Wendy's Advances Corporate Responsibility Commitments

Rhea-AI Summary

The Wendy's Company released its 2021 Corporate Responsibility report on April 27, 2022, highlighting progress in its Food, People, and Footprint initiatives. The report includes formalized Diversity, Equity, and Inclusion (DEI) goals, advancements in climate strategies, and sustainable packaging efforts. Notably, executive compensation is now linked to ESG performance. Key highlights include responsible sourcing commitments, a focus on food safety, and increased recyclability of packaging. The report underscores Wendy's dedication to corporate responsibility and stakeholder engagement.

Positive

• Formalized Diversity, Equity & Inclusion goals enhancing corporate governance.
• Introduced new ESG compensation metric tying executive pay to sustainability performance.
• Investments in responsible sourcing and food safety innovations.
• Commitment to increase recyclability of packaging aiming for 100% sustainable sourcing by 2026.
• Raised over $22.5 million for the Dave Thomas Foundation for Adoption, supporting foster children.

Negative

• None.

2021 Corporate Responsibility report details progress across focus areas of Food, People and Footprint; highlights include solidifying Diversity, Equity & Inclusion goals, climate and sustainable packaging progress and new ESG compensation metric for Company executives

DUBLIN, Ohio, April 27, 2022 /PRNewswire/ -- Today, The Wendy's Company released its 2021 Corporate Responsibility report, outlining progress under the Company's Good Done Right platform focus areas of Food, People and Footprint. The report announces Wendy's® newly formalized Diversity, Equity and Inclusion goals and shares progress on the Company's climate roadmap and sustainable packaging goals. In the report, the Company also details its Board of Directors' decision to tie executive compensation to Environmental, Social and Governance (ESG) performance, with a portion of Company executives' 2022 incentive compensation linked to Wendy's achievements against its Food, People and Footprint goals.

"Advancing our Good Done Right goals is a team effort, and I'm incredibly proud of the progress we made in 2021," said Chief Corporate Affairs and Sustainability Officer Liliana Esposito. "We continue to work to meet the high expectations our stakeholders have for Wendy's through cross-functional collaboration across our System, which includes employees, franchisees, suppliers and industry partners."

The report demonstrates progress against the Company's corporate responsibility goals announced in 2021 and includes the following highlights:

• Food: Defining Responsible Sourcing goal focus areas and investing further in food safety and quality innovation. Wendy's evaluated the environmental and social impacts associated with each of the Company's top 10 priority food categories, validating each of the categories' inclusion on the priority list, and defined key metrics to measure progress as part of the Company's goal to responsibly source its top 10 priority food categories in the U.S. and Canada by 2030. Wendy's also continued to invest in food safety and quality innovation, launching its enhanced global Food Safety Assessment program in partnership with EcoSure®, a division of Ecolab®, and testing new technologies, such as augmented reality smart glasses, to further enhance its Quality Assurance program.
• People: Formalizing DE&I goals and continuing work to find forever homes for children in foster care. Wendy's established an Office of Diversity, Equity and Inclusion, led by the Company's Vice President, Chief Diversity, Equity and Inclusion Officer, and solidified five areas the Company will focus on in the coming years. Through this work, Wendy's aims to increase the representation of underrepresented populations among the Company's leadership and management, as well as the diversity of franchisees. The Wendy's System also raised more than $22.5 million for its signature cause, the Dave Thomas Foundation for Adoption®, which helps fund adoption professionals who are dedicated to finding loving, permanent homes for children waiting in foster care.
• Footprint: Increasing cup recyclability, consumer recycling education and climate transparency. As part of the Company's goal to sustainably source 100% of its customer-facing packaging in the U.S. and Canada by 2026, Wendy's collaborated with packaging and plastics industry leaders to move from plastic-lined paper cups with limited recyclability to single-substrate, clear plastic drink cups that more customers will be able to recycle. Additionally, the Company joined the How2Recycle^® label program in the U.S. and Canada to educate consumers by adopting the organization's on-package label, which provides information on the proper ways to dispose of and recycle packaging. For the first time, Wendy's also reported 2020 Climate data to CDP, a leading disclosure practice for environmental reporting, receiving a B score on the submission, an important step as the Company prepares to set a science-based target to track and reduce emissions in its operations and supply chain and to disclose Scope 1, 2, and 3 emissions in 2023 in alignment with that target.

Wendy's continues to report against recognized frameworks including the Global Reporting Initiative (GRI), Sustainability Accounting Standards Board (SASB) and United Nations Sustainable Development Goals (SDGs) and will continue sharing progress updates in the Company's future reports and in other public communications.  

For more information on Wendy's corporate responsibility work, please visit https://www.wendys.com/whatwevalue.

About Wendy's
Wendy's® was founded in 1969 by Dave Thomas in Columbus, Ohio. Dave built his business on the premise, "Quality is our Recipe®," which remains the guidepost of the Wendy's system. Wendy's is best known for its made-to-order square hamburgers, using fresh, never frozen beef*, freshly-prepared salads, and other signature items like chili, baked potatoes and the Frosty® dessert. The Wendy's Company (Nasdaq: WEN) is committed to doing the right thing and making a positive difference in the lives of others. This is most visible through the Company's support of the Dave Thomas Foundation for Adoption® and its signature Wendy's Wonderful Kids® program, which seeks to find a loving, forever home for every child waiting to be adopted from the North American foster care system. Today, Wendy's and its franchisees employ hundreds of thousands of people across approximately 7,000 restaurants worldwide with a vision of becoming the world's most thriving and beloved restaurant brand. For details on franchising, connect with us at www.wendys.com/franchising. Visit www.wendys.com and www.squaredealblog.com for more information and connect with us on Twitter and Instagram using @wendys, and on Facebook at www.facebook.com/wendys.

*Fresh beef available in the contiguous U.S., Alaska, and Canada.

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SOURCE The Wendy's Company

FAQ

What are the key highlights of Wendy's 2021 Corporate Responsibility report?

The report highlights formalized DEI goals, advancements in climate strategies, and a new ESG compensation metric for executives, alongside commitments to responsible sourcing and sustainability.

When was Wendy's Corporate Responsibility report released?

The report was released on April 27, 2022.

How does Wendy's plan to improve packaging sustainability?

Wendy's aims to sustainably source 100% of its customer-facing packaging in the U.S. and Canada by 2026, including increased recyclability of cups.

What is the significance of tying executive compensation to ESG performance?

This initiative aligns executive incentives with the company's sustainability goals, promoting accountability and commitment to corporate responsibility.

How much did Wendy's raise for the Dave Thomas Foundation for Adoption?

Wendy's raised over $22.5 million for the foundation, which helps find homes for children in foster care.