Identifying Material ESG Topics
and Stakeholders
Our ESG Materiality1 Assessment Process
Material environmental, social and governance (ESG) topics, in accordance with the Global Reporting Initiative (GRI) Standards, represent an organization’s most significant impacts on the economy, environment and people. In 2022, we collaborated with a third-party consultant to refresh the Whirlpool Corporation list of material ESG topics by engaging with internal and external stakeholders, consulting third-party sources and considering relevant global frameworks, trends and regulatory developments to prioritize the topics by significance of impact.
Through the Whirlpool ESG Task Force, we monitor industry trends, regulatory developments and emerging issues. This is supplemented by our engagement with our stakeholders and assessment of external frameworks such as the GRI Standards, Task Force on Climate-related Financial Disclosures (TCFD), Sustainability Accounting Standards Board (SASB), CDP and the United Nations Sustainable Development Goals (UN SDGs). We regularly assess the risks and opportunities of emerging issues and have formally integrated ESG topics into our annual Enterprise Risk Assessment survey. As we navigate the rapidly evolving and complex space of ESG frameworks, standards and guidelines, we continue ongoing dialogue and engagement with our stakeholders to understand and address impacts, risks and opportunities as they relate to material ESG issues.
Our Material Topics
As a result of our most recent assessment, the following topics were identified as material1 to Whirlpool.
ESG Pillar: Sustainable Products and Operation
| Material Issue |
Targets and Commitments |
2023 Progress |
Alignment With UN SDGs |
Innovation and Design for Sustainability
|
Reduce emissions from our products in use (scope 3 category 11) by 20%2 by 2030.
|
Continued to build our capability to quantify and reduce emissions from our products in use (scope 3 category 11)
|
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Circular Economy
|
Provide spare parts availability across regions.
|
Provided over 25 million spare parts across regions in 2023
|
|
Materials Use and Impacts
|
Obtain Full Material Disclosure (FMD) from suppliers by 2030.
|
Enhanced standardization and improved data collection, including a final response rate of 76% on annual conflict minerals survey
Received and analyzed over 2,197 FMD declarations
Developed multiple strategic collaborations
|
|
Greenhouse Gas Emissions
|
Achieve Net Zero scopes 1 and 2 emissions from our plants and operations by 2030.
Reach 95% reduction of high global warming potential (GWP) refrigerants and foams by 2023.
|
Achieved ~25% greenhouse gas (GHG) emissions reduction in scopes 1 and 2 market-based emissions compared to prior year
Operationalized two virtual power purchase agreements (VPPAs), which, when fully operational, are expected to cover 100% of the electricity consumed by U.S. sites
Transitioned over 97% of all global Whirlpool manufactured refrigerators to climate-friendly, low GWP refrigerants and blowing agents as of 2023
|
|
Waste Management
|
Maintain Zero Waste to Landfill (ZWtL) Gold3 or Platinum4 Level in all manufacturing sites.
Reduce hazardous waste generation intensity by 1% every year in our plants.
|
Achieved ZWtL Gold Level in two new manufacturing sites and maintained ZWtL Gold or Platinum Level at 100% of our other global manufacturing sites in 2023
Achieved 23% reduction in hazardous waste intensity in 2023 compared to prior year
|
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Water Management
|
Reduce water intensity by 3% every year in our plants.
|
Achieved 0.5% reduction in water intensity in 2023 compared to prior year5
|
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Energy Management
|
Reduce energy intensity by 3% every year in our plants.
|
Whirlpool did not achieve this target, but we continue to work toward energy intensity reduction
|
|
ESG Pillar: Supporting our People
| Material Issue |
Targets and Commitments |
2023 Progress |
Alignment With UN SDGs |
Inclusion and Diversity
|
Promote a workforce that represents our diverse consumer base and a culture where every employee feels a sense of belonging.
|
14% increase in the proportion of U.S employees who identify as Black; 12% increase in the proportion of U.S. employees who identify as underrepresented minorities and 3% increase in the proportion of global employees who identify as women
|
|
Occupational Health and Safety
|
Achieve zero fatalities and serious incidents globally.
Reduce incident rates globally by 10% each year.
|
0 employee fatalities and 8 serious injuries
15% reduction in recordable injury and illness rate compared to prior year
|
|
Local Communities
|
Build more than 250 climate-resilient and energy-efficient homes with Habitat for Humanity U.S. by 2024.
Install 500 Feel Good Fridges in the U.S. by 2025.
|
$144 million and over 242,000 products donated to Habitat for Humanity in 2023
Completed 143 climate-resilient and energy-efficient builds in progress through Habitat’s BuildBetter with Whirlpool initiative
388 refrigerators donated and stocked with fresh, accessible food
|
|
ESG Pillar: Doing the Right Thing
| Material Issue |
Targets and Commitments |
2023 Progress |
Alignment With UN SDGs |
Responsible Sourcing
|
Audit risk-based prioritized suppliers.
Review 100% of any high-risk due diligence findings.
|
256 Supplier Code of Conduct (SCoC) audits performed
Completed Supplier Due Diligence screenings for 100% of existing high-risk suppliers and 100% of new suppliers
|
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Product Safety
|
Identify, evaluate and close all reports of potential safety issues within a timely manner.
Conduct ongoing Product Safety Training sessions to build the safety competency of Whirlpool Corp. employees globally.
|
42 potential safety issues resolved
Improved the product safety basic competency of over 500 employees, totaling over 3,000 hours of training time
|
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Product Quality
|
Deliver the best consumer experience in every appliance, every time and everywhere.
|
Rigorous use of Advanced Product Quality Planning to ensure differentiated quality levels in all new product launches
Integrated a live Corrective and Preventative Actions tool globally for suppliers, manufacturing and engineering
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Engaging with our Stakeholders
By engaging regularly with our stakeholders, we encounter diverse perspectives that provide valuable insight and information we might not otherwise recognize. Understanding what is important to our stakeholders — including consumers, employees, leaders, investors, trade customers, suppliers and more — helps us understand and address impacts, risks and opportunities to better serve them. Through formal and informal methods, we reach out regularly for feedback, in addition to requesting participation in our formal ESG materiality assessment process, and work to foster an environment in which all perspectives are welcome.
