters, but also across a range of departments and I wanted to find an organisation that every day. Working with our team and projects as well as developing their skills in aligned with my own beliefs and that suppliers to get the right products, in the provides flexibility COMMITMENT 6 constantly strives to do better every areas related to their own career interests. day. Countdown’s graduate programme right place, at the right time, with good for personal and We will continue to prices, can be a challenge. It has been develop employment For a fashion design graduate, the aligned with what I wanted out of an really pārekareka seeing how dedicated family choices.” policies appropriate supermarket industry wouldn’t seem like organisation and a role.” to our New Zealand a likely first choice when starting a career. our team is and how hard they work to get Scott Davidson, GM Merchandise team to provide a supportive work However for 2019 Countdown Graduate Annabelle’s studies led her to look at the most out of every day.” environment. Annabelle Cole, who has a passion for both the potential future of the New supply chain management and logistics, it Zealand apparel industry as well as how was exactly that. it has adapted to globalisation. Doing this work has driven her interest in the
20 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 21 Charting a better path for road safety “I Am Here is a really simple While the overall number of crashes method anyone can adopt to involving trucks has decreased significantly over the last decade, according to the support someone who may Ministry of Transport deaths from crashes need help. There are no wrong involving trucks still makes up around 20 per cent of the total road toll. questions. It’s empowering Our supply chain team works closely with and safe and focused on freight suppliers to ensure we’re keeping truck drivers, customers and other road fostering a culture of care.” users safe as they travel the country Kiri Hannifin, GM Corporate Affairs, delivering goods into our stores and Safety and Sustainability distribution centres. Underpinning this is our Transport Safety Charter, which plots Countdown’s safety ambitions over the next 10 years and is already seeing some positive changes in the freight industry. The Charter gives our freight and supply chain partners a clear overview of our expectations when it comes to safety, and it allows us to work alongside them to make fleet changes that will help keep our team, their team and other Kiwis safe on our roads. Our secondary freight contracts specify mandatory safety features including eyelid monitoring fatigue alerting system, 24/7 speed monitoring, park-brake alarms, fleet age, electronic braking systems and under-run protection. Over the next year, we’ll be working with our primary Keeping our team and Stop for Safety freight carriers to make similar changes, customers safe In March 2019, we held our first as well as improving safety at our store COMMITMENT 7 delivery points. company-wide ‘Stop for Safety’ team We are committed We have an absolute responsibility to our to maintaining a huddle. Across Aotearoa, all 18,400 of workplace that team and our customers to make sure they our team, as well as our contractors and I Am Here Over the last year we have been working “Some of us can navigate these times safeguards the health all get home safely. This is a priority for our and wellbeing of our service providers, stopped work to focus to continue to remove the stigma on our own, but most of us need some business and something we focus on each New Zealand is experiencing a mental people, customers on what each of us could do to build the surrounding mental health issues and help and that’s something Kiwis aren’t and visitors. and every day. health crisis. Last year, the number of safest workplace in the country. It’s a create a working environment where our that great at admitting. Sadly, there is still Like most companies, we’re not immune big deal to stop a company of our size people who took their own lives was the team feel comfortable speaking up when completely unjustified stigma attached to to workplace accidents. The hugely varied in its tracks – but it’s an indication of highest since records began, which was they are struggling, and know they will get mental health and that puts us off letting environments our team work in means that how seriously we are taking safety in our the fourth year in a row that number has the support they need. people know we are finding life tough. there is no one-size-fits-all solution when business. The giant team huddle gave increased. Our youth suicide rates are Knowing what to do for the people we care it comes to health and safety. For example, everyone an opportunity to reflect on among the highest in the OECD with young In February 2019, we launched I Am Here about is hard. None of us want to say the keeping our team safe in our distribution our current health and safety practices men most at risk. - an online training course to help team wrong thing or make it worse. I Am Here centres is a different challenge to keeping and what we can all do to keep safe. become confident in recognising when Given mental illness affects one in five New is a really simple method anyone can adopt team and customers safe in our stores. someone may be in need and providing Zealanders, we know that many of our to support someone who may need help.” them with support. Since launching the We know that one of the best ways we can team are experiencing or will experience says Kiri. programme, more than 600 members of prevent accidents at work is by putting mental distress. It’s an issue we are taking our team have taken part in the training. safety at the centre of everything we do seriously as a business. Improving the and by ensuring our team know that if mental health of our nation is something General Manager Corporate Affairs, Safety something can’t be done safely, then it can’t that all of us, including business, can play and Sustainability, Kiri Hannifin, says most be done at all. a role in. people in their lives will experience some form of mental distress.
22 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 23 Creating more New Countdown Hāwera Changes across the store include: accessible supermarkets accessible for all • A visual alarm system for emergencies and an EVAC chair for wheelchairs at the With three million customers each week, When Countdown’s Hāwera store emergency exit the needs of our customers go beyond reopened in May 2019, it came with a few • Contrasting colours for doors and reduced what they want to see on our shelves. extra features beyond a more expansive natural light in the entry area to avoid glare It’s also about creating store environments fresh produce department and energy for visually impaired customers that make shopping easy, regardless of efficient fixtures and fittings. their abilities. • Wider aisles have been designed to Thanks to mobility and accessibility provide space for wheelchairs, mobility Over the last year, we have continued being at the heart of the store’s redesign, scooters and prams working with a range of community Countdown Hāwera proudly became stakeholder groups to not only change how New Zealand’s first ‘Be. Accessible’ • Team areas have been designed to cater we develop our new stores, but also to look accredited supermarket, helping all New for a range of mobility needs at how we can create better experiences for Zealanders feel welcome when they shop • Wider mobility car parks which are customers and team who have disabilities with us. clearly marked in blue, dedicated or need a bit of extra help. mobility scooter parking, and a safe and During the store’s significant Countdown first introduced Quiet Hours refurbishment, our team worked easy path to the store entrance from in April 2018 in Countdown Marton, and alongside Be. Accessible to ensure the mobility car parks now eight stores hold regular shopping store was more user-friendly, accessible • Two mobility scooters owned by the times where lights are dimmed, sounds are and inclusive for customers and team store, which can be loaned to customers reduced and there is minimal movement members with disabilities. to use while shopping designated drop- on the shop floor for an hour. This creates off zone for taxis and vans. an optimal shopping environment for customers with autism spectrum disorders, as well as others who can struggle with the traditionally busy supermarket environment. Plans are underway for several more stores throughout the country to start their own Quiet Hours over the next six months. In early 2019, a number of our Dunedin stores became the first to test a new mobility car park monitoring app - Access Aware. Developed by CCS Disability Action, the app is designed to report the misuse of mobility car parks in real time and help keep Love is Love mobility parks free for when people need them most. Countdown was proud to achieve Countdown was also proud to be a The app is being trialed in our four Dunedin Rainbow Tick certification in November key sponsor of RainbowYOUTH’s 30th 2018 - a milestone that was celebrated by birthday, a charitable organisation COMMITMENT 8 stores. We’ll look at customer and team our teams throughout New Zealand. working with queer and gender diverse Achieve Rainbow feedback as well as the number of reports Tick certification received so we can consider rolling out the youth to provide peer support, drop- in New Zealand, To mark the occasion, our team was asked technology across other stores. in centres, resources, professional demonstrating our to share why having the Rainbow Tick commitment to development courses and counselling. matters. We were flooded with responses LGBTI inclusion. “Supermarket shopping is about how the Rainbow Tick was an Now that the Rainbow Tick has been a basic task that everyone important part of creating a safe, non- achieved, the focus is on maintaining the judgmental, inclusive and empowering accreditation. Over the next year, we will should be able to do with workplace for our team - regardless of be looking to encourage greater visibility ease. The Hāwera store is a who they are and who they love. of our LGBTI team across our business as well as continuing to hold focus groups great example of creating a Team were also encouraged to enter a to ensure we’re meeting the needs of our cake decorating competition. We received supermarket and a workplace entries from right across the business – team and supporting efforts to be even more inclusive and diverse. that can cater to everyone from our distribution centres and stores to our support office – with Countdown regardless of ability.” pride clearly on display. Neville Pulman, Be. Accessible
24 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 25 Planet – for a healthy Aotearoa New Zealand We want to find new and innovative ways to protect our precious environment for generations to come. We’re committed to reducing our emissions and using more sustainable products and materials. We’re also looking at any opportunities to use, waste and pollute less. Reduction in Reduction in carbon emissions refrigerant leakage 13.9% Certified paper, pulp 28% Food rescue donations 91% and timber $6.9M
26 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 27 Zeroing in on “The relationships we food waste have with the local store teams and the wider Globally, one third of all food produced is wasted, and according to Love Food Hate Waste, Countdown business collectively New Zealanders throw out more than 157,000 tonnes of food each year in their have been hugely homes. Not only is this hugely detrimental to the environment, creating greenhouse gases as beneficial to our local food rots in landfills, but it’s also unacceptable given the number of children and families in our communities in need.” country going hungry each day. John Paine, Food Impact Director, Good Neighbour, Tauranga TOTAL FOOD DONATED THROUGH FOOD RESCUE: $6.97MILLION FOOD DONATED TO FOOD DONATED TO FOOD DONATED THE SALVATION ARMY: ȥ OTHER FOOD RESCUE AND TO FARMERS: FOODBANK CHARITIES: $2.33 $2.87 $1.77 MILLION MILLION MILLION Supporting Good social enterprise providing training and mentoring to help transform lives. It also Neighbour to get cooking means rescued food can now be turned into snacks and sold for catering purposes COMMITMENT 9 Good Neighbour in Tauranga has been by people who are unemployed or are Towards zero food In 2017, we publicly stated our goal to To ensure we’re also financially In addition to Food Rescue, we are working with Countdown to rescue food waste going to landfill. seeking new skills. work towards zero food waste going to contributing to building a sustainable working on a project towards zero food that would have otherwise gone to waste landfill. As a food business, it will always food rescue sector, our Countdown Food waste through better waste management since 2015. Good Neighbour currently “Unfortunately demand for food assistance be a challenge but it’s one that we’re up Rescue Partners Contestable Fund has in our stores and reducing our stock loss. rescues 450 tonnes of surplus food each isn’t slowing down and as a charitable for and working hard on. seen more than $435,000 donated to our While just 0.42 per cent of our total sales year from our stores and distributes it organisation our resources are often charity partners over the last three years. is wasted, work is currently underway to 55 community organisations across stretched thin. Countdown’s support Our food rescue and food waste diversion to help understand what opportunities Tauranga who are working to alleviate food of Good Neighbour Kitchen is helping programmes continue play a key role in This year, the majority of the $165,000 we have to reduce this even further, and insecurity and hunger in the region. us move to a more sustainable social reducing surplus food going to landfill. awarded went towards helping our move towards zero food waste to landfill. enterprise model, where ultimately we 100 per cent of our Countdown stores partners expand their operations, whether Countdown has also helped support This work is being funded in part by the will be able to rescue more food and feed have food diversion in place, where that’s buying a new vehicle to transport Good Neighbour through its Food Rescue Ministry for the Environment’s Waste more people in need. We look forward to surplus food is donated to charity products, building a kitchen or hiring Partners Contestable Fund. The $45,000 Minimisation Fund. seeing how the food rescue sector evolves partners like The Salvation Army for more team. in funding to date has been used to help in the future,” says John Paine, Food people in need, or to farmers as scraps to set up a new commercial kitchen, which Impact Director, Good Neighbour. feed their livestock. opened in June 2019. The Kitchen is a
28 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 29 packaging. They are expected to be rolled out in 30 of our stores by the end of 2019. “This is something Plastic removed since early 2018 • We’ve started using recycled PET Countdown needs to do to instead of virgin plastic for some of our meet the ongoing demands own brand products like bottled water of its customers when it 117T and bakery items. This helps reduce the need for virgin plastic and provides comes to packaging. It’s a market for these types of recycled products in New Zealand. great to have been able to Single-use plastic play a role in Countdown’s carrier bags Trialing traps for litter work to reduce its impact diverted from New Zealands Our store car parks, back-of-store areas on the environment. waste stream 338M and distribution centres see a lot of foot Knowing that my work is and product traffic with customers visiting our stores and deliveries being made to contributing to a better ensure our shelves are always stocked. planet for future generations Because of this, pieces of rubbish and litter often end up outside and blown into nearby is really exciting!” stormwater drains before it can be picked Jefferson Damayo, Packaging Specialist up and properly disposed of. We have recently begun a trial of Stormwater360’s LittaTraps at our Auckland distribution centre and Countdown Takapuna store to help prevent litter ending up in our waterways. The trial, which will be completed in 2019, will allow us to see how effective the traps are and whether they are something we can introduce at more of our stores. Haere rā to the plastic bag After announcing in late 2017 that we would be phasing out single-use plastic carrier bags at the checkout and online by the end of 2018, our team worked incredibly hard to Ministry funds help and preventing waste. We want to find materials, recyclability of packaging, and The war on plastic ensure we met our deadline. reduce waste better alternatives to plastic in particular, specific logos and artwork relating to but before that, we need to know what recyclability which gives us a really good During the phase out, our store teams we’re using and why, particularly as we’re understanding of what we need to do.” COMMITMENT 10 Colmar Brunton’s 2018 Better Futures were proud advocates and their passion In late 2018, Countdown was delighted to committed to using 100 per cent reusable, research report showed that the build up of Councils throughout New Zealand have a Improve the clearly had an impact on our customers be awarded Waste Minimisation funding recyclable or compostable packaging in our recyclability of our plastic in the environment was the number range of different recycling capabilities, who started using their reusable bags from the Ministry for the Environment own brands by 2025 or earlier. Own Brand packaging one concern for New Zealanders – jumping up which means that packaging that can be and contribute to the well ahead of our full phase-out. On 15 towards a project focused on further circular economy nine places from the previous year’s report. In early 2019, we worked with a packaging recycled in one part of the country cannot October 2018, more than two months reducing food waste, identifying positive As global consumer demand for less plastic ahead of schedule and nine months ahead changes to make to our own brand specialist to audit our entire own brand be recycled somewhere else. Looking at has increased, so too has the pressure on our of legislation, we were proud to announce packaging, and investigating circular packaging. This looked at the recyclability which packaging options have the best business here in Aotearoa to make changes for Countdown was the first supermarket economy opportunities within our of the packaging currently being used and ability to be processed within our current the better. Over the last year, we’ve delivered brand in New Zealand to be single-use operations. The project is expected to identified areas where environmentally- domestic infrastructure was also an some positive results: be completed by early 2020. beneficial changes could be made in the important focus of the audit. plastic carrier bag free at our checkouts short, medium and long-term. • Continued to remove plastic and packaging and online shopping service. This has Jefferson says that while 2025 seems far from our produce section, with more than meant 338 million single use plastic bags Taking a hard look at our “These types of audits help establish a away for a lot of people, it’s actually an 117 tonnes of plastic and over 70 tonnes of have been prevented from entering the baseline that can then be used to identify incredibly short timeframe if Countdown cardboard taken out since early 2018. waste stream this year. own brand packaging and pinpoint important and underlying is going to meet its commitment to make issues to tackle,” says Packaging Specialist packaging changes. • Rolled out misting units for fresh produce Almost 90 per cent of our customers are For many products, packaging can serve Jefferson Damayo. “It’s captured data in five of our stores, allowing it to be already bringing their own bags when a vital purpose like keeping food safe such as various packaging types, packaging displayed without unnecessary plastic and they shop with us, so thanks Aotearoa for getting behind us!
30 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 31 Sourcing sustainably Over the last year, we’ve worked with Kiwi farmers to supply our stores with: 21 82 54 2 million million million millon kilos litres free-range kilos of fresh of fresh eggs of fresh New Zealand milk. New Zealand beef, lamb, pork fish and chicken Free farmed fresh pork “We know that animal welfare and that what they grow or produce, we will knowing animals are well cared for is really buy. A great example of this is our recent Our customers regularly tell us that they important for Kiwi customers, and we’ve work with Canterbury wheat growers, who want to buy products from local farms that always taken this approach to our farming had been struggling for a number of years meet high animal welfare standards. business. We’re delighted to be able to with low wheat prices. supply more free farmed fresh pork to For a number of years, we have been In July 2018, we announced that all our Kiwi’s, and importantly make it accessible working with Steve Stern and his team in-store baked bread and rolls are now right across the country.” Steve Sterne, at Patoa Farms to offer free farmed being made from Canterbury-grown We know how important it is for Kiwi our organic Braeburn apples grown by Patoa Farms. fresh pork in a number of our stores. wheat, giving New Zealand’s local wheat shoppers to buy fresh, locally-grown Bostock in the Hawkes Bay, we’re really Patoa Farms, based in Hawarden, North industry a significant economic boost. COMMITMENT 11 produce. We work with more than 1,200 proud to work directly with a wide range Canterbury, has been free farming pork Canterbury wheat The multi-year commitment sures up the Kiwi farmers to stock our supermarkets, of local growers. whole supply chain, and allows growers Source key raw as well as hundreds of Kiwi growers For products that come from further since 1988 and is independently certified forthe win to reinvest in their businesses and look at materials and for a wide range of delicious fresh fruit by the SPCA. commodities to an afield, we’re continuing to ensure we’re other opportunities to make the most of independent standard and vegetables. In October 2018, we were pleased Having great working relationships with sourcing from sustainable sources that their land. by 2020. We will to announce that 100 per cent of all our local growers and farmers is not only raise awareness of Over the past year, we have had a strong have been independently verified. 100 sustainably sourced Countdown’s fresh pork nationwide would great for our customers, but it also gives focus on local producers, and sharing per cent of all our own brand tea, sugar products. be Patoa Farms free farmed pork, making our business a better understanding of the their stories with our customers. Whether and chocolate is sustainably sourced from animal welfare considerations a more challenges they face. it’s lettuce from Sutherlands Produce vendors that have been independently in Ramarama, Auckland, our sweetcorn certified by groups including Fairtrade, widely available choice for consumers. Where possible, we’re working to find from the McPhail family in Gisborne, or Rainforest Alliance and UTZ. opportunities to give our suppliers the ability to plan for the long-term, knowing
32 COUNTDOWN SUSTAINABILITY REPORT 2019 1 PERFORMANCE HIGHLIGHTS 2 PEOPLE 3 PLANET 4 PROSPERITY 33 Cage-free eggs prints a Countdown logo and code on each “The quality, safety and integrity of egg at the farm, right after being laid and the products we sell on our shelves is The demand for free-range and barn before packaging, ensuring full traceability paramount to us, and by stamping our “We’re delighted eggs shows no sign of slowing down, from farm to plate. eggs we want to provide that next level of increasing by 50 per cent in the last traceability for our customers too. We have couple of years. More and more customers want to know how the eggs We were the first national retailer to announce we will move to barn-laid or free always audited our own brand egg suppliers and over the last two years we have also to be partnering they are cracking into a pan, pot or bowl have been produced and how hens have range eggs on-shelf by the end of 2024 in the North Island and 2025 in the South audited all free range eggs that we stock with Countdown been cared for. Island. Additionally, we have committed on our shelves, and independently verified traceability from the farm right through to offer more to selling only free range and barn eggs in To help our customers make informed our own brand labels by the end of 2022. the supply chain. We are proud to be giving customers that extra assurance that our Kiwis the chance to try our organic decisions about the eggs they buy, we This commitment is supported by our Egg introduced traceability stamps on all our eggs are verified as free range and that Producers Programme, which began in own brand eggs in early 2019. The new stamp uses food grade ink, which is safe 2016 and aims to help farmers reach the extra 150 million free range and barn eggs their journey is traceable.” Nikhil Sawant, Countdown’s Head of Perishables Braeburn apples.” to eat and doesn’t affect the egg, and needed each year by our target dates. John Bostock, owner of BOSTOCK New Zealand. “Our customers want to know where their food comes from, particularly if their purchasing decision is based on animal welfare.” Apples go organic move to certified organic Braeburn is a Palm Oil major play to help make organic produce In April 2019, Countdown became more affordable and accessible for Kiwis. The impact of palm oil production on Nikhil Sawant, Head of Perishables the first national New Zealand “Growing healthy premium produce in the environment is an ongoing concern supermarket retailer to offer only 100 partnership with nature is our priority. for our business as it is for many of our per cent organic Braeburn apples at We want to leave the rivers and land in a customers. We are continuing to work supermarkets nationwide, rather than the good condition for future generations. on ensuring both our food and non-food conventionally-grown variety. We started our grower journey as products use palm oil that is certified by conventional farmers and after having the Roundtable on Sustainable Palm Oil According to the 2018 New Zealand young children and seeing the liberal use (RSPO), of which we’re a member. Organic Sector Market Report, commissioned by Organics Aotearoa of pesticides and artificial substances, like We want our customers to be able to NZ, eight out of ten New Zealanders buy many of our customers, we had concerns make informed choices when they shop organic products at least fortnightly. and this encouraged us to start looking with us, which is why where palm oil is In fact at Countdown, the demand for for healthier alternatives. In 1996 we used as an ingredient in any of our own organics is growing at more than twice converted our farm to organic and now brand products, we clearly label it as ‘palm the speed of the conventional market. we export to more than 20 countries oil’ on the packaging. 100 per cent of the around the world.” John Bostock, owner palm oil in our own brand food products With more than five million apples sold of BOSTOCK New Zealand. is RSPO certified. each year and Braeburn being one of the most popular varieties, the decision to
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