Thriving communities

Responsible & sustainable sourcing

Responsible & sustainable sourcing

We recognize that everything we source — including our ingredients, packaging manufacturing, distribution and services — has environmental and social impacts. That’s why responsible and sustainable sourcing is so essential to our efforts to create a Clean World, Healthy Lives and Thriving Communities.

Our strategy starts with our raw materials and extends all the way to our products’ end of life. We have a dedicated Responsible Sourcing and Sustainability Program focused on holistically and systematically integrating sustainability into procurement, increasing supply chain traceability and enhancing product transparency.

This program is the foundation of our Business Partner Code of Conduct, which we require all suppliers and business partners to adhere to, through our onboarding process. Our code of conduct was developed with key stakeholders and is regularly reviewed to ensure it continues to reflect our core value to Do the Right Thing. It is grounded in international standards and best practices, including the International Labor Organization Declaration on Fundamental Principles and Rights at Work and the Ten Principles of the United Nations Global Compact. We clearly outline our expectations to conduct business ethically and responsibly with respect to human dignity and environmental stewardship. The code of conduct details our expectations related to human rights, labor standards, environmental management, health and safety, and ethical business practices as well as adherence to our human rights commitment.

Governance

Governance

Our Responsible Sourcing and Sustainability Program sits within our Global Strategic Sourcing organization, led by the chief procurement officer, and includes business unit representation and advisement from our executive leadership.

Our full board also reviews and discusses ESG topics regularly — including progress toward meeting our specific ESG goals — and oversees risks, opportunities and strategy related to ESG issues that are priorities for our business, such as sustainable supply chain management, climate stewardship and product safety.

Human Rights

Human Rights

At Clorox, we are aware that global supply chains have impacts on workers and local communities, and we have developed a Commitment to Human Rights to reflect our values. As a global company, we strive to use our purchasing power and influence to support worker rights and to ensure that all people are treated with dignity and respect. We are committed to driving environmental and social compliance, workplace safety, and quality assurance, as these are all integral to the long-term success of our company and our partners.

As a part of our due diligence efforts, we have developed mechanisms to ensure processes are in place for human rights grievances within our supply chain. A Clorox compliance hotline is available to anonymously raise any concerns or incidents via phone or email, or online at www.cloroxhotline.com.

Our human rights expectations do not end at our walls. We expect our business partners, including direct suppliers of goods, service providers, consultants, distributors, licensees, joint ventures, contractors and temporary workers, to be committed to ethical principles and corporate responsibility practices.

We are clear about our expectations in the areas of human rights and labor, respectful treatment and equal opportunity, and health and safety as well as business conduct and ethics, which are consistent with the Ten Principles of the United Nations Global Compact.

Our team systematically assesses the risk in our global supply chain and works toward the mitigation and management of those risks through third-party auditing, self-assessments and corrective action plans. The program has developed a thorough methodology to ascertain the inherent risk levels of supplier sites within the Clorox supply chain. Supplier sites are then segmented to an appropriate scope with defined levels of engagement.

Clorox partners with leading responsible sourcing industry organizations such as SEDEX and AIM-Progress to leverage platforms, tools, expertise and collaborative efforts.

We use the SEDEX Self-Assessment Questionnaire and SMETA 4-Pillar (Labor Standards, Health and Safety, Environmental and Business Ethics) audit as risk mitigation tools. In-scope sites are requested to complete an onsite SMETA 4-Pillar audit conducted by a third-party APSCA-certified auditor.

As members of AIM-Progress, we also fully support the AIM-Progress Mutual Recognition Framework to help relieve some supplier burden of multiple requests from customers.

* Clorox participates in AIM-Progress and co-leads the organization’s mutual recognition workstream. AIM-Progress is a forum for leading consumer goods manufacturers and suppliers that drives collaboration to positively impact people’s lives and ensure respect for human rights by improving responsible sourcing practices, building supply chain capabilities, sharing ethical sourcing audits and collaborating on human rights.

In our efforts to eradicate modern slavery and human trafficking in our supply chains, we provide annual training for all employees on how to identify and address potential risks of slavery and human trafficking. In some situations, we assist suppliers in developing their own training and risk mitigation programs to combat human trafficking and slavery in global supply chains. Additional information about our efforts can be found in our Modern Slavery & Supply Transparency Statement and our California Transparency in Supply Chains Act Statement.

We conduct annual assessments of our supply chain related to the use of conflict minerals (tin, tantalum, tungsten and gold). Based on these assessments, we determine and report whether the covered minerals, which may be necessary to the functionality of our products, were acceptably sourced from recycled or scrap sources in the Democratic Republic of the Congo region, or if they did not originate in the DRC or adjoining countries. For a full explanation of our country-of-origin assessment, see our SEC Form SD Filing.

In accordance with the SEC Dodd-Frank Act, Clorox also participates in an annual risk assessment of all purchased goods for any use of conflict minerals as defined by the SEC (tin, tantalum, tungsten and gold) as well as due diligence efforts via supplier engagement. All in-scope suppliers are engaged in traceability efforts to understand and gain visibility of all smelters and refiners involved. Clorox utilizes the Conflict Minerals Reporting Template to request information from suppliers as well as its smelter lists, in accordance with best practice. Annual reports are filed and made publicly available.

Environmental Stewardship

Environmental Stewardship

Scope 3 Climate Action

Scope 3 Climate Action

Climate change is one of the most pressing issues of our day and age. We are fully committed to reducing our GHG emissions and creating a more sustainable future. Clorox has science-based targets for 2030 and a net zero commitment by 2050. To achieve these ambitious goals, supplier partnerships are highly critical. The “purchased goods and services” category within scope 3 is a significant portion of our total emissions and cannot be reduced on our own.

We are making efforts toward engaging our high-impact and strategic suppliers to understand where we can align on climate action. We have also joined the Guidehouse Supplier Leadership on Climate Transitions program to help equip our suppliers and build capabilities in measurement, reporting, setting reduction targets and abatement. We are excited to be joining pioneer brands in this collaborative effort to drive improvements.  

Learn more about our climate goals and progress here.

At Clorox we don’t just want clean households, but we envision our products and company will help drive a cleaner world. Whether it is reducing the amount of plastic in our packaging, discovering compostable or plant-based fibers, or increasing our use of recycled materials, we are dedicated to driving circularity and supporting a healthy environment.

A major component across many of our products, timber-based materials are a key initiative for our company as we seek more sustainable sourcing opportunities. For our Kingsford business, we source scrap wood and sawdust waste from mills. With primary and secondary fiber-based packaging, we are committed to sourcing only recycled or FSC, SFI and PEFC certified materials. These certifications serve as the standard for verifying virgin fibers come from forests that are managed in a way to help protect water quality, indigenous rights, biodiversity and wildlife. In 2022, 99% of the fiber used in the packaging we purchased was recycled or certified virgin material, with 49% recycled fiber and 50% virgin fiber from certified sources. Learn more about our sustainable packaging goals and strategy to reduce material waste.

Sourcing wipes from sustainable sources is very important to us and an area we constantly strive to improve. Currently our wipes products that utilize a pulp-fiber substrate consists of Clorox Disinfecting Wipes, Clorox Compostable Cleaning Wipes, and Clorox Disinfecting Wet Mopping Cloths. Our Clorox Plant-Based Disinfecting Wipes, Burt’s Bees Towlettes (facial and cleansing) and Burt’s Bees Baby Wipes use substrate that is made from other plant-based fibers. Through the engagement of our suppliers, in 2021, 88% of the pulp-fiber in our substrate come from sources eligible for certification (FSC & PEFC) and 10% are currently certified (6% PEFC and 4% FSC).

Burt’s Bees’ focus on resilient supply chain and communities

Burt’s Bees’ focus on resilient supply chain and communities

With a longstanding history in making a positive impact on its communities, in fiscal year 2021 the Burt’s Bees brand announced it would accelerate efforts to improve sourcing practices and uplift communities that produce its most valued ingredients — such as beeswax and shea butter. The brand has already impacted over 20,000 livelihoods through a combination of responsible sourcing assessments, third-party audits, and its Global Supply Chain Investment Program. By 2025, it will more than double its efforts — impacting 50,000 livelihoods through:

  • 20 global supply chain investment projects that help safeguard access to clean water; support women’s and children’s empowerment; and promote health, safety and biodiversity.
  • Responsible sourcing assessments and third-party audits to help ensure the well-being of workers, including upholding human rights along with the highest health, safety and labor standards and practices as well as business ethics and environmental protection.

To date, Burt’s Bees has visited more than 120 sites in 25 countries to trace and monitor raw materials — including almost all wax (96%) and butter (97%) sources — and nearly half of all of directly purchased wax, butter and oil sources combined globally. As a founding member of Global Shea Alliance, the brand’s investments have supported women in shea through new facilities, training programs and cooperative registration in West African shea communities. In 2021, Burt’s Bees launched the SheKeeper partnership with the U.S. Agency for International Development, bringing together the public and private sector with shea and beeswax ingredient suppliers to foster circularity in natural ingredient producer communities by building capacity of shea women’s groups to become beekeepers, diversifying income, crops and biodiversity in the northern region of Ghana. And though Burt’s Bees sources most of its mica domestically, it has also helped establish the Responsible Mica Initiative, and worked with partners to develop the Sustainable Mica Policy and Framework Vision to improve supply chain practices in India.

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