Emerson Publishes Environmental, Social and Governance Report

Rhea-AI Summary

Emerson (NYSE: EMR) published its 2020 ESG Report, showcasing advancements in sustainability and diversity. The company reported a 10% reduction in CO2 emissions, an 11% decrease in electricity usage, and a 9% drop in water consumption. Emerson aims to double leadership representation of women and U.S. minorities by 2030. With a commitment to ethical governance, Emerson has elected an independent chair and strengthened compliance measures. The report emphasizes the importance of social responsibility and environmental stewardship.

Positive

• 10% reduction in CO2 emissions.
• 11% decrease in global electricity usage.
• 9% decrease in water consumption.
• Goal to double leadership representation of women and U.S. minorities by 2030.
• Contribution of $24.5 million to charities and $3 million toward STEM education.

Negative

• None.

Emerson (NYSE: EMR) today announced the publication of its 2020 Environmental, Social and Governance (ESG) Report, highlighting how the company develops and delivers technologies, software and services to enable greater sustainability, efficiency and safety for essential industries while supporting communities worldwide.

As Emerson helps drive progress across industries, the company is advancing its diversity, equity and inclusion. Within the new report, Emerson shared its goal to double representation of women globally and U.S. minorities at the leadership level by 2030. This goal underscores Emerson's commitment to empowering a diverse global workforce.

“Building on our ESG focus has truly brought out the best in our employees – and our company,” said Lal Karsanbhai, president and chief executive officer of Emerson. “We are building momentum in vital areas like sustainability and inclusion, and we are actively cultivating a workforce that reflects the world around us.

“Our employees are energized to live out our Purpose, driving innovation that makes the world healthier, safer, smarter and more sustainable. Accelerating our progress in this space is one of my top priorities, and we look forward to continuing these efforts alongside our customers and our communities in the future.”

The 2020 ESG Report reinforces the company’s focus on empowering more sustainable operations and addressing complex challenges facing modern life in commercial, industrial and residential markets. Highlights of the report include:

Environmental

In 2020, Emerson took measurable steps to further enhance the company’s approach to environmental sustainability and in defining its role in making the world more sustainable. The company reported a 10% decrease in CO2 emissions, an 11% decrease in global electricity usage and a 9% decrease in global water consumption over the past year. Emerson also articulated its “Greening Of, By and With” framework to build on sustainability momentum.

“We have made progress not only in tangible sustainability initiatives, but in driving engagement and excitement across the organization,” said Mike Train, who was recently named Emerson’s chief sustainability officer. “From the way we approach customer challenges to the unified Purpose that connects us as a global organization, sustainability is truly top of mind for our teams and in our approach to innovation.”

The company continues to address environmental, social and governance issues in partnership with stakeholders across its supply chain while maintaining high standards of corporate governance. In 2020, Emerson enhanced its focus to engage suppliers along their paths to reducing waste, controlling emissions and making the world more sustainable by establishing an environmental sustainability council with key suppliers.

Social

Emerson undertook several key initiatives to accelerate its diversity, equity and inclusion efforts this year. In addition to setting goals for diverse representation among leadership, Emerson hosted “Courageous Conversations,” a series of regional dialogues on topics related to advancing equity; launched Diverse Slates, a recruitment initiative to build a diverse talent pipeline; and launched two new employee resource groups: Somos, for Latin American and Hispanic employees, and the Asian & Pacific Islander Alliance.

In addition, Emerson continued its legacy on giving back to communities. In 2020, Emerson contributed $24.5 million to more than 1,300 charities, nonprofit organizations and educational institutions across the United States. The company also committed $3 million in support of STEM education programs over the past year, which included delivering thousands of STEM activity kits to elementary and middle school aged children and to organizations that work with under-served youth to promote hands-on experiences in the remote learning environment.

Governance

Emerson has a longstanding dedication to high tenets of corporate governance. In 2021, Emerson shifted to an independent chair structure, electing independent director James Turley as chair of Emerson’s board of directors. In addition, the company recently added Chief Compliance Officer Lisa Flavin to its Office of the Chief Executive, reinforcing its commitment to ethical behavior and high standards among all employees.

“Our 2020 ESG Report highlights the many ways we are putting our Purpose into action as we strive to be a strong corporate citizen both within the critical industries we serve and the communities where we live and work,” said Akberet Boykin Farr, vice president of diversity and social responsibility for Emerson. “We look forward to the many ways we will continue to deliver against our goals to help make the world more sustainable and inclusive in 2021 and beyond.”

To read Emerson’s new Environmental, Social and Governance Report, visit Emerson.com/ESG.

About Emerson

Emerson (NYSE: EMR), headquartered in St. Louis, Missouri (USA), is a global technology and engineering company providing innovative solutions for customers in industrial, commercial and residential markets. Our Automation Solutions business helps process, hybrid and discrete manufacturers maximize production, protect personnel and the environment while optimizing their energy and operating costs. Our Commercial & Residential Solutions business helps ensure human comfort and health, protect food quality and safety, advance energy efficiency and create sustainable infrastructure. For more information visit Emerson.com.

Forward-Looking and Cautionary Statements

Statements in this press release that are not strictly historical may be “forward-looking” statements, which involve risks and uncertainties, and Emerson undertakes no obligation to update any such statements to reflect later developments. These risks and uncertainties include the scope, duration and ultimate impact of the COVID-19 pandemic as well as economic and currency conditions, market demand, including related to the pandemic and oil and gas price declines and volatility, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, among others, as set forth in the Company's most recent Annual Report on Form 10-K, subsequent reports filed with the SEC and the Safe Harbor Statement in our ESG report.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210615005128/en/

FAQ

What are the key highlights from Emerson's 2020 ESG Report?

Emerson's 2020 ESG Report highlights include a 10% reduction in CO2 emissions, 11% decrease in electricity use, and 9% drop in water consumption.

What diversity goals has Emerson set for 2030?

Emerson aims to double the representation of women globally and U.S. minorities at leadership levels by 2030.

How much did Emerson contribute to charities in 2020?

In 2020, Emerson contributed $24.5 million to over 1,300 charities and nonprofit organizations.

What governance changes did Emerson implement in 2021?

Emerson shifted to an independent chair structure, electing James Turley as chair of the board.

How does Emerson support sustainability initiatives?

Emerson supports sustainability by engaging suppliers, reducing waste, and enhancing environmental standards.