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We Believe Everyone Can
FLOURISH
2019 & 2020 CORPORATE SUSTAINABILITY REPORT
ARBONNE PBC, A DELAWARE PUBLIC BENEFIT CORPORATION
SUSTAINABILITY REPORT 2
TABLE OF CONTENTS
3 A LETTER FROM OUR CHIEF PEOPLE & CSR OFFICER
4 OUR APPROACH & COMPANY GOVERNANCE
13 CUSTOMER WELFARE: THE ROOT OF OUR PASSION FOR EXCELLENCE
16 ENVIRONMENTAL IMPACT: MEASURING WHAT MATTERS AND BENCHMARKING TO BE BETTER
32 COMMUNITY IMPACT: SOCIAL IMPACT TO ENSURE EVERYONE CAN FLOURISH
35 EMPLOYEE WELFARE: INSIDE OUR CULTURE
42 COMPANY GOVERNANCE: OPERATING WITH INTEGRITY
ARBONNE
SUSTAINABILITY REPORT 3
A LETTER FROM OUR CHIEF PEOPLE & CSR OFFICER
Hello!
Over the last couple of years, the Arbonne community has been on a journey to
make a difference, more than ever. Together, with our global Arbonne Independent
Consultants, our suppliers, our partners, and our communities, we have made a
tremendous amount of social and environmental impact. This topic is a personal
passion of mine — and more importantly — it is a part of our company’s heritage. While
it has not been easy, we have the desire, the ability, and ultimately, the responsibility, to
help create a better world today and for our future.
Over the course of our history, Arbonne has done some incredible things. Our
products are rooted in cruelty-free, ethical sourcing. We have been carbon neutral
since 2017. Our headquarters and distribution center in Irvine, California, has been
operating above zero waste criteria since 2017. We have facilitated incredible social
impact for hundreds of thousands of youths through the Flourish Arbonne Foundation.
We have accomplished a lot.
In January of 2020, we reached what I consider our greatest milestone to date:
Our company surpassed an incredibly arduous, third party-validated sustainability
assessment and became a Certified B Corporation™. We are proud to be a part of
this global movement of companies committed to making the world better for all. We
pledge to use our business as a force for good and to balance purpose with profit in all
of our decision-making. With recent global health and environmental crises escalating
wildly, it is crucial that we uplift the welfare of our communities, our employees, the
environment, and our customers, now more than ever before.
Although these accomplishments are excellent, we will continue to break through
boundaries to create positive impact for all stakeholders. Our purpose is even greater
than all this. Together, we can strive to not just be the best company in the world, but
the best for the world.
Chief People & CSR Officer
ARBONNE
SUSTAINABILITY REPORT 4
OUR APPROACH &
COMPANY GOVERNANCE
ARBONNE
SUSTAINABILITY REPORT 5
B IS FOR BENEFIT
CORPORATE STRUCTURE VALUES THAT SUPPORT THE
In 2019, Natural Products Group, Inc. converted its corporate structure into UN SUSTAINABLE DEVELOPMENT GOALS (UN SDGS)
a Delaware Public Benefit Corporation and changed its name to Arbonne, The UN Sustainable Development Goals, or SDGs, include 17 crucial goals that
PBC. Arbonne, PBC is the parent company of Arbonne International, LLC, in provide an historic opportunity to unite all global stakeholders to end poverty,
the United States and its subsidiary companies outside of the United States, fight inequality and injustice, and protect our planet. The UN SDGs offer a
as well as Levlad, LLC. This report reflects 2019 data along with 2020 progress road map to creating a better and more sustainable future for all.
updates for specific case studies for Arbonne, PBC (hereinafter referred to as Learn more: https://sdgs.un.org/goals.
“Arbonne”), including subsidiary companies. This report has been prepared in
accordance with the Global Reporting Initiative (GRI) Standards.
Benefit corporations are committed to the highest standards of purpose,
accountability and transparency and demonstrate a commitment to creating
public benefit. They are also committed to considering the company’s impact
on society and the environment to create long-term sustainable value for all
stakeholders.
We are proud to share that in 2019, our owners, France-based Groupe
Rocher, also took the tremendous step forward in securing its mission — to
Reconnect People with Nature — by adopting the French PACTE Law. The
PACTE legislation, similar to the Benefit Corporation legal structure in the
United States — société à mission — allows French companies to commit
to considering social and environmental issues in business decisions and to
formally include such commitments in their bylaws. Arbonne, PBC is one of 10
brands owned by Groupe Rocher.
ARBONNE
SUSTAINABILITY REPORT 6
OUR SUSTAINABILITY TEAM
FABIENNE ANDREA JILL
SMOLINSKI CHASE TODD
CHIEF PEOPLE & DIRECTOR OF CORPORATE SENIOR SUSTAINABILITY
CSR OFFICER RESPONSIBILITY & SOCIAL IMPACT MANAGER
ARBONNE ARBONNE ARBONNE
OUR BOARD OF EXECUTIVE LEADERSHIP
BRIS JACQUES JEAN-MICHEL VINCENT
ROCHER ROCHER GARRIGUE NIDA
CHAIRMAN, DEPUTY CHAIRMAN, MEMBER, DIRECTOR MARKET MEMBER,
CEO PRESIDENT DIVERSIFICATION DEPUTY CEO
GROUPE ROCHER YVES ROCHER FOUNDATION GROUPE ROCHER GROUPE ROCHE
ARBONNE
SUSTAINABILITY REPORT 7
OUR LOCATIONS
OFFICES DISTRIBUTION CENTERS
Irvine, California, USA — Headquarters Greenwood, Indiana, USA
Addison, Texas, USA Irvine, California, USA
Mississauga, Ontario, Canada
Northampton, England, United Kingdom
Sydney, New South Wales, Australia
MANUFACTURING PLANT
Chatsworth, California, USA
ARBONNE
SUSTAINABILITY REPORT 8
FLOURISH: PEOPLE, PLANET AND PRODUCTS VALUES BASED ON THE BENEFIT OF ALL
At Arbonne, we believe everyone can flourish by being good to themselves, As a company and as a community, Arbonne is committed to these key brand
their community, and the planet. Since 1980, Arbonne has developed formulas values that guide our efforts:
with botanicals to provide functional benefits that are always backed by
research. We take an integrated approach to skincare and nutrition, with
products focused on healthy living inside and out.
We strive to create high-performing formulas that are:
PVegan
EMPOWERMENT TRANSPARENCY SUSTAINABILITY
We champion authenticity We strive to be an open We’re a purpose-driven
through a community book in our actions and company committed to
PCruelty-Free (Topical Products) that’s diverse, inclusive words, from our business being accountable for
and welcoming, with a opportunity to the our actions to the planet
“We’ve got your back” ingredients we choose. through moving to greener
PFormulated Without Gluten attitude. packaging and uplifting
responsible operations.
We seek to inspire our
community to uphold the
PNon-GMO (Nutrition Products) same values.
PScientific Rigor Driving Efficacious Products
“When I dreamt of Arbonne, I wanted it to be a
Develop a holistic approach to beauty, health and wellbeing, focused place where people could flourish.”
on the whole person to help them flourish inside and out — PETTER MØRCK, ARBONNE FOUNDER, 1980
Embrace the connection between a healthier mind, stronger body,
and more beautiful skin
BUSINESS MODEL: EMPOWERING
Foster a positive mindset that helps people and communities flourish PEOPLE AND CHANGING LIVES
with our healthy living lifestyle and entrepreneurial business opportunity Arbonne’s distribution channel is direct sales. This is a social marketing
opportunity that is both challenging and rewarding, where you run your
own business and mentor a team. It’s an opportunity to earn a little extra
money, gain more control over your time, and increase self-confidence and
leadership skills. For more information, visit earnings.arbonne.com.
ARBONNE
SUSTAINABILITY REPORT 9
PROUD TO B IN GOOD COMPANY
B CORPORATION STATS
Founded 3,800+ 150+
in 2007 companies industries in
74 countries
ARBONNE STATS
In May of 2019, Arbonne began the rigorous assessment process required
to become a Certified B Corporation™ by the nonprofit B Lab. In early
December 2019, we were proud to achieve this certification. Through our
certification, we have met the highest, third party-validated standards to
consider the impact of our decisions on the community, our company, our
consultants, our employees, and the environment. Being a B Corp applies
to every region of the world we operate in, making it our most inclusive
certification to date. Top 25 largest Top 5 largest
Certified B Corporations commit to using their business as a force for good companies companies
by balancing purpose and profit. Founded in 2007, this global community (by revenue) (by revenue) certified
of leaders has grown to include more than 3,800 companies across 150-plus
industries and in more than 74 countries. certified worldwide in the personal
care segment
ARBONNE
SUSTAINABILITY REPORT 10
OUR SUSTAINABILITY COMPASS
Our practices are guided by five pillars that consider the inclusion and welfare of all stakeholders.
ARBONNESUSTAINABILITY REPORT 11
OUR SUSTAINABILITY COMPASS
We are committed How we run our company Our customers are at the Our employees mean We understand that for
to contributing to is incredibly important. root of our passion for the world to us, and we our business to flourish,
the economic and We are committed to excellence. As such, we are believe that it is crucial our planet must flourish.
social wellbeing of the preserving our purpose committed to improving the to create a workplace Environmental stewardship
communities in which we and uplifting policies value of our products and culture that contributes to is at the heart of our
operate and in uplifting and practices that services for our Arbonne our employees’ financial, business decisions, and we
these principles throughout ensure accountability, community of Consultants physical, professional, and are proud to be working
our value chain. transparency and the and consumers. social wellbeing. Arbonne toward aggressive goals
utmost of ethical standards. believes in people, and we to preserve precious
wouldn’t exist or be able resources and protect
to meet our sustainability our planet.
goals if not for our
dedicated team.
ARBONNESUSTAINABILITY REPORT 12
PARTNERING FOR PROGRESS
CERTIFIED B CORPORATION™ — UN GLOBAL COMPACT (UNGC)
BUSINESS IMPACT ASSESSMENT (BIA) The United Nations Global Compact is a voluntary initiative
Certified B Corporations are businesses that meet the based on CEO commitments to implement universal
highest standards of verified social and environmental sustainability principles — such as human rights, labor,
performance, public transparency, and legal accountability environment, and anti-corruption policies — and support UN
to balance profit and purpose. The process of becoming goals through their organizations. For more information, visit
a Certified B Corporation involves passing a robust https://www.unglobalcompact.org.
company-wide benchmarking study, called the Business
Impact Assessment, and retaking the assessment and
UN SUSTAINABLE DEVELOPMENT GOALS (UN SDGS)
meeting the requirements for recertification every three
years. The results of Arbonne’s BIA is publicly published The United Nations Sustainable Development Goals include
here: http://bcorporation.net. 17 crucial goals that provide an historic opportunity to unite
all global stakeholders to end poverty, fight inequality and
injustice, and protect our planet. For more information, visit
https://www.unglobalcompact.org/sdgs/17-global-goals.
ROUNDTABLE ON SUSTAINABLE PALM OIL (RSPO)
Arbonne is a member of the Roundtable on Sustainable
Palm Oil, a nonprofit that unites stakeholders from DIRECT SELLING ASSOCIATION (DSA)
the seven sectors of the palm oil industry. For more Direct Selling Association is the national trade association
information, visit https://rspo.org. for companies that market products and services directly
to consumers through an independent, entrepreneurial
salesforce. DSA serves to promote, protect and police the
TERRACYCLE® direct selling industry while helping direct selling companies
and their independent salesforce become more successful.
TerraCycle is a social enterprise finding creative ways
For more information, visit https://www.dsa.org/.
to turn trash into treasure. Arbonne has partnered with
TerraCycle to launch a national recycling program in the
®
United States, Canada, and the United Kingdom for hard- DIRECT SELLING SELF-REGULATORY COUNCIL (DSSRC)
to-recycle Arbonne packaging. For Arbonne-specific The Direct Selling Self-Regulatory Council (DSSRC) provides
information, visit https://www.arbonne.com/us/en/our- impartial monitoring, enforcement, and dispute resolution
story/arbonne-cycle. regarding product claims or income representations
(including lifestyle claims) disseminated by direct selling
To learn more about TerraCycle, visit https://www.
companies and their sales force members. DSSRC was
terracycle.com/en-US/.
established in 2019 to proactively monitor the marketplace
and enforce program standards to promote truth and
transparency in the growing direct selling industry,
including on social media platforms. Learn more at https://
bbbprograms.org/programs/all-programs/dssrc.
ARBONNESUSTAINABILITY REPORT 13
CUSTOMER WELFARE: THE ROOT OF
OUR PASSION FOR EXCELLENCE
ARBONNESUSTAINABILITY REPORT 14
CUSTOMER WELFARE
Arbonne has several mechanisms in place to help manage both the impact
and value of the products for Consultants and Clients. These include:
Offering a formal product guarantee
Third party-quality certifications or accreditations
Formal quality control mechanisms
Customer service feedback or complaint processes
PRIVACY, PERSONAL
Monitoring customer or consumer satisfaction
INFORMATION, AND LOSS OF DATA
Assessing the outcomes produced for our customers Arbonne takes reasonable steps to protect the personal information Arbonne
through the use of our product or service has under its control against accidental or intentional manipulation, loss,
destruction, or access by unauthorized persons. A comprehensive privacy
Written policies and procedures in place for ethical marketing,
policy is publicly posted on the company website, including details about what
advertisement, or customer engagement.
personal information Arbonne collects, why, whether it is shared, how it is
Arbonne has a comprehensive Terms and Conditions document that is protected, and customer rights regarding their personal information: https://
publicly posted on the company website: https://www.arbonne.com/terms- www.arbonne.com/privacy-policy. There is also a dedicated email address
conditions. for questions or inquiries regarding the company’s Privacy Policy: Privacy@
Arbonne.com.
ARBONNESUSTAINABILITY REPORT 15
INCIDENTS OF CUSTOMER PRIVACY MARKETING AND LABELING
BREACHES AND CUSTOMER DATA LOSSES Arbonne products feature required packaging and labeling information,
Arbonne did not face litigation, fines or settlements related to leaks, thefts or where applicable:
losses of customer data during 2019 & 2020.
PProduct identity
Significant fines and non-monetary sanctions for non-compliance with
PNet contents
environmental laws and/or regulations during 2019 in terms of:
PDirections of use
PNutrition facts/supplement facts/medicinal ingredients (country and
category dependent)
0 0 0 PIngredient listing
TOTAL MONETARY VALUE TOTAL NUMBER OF TOTAL CASES PWarnings/caution statement
OF SIGNIFICANT FINES- NON-MONETARY BROUGHT THROUGH
— NONE SANCTIONS DISPUTE RESOLUTION PName/location of distributor or responsible person
— NONE MECHANISMS
— NONE PStorage information (if applicable)
PCountry of origin/“Made in” statement
PAllergens and facility allergen statement (as applicable)
PCertifications, logos and symbols
PLicense number (when applicable)
PLot code and date marking
The company website also features an Ingredients Guide that lists all
ingredients utilized in all products: https://www.arbonne.com/us/en/healthy-
living/ingredient-guide. Moreover, each product shown on the website
includes the usage, ingredients, certifications, and a dedicated Meet the
Product Sheet with additional features and benefits for Arbonne Independent
Consultants, customers, consumers, and the general public to access before
purchase or simply for information.
Arbonne conducts business in accordance with the laws and regulations of
each country in which an Arbonne business is located.
ARBONNESUSTAINABILITY REPORT 16
ENVIRONMENTAL IMPACT:
MEASURING WHAT MATTERS AND
BENCHMARKING TO BE BETTER
ARBONNESUSTAINABILITY REPORT 17
ENVIRONMENTAL FOOTPRINT
We understand that for our business to flourish, our planet must flourish. Environmental stewardship is at the heart of our business decisions, and we are proud to be
working toward aggressive goals to preserve precious resources and protect our planet.
ENERGY 2020 Share of Renewable electricity %
According to the international organization IEA, the power sector has
accounted for nearly two thirds of greenhouse gas emissions growth in recent 100 100
years1. At Arbonne, we understand that reducing our energy demand and
moving to renewable energy is crucial to doing our part to reduce greenhouse 80
gas emissions driving climate change.
60
2019 & 2020 IMPACT SUMMARY
In 2019, compared to 2018 data, we saw electricity efficiency progress in all
40 34 34 35
but one of our locations worldwide. 22
20
In 2020, compared to 2019 data, we saw a significant decrease in electricity 9.5 7
consumption, but a slight increase in natural gas consumption.
Arbonne Arbonne Arbonne Levlad Arbonne Arbonne Arbonne Arbonne
NOrthamPton, UK SYDNEY, AU Production DC, INDIANA, USA HEADQUARTER & DC Call Center, Mississauga, CAN
ELECTRICITY NATURAL GAS California, USA California, USA TEXAS, USA
1% 8.6%
2020 HIGHLIGHTS
2019 TOTAL WORLDWIDE POWER 2019 TOTAL WORLDWIDE NATURAL
CONSUMED: 5,581,516 KWH, GAS CONSUMPTION: 2,847.7 MWH,
DOWN 1% COMPARED TO 2018 UP 8.6% COMPARED TO 2018
ELECTRICITY NATURAL GAS
20 % 12 % 18 %
IRVINE, CALIFORNIA: CHATSWORTH, ADDISON, TEXAS:
In 2020, our headquarters CALIFORNIA: In 2020, our customer
11 % 4% and distribution center
saw a 20% reduction in
In 2020, our
manufacturing facility
service center reduced
electricity consumption
electricity consumption, saw a 12% reduction in by 18%
2020 TOTAL WORLDWIDE POWER 2020 TOTAL WORLDWIDE NATURAL driven by the adoption of electricity consumption
CONSUMED: 4,973,380 KWH, DOWN 11% GAS CONSUMPTION: 2,949 MWH, UP LED lighting, timers, and driven by the adoption
COMPARED TO 2019 4% COMPARED TO 2019 (DUE TO NEW dimmers of LED lighting and other
OFFICE LOCATION OPENING, INCREASED equipment efficiency
PRODUCTION, AND OTHER FACTORS) upgrades
ARBONNESUSTAINABILITY REPORT 18
2020 HIGHLIGHTS
RENEWABLE ENERGY REVIEW
2020 PROGRESS
In June of 2020, our UK office became the first net-zero emissions
location in our portfolio. We were fortunate that our UK location 34 % 1%
already utilized zero emissions heating technologies, and through NORTHAMPTON, UK: GREENWOOD, INDIANA:
converting to 100% renewable electricity generated by wind and hydro Our office reduced consumption by Our distribution center had a 1%
assets, we have been able to eliminate Scopes 1 and 2 carbon emissions 34% by moving to a largely remote increase in electricity consumption due
altogether at this location. workforce due to COVID-19 to an increase in shifts and hours
100 % 20 %
2022 GOAL: 2025 GOAL:
100% RENEWABLE ELECTRICITY 20% REDUCTION IN ENERGY
AT ALL GLOBAL LOCATIONS CONSUMPTION, COMPARED TO 2019
ARBONNESUSTAINABILITY REPORT 19
2019 IMPACT SUMMARY & FUTURE GOALS
We at Arbonne are committed to doing our part to be the best for the world,
including:
Adopting Science Based Targets (SBT) in 2015 to reduce our greenhouse
gas emissions by 30% by 2020 — reaching this goal a year early in 2019
Committed to reducing our 2019 baseline of Scope 1 and 2 greenhouse
GREENHOUSE GAS EMISSIONS
gases by 50% by 2025 and 75% by 2030
Climate change is one of the worst ecological and social threats our
world faces. For every fraction of a degree that our world warms, − To achieve this goal, we must target specific company locations with
we face tremendous impacts to natural systems and risk entering a low renewable energy mix to begin to address and make progress
feedback loops that will further expedite issues that will impact toward reducing the majority of our greenhouse gas emissions derived
habitability worldwide. In 2018, the Intergovernmental Panel on from energy consumption. For instance, we discovered through our
Climate Change released the Global Warming of 1.5 oC – Special 2019 benchmarking that our Greenwood, Indiana distribution center is
Report2, confirming that to have a reasonable change of limiting responsible for more than half of our global greenhouse gas emissions.
global warming to 1.5 oC, we must reach net zero greenhouse gas By targeting this location, we will be able to make a tremendous impact
emissions by 2050. Through this report, it is clear that actions taken on reducing greenhouse gas emissions to achieve our goals.
before 2030 will be crucial in determining whether we can avoid In addition to addressing these direct emissions, we are working hard to
the worst impacts of climate change and make progress against the benchmark and mitigate our Scope 3 indirect emissions. Arbonne offsets U.S.
United Nations Sustainable Development Goals. emissions from U.S. product shipments via the UPS Carbon Offsetting Program.
In 2019, we offset a total of 2,584.16 metric tons of Scope 3 carbon dioxide
emissions through carbon neutral certificates verified by the Société
Générale de Surveillance (SGS) and certified by Natural Capital Partners,
Scope 1 & 2 GreenHouse Gas Emissions BY LOCATION an investment that has helped to support projects that have a positive
impact on the environment, including a landfill methane gas capture
Chatsworth, CA project in Georgia, which converts off-gassing into electricity generation.
20.6%
SYDNEY, AU 2020 EMISSIONS DATA
0.9%
GREENWOOD, IN
NORTHAMPTON, UK 55.1%
0.4%
ADDISON, TX
8.8%
21.3% 78.7% 50%
KG GHG KG GHG 2025 GOAL:
Mississauga, CA 50% REDUCTION IN
2.2% TOTAL SCOPE 1 TOTAL SCOPE 2 SCOPE 1 AND 2 GHG
GREENHOUSE GAS GREENHOUSE GAS EMISSIONS
IRVINE, CA EMISSIONS EMISSIONS
12%
2019 ACHIEVED REDUCTION GOAL
ARBONNESUSTAINABILITY REPORT 20
CARBON NEUTRAL COMPANY
Since 2017, we’ve been offsetting what emissions we have not been able to
eliminate. In 2019, our offsetting investment was for the Darkwoods Forest
Carbon Project in British Columbia, Canada. The Darkwoods property
represents the largest private conservation project in Canada and protects
important habitat for at-risk animals. In addition, the Darkwoods harbors a
wide variety of biodiverse habitats ranging from old-growth forests and alpine
tundra to tumbling creeks and the deep, cold waters of Kootenay Lake. This
program has been validated and verified by various groups in accordance with
the Verified Carbon Standard — under the Improved Forest Management on
Privately Owned Properties in Temperate and Boreal Forests methodology,
resulting in the issuance of internationally recognized Verified Carbon Units
(VCUs). The project has also been validated under the Climate, Community &
Biodiversity Alliance (CCBA) standard, and received a Gold Level certification
for Exceptional Biodiversity Benefits. To learn more about the benefits of
the Darkwoods, please visit the Nature Conservancy of Canada: https://
natureconservancy.ca/en/.
Note: 2020 annual offsets have not been finalized by the time this report was
Alpine Lake on Darkwoods, BC (Photo by Bruce Kirkby) published.
136,000-ACRE DARKWOODS PROPERTY PROGRAM HAS BEEN VALIDATED AND VERIFIED BY:
THE RAINFOREST SCIENTIFIC IN ACCORDANCE
ALLIANCE (RA) CERTIFICATION WITH THE
PROTECT IMPORTANT HABITAT FOR AT LEAST 19 AT-RISK SPECIES, SYSTEMS (SCS) VERIFIED CARBON
INCLUDING AN ENDANGERED HERD OF MOUNTAIN CARIBOU AND STANDARD
AN ISOLATED POPULATION OF GRIZZLY BEARS
ARBONNESUSTAINABILITY REPORT 21
WATER
Clean water is a crucial part of life on Earth as we know
it. Through our water benchmarking and Environmental
Management System (EMS) processes, we have identified
opportunity for water efficiencies at several of our locations.
We will continue to press forward to eliminate any unnecessary
consumption and work toward our goal.
2019 & 2020 IMPACT SUMMARY
Compared to 2018, we have focused on:
2020 Water consumption
upgrading to water conserving fixtures bylocation
2019 Water consumption by location
implementing use of sensor technologies
IRVINE, CA
16%
leading through employee education initiatives 3,947 m3 Chatsworth, CA
focusing on in-use water reductions 61%
15,297 m3
Mississauga, CAN
0.1%
29.04 m3
SYDNEY, AU
1%
43.7 % 3.7 %
150 m3
NORTHAMPTON, UK
0.5%
FROM 2019 TO 2020, WE SAW A 43.7% IN 2019, WE SAW A 3.7% TOTAL 124 m3
REDUCTION IN WATER USAGE AT OUR REDUCTION OF WATER USE ACROSS ADDISON, TX
HQ/DISTRIBUTION CENTER ALL SITES COMPARED TO 2018 16%
3,922 m3
GREENWOOD, IN
22.6 % 11% 7%
1,690 m3
FROM 2019 TO 2020, WE SAW A DESPITE OPENING NEW OFFICE
22.6% REDUCTION IN WATER USAGE AT LOCATIONS, IN 2020, WE SAW AN 11%
OUR CHATSWORTH MANUFACTURING REDUCTION OF WATER USE ACROSS
PLANT ALL SITES COMPARED TO 2019
2025 GOAL: 20% REDUCTION
IN WATER CONSUMPTION
COMPARED TO 2019 BASELINE
20 % OF 28,390 M3
ARBONNESUSTAINABILITY REPORT 22
OPERATIONAL WASTE
According to the World Bank3, humans are on track to create 3.4 billion tons
of waste annually by 2050, drastically outpacing population growth by more
than double. How we manage our outputs, such as waste, is just as important
as how we measure our inputs.
2019 & 2020 IMPACT SUMMARY & FUTURE GOALS
100% of our global facilities, on a square foot basis, have a facility-wide
recycling program that has ongoing collection of at least all standard
materials in their local area
ENVIRONMENTAL COMPLIANCE PROGRAMS
Our Irvine, California location has been operating above zero EPA waste Below is an overview of some of the best-in-class environmental
criteria of 90% diversion from landfills since 2017 compliance programs we have in place across our locations to help
ensure proper management of environmental indicators.
Working to expand all global facilities to operate above zero waste criteria
of 90% from landfills
AT OUR DISTRIBUTION CENTERS:
In 2020, our work to ensure we have insights into waste metrics for every PSPCC (Spill Prevention, Control, and Countermeasure)
location globally, including shared locations, was put on hold due to the
move to a remote workforce in response to the COVID-19 pandemic. PHazardous Material Management including CUPA compliance in
California
PSDS (Safety Data Sheets)
ZERO WASTE HEADQUARTERS AND DISTRIBUTION CENTER:
PAQMD Air Permits for Generator (Irvine)
In addition to all of the above, our manufacturing plant in
Chatsworth also has:
PSWPPP (Stormwater Pollution Prevention Plan) and
Facility NEC (No Exposure Certificate)
ZERO WASTE HQ & DC ZERO WASTE GLOBALLY PAQMD Air Permits for equipment and processes
ARBONNE OPERATES AT ZERO WASTE 2025 GOAL: PHAZWOPER training required for material management
RATES AT OUR HEADQUARTERS AND ZERO WASTE COMPANY ACROSS ALL
DISTRIBUTION CENTER IN IRVINE, LOCATIONS, GLOBALLY DIVERTING PIndustrial wastewater processing, county permit
CALIFORNIA, WITH MORE THAN 98% OVER 90% OF OUR WASTE
OF WASTE DIVERTED FROM GOING PDOT (Department of Transportation) permits for transport
TO A LANDFILL IN 2019 AND 99% of chemicals
DIVERTED IN 2020
PHazardous waste management
ARBONNESUSTAINABILITY REPORT 23
MEASUREMENT RESOURCES AND PROTOCOL
B IMPACT ENVIRONMENTAL AND GLOBAL REPORTING
ASSESSMENT™ (BIA) SOCIAL MANAGEMENT SYSTEM INITIATIVE (GRI) REPORT
The BIA is an in-depth and comprehensive We utilize an internalized management system to Company reporting is an instrumental part of
company-wide measurement tool that a track crucial environmental and social indicators. benchmarking and transparency. We are proud to
company can use to understand its impact on This system accounts for measuring all of our publish this second Global Reporting Initiative-
stakeholders across five key areas. The BIA inputs and outputs and for our accountability based corporate sustainability report and, to
consists of approximately 300 questions to to ensure compliance with Groupe Rocher’s fulfill our Benefit Corporation commitments, we
evaluate how a company is governed and how international reporting metrics. Our management will continue to annually produce and publish
it interacts with its employees, customers, system, Seed, allows us to track and compare a corporate social responsibility (CSR) report
community, and environment. It’s also the metrics month over month and year over year. updating on our progress and our improvement
benchmarking tool used to qualify for the opportunities. GRI is an independent
B Corporation™ Certification. You can learn international organization that has pioneered
more about this free sustainability resource sustainability reporting since 1997. Please review
at https://bimpactassessment.net. To view the GRI website to learn more about GRI-CSR
Arbonne’s full transparency report, please visit reporting standards.
our B Corporation directory page.
ARBONNESUSTAINABILITY REPORT 24
MATERIALITY ASSESSMENT
Material issues intersect across all indicators in our Sustainability Compass and can affect an incredible variety of stakeholders. In 2019, Arbonne completed our
first Materiality Assessment to better understand and redefine our opportunities for social and environmental performance improvements. Conducted by a third
party, we pulled from a variety of information to benchmark our current practices. Through a combination of data collected via interviews with key internal and
external stakeholders; a review of issues from previous years; integration of global, local and sectoral challenges; review of competitor actions; review of internal
documentation; general media research; and a comparison with industry best practices, our efforts determined which key indicators are most important for our
business to focus on to create a positive impact.
INFLUENCER OPPORTUNITY ZONE
11
STRATEGIC
13 10 5 7
MANAGING 14 15 6 9
REACTIVE 16 4 2 3 1 12 8
RISK ZONE
LATENT EMERGING MATURE INTEGRATED
1. Product Footprint Analysis 5. Customer Safety 9. Taking a Stand Against Climate Change 13. Economic Performance and
Customer Attraction
2. Packaging Sustainability 6. Community Impact 10. Health and Wellbeing of
3. Respect of Human Rights in Our Our Employees 14. Equality, Diversity and Inclusion
7. Ethics and Compliance
Value Chain 11. Resource Efficiency 15. Consultant Training and Engagement
8. Transparency and External Reporting
4. Responsible Sourcing and Natural 12. Responsible Marketing Practices 16. Collaboration with Partners to Create
Raw Materials Shared Value
Of the 16 material items identified for our business, we determined six items fall into the Risk Zone (bolded above) to dedicate additional focus on for the coming
years. As you will see throughout this report, we have made substantial progress on all six crucial and material issues to our business.
ARBONNESUSTAINABILITY REPORT 25
OUR VALUE CHAIN “EcoVadis has been a valuable tool for measuring our suppliers’ efforts
and level of commitment to making progress in regards to CSR. Not only
SUPPLIER SCREENING AND TRANSPARENCY do they provide an objective and thorough assessment of our suppliers,
Arbonne seeks out socially and environmentally responsible suppliers. Our but they also offer practical tools and insights to facilitate improvements.
transparent practices help drive supply-chain sustainability performance and EcoVadis ratings are now an integral part of our request for quote,
positive impact through our operations. supplier selection, and supplier scorecard processes.”
— LORETTA GOODLOE, DIRECTOR OF PROCUREMENT
We believe in protecting the planet and the people who play a vital role in the
sourcing of our ingredients. We are committed to long-term transparency
Based on supplier risk assessment, we are keen on ensuring all primary
throughout our supply chain, and we evaluate environmentally and socially
suppliers fulfill our new transparency requirements by completing the
sustainable alternatives wherever possible.
EcoVadis sustainability assessment, a third party-validated certification
program that can help Arbonne analyze the actions that suppliers need to
STRATEGIC SPENDING PRIORITIES INCLUDE PARTNERSHIPS WITH:
prioritize to align with our company values. The EcoVadis tool measures
Small- and medium-size businesses suppliers based on four pillars, as outlined below.
Businesses owned by women or underrepresented groups
EcoVadis scorecard ECOVADIS VALUE CHAIN SCORECARD PILLARS
Localism to Arbonne locations
Social enterprises, such as Certified B CorporationsTM
IMPACT SUMMARY LABOR & SUSTAINABLE
ENVIRONMENT ETHICS PROCUREMENT
In 2019 & 2020, we put forth a tremendous effort in better understanding our HUMAN RIGHTS
value chain:
OPERATIONS HUMAN RESOURCES • Corruption & • Supplier
• Energy & GHGs • Employee Health & Bribery Environmental
Embarked on supplier benchmarking based on environmental and Safety Performance
• Anti-Competitive
social indicators • Water
Practices • Supplier Social
• Working Conditions
• Biodiversity Performance
• Data Security
Put in place a robust Supplier Code of Conduct • Pollution
• Social Dialogue
• Career Management &
• Materials & Waste
Created new value-aligned supplier standards Training
PRODUCTS
HUMAN RIGHTS
Utilized third party-certified measurement tools to better understand the • Product Use
• Child & Forced Labor
environmental and social impact of our suppliers • Product End of Life
• Discrimination &
Advanced transparency through public publishing of partners • Customer Safety Harassment
• Advocacy • External Human
Rights Issues
ARBONNESUSTAINABILITY REPORT 26
KEY SUPPLIERS COMPLETE SUSTAINABILITY RISK ASSESSMENT
Arbonne utilizes the third party tool Blue KanGo to benchmark our suppliers CASE STUDY: SAFFRON TRANSPARENCY
based on social and environmental risks. As a result of the Blue KanGo When we were searching out saffron suppliers for
assessment, our third party manufacturers and suppliers are determined our new InnerCalm with Adaptogenic De-Stress
to fall into three categories: low risk, medium risk, and high risk. Low and Powder with Ashwagandha and Saffron, we were
medium risk key suppliers are required to complete an EcoVadis assessment. steadfast in identifying a partner that operated
Arbonne’s high risk suppliers require additional verification through an on-site with integrity. Saffron suffers from a long-standing
history of unfair labor conditions, including the
Sedex Members Ethical Trade Audit (SMETA).
fact that underpaid women or children under 12
years of age are often used to harvest saffron in
certain regions of the world4. We are proud to
partner with a supplier who has provided us with
100% genetically certified organic and non-GMO
saffron grown in the Castilla-La Mancha region
of Spain with fair labor practices. It is crucial
that we partner with value-aligned suppliers to
ensure we uphold the principles of fair labor and
regenerative agriculture throughout our supply
chain, from the ingredients harvested at the farm
fields all the way through manufacturing and use.
92% OF KEY 54.2 POINTS AVERAGE 91% OF KEY SUPPLIERS
SUPPLIERS HAVE DIRECT SUPPLIER ARE TRANSPARENT ON
COMPLETED ECOVADIS SCORE THE ARBONNE WEBSITE CALIFORNIA TRANSPARENCY IN SUPPLY CHAINS ACT
CERTIFICATION
Arbonne is committed to upholding the principles in the California
Transparency in Supply Chains Act of 2010. As part of its commitment,
Arbonne’s suppliers are expected to abide by all applicable governmental
laws, rules, regulations, and requirements applicable to each supplier.
Arbonne expects its suppliers to comply with all applicable wage and hour
laws, rules, and regulations, including minimum wage, overtime and maximum
hours, and those dealing with harassment, discrimination or other forms of
abuse. Arbonne suppliers must commit to equal employment opportunities
for all persons without regard to race, color, religion, sex, or national origin.
Suppliers who knowingly violate laws or have repeated difficulties abiding by
38% OF KEY SUPPLIERS 2021 GOAL: 100% KEY them will not receive Arbonne business. More information about our supply
WITHIN 50 MILES OF SUPPLIER COMPLIANCE chain is posted online and includes our supplier list: https://www.arbonne.
ARBONNE LOCATIONS WITH ALL CSR RISK com/our-supply-chain.
REQUIREMENTS
ARBONNESUSTAINABILITY REPORT 27
OUR PRODUCT PROMISE: BETTER FOR PEOPLE AND THE PLANET
Arbonne products are formulated according to our holistic approach and Transparency and honesty have been the hallmark of our product integrity
MIND. BODY. SKIN.™ philosophy. We formulate based on our Certified for over 40 years. From the beginning, Arbonne has developed products
Arbonne Clean™ Ingredient Policy. Our Not Allowed List™ directly reflects by combining the best of nature with leading science. Our commitment is
Arbonne’s rigorous screening of ingredients, our research, and enhanced to always improve and evaluate our Ingredient Policy as an ever-evolving
safety requirements that ultimately result in safer ingredient choices and standard of excellence. This means we continuously challenge ourselves
effective products in line with our philosophy and further defines what it to do better and better.
means to be Certified Arbonne Clean.
OUR NOT ALLOWED LIST
Includes more than 2,000 ingredients — nearly 1,400 from the European
Union plus several hundred more that we won’t use.
2025 GOAL: 100% NON-GMO
OUR PRODUCT PHILOSOPHY IS CENTERED ON FOUR KEY CERTIFIED NUTRITION PRODUCTS*
FACTORS AND ROOTED IN CLINICAL SCIENCE:
*LTO items not included
1 2 3 4
Plant-based High clean Co-developed Scientific
ingredients standards with experts testing
KEY THIRD PARTY PRODUCT CERTIFICATIONS WE STRIVE TO OBTAIN:
ARBONNESUSTAINABILITY REPORT 28
BACKED BY SCIENCE
PARTNERSHIP WITH
SCIENTIFIC EXPERTS
We collaborate with the leading experts in
integrative medicine and holistic health. To extend
our commitment to quality, scientific integrity,
and healthy lifestyles, Arbonne has established
the Arbonne Scientific Advisory Board. The
Arbonne Scientific Advisory Board consists of
leading professionals in science, medicine, health,
wellness, and nutrition. NAISSAN WESLEY, MD, FACMS PETER LIO, MD
Arbonne Scientific Advisory Board and Paid Arbonne Scientific Advisory Board and Paid
Our Advisory Board supports the vision and voice Medical Expert — Aesthetic and Medical Medical Expert — Pediatric Dermatologist
Dermatologist/Dermatologic Surgeon
of Arbonne by providing additional insight on the Clinical Assistant Professor of Dermatology
development, implementation and assessment Clinical Instructor, Department of Medicine, & Pediatrics; Northwestern University
Division of Dermatology, University of Feinberg School of Medicine; Founding
of both products and informational content for California Los Angeles (UCLA) David Geffen Director & Dermatologist, Chicago Integrative
our customers, company and community. The School of Medicine; Board-Certified and Eczema Center; Founding Partner, Medical
Fellowship-Trained Aesthetic, Medical, and Dermatology Associates of Chicago
Advisory Board members lend their expertise Surgical Dermatologist, Skin Care and Laser
and knowledge directly into the research and Physicians of Beverly Hills, Los Angeles;
Director of Mohs Surgery, Skin Care and
development process. The Advisors below reflect Laser Physicians of Beverly Hills, Los Angeles
our 2020 Scientific Advisory Board members.
RAJA SIVAMANI, MD, MS, AP
Chair, Arbonne Scientific Advisory Board and
Paid Medical Expert — Dermatologist/Ayurvedic
Practitioner
Adjunct Associate Professor of Clinical Dermatology
and Director of Clinical Research, University of
California, Davis; Adjunct Associate Professor and
Co-Director of Microbiome Research Initiative,
California State University, Sacramento; Associate
Professor of Dermatology; California Northstate
University-College of Medicine; Board-Certified
Dermatologist & Ayurvedic Practitioner, Pacific
Skin Institute, Sacramento, CA; Board-Certified
Dermatologist & Ayurvedic Practitioner, Zen
Dermatology, Sacramento, CA; Director of Wellness KULREET CHAUDHARY, MD
and Health, Jivome, Sacramento, CA Arbonne Scientific Advisory Board and Paid
Medical Expert — Neurologist
Neuroscientist and Ayurvedic Physician;
Director of the Siddha Medicine Research
Project at SNHC Tamil Nadu, India; Best-
Selling Author and International Health and
Wellness Speaker
ARBONNESUSTAINABILITY REPORT 29
SUPPORTING THE CIRCULAR ECONOMY
SUSTAINABLE PRODUCT PACKAGING STRATEGY
In 2016, the world generated 242 million tons of plastic waste — 12% of all
municipal solid waste3. From the deepest depths of the ocean to the most
remote regions on land, our planet is being engulfed in plastic waste. Experts
predict that if current trends continue, the oceans will contain more plastic
than fish by 2050. That’s because half of all plastic produced worldwide is
made to be used once and then thrown away. We must redesign products
to help support worldwide recycling infrastructures and move to more
sustainable and renewable packaging.
2025 PRODUCT GOALS
KEY INSIGHTS AND OPPORTUNITIES
100% CIRCULAR 100% POST-CONSUMER 50% PLASTIC FROM OUR PACKAGING EVALUATION:
ECONOMY PACKAGING RECYCLED PLASTICS IN REDUCTION ACROSS
PRODUCTS ALL PRODUCTS,
COMPARED TO 2019
1. Nutrition and personal care categories combined comprise the majority
PACKAGING BASELINE of our packaging weight. This represents the biggest opportunity for
making an impact in tackling plastic reduction goals.
IMPACT SUMMARY 2. 70+% of all packaging currently meets Arbonne’s end-of-life goals.
Converted several skincare lines to renewable and recyclable glass packaging 3. 40+% of all packaging, by weight, is from renewable sources.
Conducted a comprehensive packaging evaluation of all product packaging 4. There are three specific pieces of non-recyclable packaging components
materials, weights, and relevant data to determine which product packaging that touch many product lines, and that we are focusing on to ensure we
categories should be targeted for sustainable improvements create the largest impact in achieving our goals.
Development of interdepartmental category taskforces to engage 5. All product packaging paper cartons are Forest Stewardship Council
stakeholders and build out cohesive strategies (FSC) certified.
6. All shipping boxes are FSC certified.
Although most of our packaging can be recycled through local service
programs, certain product components can be difficult to recycle. Through
ArbonneCycle , our program made to collect hard-to-recycle components,
TM
we ensure they get a second life. Together, we can ensure all of our packaging
components get a second life.
ARBONNESUSTAINABILITY REPORT 30
ARBONNECYCLE™:
GLOBAL PACKAGING RECYCLING PROGRAM POST-CONSUMER RECYCLED PLASTIC RESIN
Although approximately 72% of Arbonne packaging is recyclable, we wanted to ensure One way to tackle this single-use dilemma is to ensure plastic that is being used
100% of our packaging could be recovered at end of life. So in November 2019, we in in packaging is made from post-consumer recycled plastic resin, or PCR. By
partnership with TerraCycle introduced a product send-back pilot program for non-
®
using PCR, we are helping support our recycling system, saving precious natural
curbside eligible packaging to our top Field Leaders in the U.S. This effort was formally non-renewable resources, reducing the impacts associated with production
expanded to all Arbonne customers in the United States in January 2020 and globally of virgin materials, and giving items that could have become environmental
in all Arbonne markets* in December 2020, where all products are now recyclable pollutants a second life. That means less pollution, less emissions, less water
between traditional, curbside recycling, and ArbonneCycle options. We are proud to used, and less natural resources drained for everyone — a true win all around!
share that Arbonne is financially responsible for the return of items to our location to
Arbonne’s Rescue & Renew Garden of Roses line integrates PCR into the
be sorted and counted. To learn more about ArbonneCycle, please visit
majority of the content of our packaging, with our bottle boasting an
https://www.terracycle.com/en-US/brigades/arbonne.
incredible 98% PCR content. Our latest launch, the Arbonne Botaniques
There is no formal partnership with TerraCycle in Australia, New Zealand, and Poland.
*
Concentrated Shower Gel bottle, is also made of 100% PCR. This product also
features a new concentrated formula that allowed us to reduce our packaging
by 65%, compared to typical packaging on a usage basis. That’s a win-win for
the environment.
ARBONNESUSTAINABILITY REPORT 31
AGEWELL — SUSTAINABLE PROGRESS HOLIDAY 2020 COLLECTION
INSIDE AND OUT The seasonal Holiday line was launched with the theme of Giving Mindfully and
The 2020 launch of AgeWell reflected a sustainably sourced key ingredient on featured Reduce, Reuse, Recycle product improvements, including:
the inside, and fully recyclable glass components on the outside. Bakuchiol is
The elimination of cartons, saving 20,000 pounds of paper cartons
sourced from its native environment of India, and we work with local suppliers
who grow the Babchi plant without pesticides and ensure sustainable Integration of reusable bags
harvesting of the species through third party certifications. AgeWell is
packaged in glass, which is estimated to save more than 125,000 pounds of Inclusion of PCR resin in many products, with some components featuring
plastic. The glass components can be recycled curbside. up to 97%–100% PCR content.
ARBONNESUSTAINABILITY REPORT 32
COMMUNITY IMPACT:
SOCIAL IMPACT TO ENSURE
EVERYONE CAN FLOURISH
ARBONNESUSTAINABILITY REPORT 33
CORPORATE CIVIC ENGAGEMENT ARBONNE GLOBAL DAY
As a social enterprise, we are committed to ensuring we fulfill our OF CARING ANNUAL EVENT
responsibility as a corporate citizen to uplift all stakeholders. Arbonne’s Each year*, Arbonne employees participate in an annual Arbonne Global
corporate citizenship activities include: Day of Caring. The theme for 2019 was Sustainability, and each company site
around the world chose an activity that gave back to their community, with
Financial or in-kind donations (excluding political causes)
a focus on sustainability. At the corporate headquarters in Irvine, California,
Community or pro-bono service teams worked at the Orange County Great Park Farm + Food Lab, pulling
weeds, painting planters, planting, mulching, and much more. Fruits and
Partnerships with charitable organizations or membership with vegetables grown at the farm are donated to help feed the homeless.
community organizations
*Due to COVID-19 precautionary measures, there was no Global Day of Caring event in 2020
Free use of company facilities to host community events
In-kind donations
Through the Arbonne Flourish Foundation, virtual Meet + Learn events
with strategic charity and nonprofit partners were open to all Arbonne
Consultants and employees
COMPANY-PAID VOLUNTEER DAYS
Arbonne encourages employees to give back to the community by offering
two full days, or 16 hours, of paid volunteer time.
256 23 279
HOURS HOURS HOURS
2019 VOLUNTEERISM TOTAL INDEPENDENT TOTAL EMPLOYEE
CONSULTANT + INDEPENDENT
TOTAL EMPLOYEE
VOLUNTEER HOURS CONSULTANT
VOLUNTEER HOURS
VOLUNTEER HOURS
364 461 825
HOURS HOURS HOURS
2020 VOLUNTEERISM TOTAL INDEPENDENT TOTAL EMPLOYEE
CONSULTANT + INDEPENDENT
TOTAL EMPLOYEE
VOLUNTEER HOURS CONSULTANT
VOLUNTEER HOURS
VOLUNTEER HOURS
Plus, all corporate sites hosted a Global Day of Caring
event in 2019, which employees participated in.
ARBONNESUSTAINABILITY REPORT 34
FLOURISH ARBONNE FOUNDATION
The Flourish Arbonne Foundation* is committed to building resilience in the
minds of future generations. The nonprofit organization has helped more than
416,000 youth in the United States, Canada, the United Kingdom, and Australia
flourish through programs supported by the Foundation since its inception.
Learn more about the incredible work of the Flourish Arbonne Foundation at:
https://www.arbonnefoundation.org/.
OUR PARTNERS 2020 & BEYOND STATISTICS
AU: US: MONETARY
106 49,011
NUMBER OF NUMBER OF
GRANTS IN 2019: 106 YOUTH IMPACTED: 49,011
IN-KIND PRODUCT
$154,000 AUD $375,877 USD
CA: UK:
NUMBER OF NUMBER OF RETAIL VALUE:
GRANTS: YOUTH IMPACTED: 2019 - $243,590
2019 - 23 2019 - 1,942 2020 - $2,723,307
2020 - 32 2020 - 38,092
*Through December 31, 2019 the Foundation operated as Arbonne Charitable
Foundation with a focus on funding organizations improving teen self-esteem.
$172,000 CAD £55,500 GBP In 2020, the organization was restructured to support key regional nonprofit partners.
ARBONNESUSTAINABILITY REPORT 35
EMPLOYEE WELFARE:
INSIDE OUR CULTURE
ARBONNESUSTAINABILITY REPORT 36
IMPROVING EMPLOYEE WELFARE
Our employees mean the world to us, and we believe that it is crucial to OUR COMMITMENT DURING THE 2020 CRISIS: CASE STUDY
create a workplace culture that contributes to our employees’ financial, The world has been faced with unpredictable challenges due to COVID-19 —
physical, professional, and social wellbeing. Arbonne believes in people, and economic, social and environmental. We are in an incredibly trying time, but
we wouldn’t exist or be able to meet our sustainability goals if not for our as difficult and unsteady as this time is, it also allows us the opportunity to
bring to life the principles of our Sustainability Compass to support our people
dedicated team.
and communities. To uplift employee welfare during this time, we created
In addition to ensuring 100% of our employees worldwide are paid at or above Rejuvenation Fridays, where from March through June 2020, we closed down
operations at noon so employees could take time for themselves. Arbonne also
the living wage, we offer benefits and programs that create a culture built on the
gifted each employee a one-year subscription to Calm, a highly rated app for
foundation of the internal core values. In January 2019, Arbonne introduced its sleep, meditation and relaxation. We also supported our communities, with the
core values: Accountability, Community, Innovation, and Courage. Flourish Arbonne Foundation providing youth organizations across the United
States, Canada, Australia, and the United Kingdom with monetary grants to assist
underserved youth experiencing homelessness.
Here are a few of the unique perks of working at Arbonne:
On May 13, 2020, the Foundation announced it had raised $196,500 in donations
from the Arbonne community, which Arbonne matched to provide $393,000 in
PPaid time off for volunteering PBreakfast chats with our CEO
monetary grant funding through the Flourish Arbonne Foundation. The funds will
help provide shelter, food, and personal supplies to youth who depend on these
PiLearn programs: tuition PFitness events
organizations for a sense of safety and connection to the community.
reimbursement, scholarship,
GED assistance PWellness Wednesdays In addition to the monetary grants by the Foundation, Arbonne has donated
40,000 product packs made up of Arbonne personal care and nutrition
PTelecommuting PWalking club products, including hand wash, hand lotion, protein bars, and in the U.S., newly
manufactured hand sanitizer produced solely for the purpose of being donated.
PRobust training, development, PFlexible working hours Each youth organization receiving monetary funding from the Foundation is also
and other learning receiving these product donation packs, as are additional organizations in New
PLearning culture Zealand and Poland.
opportunities
PEmployee Product Purchase In an effort to support the communities in which we work, Arbonne donated
PMental wellbeing resources 9,200 bottles of hand sanitizer split among three local hospitals: Mission Hospital
Program with discounts
(Mission Viejo, California), UCI Student Health Center (Irvine, California), and
PHealthcare for employees Dignity Health-Northridge Hospital Medical Center (Northridge, California).
PFree electric vehicle (EV)
who work and average 19 Additional hand sanitizer donations were made to the employees at the Canadian
charging stations
hours per week distribution center and to employees of two major supply chain partners that
were integral in the creation of the product. In total, between employees and our
P401(k) matching
PLeadership workshops community, Arbonne provided 12,445 bottles of hand sanitizer.
PPaid holidays, including as
PSubject-specific training
many as 14
2020 ADDITIONAL FUNDING
PSpecial paid days off, including
Through our Arbonne for Good initiative and additional grants provided
Birthday Month Day Off and
to partners, we provided additional funding in 2020:
Connect with Nature Day
AU US CA UK
$154,000 AUD $375,877 USD $172,000 CAD £55,500 GBP
ARBONNESUSTAINABILITY REPORT 37
EMPLOYEE ENGAGEMENT
In the last quarter of 2020, Arbonne conducted an employee engagement
survey through Gallup, a well-known global performance management
consulting company with 25-plus years of research to understand what makes
a company successful. In our third year of participating in the employee
engagement survey, Arbonne saw the following positive changes in our
engagement score:
+.26 +19 +10%
increase in Arbonne’s spot increase in increase in Arbonne’s
Grand Mean Score of Arbonne’s Mean Engaged Employees,
Gallup’s Q12 Employee Percentile Rank, a rank 3% decrease in Not
Engagement Questions comparing Arbonne Engaged in 2020, and a
to all of Gallup’s 7% decrease in Actively
companies within Disengaged Employees
EMPLOYEE STATISTICS their database
635 global full time employees in 2019 and 637 in 2020
In addition, Arbonne’s score in each Q12 Employee Engagement Question
100%: Arbonne employees paid at least the equivalent of a living wage went up or remained the same. Notably, Arbonne improved their score by at
least +.2 points in 10 Q12 Employee Engagement Questions for 2020.
100%: Employee retirement plans included a socially responsible investing
option
Employees who worked 20 hours a week qualified for benefits IN 2019 & 2020, ARBONNE ALSO INTRODUCED OR EXPANDED
THE FOLLOWING PROGRAMS:
80+%: Full-time employees received five to nine days of professional
development annually
64% of our workforce identified as women in 2019 and 64% in 2020
53% of our workforce identified as being from a racial or ethnic minority
in 2019 and 64.3% in 2020 iLearn, which iPerform, which iMatter, which
91% of our workforce identified as from underrepresented social groups expanded the offerings integrated a learning launched Bonusly,
(including women) in 2019 and 88.4% in 2020 of professional goal for all employees a peer-to-peer
and leadership within Arbonne’s recognition program,
17 employees were internally promoted in 2019 and 27 in 2020 development courses performance to help streamline
to employees through management system and expand Arbonne’s
Arbonne’s learning recognition programs
management system
ARBONNESUSTAINABILITY REPORT 38
LOOKING FOR WAYS TO IMPROVE AND
INNOVATE VIA EMPLOYEE ENGAGEMENT
In regards to the future, Arbonne is always looking to improve and innovate
better ways to engage employees. Following the 2019 survey, Arbonne decided
to put focus on making sure all employees’ opinions are heard, not just those
in managerial and supervisory positions. Within Arbonne’s performance
management system, iPerform, we integrated an engagement goal worth 20
points of an employee’s performance appraisal, giving employees guidelines
on actions they should take to ensure their opinion is heard, such as having
and actively contributing in regular one-on-ones with their managers,
participating in table talks with local leaders, and participating in Think! Share!
Act!, a new program aimed at providing a forum for employees to share ideas
and recommendations.
Arbonne has also provided leaders with practical daily tips and actions on how
to engage their employees, which are aligned with the Gallup Q12 Employee
Engagement items. Arbonne has also created Leadership Competencies that
reflect the skills Arbonne believes all leaders should have to lead and manage
their team effectively, and which also align with Arbonne’s Core Values.
We also introduced an engagement communication plan comprised of a
series of emails and posts within Arbonne’s intranet site to support leaders’
engagement efforts, including:
Communicated on a bi-weekly basis to leaders, encouraging them to
engage employees, which will include articles and videos with helpful tips
and insights from leadership experts PROFESSIONAL DEVELOPMENT
Communicated on a monthly basis to employees on the importance of We provide the following opportunities for employee professional development:
sharing their opinion, which will include articles and videos to inspire Ongoing training at least once per year
employees to have the courage to share their opinion
Policy to encourage internal promotions and hiring for advanced positions
Introduced a weekly series that began in July to all employees, educating
them on the Q12 questions to provide more clarity on the meaning behind Cross-skills training for career advancements and transition assistance
each question, which will help prepare employees when they complete
the next engagement survey, aimed to take place in early Q4 of 2020 Non-career specific life skill training to improve the personal development
of employees
Introduced a weekly series that began in July to all leaders, where they
received a communication that complemented the weekly employee Q12 Facilitate and allocate budget for external professional development
education series with tips on how to practice the Q12 engagement items opportunities, including conference attendance, online trainings, etc.
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