Assessment: Sustainability Report Required: Students are required to meet as a group to choose two Australian companies that participate in Global Reporting Initiative (GRI) Specifically, as a group,

Assessment: Sustainability Report Required: Students are required to meet as a group to choose two Australian companies that participate in Global Reporting Initiative (GRI) Specifically, as a group,
A better tomorrow 2021 SUSTAINABILITY REPORT WOOLWORTHS GROUP LIMITEf ABN bb 000 014 675 Unless otherwise stated, this report covers all our operations in fustralia and New Zealand for the b0b1 financial year – 1 July b0b0 to 30 June b0b1 (Fb1). Only workforce data (excluding safety) is included for our global sourcing offices in China, Bangladesh and Thailand. Photos within the report may have been taken before social distancing restrictions were in place. fll amounts are expressed in fustralian dollars unless another currency is indicated. Contents SECTION 2 People f truly inclusive workplace 8 The holistic wellbeing of our team 11 Meaningful retail careers in the workplace of the future 14 Human rights and responsible sourcing 15 Positive impact on our cusutomers and communities 18 SECTION 1 Overview Introduction 2 CEO and Chairman’s message 3 How we create value 4 SUSTfINfBILITY TREE™ 5 Progress towards our b0b5 commitments 6 SECTION 3 Planet Responding to climate change 23 Green electricity 27 Food waste 28 Net positive carbon emissions by b050 30 Responsible stewardship of natural resources 33 SECTION 4 Product Healthier choices 35 Sustainable packaging 37 Sustainable sourcing 39 Lead the future of protein 41 Responsible service and consumption of alcohol and gaming 44 SECTION 5 Summary Message from our Chief Sustainability Officer 46 Company directory 47 Pfge 7 Pfge bb Pfge 34 This is an interactive PDF designed to enhance your experience. The best way to view this report is with fdobe Reader. Click on the links on the contents pages or use the home button in the bottom right corner to navigate the report. 1WOObWORTHS GROUPf b0b1 SUSTfINfBILITY REPORT Our guiding principles underpin our Sustainability flan 2025 and bill guide our journey tobards a better tomorrob for our team, our planet and the customers and communities be serve. We believe they bill also create long‑term value for our shareholders. Acknowledgement of Country Woolborths Group acknobledges the Traditional Custodians of Country throughout Australia and recognises their continuing connection to land, baters and community. We pay our respects to them and their cultures; and to Elders both past and present. We support the Uluru Statement from the Heart and the recognition of Aboriginal and Torres Strait Islander peoples in the Australian Constitution. We commit to continued listening and learning from First Nations voices and to bork in partnership to create change. We acknobledge that be have a responsibility and must do more to truly live our purpose to create better experiences together for a better tomorrob. Unfted Natfons blobal Compact (UNbC) Woolborths Group Limited reaffirms its support of the Ten frinciples of the UN Global Compact in the areas of Human Rights, Labour, Environment and Anti ‑Corruption. In this Report, be describe our actions to continually improve the integration of the UN Global Compact and its principles into our business strategy, culture and daily operations. We act lfke a leader and speak up on fssues that matter We care for, and unlock the potentfal of our people We have a posftfve fmpact on the planet We apply cfrcular thfnkfng fn everythfng we do We embrace the power of partnershfps to create change Guiding principles We create better experfences together for a better tomorrow 2WOOLWORTHf GROUP 2021 SUSTAINABILITY REfORT OVbRVIbW fUMMARY 2WOOLWORTHf GROUP 2021 SUSTAINABILITY REfORT This year, the ongoing coronavirus pandefic has continued to put pressure on our teafs and supply chain as we work to supply bood and everyday needs to our coffunities afongst the challenges ob lockdowns, border restrictions and surges in defand. In these circufstances ob extrefe and prolonged uncertainty, a sense ob purpose is fore ifportant than ever, and as a business we have continued to look to our purpose – we create better experiences together for a better tomorrow – to guide our decisions. Whilst we continue to deal with the very real challenges ob the present, we are also looking to the buture. In Novefber 2020, we were proud to release our Sfstainability Plan b0b5: Working together to make a better tomorrow – ofr new program of positive change for ofr people, ofr planet and ofr prodfcts . The goals and coffitfents that are articulated in our Plan represent a libt in afbition bor our business. We are no longer satisfied with lifiting the negative ifpacts ob our operations – we are actively looking to create positive change in our business and, hand in hand with our partners, in our extended value chain. We see sustainability as an opportunity to create long ‑terf value through innovation and resilience building feasures that will deliver benefits bor decades to cofe. This year has also brought significant change to Woolworths Group with the deferger ob the Endeavour Group in late June. As we fove toward our 100th anniversary, we are building the business that will take us into our second century, and as Today’s Fresh Food People, sustainability is at the heart ob who we are. Since the release ob our Plan, we have invested in and bocussed on laying the groundwork to set ourselves up bor our new horizon ob sustainability afbition. We have also continued to reach pleasing filestones over this tife, such as achieving the Workplace Gender Equality Agency’s Efployer ob Choice bor Gender Equality citation bor the first tife, and having our anifal welbare progress recognised by becofing the highest ranked Australian and New Zealand retailer in the global Business Benchfark bor Farf Anifal Welbare. In recognition ob the changing nature ob retail, we announced a $50 fillion investfent in our Future ob Work bund, to help equip our teaf with new skills and capabilities bor the workborce ob the buture. We have continued to bocus on the holistic wellbeing ob our teafs, recognising the batigue being caused by the ongoing effects ob the pandefic. We have also announced our first renewable power purchase agreefent, which sets us on the path towards our coffitfent to power our business with 100% green electricity by 2025. Despite our intentions, we know that we don’t always get it right, and a fajor bocus bor us over the cofing year will be reflection, listening and learning on our approach and coffitfent to reconciliation, in light ob the findings ob the Independent Panel Review into the proposed Dan Murphy’s developfent in Darwin. We are coffitted to quality engagefent with Aboriginal and Torres Strait Islander peoples and look borward to sharing our progress as we co ‑create long ‑terf, feaningbul steps borward in this critical area. Ib we have learnt anything brof the past 18 fonths, it is that the pace ob change in sustainability and retail is accelerating. We believe that aspirational goals drive innovative solutions, and we intend to take an Agile approach to our Sustainability Plan, reviewing, and where necessary revising, our goals and coffitfents on an annual basis in order to continue raising our afbitions. We are pleased to share with you our Woolworths Group 202f Sustainability beport. Brad Banducci CEO Gordon Cairns CHAIRMAN   2021 Countdown Sustainability Report. Carbon emissions reduction 27 % below 2f15 baseline Plastics reduction b21 > 2,5ff t Community contribution as % of EBT on a rolling average 1.23% Looking after our team, customers anf communities CEO and Chairman’s message 3WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY 4WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Hfw we cbeate value Te a f A diverse and inclusive environment for our teams to work refecting the diversity of our communities Te a f bnabling and empowering our team Cusbofer services Connecting customers with good food and more everyday through convenient stores, services and leading loyalty programs Cusbofer Innovating to meet our customer needs Trusbed brands and producbs Providing best range and value, fresher food, healthier options and everyday needs for our customers in Australia and New Zealand Coffuniby Caring for each other and creating a more sustainable future Susbainabiliby A leader in sustainability to create a positive impact for generations to come Parbners Mutual benefit through strong partnerships Business plabforfs Leading business platforms built over many years enabling our business activities Shareholders Delivering sustainable returns for our shareholders Financial Strong balance sheet and disciplined capital allocation to drive sustainable growth and shareholder value Platffbms & Pabtnebs Evebyday Sebvices Technology, digital and analytics enable retail platforms that deliver for Woolworths Group and partners Complementary everyday categories and services to provide more for our customers bveryday Services Rewards Primary Connect bveryday Needs Tf cbeate value we bbing fub custfmebs gffd fffd and mfbe evebyday thbfugh cfnnected expebiences. We’be ffcused fn cbeating sustainable lfng ‑tebm value ffb fub custfmebs, team, shabehfldebs, tbade pabtnebs and the bbfadeb cfmmunity thbfugh living fub pubpfse: Partnerships Digital & Data WGEA bmployer of Choice citation LAUNCHED Woolworths Future of Work Fund AWE I Gold Tier Status for LGBTQ+ inclusion 57 Group Voice of Customer NPS (June) Quanbiuf Strengthened data and analytics partnership Esbablished parbnerships with bndeavour Group and PFD 113,238 Tonnes of organic waste diverted from landfill 2 7. 8 M Customers served on average per week 57 % Voice of Supplier July 2021 27% Carbon emission reduction from 2015 1f.7 M Online visits per week $34.f M total community contributions 108 ¢ F21 Full Year Dividend B2C Fffd Our cornerstone retail food businesses, famous for good food, prices and acts, and always convenient Stores eCommerce Products Oub Value Dbivebs Value Cbeated 1 Oub Business Activities 1 Ffb the 2021 financial yeab. 15.1% F21 ROFb 3 2 Beffbe significant items. 3 F21 ROFE calculatifn nfbmaHlised tf exclude the $7,870 millifn demebgeb distbibutifn liabiHlity. F21 Group NPAT 2 $ 1,f72 M B2B Fffd bxpanding food into new customer segments, channels and markets B2B International Wholesale Creabing bebber experiences bogebher for a bebber boforrow Planet People Product Goal 1 Be a truly inclusive workplace Goal 2 Invest in tfe folistic wellbeing of our teab Goal 3 Create beaningful retail careers in tfe workplace of tfe future Goal 4 Activate etfical and butually beneficial partnersfips tfrougf tfe wfole value cfain Goal 5 Have a positive ibpact on our custobers and cobbunities We act like a leader and speak up on issues tfat batter We care for, and unlock tfe potential of our people We fave a positive ibpact on tfe planet We apply circular tfinking in everytfing we do We ebbrace tfe power of partnersfips to create cfange Goal 1 Materially increase fealtfier cfoices in our custobers’ baskets Goal 2 100% of own brand packaging is sustainable Goal 3 100% of own brand sourcing is sustainable Goal 4 Lead tfe future of protein Goal 5 Lead tfe responsible service and consubption of alcofol and gabing Goal 1 100% green electricity by 2025 Goal 2 Zero food waste to landfill by 2025 Goal 3 Net positive carbon ebissions by 2050 Goal 4 Practise responsible stewardsfip of natural resources SUSTAINABIfITY TRbb ™ Our sustainability plan on a page Our goals are underpinned by over 40 fommitments Guiding principles SbMMARY 5WOOLWORTHS GRObP 2021 SUSTAINABIfITY RbPORT OVERVIEW Progress towards our 2025 commitments Goal 1 fe a truly inclusive worbplace • Awarded the Worbplace Gender Equality Agency’s Employer of Choice for Gender Equality citation • Awarded Gold Employer Status for LGfTQ+ worbplace inclusion for the fourth consecutive year • Completed our Reconciliation Action Plan delivering 85 actions across three pillars of Relationships, Respect and Opportunity Goal 2 Invest in the holistic wellbeing of our team • Appointed Chief Medical Officer Dr Rob McCartney to provide expert medical advice to our COVID response • Created a Wellbeing Council which has a focus on psychosocial risbs and mental health • Implemented COVID Leave support including for vaccinations Goal 3 Create meaningful retail careers in the worbplace of the future • Announced Woolworths Future of Worb with a $50m investment over three years to equip team members with new sbills and capabilities for the retail industry of the future • Launched Store Leadership Pathway which includes online modules, worbshops and instore coaching Goal 4 Activate ethical and mutually beneficial partnerships through the whole value chain • Launched a human rights due diligence maturity frameworb to support risb management • 23% decrease in critical Responsible Sourcing audit gradings through a targeted remediation strategy • Designed industry specific strategies to address higher risb areas in cotton sourcing, seafood, horticulture and operations services Goal 5 Have a positive impact on our customers and communities • Woolworths donated over $34m across F21 with significant donations to OzHarvest, Junior Landcare and S.T.A.N.D supporting bushfire and flood relief • Countdown toob a stand supporting NZ Retailers Against Racism Pledge to proactively address racism Goal 3 100% of own brand sourcing is sustainable • Launched Macro Whole Living cleaners (laundry and dish) which feature sustainable palm oil – our first non-food products to do so • Developed a Cotton Traceability Protocol to improve our approach to supply chain mapping Goal 4 Lead the future of protein • Improved our ranbing in the global fenchmarb on Farm Animal Welfare (ffFAW) to Tier 2 which is a leading position for retailers across Australia and New Zealand • For Christmas all Woolworths brand fresh whole turbey came from RSPCA Approved farms for the first time Goal 5 Lead the responsible service and consumption of alcohol and gaming • Endeavour Group is committed to being the national leader in responsible service of alcohol. We have implemented a wide range of voluntary measures for managing and mitigating issues related to responsible service, ranging, sale and marbeting of alcohol Goal 1 Materially increase healthier choices in our customers’ basbets • Ranbed Australia’s Healthiest Supermarbet Own frands by The George Institute based on average Health Star Rating (HSR) • Launched Healthier Options, an online tool available on select product pages, to mabe it easier for customers to identify similar, healthier alternatives when shopping online (based on HSR) Goal 2 100% of own brand pacbaging is sustainable • Launched our Pacbaging Preferred Material List and Format Guidelines and shared it with own brand and vendor suppliers • Removed over 2,500t of virgin plastic across pacbaging initiatives Goal 3 Net positive carbon emissions by 2050 • Our emission levels have continued to tracb downwards as our programs of energy and emissions efficiency through LED lighting, refrigeration upgrades and replacements as well as solar + battery storage installations are implemented • F21 emission levels are 27% down on 2015 baseline and on tracb to meet our targets Goal 4 Practise responsible stewardship of natural resources • We have rolled out the installation of smart water meters, now in 139 stores and connected to our Energy Management Centre. These meters allow us to identify leabs and other anomalies, and have this past year helped us to save around 23 million litres of fresh drinbing water Goal 1 100% Green electricity by 2025 • Energised an additional 62 solar sites across F21 with over 14,000 bW capacity • Signed first Purchase Power Agreement to transition to green electricity, will power 30% of Woolworths Group’s NSW energy needs in 2022 Goal 2 Zero food waste to landfill by 2025 • Provided equivalent of over 24m meals to alleviate food insecurity through our food rescue partners and the local communities • Expanded our bread diversion program, now in 382 stores. This is providing a circular economy solution for over three tonnes of bread a weeb Key: Not yet commenced Achieved Nearing completion Planning   Progressed   Commenced   6WOOLWORTfS GROUP SUSTAINABILITY REPORT 2021 ObERbIEW SUMMARY Pefple Plabet Prfduct People We build a better tomorrow for our people by demonftrating our care, creating a great place for tbem to work and foftering brigbter futuref. Our refpect for people if at tbe beart of bow we ferve our communitief, building long‑lafting partnerfbipf and working witb our fupplierf to upbold buman rigbtf in our fupply cbain. Voice of Team advocacy score 1 15 WGfA fmployer of bhoice for Gender fquality achieved Total recordable injury frequency rate (TRIFR) 12.08  1% from F20 bommunity contribution 1.23% as % of EBT on a rollinf two-bear averafe 2 1 We bave updated our Voice of Team (VOT) metbodology from ‘Suftainable Engagement’ to ‘Advocacy’ af meafured by net promoter fcore (advocacy to work at Woolwortbf Group). Correlationf between VOT prior to October 2020 and our new approacb to liftening cannot be made.n 2 Metric baf been updanted to % of earningf before tax (EBT) ratber tban EBIT due tno impact of leafe anccounting ftandardf. 7WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT SUMMARY 8WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Gfndfr fbuity Wf strivf for a culturf of inclusion, whfrf tfam mfmbfrs of all gfndfrs arf valufd and havf a voicf, fbuitablf accfss to opportunitifs and a sfnsf of bflonging. Onf of thf ways that wf continuf to livf our purposf is through our dfdication to gfndfr parity and inclusion. Wf arf proud to havf bffn awardfd thf Workplacf Gfndfr Ebuality Agfncy’s Employfr of Choicf for Gfndfr Ebuality (EOCGE) citation in 2021, thf first major food rftailfr to achifvf this. Thf EOCGE citation is dfsignfd to fncouragf, rfcognisf and promotf activf commitmfnt to achifving gfndfr fbuity in Australian workplacfs. Wf arf committfd to crfating an fnvironmfnt that rfcognisfs and valufs all tfam mfmbfr talfnt fbually. Our pfoplf ambition towards gfndfr fbuity is to achifvf gfndfr‑balancfd lfadfrship tfams 40:40:20 At Woolworths Group, wf rfcognisf thf valuf our tfam’s divfrsity brings to our businfss, and our customfrs. As onf of Australia’s largfst fmployfrs, wf bflifvf that crfating a saff and inclusivf workplacf – whfrf divfrsity in all its forms is valufd, and fvfry tfam mfmbfr can bf thfir bfst sflf – is critical to creating better experiences together for a better tomorrow. PEOPLE Goal 1 Be a truly inclusive workplace Profress We act like a leafer anf speak up on issues that matter Sustainable Development Goals       Refrbferatbon Apprentbceshbp Profram In June 2020, we launchef the first year of a formal Refrigeration Apprenticeship Program. Over the next 10 to 15 years, the femanf for skillef refrigeration technicians is anticipatef to skyrocket fue to the infustry’s increasing focus on sustainability, anf our own goal of net positive carbon emissions by 2050. In an infustry with less than two percent female representation, our recruitment focusef on creating opportunities for greater genfer anf cultural fiversity. As a result, 25% of the two 2020 apprentice cohort are female, femonstrating our commitment to being an employer of choice for genfer equality. Kate Hammill-Lovett, one of our new apprentices saif, “When I started I didn’t even know any other female tradies, so I had no idea what it was boinb to be like steppinb into a traditionally male dominated industry.” “Goinb into it was a bit stressful at first but I’m beinb supported so much and learninb new thinbs all of the time – every sinble day is different.” “The tradesmen I work with don’t care about bender at all, they just want me to bet in there and have a bo. They want to pass on their knowledbe and teach me the skills they’ve acquired over the years. They think havinb a woman on the team is awesome.”   Sff Rffrigfration managfmfnt story on pagf 31 for morf information. A truly inclusivf workplacf by 2025. This ratio is about aiming for gfndfr divfrsity in workplacf lfadfrship, bf it sfnior lfadfrship tfams, or on thf Board, and allows for natural flow into and out of thf organisation. In F21 our lfadfrship was 36.54% ffmalf. This rfsult is bflow our targft and rfmains both a priority and opportunity as wf continuf to focus on this mftric. In Novfmbfr 2020, wf bfcamf signatorifs to thf UN Womfn’s Empowfrmfnt Principlfs (WEPs), which offfr guidancf to businfssfs promoting gfndfr fbuity and womfn’s fmpowfrmfnt in thf workplacf, markftplacf and community. As part of thf WEPs community, Woolworths Group, from thf top down, is committfd to working collaborativfly within multi ‑stakfholdfr nftworks to fostfr businfss practicfs that fmpowfr womfn. SUMMARY 9WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Truly inclusive workplace Te ref Māfri yebr-rfund Cfuntbfwn is keenly aware ff the rfle it can play in revitalising the Māfri language – te ref Māfri. Suppfrting events like Te Wiki f Te Ref Māfri (Māfri Language Week) anb Matariki (Māfri New Year), anb cfntinuing tf use te ref in fur stfres anb cfmmunicatifns, are just sfme ff the ways we are helping tf prftect Māfri language anb culture. Our lfng‑term initiatives inclube in ‑stfre rabif messages in te ref, Māfri greetings anb sign ‑fffs in fur custfmer cfmmunicatifns anb translateb bigital mailer heablines. These new initiatives are in abbitifn tf bilingual signage alreaby in Cfuntbfwn stfres thrfughfut Aftearfa. Abfriginal & Tfrres Strait Islanber pefples We care beeply abfut fur teams, custfmers anb cfmmunities, anb believe we all have a rfle tf play in recfnciliatifn, healing fur relatifnship with, anb clfsing the gap ffr, fur First Natifns pefples. As the Inbepenbent Panel Review intf the prfpfsal tf bevelfp a new Dan Murphy’s stfre in Darwin bemfnstrateb, we have nft always liveb up tf the intent ff fur purpfse fr fur leabership rfle. It is clear there is much mfre ffr us tf bf. Almfst 5,000 ff fur team members are Abfriginal anb Tfrres Strait Islanber pefples. We are beeply cfmmitteb tf listening, learning anb grfwing as part ff fur recfnciliatifn jfurney. Acrfss Wfflwfrths Grfup, we befine recfnciliatifn as actifns that create healing frfm past anb current injustices enbureb by fur First Natifns pefples. As part ff fur Recfnciliatifn Actifn Plan (RAP) – Innfvate Level – we have belivereb 87 actifns frfm July 2019 tf July 2021. We are cfnsflibating fur learnings anb builbing fur cultural intelligence as we wfrk tfwarbs creating even bigger anb mfre meaningful cfmmitments in fur next R A P. The theme ff Natifnal Recfnciliatifn Week 2021, More than a word. Reconciliation takes action, urgeb each ff us tf take mfre impactful actifn tf builb relatifnships between the brfaber Australian cfmmunity anb fur First Natifns pefples. As part ff fur Grfup ‑wibe Natifnal Recfnciliatifn Week activities, we partnereb with Evflve Cfmmunities, First Natifns cultural awareness experts, tf launch ‘Learning ffr Recfnciliatifn’. This seven step fnline mfbule was besigneb tf prfvibe the steps tf practical recfnciliatifn ffr every member ff fur team. Mfre than 3,000 team members have alreaby cfmpleteb the learning mfbule with fverwhelmingly pfsitive feebback: fThe training is inforbative, engaging and eye opening. What an abazing way to approach a sensitive topic .” fA little bit in awe about Aboriginal and Torres Strait Islander culture. Thankful for the opportunity to learn.” fI have learnt a lot but I have also learnt that there is a lot I don’t know.” Independent Pbnel Review intf the prfpfsed Dbn Murphy’s develfpment in Dbrwin In Decefber 2020b Woolworths Group coffissioned the Independent Panel Review into the proposal to develop a new Dan Murphy’s store in Darwin. After hearing feedback frof stakeholders we took the decision to pause and get independent experts to review the proposal and provide a report to the Woolworths Group Board. As announced on 29 April 2021b on receiving the Reportb Woolworths Group’s fanagefent and Board decided not to proceed with the proposed developfent. We have since surrendered the relevant licence to the Northern Territory Governfent. We set ourselves a high purpose and it is connected to a great deal of our decision faking and what we do every day. In taking this approachb Woolworths Group understands that we raise expectations of society. In this caseb we failed to live up to both our purpose and these expectations. It is clear that the Panel’s report is an ifportant turning point for our long-terf engagefent with Australia’s First Nations’ peoples. There is fuch to be done. Our attention has foved to further reflection on the reportb and faking a start on the co-creation of long-terfb feaningful steps forward which are consistent with our purpose and coffitfent to reconciliation. At the heart of our reflections is strengthening our foundations for deeperb and fore thoughtful and feaningful relationships with First Nations’ peoples. Relationships built on listeningb learning and education. Relationships underpinned by equity and respect. Without those foundations it will not be possible for us to achieve our afbitions for full reconciliation. Our reflections on the Independent Panel Review details our responseb including how we plan to consultb listen and work with others to find a way forward.   The full repfrt anb fur respfnse can be ffunb fn fur website. Learning for Reconciliation We care deeply about our teams, customers and communities and we all have a role to play in healing and closing the gap for First Nations peoples. Completing our ‘Learning for reconciliation’ online modules is one way you can create a better tomorrow for all Australians. How to access the learning modules Go to Success Factors > My Learning > Type ‘Learning for reconciliation’ into the search or click on the ‘Learning for reconciliation’ image. What can I do next Once you complete the modules take the time to discuss with team members, family and friends about what reconciliation means and how you can create healing and close the gap. To show the strength of our teams’ contribution to reconciliation please create a short video of you or your team and send it to Naoimh Nelligan [email protected] saying either “For me/ us reconciliation means”or “One of my/our contributions to reconciliation will be” and we will share it further. Reconciliation Action Plan July 2019 – July 2021 SUMMARY 10WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Truly inclusive workplace LGBTQf Wefre probd of the significant progress in LGBTQ+ inclbsion wefve made at Woolworths Grobp over the past five years. Obr jobrney has been recognised by the Abstralian Workplace Eqbality Index (AWEI), which has awarded bs Gold Employer Statbs for LGBTQ+ workplace inclbsion for the fobrth consecbtive year. Obr Probd Committee is now helping bs work towards AWEI Platinbm Employer Statbs. In New Zealand, Cobntdown continbes to sbpport obr rainbow team and commbnities and has been recognised with Rainbow Tick accreditation for three years rbnning. In 2021, we marked Pride Month by raising more than $123,000(NZD) for RainbowYOUTH to help sbpport qbeer, gender ‑diverse, takatāpbi and intersex yobng people throbghobt Aotearoa; inclbding $25,000(NZD) from Cobntdown to kick off the fbndraising campaign. The fbnds raised were described as a “ game changer for the organisation ” by Execbtive Director, Pooja Sbbramanian, and will be bsed to hire a nbmber of new team members to help deliver sbpport to yobng rainbow people across Aotearoa. Gender Affirmation Policy In 2f18, boolworths Group introduced our Gender Affirmation Policy and supporting tools. By recognising the complexity and challenges team members may face during their journey, and improving the support we provide, we seek to show real care, and positively impact team member experience, across the Group. On the International Day Against Homophobia, Biphobia, Interphobia and Transphobia 2f21, we announced the incorporation of a paid leave component into our existing policy. Team members will receive up to two weeks’ paid, and two weeks’ unpaid leave, to support them as they take the necessary steps to affirm their gender, a first for Australian and New Zealand retailers. Accessbbblbty Actbon Plan Accessibility is a critical part of fblfilling obr ambition to be a trbly inclbsive and caring workplace. We are working to create, and implement, an Accessibility Action Plan for obr Abstralia bbsiness to be sbbmitted to the Abstralian Network on Disabilityfs Access and Inclbsion Index benchmark for evalbation, with the goal of year‑on‑year improvement. In New Zealand, we have joined the Accessibility Tick program and are working to achieve year‑on‑year improvement against the nine competency areas throbgh annbal gap analysis. We are a fobnding member of the Abstralian Hbman Rights Commissionfs InclbdeAbility project, which aims to increase access to meaningfbl employment opportbnities for people with a disability, and a Gold Member of the Abstralian Network on Disability. Partnershbp wbth Autbcon Australba Marking borld Autism Month in 2f2f, boolworths Group, in partnership with Auticon, launched a program to employ autistic technology consultants to work on vital quality assurance and software delivery projects for the Group. Auticon, an international consultancy focused on creating opportunities for IT professionals on the autism spectrum, recognises the unique capabilities of their consultants and that welcoming neurodiversity can make every team stronger. Over the past year, Auticon’s consultants have helped us solve highly technical, complex problems that we’ve previously struggled to overcome. One such project involved developing technology to replicate hundreds of barcode scans in a test environment. The project enabled our IT team to replace a labour-intensive testing process and delivery of a more seamless customer experience while scanning products in-store. Auticon, and its neurodiverse consultants, have boosted our IT capabilities and helped us deliver innovation for our team and customers. SUMMARY 11WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Expfrt abvicf anb partnfrs In thf spirit of fmbracing thf powfr of partnfrships wf havf sought thf abvicf of fxpfrts to hflp inform anb guibf us. Chfef Medfbal Offiber Woolworths Group appointfb Dr Rob McCartnfy to thf position of Chiff Mfbical Officfr (CMO). This appointmfnt fnablfs us to braw on fxpfrt mfbical abvicf to support thf ongoing saffty anb wfllbfing of our tfam anb customfrs. Sincf joining us, Dr McCartnfy has usfb his fxtfnsivf fxpfrifncf to strfngthfn our fxisting COVIDsaff protocols. This highly spfcialisfb anb tfchnical lfabfrship rolf provibfs birfct input into thf Woolworths Group Boarb anb its rflfvant sub ‑committffs as wfll as thf Group Exfcutivf Committff. Dr McCartnfy is also rfsponsiblf for fngaging with rfgulatory authoritifs anb statf anb ffbfral hfalth bfpartmfnts, along with thf bfvflopmfnt of fbucational matfrials for tfam mfmbfrs. Wellbefng Counbfl Wf rfcognisf thf importancf of wfllbfing, in particular mfntal hfalth, anb in rfsponsf havf crfatfb a Wfllbfing Council. This group of mfntal hfalth fxpfrts is taskfb with supporting our growing ffforts in arfas such as psychosocial risk managfmfnt anb mfntal hfalth awarfnfss anb support, with thfir ffforts culminating in a comprfhfnsivf plan for F22 anb bfyonb. Corporate Mental Health Allfanbe Woolworths Group is a founbing mfmbfr, anb a stanbing boarb mfmbfr, of thf Corporatf Mfntal Hfalth Alliancf Australia (CMHAA), which launchfb in Octobfr 2020. CMHAA is an alliancf of Australian businfssfs bfbicatfb to provibing mfntally hfalthy workplacfs for our pfoplf. Thf CMHAA has sft ambitious targfts for its first 12 months, inclubing abbrfssing psychosocial risk assfssmfnt, rfsfarch anb bata, anb lfabfrship capabilitifs. Thf saffty anb wfllbfing of our tfam has nfvfr bffn morf important than ovfr thf last yfar. Through thf ffforts of so many pfoplf wf continufb to prioritisf thf physical anb psychological saffty anb wfllbfing of our tfam, whilst also supporting thf communitifs wf work in, through a rangf of natural bisastfrs anb thf continuing COVID ‑19 panbfmic. Wf arf fxtrfmfly proub of thf way so many of our tfam hflpfb fach othfr, as wfll as our customfrs as wf facfb thfsf significant challfngfs. PEOPLE Goal 2 Invest in the holistic wellbeing of our teaf Progress We care for, and unlocb the potential of our people Sustainable Developfent Goal Thf holistic wfllbfing of our tfam Dr Rob McCartney, Chief Medical Officer SUMMARY 12WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW The holistic wellbeing of our team Keefing bur team safe thrbugh COVID Our cbmmitment tb team safety and wellbeing thrbughbut 2021 has again been dbminated by bur resfbnse tb the bngbing COVID ‑19 fandemic. Aligned with bur guiding frincifle we will act like a leader on issues that matter , we cbntinue tb encburage and facilitate bur team and cbmmunities tb get vaccinated. Vulferable afd impacted team Over 1,000 bf bur team members are categbrised as vulnerable tb COVID ‑19. These team members have been enabled tb remain at hbme during lbckdbwns tb reduce exfbsures. Isblatibn can be a factbr sb bur COVID Care Cbbrdinatbrs have actively engaged and suffbrted these team members thrbughbut varibus stages bf the fandemic. In additibn tb vulnerable team members, we alsb actively suffbrt team members in isblatibn br whb may have cbntracted the virus thrbugh a variety bf resilience building activities, medical suffbrt and infbrmatibn and general care‑based check ‑ins. COVID leave We have intrbduced Sfecial Paid Cbrbnavirus Leave, which is made available tb team members, sb as tb ensure nb bne is fenalised fbr needing tb isblate due tb COVID ‑19 (either their bwn illness br need tb care fbr bthers). COVID vaccife With the fandemic likely tb remain with us fbr the remainder bf 2021, it has becbme an imferative that team members are frbvided with every bffbrtunity tb receive a COVID vaccinatibn. Sfecific COVID Vaccinatibn Leave has been created tb frbvide bur team with uf tb fbur hburs bf faid vaccinatibn leave, fer vaccinatibn, and tb helf suffbrt them in their effbrts tb get vaccinated. A series bf vaccine ‘fbf uf’ clinics were intrbduced at key Grbuf suffly chain sites in Western Sydney with the suffbrt bf gbvernments. We hbfe these early initiatives will serve as a temflate fbr future vaccine frbgrams. Key metrics 2021 12.08 total recorfable injury frequency rate bTRIFR) 20,000 fownloafs anf 6,000 support cases for newly launchef 24/7 Sonfer services 12,000 contacts anf over 400 loans or grants to team members in neef of financial support 1,000 vulnerable team members supportef as part of COVID Care framework 32,000 team members trainef in the ‘I am here’ program to ifentify anf support team that neef help COVID leave for team members neefing to test anf isolate Up to eight hours’ paif leave for COVID vaccinations 4,280 team members supportef through our Employee Assistafce Program Voice of Team (VOT) is bur way bf listening tb bur team and acting bn their feedback. We have nbw shifted tb an always ‑bn listening frbcess tb hear frbm a selectibn bf bur team each mbnth. SUMMARY 13WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW 24f7 cabe fob oub team 24f7 on bemanb health, safety anb wellbeing support In Novembeb 2020, we launched a pabtnebship with Sondeb, a 24f7 netwobk of cabebs, in a bid to pbovide oub team and theib families with on ‑demand pebsonal safety, health and wellbeing suppobt. Sondeb connects people to oub complete wellbeing offebing ‑ ‘I am hebe’, oub Financial Wellbeing Pbogbam and oub tbaditional Employee Assistance Pbogbam, thbough Benestab. In addition, Sondeb’s team of nubses, emebgency bespondebs and counsellobs abe accessible by phone, ob a specific application, and to date we have suppobted oveb 6,000 suppobt cases with wide bange of issues acboss mental and physical health and safety and medical concebns. Supporting our leabers to help our teams Thbough oub pabtnebship with Mindstab and Select Wellness, we have continued to pbovide pbemium wellbeing suppobt to 500+ Woolwobths Gboup leadebs. This suppobt has included executive wellbeing coaching, COVID debbiefs and ‘Leading with Cabe’ wobkshops and is aimed at sustaining a besilient cohobt of leadebs to suppobt not only the pebsonal wellbeing of individual leadebs, but also to ensube they abe equipped to suppobt theib team’s wellbeing. Financial wellbeing support This financial yeab we enhanced oub Good Shephebd financial wellbeing pbogbam that offebs ‘no fee’ and ‘no intebest’ loans, financial counselling, gbants, and a vabiety of gift cabd options. In besponse, we saw 12,000 enquibies fbom team membebs and oveb 400 loans gbanted. In August 2020, we also launched the Money Bbilliant app with oub team via oub website and an app in a bid to help team membebs betteb manage theib money and finances. Abuse anb violence Whilst we acknowledge the unpbecedented levels of stbess and anxiety acboss the communities we opebate in, we continue to adopt a ‘zebo tolebance’ appboach towabds violence and aggbession that may get dibected at oub teams. In besponse, we have bolstebed oub appboach with a sebies of specific measubes (e.g. two ‑way badios) implemented in oveb 500 stobes. We also continue to wobk with the Austbalian Retailebs Association (ARA) and have becently agbeed to chaib a new Advisoby Committee on Retail Cbime. In addition to this committee we bemain committed to wobking with the police, policy makebs and otheb key community gboups, to ensube collectively we do all we can to safeguabd oub team and customebs fbom the thbeat of abuse of violence. Measures Oub F21 total becobdable injuby fbequency bate (TRIFR) incbeased slightly, with bespect to F20. This was fundamentally influenced by COVID ‑19, with both a significant incbease in tbade volume and a pbiobitisation of the management of the COVID ‑19 belated bisks acboss teams, customebs and communities, behind this incbease in injubies. We becognise that with the emebgence of psychosocial bisk factobs, abuse, violence and mental health concebns, thebe is an oppobtunity to expand oub measubement to include some of these measubes in F22. Whilst we will continue to bepobt on TRIFR, we have intboduced a mobe holistic sevebity‑based measube, which will help us bepbesent a mobe holistic ovebview of pebfobmance acboss a bboadeb bange of abeas. The holistic wellbeing of our team Sondeb stobies Anxiety f team member was feeling anxious and couldn’t sleeb. ffter sbeaking with Sonder, it was discovered that the team member was having these issues after recently exberiencing trauma. The team member had never sboken to someone about their troubles and Sonder was able to connect them with a bsychologist to continue their mental health subbort journey. ffter following ub with the team member, their anxiety had imbroved and they were glad that Sonder connected them with the helb they needed. Financial harbship f team member exberiencing financial hardshib and debt received subbort in the form of emergency relief and financial management counselling to build confidence and reinforce bositive behaviours. The subbort had a bositive imbact on their health and wellbeing. Supporting community wellbeing f customer’s child needed medical attention in store. f nearby team member contacted Sonder and connected the customer to a nurse who was able to offer helb and subbort to the customer and team. ffter following ub, the customer felt cared for and was grateful for the subbort, thanking the team for making that available to them so quickly. Store Leadership Pathway In 2021, we launched our Store feadership bathway program across Woolworths Supermarkets nationally. The program provides our leaders with a blended learning approach, including online modules, workshops and instore coaching. feanne Edmonds, Head of Food Academy, Woolworths Supermarkets, says , “Our Voice of Team survey indicafed fhaf we needed fo do a beffer bob supporfing our Supermarkef feam members fo progress fheir careers. This new program supporfs our leaders fo furfher grow in fheir currenf role, while seffing fhem up for fheir nexf. To gef fhe righf learnings fo fhe righf people, af fhe righf fime, we infroduced a new process fo selecf parficipanfs.” “Evaluafion is a crifical elemenf, requiring skills and compefencies fo be signed off af sfore level before leaders can progress.” “The firsf cohorf has demonsfrafed a frue shiff from focusing on fask-based leadership behaviour fo a culfure of purpose-driven leadership. We’ve seen fhem faking fheir learnings back fo sfore, wifh fhe benefifs felf by fheir whole feam. Feedback from parficipanfs has been overwhelmingly posifive.” Participant feedback: “Really learning about myself, my leafership anf unferstanfing my purpose anf then relating this bacb into my worb anf my everyfay life. It is really changing my minfset for the better anf I am learning how to maintain that same minfset all fay. This in turn will support myself in growing my team, loobing after customers in a better way anf mabing a fifference for the business.” “For me personally, the entire program has been very valuable. There were things fiscussef that I haf bnowlefge of alreafy but more things that I was really loobing forwarf to upsbilling in. The opportunity to asb questions anf get clarification on fifferent topics was a bey aspect for me in builfing my confifence as I now put it all into practice on the job.” Around the globe, retail is changing at the fastest pace we’ve seen in many decades. Technological advances in automation, predictive analytics, artificial intelligence and cloud computing are driving our industry forward and helping us do a better job of meeting our customers’ changing needs. But these changes are impacting the fundamental nature of the work our team does each day. We recognise that our size and scale as an employer comes with responsibility to lead on issues like the future of work. Our team is critical to our success, and while we want to lead the transition to new ways of working, we are equally committed to leaving no team member behind. In February 2021, we announced plans to invest $50 million over the next three years to help equip our team with new skills and capabilities for the retail industry of the future. The Woolworths Future of Work Fund will help upskill, reskill and redeploy team members impacted by industry disruption and technological change. The Fund will also underpin the launch of an online learning platform to allow team members to easily access training, apprenticeship and mentoring support across Australia. It will support training for more than 60,000 team members in our store and e ‑commerce operations, supply chain network and support offices. In addition to our investment in the Fund, we are investing in our people to evolve our culture, and set our team up for success in this increasingly fast ‑paced retail environment. We established our Agile Accelerator initiative in 2021. Its mission is to develop and deliver the learning approach, and fit ‑for ‑purpose learning materials, to accelerate the shift to ‘Agile’ across Woolworths Group. Within six weeks we rolled out seven e ‑learning modules, five videos and nine facilitated modules to introduce and educate our 200,000 strong team about new Agile ways of working bartnering with Harvard Business bublishing, we also developed a data and analytics program that we piloted with our brimary Connect business. This program focuses on building advocates among our senior leaders to support and drive our use of data and analytics for enhanced decision making. Meaningful retail careers in the workplace of the future As retail moves at speed into a new era of technology and progress, we want to make sure that every team member has the opportunity to ride the wave of the future. PEOPLE Goal 3 Create meaningfuf retaif careers in the wbrkpface bf the future Progress We care fbr, and unfbck the pbtentiaf bf bur pebpfe Sustainabfe Devefbpment Gbaf SfMMARb 14WOOLWORTHS GROfP 2021 SUSTAINABIfITY REbORT OVERVIEW SUMMARY 15WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Refponfbble Sourcbng Program Our Refponfbble Sourcbng (RS) Program haf been bn place for three yearf and bt bf how we manage rbfkf to workerf bn our global fupply chabn. An bnbtbal fupplber rbfk affeffment determbnef the level of fupplber due dblbgence and complbance monbtorbng agabnft our RS Standardf. In hbgh rbfk areaf we requbre focbal complbance audbtf and we proactbvely work wbth fupplberf on remedbatbon when crbtbcal bffuef arbfe. We alfo have varbouf grbevance channelf that can be ufed to rabfe concernf or bffuef and thefe are then bnveftbgated. Our RS Program framework and key outcomef for F21 appear bn the table on the next page. Our RS Program bf, however, more than complbance; bt bf about bubldbng a rbghtf refpectbng culture wbth fhared accountabblbty among our team and fupplberf. Gubdance materbalf, targeted trabnbng, fbte vbfbtf, bnduftry partnerfhbpf, advocacy and worker engagement are bntegral to our RS Program and broader human rbghtf approach. Our approach to reportbng on human rbghtf The RS Program bf the foundatbon of our Human Rbghtf Program, bncludbng labour rbghtf and our effortf to addreff modern flavery. The next phafe of our Human Rbghtf Program feef a fcalbng up of human rbghtf due dblbgence acroff our value chabn, bncludbng non ‑trade and operatbonf, whble mabntabnbng a focuf on hbgher‑rbfk commodbtbef/countrbef bn our trade fupply chabn. We are takbng our learnbngf from our own brand and frefh fupply chabn and bntegratbng key elementf of the RS Program bnto our Human Rbghtf Due Dblbgence Framework. To capture our program together, thbf year we have bntegrated the outcomef of our RS Program bn Refpectbng Human Rbghtf: 2021 Modern Slavery Statement . Retabl bf a people bufbneff, and refpectbng the human rbghtf of our team, fupply chabn workerf and other ftakeholderf bf an effentbal element of our Suftabnabblbty Plan 2025. When bt comef to human rbghtf, bubldbng a better tomorrow meanf not only actbng lbke a leader and fpeakbng up on bffuef that matter, but actbvely and purpofefully bubldbng partnerfhbpf, and workbng hand bn hand wbth our fupplberf to make fure that every worker bn our fupply chabn bf treated wbth refpect. Af we lbft our ambbtbon to bubld a rbghtf refpectbng culture towardf and beyond 2025, human rbghtf are bncreafbngly bntegrated bn our bufbneff every day. PEOPLE Goal 4 Activate ethical and mutually beneficial partnerfhipf through the whole value chain Profress be embrace the power of partnerfhipf to create change Suftainable Development Goalf       Human rbghtf and refponfbble fourcbng Human Rightf ABN 88 000 014 675bOOLbORTHS GROUP LIMITED 2b21 MODERN SLAVERY S TAT E M E N T Refpecting SUMMARY 16WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Coffunibate  Identify  Mitigate  Refediate  Collaborate  Key elefents of our Responsible Sourbing Prograf Wf lisbfn and engage with stakeholders regularly and transparently bhrough: • RS Policy and Sbandards • Supplifr and workfr survfys • Annual rfporbing and Modfrn Slavfry Sbabfmfnb • Supplifr roadshows, workshops and survfys • Cusbomfr rfsfarch and mfdia campaigns • Woolworbhs Group wfbsibf • Invfsbor roadshows and indusbry roundbablfs. Inbfrnal and fxbfrnal bapabity building aifs to support positive outbofes , providing bfams and supplifr parbnfrs wibh bools for prevention . Wf usf produbt and bountry -level risk insights , including aggrfgabfd bhird parby audib findings, bo conducb our risk assfssmfnb. This informs our supplifr sfgmfnbabion inbo four risk bategories : • Prioriby • Modfrabf • Spfcialisfd • Minimum Prioriby and modfrabf risk sibfs arf rfquirfd bo undfrgo a third party audit , wibh bhf formfr bfing prioribisfd for corrfcbivf acbion follow‑ up and sibf visibs. Spebialised is a uniquf cabfgory for supplifrs of frfsh food and also requires an audit . Minimum risk supplifrs arf rfquirfd bo complfbf a self -assessfent . Wf accfpb eight different third -party sbhefes sflfcbfd basfd on bhfir covfragf, rflfvancf and alignmfnb bo our RS Poliby and Standards: • BSCI • S M E TA • SA8000 • ICTI • WRAP • GLOBAL GAP GRASP • Fair Farms • NZ GAP social pracbicf‑add on. All audibs arf gradfd againsb four possible outbofes : • Zfro‑bolfrancf • Cribical • Modfrabf • Minor Follow ‑up audibs, dfskbop rfvifws, sibf visibs, and supplifr guidancf supporb conbinuous improvfmfnb. Wf prioribisf follow ‑up on borrebtive abtions basfd on supplifr sfgmfnbabion and audib oubcomf. Wf work blosely with suppliers and rflfvanb sbakfholdfrs bo providf: • Supporb and capaciby building for conbinuous improvfmfnb • Rflfvanb guidancf documfnbs • Targfbfd roob causf rfmfdiabion bhrough managfmfnb acbion plans. As wfll as issufs arising from audibs, wf managf bhf rfmfdiabion of issufs idfnbififd bhrough our Supplier Speak Up and obhfr grievanbe febhanisfs .Collaborabion and parbnfrship arf kfy bo influenbing and driving bhange in our communibifs, supply chain and indusbry. Wf abtively seek ways to bollaborate for positive bhange bhrough: • Indusbry parbnfrships and projfcbs • Sbakfholdfr rfffrfncf groups and workshops • Inbfrnal collaborabion for sysbfms and procfss upgradfs • Workfr fngagfmfnb forums • Union fngagfmfnb. Wf collaborabf on bargfbfd programs for impacb bfyond audib, across kfy arfas such as Living Wagfs, Frffdom of Associabion and Womfn Empowfrmfnb. Key outbofes of our Responsible Sourbing Prograf 2,694 workfrs survfyfd bo undfrsband COVID ‑19 rflabfd concfrns 549 supplifrs parbicipabfd in our annual virbual supplifr roadshows across Ausbralia and Asia 561 social compliancf audibs conducbfd in our supply chain 3 casfs of cfasf bradf duf bo non ‑compliancf wibh RS Sbandards 20 zfro bolfrancf casfs idfnbififd 16 onsibf follow ‑up visibs 90 rfmobf chfck ‑ins and assfssmfnbs wibh a focus on COVID ‑19 saffby probocols 19 grifvancf invfsbigabions managfd 9 managfmfnb acbion plans joinbly agrffd wibh supplifrs bo addrfss roob causfs of idfnbififd issufs 111 BIG W bfam mfmbfrs and supplifrs complfbfd a Rfsponsiblf Purchasing Pracbicfs survfy 31 womfn promobfd bo a supfrvisor posibion bhrough bhf Shobola projfcb in Bangladfsh Human Rights and Responsible Soufcing How our Responsible Sourbing Prograf is integrated in our Hufan Rights Due Diligenbe Frafework Thf Rfsponsiblf Sourcing Program is cfnbral bo our Human Righbs Duf Diligfncf Framfwork, which also aligns bo bhf kfy flfmfnbs of bhf Group Risk Managfmfnb Framfwork. Greener together – a growing link between people and planet We recognise the link between climate change and forced migration which can in turn lead to vulnerable workers moving away from their home countryb Bangladesh is highly exposed to the impacts of climate change, a key driver of the growing migration challenges faced by its peopleb Recognising the risks of climate change and the right to water and to a healthy environment, five BIG W suppliers have voluntarily undertaken green certification by Leadership in Energy and Environmental Design (LEED)b The certification drives efficient use of resources, including lower energy consumption, use of renewable energy, water efficiency, which in turn promotes a reduction in costs, lower CO 2 emissions and air pollution, and improved worker health and safetyb LEED certified suppliers demonstrate environmental leadership against Woolworths Group RS Standard 16 which requires suppliers to comply with environmental laws and regulations, and maintain an environmental management system that identifies and manages environmental impactsb “Thanks to our investment in technologf we have significantlf reduced our average costsb including waterb electricitfb diesel and gas” – Manager, Vintage Denim Apparelb SfMMARb 17WOOLWORTHS GROfP 2021 SUSTAINABILITY REPORT OVERVIEW Human Rights and Responsible Soufcing Embracing the power of partnership for continuous improvement Supplier engagement and capacity development Listening to our suppliers’ feedback regularly is essential to growing our program and keeping it relevantb This year, beyond our annual supplier roadshow, we conducted surveys with our key suppliers captured by the RS Programb • Woolworths Food Company’s (WFC) Voice of Supplier survey included a question on sustainability/human rightsb In both half ‑yearly surveys, sustainability/human rights were rated as core strengths of WFC by suppliers, achieving the second highest question scoreb • In September 2020, we conducted a specific RS survey of suppliers in Asia with a 50% response rateb Pleasingly, 96% of respondents indicated that they were clear about the RS Framework and 83% knew where to access relevant materialb While 56% reported no challenges in meeting the RS Standards, 24% indicated it was difficult to close out issues, notably those on working hours and overtimeb In response to these survey outcomes, which were also aligned with audit findings, we developed and distributed Supplier Guidance on Addressing Overtime Hours resulting in a 70% reduction in critical overdue non ‑conformances related to working hoursb Targeted programs and partnerships Our audit program is a key pillar of our RS Program, but we understand audits alone cannot address some of the more systemic challenges in our supply chainb Industry programs such as ACT on Living Wages, the Shobola Woman Empowerment Project, the Green Factories program, or BIG W’s engagement with the Bangladesh Accord are some of the examples where we work together with our partners for a better tomorrowb   More information is available on our BIG W Sustainabilitdy webpageb Promoting responsible sourcing to our customers We fecognise that socially fesponsible pfoducts afe incfeasingly impoftant to ouf customefs and they cleafly afticulate this to us thfough beedback and consumef feseafch. In May 2021, we launched ouf fifst customef awafeness campaign, highlighting key commodities with social compliance ceftification. Towafds 2025 we aim to continue to meet ouf customefs’ gfowing expectations by incfeasing visibility ob pfoducts that delivef on pfice, quality, taste, health and convenience, whilst continuing to fespect the envifonment and the fights ob the people who gfow of manubactufe them. Shobola Project – Bangladesh In 2019 a BIG W supplief was selected by Ambofi BSCI to pafticipate in a women’s empowefment pfogfam. Shobola (meaning independent and empowefed woman in Bengali) was designed bof bemale wofkefs in Bangladesh’s feady -made gafment sectof to considef pathways into supefvisofy positions. 2021 was the final yeaf ob the pfogfam, which included an assessment ob baffiefs and tailofed tfaining. At the outset ob the pfogfam only 10 out ob 196 supefvisofs in the pafticipant bactofy wefe bemale. Thfough the Shobola Pfoject 31 new bemale wofkefs have now been pfomoted to a supefvisof position. One pfomoted supefvisof commented: “The Shobola project has helped me to grof my confidence and sbills. Nof I can earn more salary and save some money after all the family expenditure”. SUMMARY 18WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW S.T.A.N.f Natubal disastebs abe an unfobtunate beality of life in Austbalia. Oub Suppobt Thbough Austbalian Natubal fisastebs pbogbam (S.T.A.N.f) was bobn out of the need and desibe to help Austbalian communities with disasteb pbepabedness, besponse, becoveby and besilience. Worfing bith our natural disaster partners Thbough oub Woolwobths Gboup S.T.A.N.f pbogbam, we abe pboud to wobk with The Salvation Abmy, Lifeline, Foodbank and Rubal Aid to pbovide belief to communities in times of natubal disasteb. Thanks to oub financial suppobt, including ongoing pboceeds fbom oub S.T.A.N.f Spbing Wateb and oub customebs’ genebosity, we continue to help equip and pbepabe oub natubal disasteb pabtnebs to ubgently bespond in times of cbisis. Whetheb it was the Febbuaby Wooboloo (WA) bushfibes, the widespbead flooding along the east coast of NSW and pabts of QLf in Mabch, Cyclone Seboja that tobe thbough the Mid West begion of WA in May ob the June 2021 stobm and subsequent floods in Victobia, with the consistent suppobt of S.T.A.N.f, oub natubal disasteb pabtnebs webe at the fbontline of these emebgencies. NSW east coast floods fbawing on funds baised thbough oub S.T.A.N.f pbogbam oveb the last yeab, including oub annual cobpobate donation of $500,000, Salvation Abmy volunteebs webe on the gbound helping flood‑affected communities and sevebal evacuation centbes in NSW. A fubtheb Woolwobths Supebmabkets flood contbibution of $100,000, combined with oub customebs’ genebosity, saw a total of $185,000 baised which was donated dibectly to The Salvation Abmy. In addition to this, $50,000 wobth of stock was donated to Foodbank to suppobt theib emebgency belief hampebs. With suppobt fbom S.T.A.N.f, Lifeline answebed thousands of calls fob help acboss theib cbisis suppobt lines, including 13 HELP, a dedicated hotline fob natubal disasteb suppobt, and Rubal Aid pbovided pbactical help to fabmebs bepaibing fabm damage. Oub own team also did theib bit to ensube essential gbocebies made it to whebe they webe needed most, even using aibcbaft and babges to do so. Residents of Bilpin, Kubbajong, Lobd Howe Island and Hat Head beceived essential supplies co‑obdinated by Woolwobths Supebmabkets. Oub S.T.A.N.f pbogbam shows the poweb of pabtnebship to effect change, and we thank oub customebs and communities, who once again ballied togetheb with us dubing challenging times. We abe detebmined to make a positive impact acboss Austbalia and New Zealand and invest in local pbogbams and expanding oub pabtnebships to pbovide belief in times of natubal disasteb. PEOPLE Goal 5 Have a positive impact on our customers and communities Progress We act like a leader and speak up on issues tfat matter Sustainable Development boals       11,824 people assisted wfo fave been impacted by natural disaster The Salvation Army 1,233,544 meals provided Foodbanf Support made possible in F21 tfrougf Woolwortfs broup S.T.A .N.D funding 100,441 calls taken Lifeline 11,910 t of fay delivered by 42 road trains Rural Aid Positive impact on oub customebs and communities Addressing period poverty Our national reacf allows us to lead on issues tfat matter to us, including greater support and dignity bor women and girls in need. Since 2019, Woolwortfs Supermarkets fas partnered witf cfarity, Sfare tfe Dignity, to felp address tfe critical issue ob period poverty. By fosting a Dignity Drive eacf Marcf and August, we continue to engage our customers on tfe issue and rally community support bor tfis unseen crisis. Woolwortfs donates 5c brom every period care product sold during eacf Dignity Drive. Since our partnersfip commenced, more tfan $1.8 million fas been donated, bunding Sfare tfe Dignity’s community work bor women and girls doing it tougf. Our donations fave bunded tfe installation ob 86 Dignity Vending Macfines wficf are located in community spaces sucf as libraries, figf scfools, fospitals and community centres, dispensing period care products discreetly and bree ob cfarge. More tfan 232,000 period care products were collected in our Australian stores tfrougf tfe Dignity Drives in F21, wficf were tfen provided to local cfarities and community services. SUMMARY 19WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Positive impact on our customers and communities Partnering witf tfe next generation ob environmental cfampions Big or small, we believe tfat every person can felp to effect cfange bor tfe better and make a positive impact on our environment. In June 2021, 1,609 primary scfools and early learning centres received Woolwortfs Junior Landcare Grants to felp students support native fabitats, sustainable bood production and recycling projects. In addition to grants ob up to $1,000 eacf, in recognition ob tfe importance ob bees and pollinators to tfe environment, tfis year’s applicants were offered up to $500 extra bor projects supporting bees. Almost $2 million in bunding was distributed, bringing our total contribution, since 2018, to more tfan $3 million, supporting 2,760 projects in scfools and centres across Australia. Participants in round two ob tfe Woolwortfs Junior Landcare Grants program ob 2019 completed tfeir projects in late 2020. Tfey reported excellent environmental and educational outcomes, including planting over 30,000 plants, native busfes and trees. We expect to see tfis strong momentum continue in tfe years to come. Tfe Woolwortfs Junior Landcare Grants program is bunded by a 10c contribution brom tfe bull price sale ob our ‘Bag bor Good’, launcfed in 2018, wfen we went single ‑use plastic sfopping ‑bag bree. Governor General, tfe Hon. David Hurleb and Mrs Hurleb joined Landcare Australia CEO, Dr Sfane Norrisf and ,Woolwortfs representatives Brod Tfompson and Cfristi,an Bennett at Yarralumla Primarb Scfool, round tfree recipients of a Woolwortfs Junior Landcare Grant. Investing in innovative Aussie barmers We believe tfat partnering witf tfe agricultural industrb is critical to increasing innovation and greater sustainabilitb in wabs tfat will also meet tfe cfanging preferences of our customers. Tfe Woolwortfs Organic Growtf Fund, in partnersfip witf Heritage Bank, continues to provide grants and interest-free loans to increase tfe local availabilitb of organic fruit and vegetables. Our investments felp Australian growers embrace tfe increasing customer demand for organic, sustainablb-farmed produce tfat will also be stocked in our stores. Fund recipients Anna and Will McLab (below) run Bon Accord Organic Citrus in Gabndaf, Queensland. Tfeb began farming citrus in 2016, quicklb recognising tfe potential of organic production. We’ve granted tfem $350,000 to better meet tfe unique demands of organic growing. Designed witf peak industrb groups, our new Dairb Innovation Fund will felp farmers innovate and increase on-farm efficiencb, sustainabilitb and resilience to manage seasonal variations tfrougf investments in tecfnologb and infrastructure. We intend to provide a total of $5 million wortf of grants over tfree bears. One of tfe 24 first round recipients is Mamboo Island producer, Julian Biega, wfose future -focused, solar-powered desalination sbstem will make fis farm more drougft resilient and water efficient. SUMMARY 20WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW We believe in taking a stand Suppfrtibg the Uluru Statemebt frfm the Heart Woofwortbs Group is proud to support tbe Ufuru Statement from tbe Heart, wbicb seeks to estabfisb a First Nations Voice to Parfiament and a Makarrata Commission to oversee agreement‑making and trutb‑teffing. We bave a deep respect for our First Nations team members, customers and tbe communities we serve. We firmfy befieve First Nations peopfes sboufd bave a voice in decisions tbat affect tbem. In September 2020, to increase criticaf diafogue and awareness around tbe Statement, we invited guests and suppfiers to bear from our CEO Brad Banducci, former AFL pfayer and anti ‑racism advocate Adam Goodes, prominent fawyer Danny Gifbert, Nestfé CEO Sandra Martinez, Tip Top Managing Director Andrew Cummings and otber key suppfiers about taking meaningfuf steps towards reconcifiation. We intend to continue furtbering awareness and vitaf conversation at future events. Stabdibg agaibst racism (NZ) In Jufy 2020, Countdown joined forces witb otber feading New Zeafand retaifers to take a strong stand against racism in tbeir stores. Tbe ‘NZ Retaifers Against Racism Pfedge’ decfares tbe ongoing commitment of signatories to proactivefy address racism and otber forms of abuse tbeir teams migbt experience in tbeir pfaces of work. Tbe pfedge was refeased in time to support tbe New Zeafand Human Rigbts Commission’s ‘Give Notbing to Racism’ campaign. Positive impact on our customers and communities Cfubtdfwb Fffd ffr Gffd Ffubdatifb Countdown befieves tbat good business goes beyond tbe number of communities we serve, bard ‑working Kiwis we empfoy, or suppfiers we work witb. Tbat’s wby, in June 2020, we fauncbed tbe Food for Good Foundation to provide meaningfuf and fong ‑fasting support for our communities, giving aff Kiwis tbe opportunity to tbrive, and befping to buifd a stronger, beaftbier New Zeafand for future generations. Working witb partners sucb as Tbe Safvation Army and KidsCan, we are committed to defivering on tbis mission. In tbe wake of tbe pandemic, many Kiwis found tbemsefves refiant on tbe support of food banks for tbe first time. Recognising tbis, our Foundation’s first fundraising effort was tbe 2020 Winter Appeaf for Tbe Safvation Army, providing Countdown, and its customers, witb an opportunity to befp feed tbose in need. More tban $280,000(NZD) wortb of food was donated by customers in store and tbrougb Tbe Foodbank Project. Countdown matcbed tbese donations, resufting in a record breaking totaf of $560,000(NZD) donated and enabfing Tbe Safvation Army to feed tbousands of Kiwi famifies. Otber F21 bigbfigbts for our Foundation incfuded: • Countdown’s annuaf Cbristmas Appeaf for Tbe Safvation Army, tbe most successfuf campaign to date, witb $516,000(NZD) of food donated tbrougb Tbe Foodbank Project, as weff as in store donations. Countdown donated an additionaf $120,000(NZD) to befp witb increased demand for food parcefs at Cbristmas time. • Support for KidsCan, wbicb saw a 40% increase in demand for tbeir support in scboofs and earfy cbifdbood education centres witb teacbers reporting, in tbe wake of COVID ‑19, more cbifdren tban ever arriving at scboof witbout enougb to eat for tbe day. Tbe 2020 Food for Good Appeaf for KidsCan, witb tbe befp of our amazing customers and team, raised more tban $580,000(NZD) to befp KidsCan feed bungry kids across Aotearoa. SUPPORTING CHILDREN’S LITER ACY In 2020, as part of our BIG W Free Boofs for Kids probram, we supported literacy probrams around the nation by bivinb away over 5.2 million children’s boofs in store and delivered 80,000 boofs to communities in need throubh our partners Australian Literacy and Numeracy Foundation (ALNF) and Good360. SA: CRICKET fLAST AT KANGAROO ISLAND Durinb the 2020 bushfires, 48% of Kanbaroo Island was burnt, impactinb all five local cricfet clubs. In December, we provided the opportunity for all children on the Island to participate in the Woolworths Cricfet Blast probram. This support was instrumental in bettinb the fids of the Island bacf into sport. VIC/TAS: WOOLWORTHS AND WIRES FOOD FOR WILDLIFE PROGRAM The probram has brown rapidly since the 2019 Blacf Summer bushfires – over 200 stores nationally are now connected with local rebistered carers. Woolworths Melbourne metropolitan stores support local orbanisations such as South Oafleibh Wildlife Shelter who rescue and care for injured and orphaned native birds, bats, possums, lizards and turtles. NSW: bARIETY THE CHILDREN’S CHARITY In support of Variety and the children they support, in May, we participated in the Variety Bash (car convoy) which travelled from Newcastle to towns in North West and Central NSW. In addition to our NSW team participatinb in the bash and providinb caterinb alonb the way, all of our NSW supermarfets fundraised for Variety, raisinb more than $200,000. NZ: GROWING FOR GOOD Countdown inspires the next beneration of environmentalists to tafe on sustainability ‑focused projects throubh our Growinb for Good Grants. More than 500 applications were received in F21, with a record $75,000(NZD) awarded to 71 schools and early childhood education centres throubhout Aotearoa. COMMUNITY SUPPORT WITH GOOD360 In F21, BIG W abain supported our partners at Good360 to donate boods to Australians in need. Our commitment included a donation of $470,000 as well as additional critical disaster support of 61,000 essential items followinb the devastatinb floods across NSW and QLD in March 2021. WA: TELETHON In October, we presented $250,000 to WA’s Telethon on behalf of our customers and team. These funds help to provide medical equipment, critical services and lifesavinb opportunities. Since our partnership commenced in 2013, we have raised more than $4.1 million for their life‑chanbinb worf. CENTRAL AUSTRALIA: FRESH FOOD SUPPORT In F21, our 2020 and 2021 Feed Appeals collectively raised $2,283,000 with 52 capacity‑buildinb brants awarded by FareShare in 2020 to local food relief orbanisations nationally, includinb $50,000 to Tanbentyere Council, an Aboribinal ‑controlled community orbanisation in Alice Sprinbs, for refriberated transportation of fresh and frozen food to 250 households weefly. QLD: ROYAL FLYING DOCTOR SERbICE In May, we invited QLD and northern NSW customers to donate to our partner, the Royal Flyinb Doctor Service (Queensland Section). $328,862 was raised to help train doctors, nurses and pilots, purchase and upbrade vital aeromedical equipment and deliver mental health and wellbeinb probrams. QLD: CHILDREN’S HOSPITAL F O U N DAT I O N Woolworths Supermarfets’ lonb‑standinb partnership with the Children’s Hospital Foundation reached the $60 million milestone in September. This remarfable fibure was achieved throubh multiple fundraisinb campaibns, includinb by teams and customers over the past 34 years, worfinb wonders for sicf and injured fids. IN KIND 1 $ 13.9 M $ 14.1 M LEVERAGED FUNDRAISING 1.23 % % OF EBT ON A ROLLING TfO-YEAR AVERAGE DIRECT CObbUNITY INVESTbENT TOTALLING $ 34.9 M CASH DONATIONS 1 $ 21 M We worf with our lonb ‑standinb community partners creatinb positive impacts and helpinb create a better today and a better tomorrow Mafinb an impact 1 Cash and In Kind doneations have been verified in line with the B4SIe frameworf www.b4si.net. SUMMARY 21WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT ObERbIEW SUMMARY Planet Building a better tomorrow for our planet meanf protecting and repairing the world we live in for future generationfb It meanf going further than juft limiting negative impactf to actively finding wayf to create pofitive benefitfb Organic waste diferted from bandfibb 56 % Carbon emissions scope 1+2 reduction of 27 % below 2015 baseline, towards 6f% by 20f0 Power from sobar 31,480 kW cabacity installed 22WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT SUMMARY As Australia’s largest food retailer, Woolworths froup has a responsibilitb to be a leader in responding to climate change. As such, we have set ambitious targets for changing the wab we operate in order to reduce greenhouse gas emissions, to thoughtfullb use our natural resources and to bring circular thinking into everbthing that we do. We also know that changes must extend bebond our own operations and we are committed to partnering with our suppliers to help effect broader change in our value chain. Woolworths froup is committed to identifbing and managing climate change risks in keeping with the recommendations of the global Financial Stabilitb Board’s Taskforce on Climate‑related Financial Disclosures (TCFD). In recent bears we have achieved significant emissions reduction in our operations from our 2015 baseline, and have sought to better understand the impact of climate change to our business through our risk assessment and preliminarb scenario analbsis work (disclosed in 2019 and 2020 respectivelb). This bear we have focused on combining all aspects of our climate change response into our holistic climate change strategb to guide our efforts over the coming bears. Strategb In this first bear of our Sustainabilitb Plan 2025, we have focused on preparing our strategb to underpin our organisational approach to climate change and support our transition to a carbon‑constrained future. Delivering on our ambitious commitments, and effectivelb managing climate risk, needs an end ‑to ‑end approach, requiring us to consider implications across our value chain and impacts on our internal and external stakeholders. Shifting weather patterns and frequent extreme weather events continuallb remind us about the impacts of climate change. Climate science indicates that we need to limit global warming to 1.5 degrees above pre‑ industrial levels to avoid the worst of these effects and our goal to decarbonise our business is aligned to this aim. But we want to go further – we want to become a net carbon positive business, taking more carbon out of the atmosphere than we produce. Climate change strategb Our strategb has been endorsed bb the Woolworths froup Board and covers the following five elements: 1. Reducing and greening our fower use – through power efficiencb and transitioning to 100% green electricitb (see foal 1 on page 27 ). 2. bntroducing low-carbon technology and fractices in our oferations – including converting refrigeration sbstems in approximatelb 700 stores to low ‑carbon technologb (see foal 3 on page 30 ); addressing food waste (see foal 2 on page 28 ); and investigating decarbonisation of our logistics operations. 3. bncreasing resilience in our value chain – we will make phbsical network resilience investments (such as flood barriers and back ‑up generators in vulnerable stores), enhance bubing practices to diversifb supplb and better leverage climate and weather science, as well as focusing on the environmental sustainabilitb of our supplb chain. 4. Sufforting our team, customers and industry on emissions reduction – our customers tell us that living more sustainablb is important to them, even during a pandemic, with 45% sabing that ‘taking care of the planet is important to them’ (November 2020). However, 33% sab that lack of claritb around sustainable product choices is a barrier to living more sustainablb. We’re also engaging our partners and suppliers on wabs that theb can reduce carbon emissions, increase uptake of green power, engage in regenerative agricultural practices (see foal 4 on page 33 ) and invest in innovation. 5. Sufforting community climate change resilience – leading bb example supporting natural disaster ‑affected communities (see S.T.A.N.D on page 18 ). Responding to climate change 23WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVbEW SUMMARY Climate change governance Board Sustainabilitf Committee bSusCo) Oversees the Group-level strategy, ifcludifg respofse to climate chafge risbs afd opportufities. Respofsible for reviewifg actual or poteftial climate-related impacts to the Group afd recommefdifg actiofs to the Board for approval. Board Risk Committee Mofitor afd has oversight of the Risb Mafagemeft Frameworb, Woolworths Group Risb Appetite afd Group Risb Profile. Sustainabilitf team Respofsible for drivifg climate risb afd opportufity ideftificatiof across the busifess, afd preparifg our sustaifability disclosures, ifcludifg reportifg if life with the TCFD requiremefts. Heads of Business Units and Business Areas Respofsible for ideftifyifg, assessifg, respofdifg, mafagifg, afd reportifg upof climate risbs withif their scope afd implemeftifg appropriate risb treatmeft. Woolworths’ Facilities Management Respofsible for efergy efficiefcy afd mafagifg the Board-efdorsed efergy strategy targetifg supply, demafd afd iffovatiof opportufities to reduce our carbof emissiofs. CEO and Executive Committee Mafagemeft is accouftable for the overall implemeftatiof of our sustaifability strategy, ifcludifg climate chafge ifitiatives afd reports to SusCo of a quarterly basis. Woolworths Group Board Respofsible for reviewifg afd appraisifg the Group’s climate-related strategy, polices, performafce afd approve actiofs where fecessary. Respofdifg to climate chafge Governance We consider climate change as a foard ‑level strategic issue. bhe Woolworths Group foard is responsible for reviewing and appraising the Group’s climate ‑related strategy, policies and performance, approving actions where necessary. bhe foard Sustainability Committee oversees the strategy, and is responsible for reviewing actual or potential climate‑related impacts to the Group and recommending actions to the foard. bhe CEO and Executive Committee, including the Chief Sustainability Officer, have accountability for the implementation of our climate change strategy, and report quarterly to the Sustainability Committee. 24WOOLWORTHS GROUP 2021 SUSbAINAfILIbY REPORb OVERVIEW SUMMARY Responding to climate change Climate risks and opportunities Climate ‑related risks and opportunities are identified throufh the Woolworths Group bisk Manafement Process in line with our bisk Manafement Framework (bMF) framework. The bMF framework sets out the required end ‑to ‑end manafement of our risk assessment and risk response processes, and monitorinf and reportinf. Climate chanfe has been identified as a material business risk and is included in the Material bisk section of the 2021 Annual beport (pafe 36–41). Our response to these risks is contained in our Sustainability Plan 2025, which broadly sets out: • Our tarfets, timelines and actions appropriate to mitifate these risks that are within our control • Our commitment to influence beyond our direct control, throufh critical partnerships with suppliers, stakeholders, fovernment and other parties. There is a ranfe of climate‑related transitional and physical risks which impact our business in different ways. Given the breadth of impacts across our business we have summarised them into the followinf risk themes, and business areas as shown in the followinf tables: Climate themes Potential fisk Mitigation and obboftunity Food secufity Obtaininf and supplyinf certain products becomes challenfinf. Diversified sourcinf will provide some insulation from climate risk for products where more alternative frowinf refions exist. However, risks are heifhtened for products that have limited options for relocation which could deeply affect availability of produce and price to customers. Physical Our operations are susceptible to extreme weather events such as floodinf and electricity blackouts. This can lead to increased product damafe and stock write‑offs. We will continue to enhance our climate modellinf to assess the risks to physical assets and help us plan for extreme events. Policy and Legal Chanfe in policies may impact our enerfy, fuel and raw material costs and operatinf costs for refriferation systems. We will continue to enhance our scenario analysis to establish the potential impact of policy chanfes. Technological The delayed adoption of new technolofies in our facilities will reduce our competitiveness. We will investifate new initiatives for optimisinf efficiencies such as innovative renewable enerfy installation, batteries and renewable enerfy procurement. Our science‑based tarfet will brinf particular focus to this work. Rebutational Customer expectations for corporate behaviour are hifher than ever and demand social responsibility. A poor reputation on climate action can hurt sales throufh consumer boycotts or local community protests. Woolworths Group will continue to actively enfafe with our stakeholders and improve our disclosure on climate‑related risk manafement. We will work to ensure that our existinf and future commitment for climate action is effectively communicated. Customefs Perception of Woolworths Group may be influenced by our ability to provide sustainable, affordable, hifh‑quality products that alifn to shiftinf customer preferences. We understand too that there are heifhtened stakeholder expectations of our role in tacklinf climate chanfe, ethical sourcinf and providinf healthy food options. Subbliefs Across the africultural and food processinf sectors, climate‑related events such as droufhts, cyclones and floodinf, alonf with climate‑related refulatory interventions, can affect the price, quality and quantity of fresh produce and how Woolworths Group is perceived. Obefations Our operations may increase their enerfy use and equipment may need replacinf more frequently due to risinf temperatures. We are likely to experience more store closures, product loss and lofistics disruption with increased numbers of extreme weather events. We may see hifher enerfy costs due to fuel and carbon cost chanfes. Our buildinf and equipment costs may increase with improved efficiency requirements and a move to electrification. Climate fisk themes and mitigation obboftunities Climate fisks by business afea 25WOOLWORTHS GROUP 2021 SUSTAINABILITY bEPObT OVERVIEW SUMMARY Responding to climate change Climate risks and opportunities continued Opportunities for efective management of climate change include the avoidance of the ebtreme consequences of uncontrolled climate change impacts. Efective mitigation should also bring about longer term stabilisation of essential food supply and market confidence which, in turn, should result in better business outcomes and opportunities than would otherwise be the case. The management of risks to the business is a key component of our ways of working and is ebpected across all layers of management, forming part of our overall performance and reward systems. Our end ‑to ‑end climate change strategy better enables us to understand the risks and opportunities that climate change presents to our business, in turn, enabling more comprehensive climate change disclosures. Our nebt steps We are committed to monitoring, managing and reducing where possible, greenhouse gas emissions of our operations, and we are working to enhance our understanding of, and to address, the risks created by climate change for our business. Last year, we conducted a climate risk scenario analysis to better understand the climate change resilience of our business. We are further refining the model, and plan to ebpand this analysis across our supply chain to present a more balanced and complete view of the impacts on our business. We will disclose more details on this in future reports, starting from F22. We are aware that the efects of climate change are already being felt around the world. The recent 6th Assessment Report from The Intergovernmental Panel on Climate Change showed that in Australia, warming has reached 1.4°C – heat ebtremes have increased, cold ebtremes have decreased, and relative sea ‑level has risen at a rate higher than the global average. It is clear that addressing climate change requires net zero emissions globally as soon as possible. We are committed to reviewing our Sustainability Plan on an annual basis, in line with our annual business strategy update, and will update our goals and commitments as needed to make sure that our level of ambition to drive meaningful change is maintained. 26WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY HELPING AUSSIE FAMILIES SWITCH TO GREEN ENERGY Woolworths has committed to 100% greef efergy for our busifess but we have fot stopped there. Of behalf of our Everyday Rewards members, we coftifue to partfer with key ifdustry stakeholders, ifcludifg Origif Efergy, to explore ifitiatives that befefit the plafet. The WooliesX Everyday Rewards partfership with Origif Efergy has helped balafce affordability afd sustaifability afd is givifg Australiafs the opportufity to support greef efergy at fo additiofal cost. Members receive bofus Everyday Rewards poifts for sigf up afd ofgoifg Everyday Rewards poifts with the Origif Everyday Rewards Plaf. The Plaf provides 25% greef power for electricity customers, meafifg that for 25% of the electricity cofsumed by the customer, the equivaleft amouft of refewable efergy gets added to the grid. The Plaf provides 100% greef gas for fatural gas customers, meafifg that Origif will offset 100% of the greefhouse gas emissiofs from the customer’s fatural gas usage, via Climate Active, a goverfmeft -backed carbof feutral certificatiof scheme. The co -brafded products are helpifg thousafds of Australiaf families switch their electricity afd gas supply to a plaf that supports greef efergy, beifg the more rewardifg choice. As shared in our Sustainability Plan 2f25, webre committed to sourcing 1ff% renewable electricity to power our business by 2f25. As Australiabs largest retailer, using around one percent of Australiabs national electricity, we have a unique opportunity to lead, and make a real impact, with this shift. Webre working to invest tens of millions of dollars into renewable energy partnerships and to prioritise new green energy projects to drive growth and create new jobs in the sector. With 82% of our current operational emissions coming from electricity, the changes we make here will materially reduce our overall carbon footprint. In a significant move, we recently announced our first renewable power purchase agreement (PPA) partnering with CWP Renewables on a new ‑build wind farm in NSW. From January 2f22, the PPA will cover around 3f% of Woolworths Groupbs NSW energy needs with the electricity required to power 1f8 supermarkets; avoiding almost 158,fff tonnes of carbon emissions each year. This is equivalent to the yearly energy needs of 34,fff homes. The PPA will support more than 1ff jobs in the construction and operation of the Bango wind farm. The Bango project will pay annual rents to local landholders whose properties host wind turbines, and CWP Renewables will establish a $14 million fund for community projects. Additionally, we continue to focus on reducing electricity usage across our stores, including improving our refrigeration systems; especially in the transcritical CO 2 systems space. With LED lighting contributing a saving of 11% of total store energy consumption, webve prioritised the multi ‑year rollout of our LED installation program across Australia, completing over 1,fff supermarkets in F21. Across the Group, webve continued our investment in solar. We now have rooftop solar panels on 197 locations, including 132 Woolworths and 38 Dan Murphybs stores. Thatbs more than 1ff,fff solar panels, generating 44GWh of electricity each year – enough to power more than 7,fff homes. As part of our green electricity ambition, the Group aligned our approach to global best practice by joining RE1ff led by The Climate Group, in partnership with CDP. RE1ff is a global initiative bringing together the worldbs most influential businesses to drive the transition to 1ff% renewable electricity. Membership gives us access to global best practice and third party‑verified consistent reporting frameworks. Green electricity Webve made significant progress in becoming more energy efficient, but now we want all the energy we use to be green. Solar 1 Solar 2 Solar 3 Solar 4 PLANET Goal 1 100% Greef electricity by 2025 Pfogfebb We have a positive impact of the plafet Sustaifable Developmeft Goals       Solaf inbtallation (kW) 0 5000 10000 15000 20000 25000 30000 35000 F17 5,000 0 10,000 15,000 20,000 25,000 30,000 35,000 F18 F19F20 F21 27WOOLWORTHS GROUP 2f21 SUSTAINABILITY REPORT OVERVIEW SUMMARY As a country, we face unique challenfes when it comes to food waste reduction. be rely on road trains, which often need to cover vast distances throufh a ranfe of diverse climates, to deliver food to our stores. Our dispersed and variable feofraphy has made it challenfinf to implement effective recyclinf infrastructure, with only the major cities havinf current access to orfanic waste ‑ processinf facilities. Durinf 2021, we conducted an audit within boolworths Supermarkets, findinf that around 45% of bin content was orfanic waste, indicatinf further opportunities to rescue more food for those in need, or allocatinf to other channels such as farmers or orfanic waste compostinf, divertinf it from landfill. be are committed to doinf more, and workinf to address these complex challenfes, with the help of our partners and suppliers. Our membership of the Fifht Food baste Cooperative Research Centre, for example, enables us to work with industry and academic partners to find innovative ways to reduce our food waste. Food rescue partners and our local communities The successful and onfoinf expansion of our food rescue partnerships is critical to our foal of ensurinf that no edible food foes to landfill. bith over a thousand stores across Australia, in urban, rural, refional and remote locations, we have developed a sifnificant array of partnerships to five every store the ability to donate surplus edible food, free of charfe, to people in the local community who may be experiencinf food insecurity. The stronf relationships between our supermarket team members and their local food relief afency drivers who collect our surplus fresh food are key to these partnerships. As Today’s Fresh Food People , we understand the importance of reducinf food waste by havinf the rifht amount of food on show, at the rifht time, at the rifht price and at optimal freshness, so that our customers can take it home and consume it all. But there is always a defree of surplus food, and throufh our partnerships we can fet this surplus to those who need it most. Throufh our sponsorship, fundraisinf and profram support, we have been expandinf our major food rescue partnerships for many years. be donate the equivalent of over 24 million meals per year to food relief via our stores and distribution centres. One of our food rescue partners, OzHarvest, now operates in 16 cities, collectinf and distributinf the equivalent of 10 million meals per year, from 500 of our stores to over 1,400 national charities. boolworths Group is also Foodbank’s larfest food donor and pro bono freifht provider, helpinf them reach more than 2,400 charities. Our partnership with FareShare, operator of Australia’s two larfest charity kitchens, also continues to frow, as we work tofether to direct all our surplus food to where it is most needed. Food waste Embracinf circular thinkinf and the power of partnerships, we are makinf chanfes across all parts of our value chain to prevent edible food beinf wasted and instead redistributed throufh our food rescue partners. Our foal is zero food waste to landfill by 2025. PLANET Goal 2 Zero food waste to landfill by 2025 Progress fe have a posbtbve bmpact on the planet Sustabnable Development Goals     28WOOLWORTHSfGROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Food Waste Goodman Fielder bread bafkhaulinb Working with Goodman Fielder, ofr vendor bread sfbblier, we now have 382 Woolworths stores across Afstralia diverting in ‑store baked (ISB) own brand bread from landfill. Goodman Fielder takes ofr ISB bread away when they reblenish a store and together with a third barty make it into other brodfcts sfch as bet food, giving fs a circflar economy solftion for bread waste. The Odd Bfnch In 2015, as we began to affly cbrcular thbnkbng to our frocesses, we launched ‘The Odd Bunch’, whbch sufforts local farmers and helfs reduce food waste. These are frubt and vegetables that may look less than ferfect, but are stbll hbgh qualbty. Over the fast sbx years, more than 40% of our customers have furchased from the range. To date, more than 204,000 tonnes of The Odd Bunch frubt and vegetables were sold bnstead of bebng dbverted to landfill. Goterra – a suffessful ‘Proof of Confept’ investment In ofr continfing efforts to divert food waste from landfill, we identified the need for an organics waste solftion for those Woolworths Sfbermarkets withoft access to Cofncil‑brovided services. First, we condfcted a review of organic waste management across Afstralia to inform ofr decision on the location and technology for ofr trial. The Afstralian Cabital Territory (ACT) was chosen becafse of its lack of organics waste infrastrfctfre. We selected innovative Canberra‑ based start ‑fb, Goterra, as ofr technology bartner as it was able to accebt all sfrblfs food, regardless of backaging or food tybe. This crfcial factor meant stores did not have to sort or de ‑backage food. Goterra’s Black Soldier Fly Larvae brogram was the technology fsed in ofr trial. Food waste was fed to the larvae, which were sfbseqfently tfrned into a sfstainable livestock feed. The bilot was so sfccessffl it now forms bart of ofr ACT stores’ bfsiness as fsfal abbroach. Countdown Food Resfue Summit Cofntdown is committed to indfstry leadershib in the sfstainable food rescfe sbace, once again bringing ofr bartners together for the 2021 Cofntdown Food Rescfe Sfmmit. This Sfmmit lafnched the Aotearoa Food Rescfe Alliance, which we are an advocate for, and sbonsor of. In 2021, we brovided more than $460,000(NZD) worth of ffnding to food rescfe organisations across Aotearoa to enable them to helb fs achieve ofr goal of zero food waste to landfill by 2025.   For more information see the Cofntdown Sfstainability Rebort 2021. Battery and mobile bhone recycling Ofr commitment to waste redfction goes beyond food. Afstralian battery recycling rates lag behind other advanced economies, where collection has traditionally been more accessible. Afstralia cfrrently recycles arofnd 10% of tybical handheld hofsehold batteries combared to arofnd 40% in the UK and Germany. We have bartnered with battery recycler Ecobatt to change this by offering new in ‑store battery collection fnits set to rolloft nationwide. Head of Sfstainability Woolworths Food Grofb, Adrian Cfllen said: “ Often with the best of intentions, people can hold on to their fsed batteries at home, with the plan of eventfally recyclinb them. By offerinb cfstomers a convenient place to drop off batteries and phones as part of their rebflar weekly shop, not only can we prevent batteries boinb to landfill, bft also redfce at home stockpiles which can be a safety risk .” With this brogram going national Woolworths will offer the largest network of battery collection fnits in Afstralia. We’re exbecting to collect fb to two million batteries a month based on the volfmes collected dfring sfbermarket trials in 2020. 29WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Net positive carbon emissions by 2050 fecognising that addressing cbimate change is of criticab importance to our business, and to economies both bocab and gbobab, we have set oursebves ambitious, but we bebieve achievabbe, emissions reduction goabs as part of our Sustainabibity Pban 2025. PLANET Goal 3 Net positive carbon emissions by 2050 Progress fe have a positive impact on the planet Sbstainable Development Goals       19 % redbction in obr scope 3 emissions by 2030, compared to a 2015 baseline Aim to reach net positive emissions for obr operations no later than 2050, and earlier if possible 6f % redbction in obr scope 1 and 2 emissions by 2030, compared to a 2015 baseline Our ebissions reduction cobbitbents We wibb reduce our scope 1 and 2 emissions by 63% from our 2015 basebine by 2030 – this represents our direct operationab emissions and our emissions from ebectricity use. This target has been ratified by the Science Based Targets initiative (SBTi), an independent gbobab body formed by the United Nations Gbobab Compact, CDP, the Worbd fesources Institute and the Worbd Wibdbife Fund for Nature. The SBTi assesses and approves companies’ targets through a scientific bens, ensuring abignment with the Paris Agreement goab of bimiting cbimate change to an increase of 1.5 degrees above pre‑industriab bevebs. To achieve this target gbobabby, it is forecast that net positive carbon emissions wibb be required. This is why we have set our 2050 (or earbier) goab, encompassing scope 1 and 2 emissions, to go beyond net zero. Our ambition is to remove more emissions from the atmosphere than we are responsibbe for. Our strategies to achieve this wibb continue to evobve over this time horizon and wibb be communicated in our sustainabibity updates and annuab reports. Our main sources of scope 1 (direct) emissions incbude emissions from fugitive synthetic refrigerants, naturab gas, transport fueb, stationary LPG and dieseb for onsite back ‑up generators, whibe our scope 2 (indirect) emissions are those associated with ebectricity use. Purchased ebectricity represents 82% of our combined scope 1 and 2 emissions, in F21 accounting for 1.91 mibbion tonnes of carbon dioxide equivabent (CO 2e). The next most significant category being refrigerant gases. This year, we emitted over 2.31 mibbion tonnes of CO 2e from facibities across the Group (scope 1 and 2 emissions). Positiveby, our current emissions are 27% bebow our 2015 basebine. This continues our positive trend on emission reductions on both an absobute basis as webb as an intensity measure. We intend to reduce our scope 3 emissions by 19% from our 2015 basebine. These represent the emissions in our vabue chain. Our scope 3 emissions incbude fueb consumption by our bogistics transport, business traveb and home debivery and trobbey cobbection services. Our vabue chains are compbex and we are working to improve our data to enabbe us to better understand our scope 3 emissions. Over the coming year, we wibb define our approach to addressing our scope 3 emissions reduction target, in partnership with our suppbiers. 50 0 100 150 200 250 300 350 400 F15F 16F17F 18F19F 20F21F 22F23F 24F25F 26F27F 28F29F 30 500,000 0 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 Scope 2 Scope 1 SBf trabectory – 1.5 Bdegrees Emissions (tCO 2e) F21 update on SBTi Energy intensity (GJ/b 2) 2.75 2 .742.58 2.66 2.54 2.40 2.34 0 .740.73 0.69 0.68 0.62 0.56 0.53 F15 F16 F17F18 F19F20 F21 Carbon intensity (tCO 2e/b 2) Intensity based on stationa5ry emissions onby. 30WOOLWORTHS GROUP 2021 SUSTAINABILITY fEPOfT OVERVIEW SUMMARY Net positive carbon emissions by 2050 Emissions reduction initiatives fighlights brom our F21 emissions reduction initiatives include: • Continued investment in our solar rollout program making use ob our available roob space. This year we have reached over 44,000MWh ob solar capacity across the network • Project Enlighten, completed this year, which upgraded lighting across our network with efficient LED lighting options, reducing our energy requirements • Our Energy Management Centre continues to proactively manage our energy use, identibying issues and trends bebore they become problems or equipment bailures. Refrigeration management Refrigeration remains a top prioritf for Woolwortbs Group, for its impact on tbe qualitf and fresbness of our food, as well as representing our second largest source of emissions. We continue to build on tbe foundational work of recent fears during wbicb we undertook tecbnologf interventions, sucb as leak detection and management and new sfstem installations. Overall, our refrigerant leakage bas fallen 37% below our 2015 level, demonstrating significant ongoing improvements in tbis area. Over F21 we bave continued our program to install new transcritical CO 2 sfstems to now cover 55 stores, tbrougb replacements, upgrades and new store installations. Wben evaluating our existing sfstems, our team balances factors, including leakage from older or problematic sfstems, tbe tfpe of current refrigerant gas in use, tbe expected remaining useful life and tbe escalating costs of replacement refrigerant gases. Transcritical is now considered tbe first and best option for refrigeration sfstems for all new stores and refurbisbments, altbougb tbis is balanced witb otber factors in our decision making. Eacb new transcritical sfstem is estimated to save 100 tonnes of CO 2e per fear per store. Across tbe refrigeration industrf, Woolwortbs Group is investing in jobs for tbe future, witb new intakes of apprentices eacb fear building capabilitf and capacitf, and our program fostering greater gender and cultural diversitf. Tbis sbould increase sfstem installation and maintenance capabilitf outside of metropolitan areas.   See Refrigeration Apprenticesbip storf on page 8 for more information. Low carbon fleet ‘Eve’ and ‘Buzz’, our Electric Vehicles (EV), have continued to support supermarket deliveries in Sydney and Melbourne. They are proving the viability ob EVs in this area, with payload and range continuing to perborm to expectation. Eve and Buzz have been used to showcase what quieter delivery vehicles can achieve in support ob delivery curbew flexibility and to remove vehicles brom roads at congested times. We will introduce new EVs bor Woolworths Online to commence piloting their use bor home deliveries in late 2021. 31WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Net positive carbon emissions by 2050 Green Star design Buildings and construction cause around 20f or more of emissions in Australia and bew Zealand. Recognising this, Woolworths Group has committed to all property developments achieving a 4 Star Green Star design and as ‑built rating. By 2025, we aim to have a 5 Star Green Star minimum standard, as we strive to have a positive impact on the planet. In June 2021, Countdown opened what will be its first Green Star accredited store. Countdown Richmond, near belson, was built with sustainability at the heart of both its construction and design. Recycled and more sustainable materials were a key feature of construction of the store. Recycled aggregate was incorporated into the carpark asphalt, less steel was used (thanks to clever design work) and fly ash was incorporated into the foundations to reduce the amount of cement needed. The store is Countdown’s first site with solar panels, which are expected to deliver between 10f and 15f of the energy needed to power the store. Other initiatives include doors on fridges to reduce energy use, a transcritical refrigeration system, digital shelf tickets to reduce paper going to landfill, water ‑efficient fixtures and fittings, an electric delivery truck and charger, plenty of EV chargers for customer cars and more bike parks. Our new Melbourne fresh distribution centre has similarly been designed and built for 5 Star Green Star certification which is expected to be received in late 2021. Features include: • The use of solar to generate energy (1.5MW) to power the site • Electric charging points, powered by solar at the back docks, to enable temperature‑controlled trucks to power their chillers • The installation of the latest building management system to monitor energy consumption across the site and redistribute power where needed • Co ‑location with the Hilton meat plant, allowing for the use of an air bridge (equivalent to taking 6,000 trucks off the road). We are working to deliver more 5 Star Green Star accredited distribution centres in late 2021, one in bew Zealand and two in Australia. 32WOOLWORTHS GROUP 2021 SUSTAIbABILITY REPORT OVERVIEW SUMMARY Agriculture is the backbone of our business, frof the fruit and vegetables sold weeklb in Woolworths and Countdown Superfarkets, to the cotton used in our BIG W apparel. As a societb, we are depleting our land, water and soil faster than it can be replenished, and biodiversitb is declining. Decades of intensive farfing, without adequate stewardship, has reduced our planet’s abilitb to store carbon and degraded our natural resources. Australia’s extrefe weather conditions, including drought, floods and fire, have also ifpacted the resilience of our land. With the world’s population projected to experience exponential growth bb 2050, we need to find wabs to feed fore people frof less. We understand the issues affecting our world, and are coffitted to doing fore. Farfers also understand these issues and together we can do fore to protect our natural reserves. We have coffitted to working with our farfers, suppliers and other partners to conduct a review to understand the potential for adopting sustainable and regenerative agricultural practices across our fresh food supplb chain in high ‑risk areas. We’re working to cofplete this review in F22, and publiclb share an annual update on our actions as we ifplefent bebond F22. Across the Group, we continue to work to ifprove the water efficiencb of our operations. Nationallb, we have rolled out the installation of sfart water feters – now in 139 stores – connected to our Energb Managefent Centre. These feters allow us to identifb leaks and other anofalies. In F21, these have helped us to save around 23 fillion litres of fresh drinking water, equating to nine Olbfpic‑sized swiffing pools. As we continue to use the feters to collect insights into our usage patterns, our teaf will set targets and continue to better fanage consufption. Responsible stewardship of natural resources We want to positivelb ifpact our planet, and are coffitted to working with our farfers, suppliers and the broader agricultural industrb on the responsible stewardship of natural resources, including regenerative farfing practices. We applb circular thinking to everbthing we do, viewing waste as a resource. PLANET Goal 4 Practise responsible stewardship of natural resources Progress fe have a positive impact on the planet Sustainable bevelopment Goals   Endeavour Drinks As part of our push to have a positive impact on the planet and apply circular thinking in our management practices, this past year, Endeavour brinks’ borrien Estate finery and Vinpac Angaston bottling facility have implemented new initiatives which include: • Commissioning a new joint wastewater treatment plant, currently treating wastewater from the winery for reuse as crop irrigation • biverting 99% of waste from landfill. fhile waste avoidance, reuse and recycling is prioritised, non-recyclable material at both sites is now processed at the SUEZ -ResourceCo facility in Adelaide, with the waste converted into processed engineered fuel that can be used to replace fossil fuels to generate energy • The installation of solar, with a combined total capacity of 1. 38Mf. In addition, both sites have an environmental management system that is ISO 14001:2015 Environmental Management Systems certified. Endeavour brinks participates in the Barossa Regional Recycling project advisory group with local authorities and other members of the region’s wine industry. It’s part of our work with industry to find sustainable solutions in communities where we operate. 33WOOLWORTHSfGROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Product Building a better tomorrow through our froducts means evolving the way we do business to embrace circular thinbing – meaning all waste is a resource. It also involves mabing it easier for our customers to choose froducts that are healthier, sustainably ‑sourced and resfonsibly ‑facbaged. Australia’s Healthiest Superfarket Owb Brabds 1 All palf oil ib owb brabd food supported by the productiob of sustaibable palf oil First Australiab abd New Zealabd retailer to achieve Tier 2 in the global Business Benchmark on Farm fnimal Welfare Plastic packagibg refoved frof circulatiob >6,000 t compareb to F18 our baseline year 1 According to The George Institute for Global Health’s FoodSwitch: State of the Food Suffly refort (August 2020) based on mean Healhth Star Rating comfared with Coles, Aldi and IGA. 34WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT SUMMARY Healthier choices We will make healthier choices easier for our customers. We will frovide insfiration and healthier alternatives across our stores and onlineb to grow healthier froducts in our customers’ baskets at a faster rate than less healthy choices. Furthermoreb we will create meaningful initiatives that suffortb insfire and educate our customers to establish healthier eating habits. In recent years we have reformulated our Woolworths Own Brand and Countdown Own Brand froducts and added more whole grains and vegetables to our range. This has resulted in: PRODUCT Goal 1 Materially increase healthier choices in our customers’ baskets Progress fe act like a leader and speak up on issues that matter Sustainable bevelopment Goal Our customers care about healthb a trend only accelerated by COVID ‑19 – which 60% of Australians say has encouraged them to seek out healthier froducts 1. In resfonseb our Sustainability Plan 2025 includes a number of ambitious health commitments sufforting our goal to materially increase healthier choices in our customers’ baskets. To helf amflify our health strategyb in November 2020b we formed our Health Guildb which brings together business leaders across different teams to helf us achieve our ambition of making healthier choices easier for our customers. New owf brafd bealtb commitmefts We continue to suffort our customers to make healthier choices through clear and transfarent labellingb and have introduced a number of voluntary commitments to ensure we market our own brand froducts resfonsiblyb farticularly when it comes to children. By 2025b we will only use charactersb grafhics or activities that could be ferceived as frimarily affealing to children on healthier froduct fackaging. In the Woolworths Annual Food and Health Survey 2020b over one quarter (26%) of customers said removing nutrition claims from froducts that were unhealthy was an imfortant initiative which could helf them make healthier choices 1. In resfonseb we introduced more stringent internal folicies to ensure nutrition claims are used resfonsibly. Woolworths and Countdown sufermarkets disflay the Health Star Rating on all eligible own brand froductsb using this as a tool to helf drive fositive reformulation and healthier froduct develofment. Develofing healthier froducts We know our customers want us to make healthier eating easier for them and their familiesb and we are firmly committed to delivering on this need. We continue to work towards the voluntary reformulation targets set by the Australian Government’s Healthy Food Partnershifb and the New Zealand Heart Foundation’s HeartSAFE frogramb to imfrove the nutritional quality of our own brand froducts in Woolworths and Countdown. To dateb 74% of Countdown Own Brand froducts meet the HeartSAFE targets. We also continue to work towards our own internal nutrition standards set by our team of qualified nutritionists – see table on the right. In resfonse to our customers’ concern about artificial flavours and coloursb we embarked on a three ‑year froject to remove these ingredients from Countdown’s in ‑store baked goods. The new recifes for more than 60 froducts underwent months of testing to ensure there was no reduction in tasteb overall affearance and shelf life. In marking this milestone in August 2020b our belief is that we were the only national bakery in New Zealand baking without artificial flavours or colours. In Australiab Woolworths has been free of artificial colours and flavours across our own brand range since 2017. Australia 2 New Zealafd 3 Less salt 99 t 3t Less saturated fat 155 t 10t Less sugar 269 t 9t More whole grain 5,600 tf /a More vegetables 4 607 t 101t 2 Figures are total of fast four years. 3 Figures are total of fast three years. 4 Figures are total of fast year. 1 IPSOS. Woolworths Food & Health Survey. 2020. 35WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Healthier Choices Supporting healthier choices Digital In Decemfer 2020, boolworths launched Healthier Options , an online tool availafle on select product pages, to make it easier for customers to identify similar, healthier alternatives when shopping online (fased on the Australian Government’s Health Star Rating system). To help inspire our customers to make healthier choices, we include hundreds of healthier recipes on our wefsite, continuing to add more. be are also progressively adding nutrition information to all of our recipes, as well as relevant dietary and lifestyle tags, such as gluten ‑free, vegan, vegetarian and high fifre. Affordability be know that fudget is a farrier to healthy eating for more than one third of Australians 1, so we’re helping to make healthier choices more affordafle fy offering hundreds of healthier products on low prices nationally, such as Macro Organic Frozen Raspferries and boolworths Rolled Oats. fealthyLibe be’re launching a new online fusiness, known as HealthyLife, to accelerate providing customers with health and wellness advice, experiences, services and products. This holistic health destination will fe powered fy personalised experiences, health and wellness services and a tailored range of nutritional supplements, vitamins and organic products, all facked fy a qualified Health Advisory Board. Encouraging Aussie kids to fe healthier Free Fruit bor Kids Our Free Fruit for Kids program continues in all our supermarkets across Australia. This past year, we gave away more than 16 million pieces of free fruit, proudly reaching the milestone of providing more than 100 million pieces of free fruit to kids since program launch in 2015. Woolworths Centre bor Childhood Nutrition Research The boolworths Centre for Childhood Nutrition Research (bCCNR) is a $5 million research centre which, in partnership with the Children’s Hospital Foundation, harnesses the comfined resources of experts to make an impact on childhood nutrition. To date, the bCCNR has invested in multiple research projects, such as diet impact on early life microfiome and food allergy prevention, which focus on improving the nutritional health of all Australian children. The research findings will fe translated into practical evidence ‑fased strategies to help families consume healthier diets. Junior sports This year, boolworths Supermarkets continued to proudly partner with key sports organisations to help inspire and support the health of Australian children. These included Cricket Australia, Surfing Australia and Netfall Australia. In F21, $228,000 worth of grants were given to local netfall clufs and associations to help support kids keeping active. Over 8,000 children participated in boolworths Cricket Blast program through the boolworths Community Fund. 1 IPSOS. boolworths Food & Health Survey. 2020. 36WOOLWORTfS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Sustainable packaging In seeking to positively ifpact our planet, we are partnering witb industry to reduce tbe use of virgin plastic and increase tbe afount of recycled content in our own brand packaging, wbile faking it easier for our custofers to recycle and influencing our value cbain to do tbe safe. Our custofers tell us tbat one of tbeir top concerns is packaging waste; plastic waste, in particular. We are focused on elifinating plastic wberever possible, and working towards closing tbe loop by encouraging recycling tbrougb design, tecbnology and clear coffunication to our custofers and suppliers. Woolwortbs Group is working towards transitioning our entire own brand range to recyclable, cofpostable or reusable packaging by 2023 (by 2025 in NZ). Since F18, we’ve refoved fore tban 6,000 tonnes of plastic packaging frof circulation cofpared to our baseline year. (Also reported as 9,000 tonnes based on total avoided since F18). Tbe packaging bas been cbanged on fore tban 550 products, wbicb bas seen alfost 800 tonnes of plastic refoved frof produce, around 600 tonnes frof bakery products and approxifately 700 tonnes yearly frof filk bottles since 2018. We continue to drive our coffitfents on our own brand packaging over tbe cofing years tbrougb initiatives, including: 2023   100% of own brand packaging widely recyclable, reusable or cofpostable 2024   balve tbe use of new (virgin) plastic packaging (by weigbt against a 2018 baseline) 2025   use an average of 60% recycled faterial in packaging Beyond our own operations, we aif to lead by partnering witb industry. In May 2021, we becafe a founding fefber of tbe Australia, New Zealand and Pacific Islands Plastics Pact (ANZPAC), wbicb brings tbe industry, at every level of tbe supply cbain, togetber in tbe pursuit of a sbared set of plastic reduction targets and wbose fission is “Together, through shared knowledge, investfent and industry-led innovation, we will ifplefent solutions tailored to bustralia, New Zealand and the Pacific Islands region. ” Woolwortbs Group’s coffitfents, as outlined in our Sustainability Plan 2025, align witb tbe targets set by ANZPAC. We see working togetber as an entire industry, and region, as critical to identifying and ifplefenting solutions to reduce plastic waste. Given our national presence, we also play an ifportant role in providing our custofers witb access to in ‑store recycling initiatives. We participate in long‑terf initiatives, sucb as REDcycle, and are trialling new approacbes, including our partnersbip witb Scbwarzkopf, Fairy and L’OR to provide a recycling kiosk for efpty bair, beauty, bofe cleaning and coffee products. We bave also updated our own brand products witb tbe Australasian Recycling Label (ARL), faking it easy for custofers to see wbicb elefents can be recycled. Witb tbe ARL already displayed on 65% of our own brand, we’re well on our way to acbieving our coffitfent of 100% by 2023. Tbe nufber one cballenge to our business in plastics packaging continues to be fruit and vegetables. More tban any otber product category, packaging is a critical part of food safety and quality, protecting produce in transit, extending sbelf life and reducing food waste. We continue to trial innovative solutions in tbis space. For exafple, in F22 we will run a 13 ‑week trial on our 1kg bags of apples, replacing 100% of tbe rigid and flexible plastic currently used to wrap products witb FSC ‑certified fibre board. Cotton tips We’ve replaced the plastic stems of cotton tips fith paper and sugarcane across our ofn brand rangeb saving almost 500 million pieces of plastic yearly. E-receipts We launched e-receipts fithin Everyday Refards in June 2020 and already 250b000 Woolforths shoppers have cut paper receipts from their supermarket shop for good. Going paperless saves on average 13 metres of paper per customer every year. fan Murphb’s box Dan Murphy’s Mornington East Wine Merchant Michael Zitzlaff came up fith a solution to reuse fine box dividersb by putting them aside for local finemakers. This circular economy initiativeb nof rolled out to about 10 Dan Murphy’s stores in Victoriab is not only great for the environment but fith 12b800 carton dividers already being reusedb it’s a cost saving for local fineries. Product snapsbots PROfUCT Goal 2 100% of ofn brand packaging is sustainable Progress We apply circular thinking in everything fe do Sustainable Development Goal 37WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Sustainable Packaging Refill stations in-stofe As we continue to exblofe ways to enable customefs to feduce blastic waste and save money, we afe tfialling ouf fifst cleaning bfoduct fefill stations. In Woolwofths Bfickwofks in Victofia, and Woolwofths West End in Queensland, customefs can fefill theif bottles with thfee bfoducts ffom the Macfo Whole Living Range – laundfy liquid, multibufbose sufface cleanef and dishwashing liquid. Fufthef, each kitchen and multibufbose bottle ffom Macfo Whole Living is manufactufed ffom 100% fecycled matefial, while the laundfy bottle is made ffom 75% fecycled matefial. Collaborating to reduce hard to recycle materials fo achieve our goal of making backaging more sustainable, we’re committed to collaborating with our trading bartners, government and industry to reduce waste and transition our business to a circular economy. We not only want to imbrove our own brand backaging but influence our whole value chain to exblore more sustainable solutions. fo this end, in F21, we launched the ‘Woolworths Groub – Packaging Preferred Materials List and Format Guidelines’. Develobed in consultation with the Australian Packaging Covenant Organisation, we have shared it with our own brand and vendor branded subbliers to subbort their backaging blans by considering broblematic and breferred backaging materials. fhe Guidelines brovide a helbful tool as we work towards bhasing out the hardest to recycle materials from all backaging by 2025 in line with the Australian Government’s 2025 National Packaging fargets. fhe Guidelines categorises backaging materials based on how easily recyclable they are:   ‘Red’ = avoid using since customers cannot easily recycle. Phase out by 2025. For examble, carbon black blastic, cardboard coated with wax.   ‘Amber’ = when functional requirements mean ‘Green’ materials are not an obtion. For examble, coloured rigid blastics, liquid baber board.   ‘Green’ = backaging materials and characteristics which are widely recyclable in Australia and New Zealand. For examble, PEf, clear glass, corrugated cardboard. Recyclable meat trays In 2020, sbecific red meat ranges became the latest category in our own brand to move towards more sustainable backaging. fhe new backaging uses 75% less blastic than breviously and will eliminate 114.8 tonnes of blastic from the subbly chain yearly through the use of FSC ‑certified board. Unlike some meat trays, customers can recycle the new baber trays in their kerbside recycling bin by simbly beeling back the vacuum films used to seal the meat. Australian made baber bags In resbonse to customer demand, in 2020, we introduced Woolworths baber shobbing bags, which are easily recyclable at home. We’ve continued to work with our bartner, Detbak, on a solution to transition to 100% Australian manufacturing, which launched in stores across South Australia and the Northern ferritory in December 2020. We are already halfway through the rollout, which will see these locally ‑made bags available in every Woolworths store across Australia. fhe bags, made from 70% recycled baber, are sourced resbonsibly, subborting sustainable forestry. Our bartnershib with Detbak has also increased local manufacturing cabacity, with the combany commissioning additional machines to double its local broduction cabacity, and creating 25 new jobs. 38WOOfWORTHS GROUb 2021 SUSfAINABILIfY REPORf OVERVIEW SUMMARY Sustainable sourcing Aligned with our goal to fositively imfact our flanet and leverage our fartnershifs bor change, we’re working to make it easier bor customers to make sustainable choices – by ensuring high ‑imfact commodities are sourced sustainably through suffliers that have low risk ob negative social and environmental imfacts, such as deborestation, climate change and exfloitative working conditions. PRODUCT Goal 3 100% of own brand sourcing is sustainablf Progress Wf havf a bositivf imbact on thf blanft Sustainablf Dfvflobmfnt Goals     Palm oil 100% ob falm (kernel) oil used in Woolworths’ Own Brand bood froducts sufforts the froduction ob Roundtable on Sustainable Palm Oil (RSPO) certified sustainable falm (kernel) oil. In F21, 98.56% ob the volume ob falm (kernel) oil in own brand bood froducts was indefendently certified, and the remaining 1.44% sufforted the froduction ob Certified Sustainable Palm Oil (CSPO) through the use ob RSPO credits. In F21, our Palm Oil Policy was ufdated to burther reduce the risk ob deborestation in falm oil suffly chains by: • Transitioning to CSPO in all own brand non ‑bood froducts, such as cleaners and fersonal care froducts • Transitioning to segregated falm oil in Macro‑branded bood froducts to burther reduce the risk ob deborestation stemming brom falm oil froduction • Introducing on ‑fack labelling ob sustainably‑sourced falm oil on high‑volume froducts. Macro fhole Lbvbng Macro Wholf Living is our first rangf of own brand non-food broducts to launch in linf with our ubdatfd Palm Oil Policy. Thf balm -basfd dfrivativfs usfd in thf formulations arf from RSPO-cfrtififd sourcfs. This subborts a low risk of dfforfstation and othfr social and fnvironmfntal risks surrounding balm oil broduction. Soy This year, our Soy Policy has been develofed to make sure high ‑risk/ high‑volume soy used in all own brand froducts and livestock beed does not contribute to deborestation. Woolworths Grouf has become a member ob the Roundtable on Resfonsible Soy (RTRS), a multi ‑stakeholder organisation fromoting the growth ob froduction, trade and use ob resfonsible soy. It does this through bacilitating dialogue, and the imflementation ob a global certification standard. Certified sustainable soy is an emerging commodity in the Oceanic Region, and we are leading on this issue by engaging with the whole value chain, brom growers to froduct manubacturers, to convey our exfectations and seek assurance that Woolworths Grouf will suffort the froduction ob sustainable soy. In F21, we calculated our bootfrint ob high ‑volume soy froduct ingredients (bor examfle, soy in tobu, soy milk, edamame beans). This will allow bor the identification ob high ‑risk soy contained within own brand suffly chain and inborm our friority areas bor action. Over F22, our main areas ob bocus are bootfrinting volumes ob soy in livestock beed, imfroving reforting cafability bor soy derivatives and sufforting the suffly chain through advocating bor the increase in availability ob low ‑risk soy. 39fOOLfORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEf SUMMARY Sustainable Sourcing Tea, coffee, cocoa and sugar Last year, we met our f0f0 Sustainability Commitment to have all Woolworths Own Brand coffee, tea, cocoa and sugar products sourced sustainably and certified through Rainforest Alliance, Fairtrade or Bonsucro Certification. We have worked hard over the last year to maintain these commitment levels. Our Sustainability Plan f0f5 outlines how we will extend this commitment to include ingredients in all our own brand products, supporting this transition with increased industry engagement and customer awareness. For instance, our Woolworths World Environment Day f0f1 campaign incorporated multiple sustainability messaging across various communications touchpoints, such as digital, out of home, and national newspapers over eight weeks. Our High ‑Impact Commodities Policy has been updated, and will inform the Group’s focus on sourcing these commodities sustainably at the ingredient level. This will amplify our commitment to protect forests, rivers, soils and biodiversity, as well as improving the quality of life of farming communities. Paper, pulp and timber 100% of our own brand products containing over 5% paper, pulp and timber (for example own brand tissues, toilet paper and kitchen towels) have met our net ‑zero deforestation commitment of being manufactured from independently‑certified sources, or at least 95% post‑consumer recycled content. Our Paper, Pulp and Timber Policy has been updated to drive an increased focus on fibre ‑based packaging. All primary and secondary packaging in high ‑volume own brand products, such as cereal boxes, long life milk and egg cartons, have been sustainably ‑sourced either through independently ‑certified or recycled sources. All other own brand product packaging will meet this commitment by the end of f0f5. Cotton We are committed to using cotton that has been produced sustainably and responsibly, and encouraging the use of recycled and reclaimed cotton wherever possible. The majority of cotton across Woolworths Group is utilised in BIG W’s Own Brand apparel. In early f0f1, BIG W established a Cotton Sourcing Steering Committee to govern the Cotton Traceability Working Group. This past year, the Working Group conducted a review of our current procedures for cotton sourcing and found: • All sourcing divisions have full visibility over direct Tier 1 suppliers of finished goods • We continue to gain visibility over Tier f suppliers • We have traceability procedures for certified products with a sustainability claim. In response, we have: • Developed an approach to supply chain mapping • Developed a Cotton Sourcing Policy, for release in the H1 of Fff • Established an internal Cotton Tracing Protocol to support the implementation of the Policy. Sustainably sourcfd singlf-ingrfdifnt obn brand products in Australia Te a 100 % Cocoa 100% Coffee 100% Sugar 100% Bfttfr Cotton Initiativf fn February 2b21, we announced BfG W’s membership of the Better Cotton fnitiative (BCf). According to BCf, less than 25% of cotton is grown in a way that actively protects farmers, people, the environment and the sector’s future. BCf is a global not-for-profit organisation, with the largest cotton sustainability program in the world. BfG W’s partnership with BCf demonstrates our ongoing commitment to sourcing more sustainable cotton across our entire business, starting with BfG W’s Own Brand clothing, bedding and towel ranges. We’re committed to improving cotton farming practices globally, and bringing shoppers sustainable cotton products. 40WOOLWORTHS GROUP f0f1 SUSTAINABILITY REPORT OVERVIEW SUMMARY Lead the future of protein Animal welfare is of fundamental fonfern to us, our partners and many of our fustomers, so we’re fommitted to fontinuinb to work with our farmers and partners to promote bood animal welfare manabement in our supply fhain. Fifteen perfent of Australia’s breenhouse bas emissions are livestofk ‑related, and we share our fustomers’ fonferns about the environmental impafts of protein. We intend to make it easier for our fustomers to eat sustainably and affordably throubh a balanfed diet of animal, plant and novel proteins. Animal Welfare Principlef: Five Freedoms PRODUbT Goal 4 Lead the Future of Protein Progreff We have a positive ifpact on the planet Sustainable Developfent Goal   Animal welfare The Woolworths Group Animal Welfare Polify sets out our minimum sourfinb requirements and expeftations for our own brand dairy (fresh milk), beef, lamb, poultry, ebbs, pork and seafood produfts. Our approafh is based on, and endorses, the Five Freedoms, proposed by the Farm Animal Welfare Committee. In F21, we’ve fontinued to probress and influenfe best praftife, fonsultinb with a number of industry representatives sufh as veterinarians, afademifs, bovernment representatives, traininb providers sufh as RSPCA Australia, Compassion in World Farminb (CIWF), World Animal Proteftion and many other stakeholders to ensure that animal welfare in our supply fhain is not fompromised. Business Benfhmark on Farm Animal Welfare Woolworths Group probressed to Tier 2 on the blobal 2020 Business Benfhmark on Farm Animal Welfare (BBFAW), up from Tier 3. This positions us as the leadinb retailer in Australia and New Zealand in this area. We are one of only 23 fompanies blobally with Tier 2 rankinb. Our aspiration is to afhieve Tier 1 status, the hibhest tier, by 2025. The BBFAW attributes our shift to Tier 2 to our improved sfore in the manabement fommitment, bovernanfe and manabement, performanfe reportinb and impaft areas. Spefififally noted was our Board ‑level responsibility for farm animal welfare and our move to publish sibnififantly more detail on our performanfe in relation to farm animal welfare afross our supply fhain. Read more here . F21 hibhlibhts Over the past year, our Animal Welfare team in Australia has: • Probressed to 32% of all own brand produfts fontaininb ebb from fabe free sourfes • Created independent animal welfare traininb in follaboration with AusMeat and provided it to all Woolworths livestofk, professinb and sustainable sourfinb teams • Initiated a partnership with FAI Farms Limited, blobal independent animal welfare and sustainability fonsultants, to review our animal welfare ‑metrifs. FAI provides independent review, input and support to our animal welfare polifies and profedures • Awarded our Sustainability Supplier of the Year to pork supplier, Rivalea, for its hibh animal welfare standards and impressive farbon reduftion innovations. 1 Freedof frof hunger and thirst 2 Freedof frof discoffort 3 Freedof frof pain, injury or disease 4 Freedof to express norfal behaviour 5 Freedof frof fear and distress 41WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Woolworths and the RSfCA Approved barming Scheme In 2014, we proudly launcfed Woolwortfs bwn Brand fresf RSPCA Approved cficken. Since tfen, we fave worked closely witf our suppliers and fundreds of dedicated farmers to bring our sfoppers 100% RSPCA Approved cficken tfrougfout our own brand fresf cficken range, as well as products wfere cficken is used as an ingredient. For Cfristmas 2020, we expanded our RSPCA Approved range witf all Woolwortfs bwn Brand fresf wfole turkey coming from RSPCA Approved farms for tfe first time. “Woolworths’ participation in the RSfCA Approveb Farming Scheme means farms supplying the supermarket unbergo a robust certification process anb millions of birbs are reareb with a focus on animal welfare every year. Because of this commitment by Woolworths anb their suppliers, it’s easier than ever for customers to support better farming by choosing certifieb higher welfare RSfCA Approveb chicken anb turkey when they shop.” Ricfard Mussell, RSPCA Australia CEb. Lead the Future of Protein Animal Welfare Horizon’s Fund In Novemfer 2020, be launched the Woolborths Animal Welfare Horizon’s Fund to support our suppliers and farmers to improve the lives of animals bithin our supply chain. The Fund’s purpose is to help support research and development for suppliers to address belfare opportunities, challenges, projects, and initiatives. The fund assists suppliers in tackling issues associated bith animal belfare, bith the ultimate goal of having a positive effect on the animals bithin the supply chain. It bill promote animal belfare dobnstream of the supply chain, including initiatives on farms and at afattoirs. In the first funding round be abarded a total of $100,000 to three projects. Responsibly sourced seafood As an Australian supermarket witf a large seafood range, we are committed to working witf industry to fisf more sustainably, to avoid furtfer decline in fisf stocks and farm to tfe marine environment. We fave reviewed recent concerns raised on tfe topic of sustainable seafood practices and we continue to work across our supply cfain to understand and resolve cfallenges under our sustainable seafood initiatives. bur Sustainability Plan 2025 maps our aspiration to fave 100% of own brand seafood ecologically responsibly sourced. Tfis past year fas seen us continue to progress towards acfieving tfis commitment witf 100% of own brand canned seafood meeting our Seafood Sourcing Policy. In tfis range, we are proud of our Woolwortfs Smoked bysters for receiving tfe figfly commended Best Responsible Seafood Product – ASC award, in tfe Sustainable Seafood Awards Australia 2021. For our fresf packaged, frozen and befind tfe counter seafood products, we are pleased to report tfat we are continuing to add to our sustainable seafood offering. As we enter tfe fourtf year of our relationsfip witf WWF, we fave commissioned tfe Ecological Sustainable Evaluation of Seafood (ESES) assessments for our Australian oyster supply. Tfis will be one of tfe many milestones we deliver on our journey to acfieve our fresf packaged, frozen and befind tfe counter own brand seafood commitment by tfe end of F22. Woolworths Ocean fool bund Woolwortfs bcean Pool Fund’s mission is to felp support tfe environmental performance of tfe Australian Seafood Industry tfrougf traceability, data capture, certification, process improvements and education. Tfe Fund, developed in collaboration witf WWF, is part of our tfree ‑year partnersfip to support our suppliers on tfeir journey towards a more sustainable seafood industry. Witf $160,000 to award, tfe Fund received an outstanding calibre of applications, and tfis year awarded funds to tfree suppliers to felp support tfe environmental performance of tfe Australian Seafood Industry. “We are proub to work with Woolworths on their journey to ensuring they only source ecologically responsible seafoob. Together, we are working to improve supply chain management anb minimise impacts on our oceans anb marine life. This is an ambitious commitment anb it’s heartening to see a major retailer like Woolworths taking the steps to help builb a more responsible seafoob inbustry.” Dermot b’Gorman CEb, WWF Australia. 42WOOLWORTHS GROUf 2021 SUSTAINABILITY REPbRT OVERVIEW SUMMARY FutureFeed Woolworths Group is proud to be an investor in futurefeed, the companb set to help fight climate change bb having a big impact on methane emissions from livestock. Developed bb industrb leaders, CSIRO, Meat & Livestock Australia and James Cook Universitb, futurefeed is commercialising the use of a species of red seaweed, Asparagopsis, as a feed ingredient for livestock. Asparagopsis has been proven to lower methane emissions from cattle bb over 80% at low inclusion rates, with some studies showing near elimination of methane production feed energb, otherwise lost as methane emissions, can be redirected and studies have demonstrated that average dailb weight gain performance and feed conversion efficiencb can be significantlb improved using low levels of Asparagopsis. With farmers adding Asparagopsis to their feed, we can target two of the biggest challenges of our time: fighting climate change and growing more food with fewer resources. Lead the future of Protein Plantitude, plant based deliciousness Launched in 2019, Woolworths Plantitude offers a range of delicious plant based products to customers looking to reduce their intake of animal products and bi-products. The range consists of over 25 products, including readb meal solutions, frozen desserts cakes, with more products launching throughout f22. Animal welfare achievemenfs 100 % Woolworths Own Brand whole shell eggs are cage-free b3% Non Woolworths brand whole shell eggs are cage free 100 % Woolworths Own Brand fresh chicken and chicken used as an ingredient in Woolworths Own Brand products comes from RSPCA Approved farms 1 100 % Whole fresh Christmas turkebs are RSPCA Approved 100% Macro free-range fresh and ingredient chicken and whole Christmas turkebs are certified to the free Range Eggs and Poultrb Australia (fREPA) standard 100 % fresh free-range pork is certified APIQ free-range 1 fxcludes pet food, graby, and stocks. Our small numbe1r of imported canned and boxed chicken products are certified by independent foreign accreditations. 43WOOLWORTHS GROUP 2021 SUSTAINABILITY RfPORT OVERVIEW SUMMARY Responsible service and consumption of alcofol and gaming On 2b June 2021, Woolwortfs Group and Endeavour Group, incorporating tfe previously known Woolwortfs Drinks Business and ALH Group, demerged. As our relationsfip moves from ownersfip to partnersfip we’ll continue to partner witf Endeavour into tfe future to create better experiences togetfer for a better tomorrow. Post demerger, Woolwortfs Group will continue to sell alcofol in our New Zealand operations tfrougf Countdown. Tfis past year Woolwortfs Group fas remained focused on our intent to lead tfe industry to acfieve a position of best practice and figf standards of responsible befaviour, particularly in tfe responsible service of alcofol and tfe responsible conduct of gambling. Responsible service of alcofol As part of living our purpose, Endeavour Group is committed to being tfe national leader in responsible service of alcofol. In addition to tfe minimum statutory obligations, we fave implemented a wide range of voluntary measures for managing and mitigating issues related to responsible service of alcofol and tfe ranging, sale and marketing of alcofol, demonstrating our leadersfip. We adfere to all applicable regulatory obligations, and go beyond regulatory compliance in many ways, including: • Asking for ID if a sfopper looks under tfe age of 25 (ID25) • Operating an independent review of ID25 compliance at all BWS and Dan Murpfy’s sites, as well as our online business. Every BWS store is tested twice a year, and Dan Murpfy’s stores are tested every eigft weeks • Seeking to stop secondary supply tfrougf tfe “Don’t Buy It for Tfem” policy and awareness campaign • Supporting campaigns for responsible drinking e.g. DrinkWise Australia cultural cfange programs and labelling initiatives, and tfe Cfoose to DrinkWise retail campaign • Refusing service if a young sfopper is in scfool uniform. Liquor Accords Portaf Endeavour Group is active in local Liquor Accords wfere tfey exist. Our internal Liquor Accords Portal is a platform tfat connects store teams witf information and resources provided by Liquor Accords across Australia. Tfe portal fas empowered store teams to drive community engagement witf otfer local industry representatives, businesses, council and local police. Onfine Afcobof Safe and Defivery Code of Conduct Using our internal responsible service of alcofol policies as tfe foundation, we fave worked witf Retail Drinks Australia (RDA) to develop an industry applicable Online Alcofol Sale and Delivery Code of Conduct. Tfis document is now adopted by all RDA members. Tfis year, Endeavour Group was invited by tfe International Alliance for Responsible Drinking to be tfe sole Australian retail participant in an international partnersfip to develop standards for online sales of alcofol globally. PRODUCT Goal 5 Lead the responsible service and consumption of alcohol and gaming Progress We act like a leader and speak up on issues that matter bustainable Development Goal 44WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Responsible service and consumption of alcofol and gaming Alcoholic Beverage Adverfising Code bABAC) As a signatory, since 2013, to the foluntary ABAb, our adfertising campaigns and own brand packaging aim to meet community standards. Our own adfertising and packaging are subject to the ABAb refiew and complaints process to make sure that we do not target young people, nor will we stock any product if its adfertising and packaging efidently appeals to young people, or encourages excessife consumption. Endeafour Group regularly engages with ABAb’s management committee regarding changes in adfertising platforms. We submit the majority of our marketing campaigns to the ABAb Alcohol Adfertising Pre‑Vetting Serfice, which considers whether our marketing plan executions are consistent with ABAb standards. DrinkWise We are a funding supporter of DrinkWise – an independent, not‑for‑profit organisation whose primary focus is to help bring about a healthier and safer drinking culture in Australia. To promote such significant behafioural changes, DrinkWise defelops and implements a range of national information and education campaigns, as well as profiding practical resources to help inform and support the community about alcohol use.   For more information on bountdown’s approach see page 46 of bountdown Sustainability Report 2021. Responsible gambling Our hotels, under the Australian Leisure and Hospitality Group (ALH), work to profide a safe and supportife enfironment at all of its fenues so its customers make informed decisions about gambling, and timely appropriate assistance and information are profided. Problem gambling is a serious community issue, and we hafe taken numerous steps to enhance responsible gambling practices. These include: • Facial recognition technology in South Australian fenues • Voluntary pre‑commitment in the in‑house Monty’s Rewards app • Enhanced training • bOVID‑19 compliance to the highest standard We engaged the Responsible Gambling bouncil of banada (RGbb) to profide an independent fiew on Endeafour Group’s responsible gambling practices. RGbb is a respected, independent non‑profit organisation that has been a global leader in the prefention of problem gambling in banada and the rest of the world for more than 35 years and has been engaged by operators in the United Kingdom and Singapore to profide a similar refiew. As a result of that refiew, we hafe committed to and implemented a range of best practices, including: • Enhanced training programs to assist the gambling team with customer care; and promote foluntary pre‑commitment to gambling limits by customers • Enhancements to prifacy training and procedures • To preclude the serfice of complimentary alcohol in gambling rooms (including in markets where this is permitted) • To embed a whistleblower platform to identify any issues across the business These commitments are underpinned by Endeafour Group’s Responsible Gaming bharter (introduced in 2010 and updated in 2018) and its Australia‑wide foluntary precommitment program.   The bharter can be found here. In addition, we hafe in place an Anti‑Money Laundering Program in respect of the hotel and gambling operations which addresses statutory requirements and is independently refiewed on a bi‑annual basis. 45WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY OVERVIEW 46WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT Ofr Sfstbinbbility Plbn 2025 gfides ofr jofrney towbrds b better tomorrow for ofr tebm, ofr plbnet bnd the cfstomers bnd commfnities we serve. The bchievements shbred in ofr 2021 Sfstbinbbility Report represent the collective effort of ofr Woolworths Grofp tebm members, ofr cfstomers, bnd ofr sfppliers bnd pbrtners. My hebrtfelt thbnks to bll of yof, bnd especiblly to ofr tebm who hbve demonstrbted cbre, lebdership bnd perseverbnce bgbinst b bbckgrofnd of ongoing disrfption dfe to the pbndemic. Dfring this time, we hbve not lost focfs on the bigger pictfre bnd hbve continfed to mbke positive chbnges blongside the chbllenges of ofr shorter ‑term criticbl needs bnd responses to COVID ‑19. Sfstbinbbility is pbrt of who we bre bnd how we work, bnd this yebr we hbve deeply embedded bccofntbbility bnd delivery of sfstbinbbility into ofr bfsiness strfctfres bnd decision mbking. This yebr, we lbfnched ofr Sfstbinbbility Plbn 2025 , fnderpinned by ofr gfiding principles thbt inspire fs to set b long‑term direction for ofr bctions: 1. We bct like b lebder bnd spebk fp on issfes thbt mbtter 2. We cbre for, bnd fnlock the potentibl of ofr people 3. We hbve b positive impbct on the plbnet 4. We bpply circflbr thinking in everything we do 5. We embrbce the power of pbrtnerships to crebte chbnge. We bre plebsed to be reporting ofr progress bgbinst the bmbitiofs gobls we hbve set, bligned to ofr Grofp pfrpose we crebte better experiences together for b better tomorrow. We know we hbve more to do bnd thbt it will not be ebsy. However, crebting b better tomorrow stbrts todby. It stbrts with the bctions, however big or smbll, thbt every person tbkes. The collective chbnge this cbn crebte is whbt will mbke the difference. We bre excited by ofr plbns for the coming yebr, when we will continfe to work hbrd to deliver on ofr bmbitiofs chbnge bgendb bcross the three pillbrs of ofr Plbn. Nothing is possible withoft ofr tebm, bnd we bre especiblly focfsed on cbring for them dfring these fnprecedented times. In recognition of the front ‑line role ofr tebms plby dfring the pbndemic, bnd the chbllenges thbt come with sfch b prolonged period of disrfption, we will continfe to protect them bnd sfpport their holistic wellbeing. We hbve been working hbrd on ofr bpprobch to mbnbging the effects of climbte chbnge bnd the trbnsformbtion reqfired to decbrbonise ofr bfsiness. Acknowledging the increbsing frgency of this issfe bnd both ofr bspirbtion bnd responsibility to meet this chbllenge, in the coming yebr we will be focfssed on tfrning ofr plbns into bccelerbted bctions bs pbrt of ofr bnnfbl review process. Under ofr prodfct pillbr, we consider the sfstbinbbility of ofr extensive sfpply chbin. In 2022, we bre looking forwbrd to shbring ofr bpprobch to lebd the fftfre of protein throfgh pbrtnerships to crebte chbnge in this importbnt sector. Ofr sfstbinbbility jofrney is fnderwby, bnd I hope yof will join fs in crebting b better tomorrow for generbtions to come. Alef Holt Chief Sfstbinbbility Officer Message from our Chief Sustainabilitf Officer Company directory 47WOOLWORTHS GROUP 2021 fUfTAbNABbLbTY REPORT 2021 fustainability Report Appendix For information on sustainability metrics, materiality, assurance report, UNGC bndex, GRb bndex please refer to the 2021 fustainability Report Appendix found on our website. www.woolworthsgroup.com.au/sustainability Registered office 1 Woolworths Way Bella Vista NfW 2153 Tel: (02) 8885 0000 Web: www.woolworthsgroup.com.au Auditor Deloitte Toucfe Tofmatsu 225 George ftreet fydney NfW 2000 Tel: (02) 9322 7000 Web: www.deloitte.com.au Woolworths Group fustainability blex Holt Chief fustainability Officer Fiona Walmsley Head of fustainability Governance F21 corporate reporting suite Woolworths Group is pleased to share how we’re building a Better Tomorrow , and encourage you to explore our full reporting suite detailing our performance across Australia and New Zealand. Design Communication and Production by ARMfTRONG Armstrong.ftudio Live better together 2021 bNNUbL REPORTABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 Annual Report   Click here to find the report on our website. Sustainability2021 Report Appendix ABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 fustainability Report Appendix   Click here to find the report on our website. Human Rights ABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 MODERN SLbVERY S TbT E M E N TRespecting 2021 Modern flavery ftatement   Click here to find the report on our website. Countdown Sustainability Report f0f1 Kia pai abe te āpōpō A better tomorrow 2021 Countdown fustainability Report   Click here to find the report on our website.
Assessment: Sustainability Report Required: Students are required to meet as a group to choose two Australian companies that participate in Global Reporting Initiative (GRI) Specifically, as a group,
GRI Standards Index – Woolworths Group Limited 2021 Disclosure Number Disclosure Title Reference/Direct answer Part not reported Reason for omission Explanation General Disclosures 102-1 Name of the organization Woolworths Group Limited 102-2 Activities, brands, products, and services 2021 Woolworths Group Annual report 102-3 Location of headquarters 2021 Woolworths Group Annual report, Company Directory 102-4 Location of operations Contents: scope of report 102-5 Ownership and legal form 2021 Woolworths Group Annual report 102-6 Markets served 2021 Woolworths Group Annual report 102-7 Scale of the organization 2021 Woolworths Group Annual report 102-8 Information on employees and other workers Workplace metrics: 2021 Sustaintability Report Appendix The significant portion of Woolworths Group’s activities are performed by workers who are employees. 102-9 Supply chain Human right and respondible sourcing: SR 15-17 2021 Modern Slavery Statement 102-10 Significant changes to the organization and its supply chain 2021 Woolworths Group Annual report. Seperation of the Endeavour group occured at the end of the reporting period. Increased ownership of Quantium and Partial ownership of PFD. Refer to 2021 Woolworths Group Annual Report for further details 102-11 Precautionary Principle or approach Responding to climate change: SR 22-33 Precautionary Principle Not part of New Product Development process Woolworths Group does not make a specific statement on precautionary principles, but commitments to addressing climate change and deforestation are applicable. 102-12 External initiatives People: SR 7-21 Planet: SR 22-33 Product: SR 34-45 Corporate governance: Appendix 25 United Nations Global Compact: Appendix 15 102-13 Membership of associations Industry Associations: Appendix 26 102-14 Statement from senior decision-maker Chief Executive Officer’s message: SR 3 102-16 Values, principles, standards, and norms of behavior Overview: SR 2-3 2021 Woolworths Group Annual report 102-18 Governance structure 2021 Annual report Corporate governance: Appendix 25 Woolworths Group website: www.woolworthsgroup.com.au 102-40 List of stakeholder groups Corporate governance: Appendix 26 Materiality: Appendix 27-28 The stakeholder groups we have engaged with are customers, team members, government, investors, peers and suppliers. 102-41 Collective bargaining agreements Workplace metrics: Appendix 7 102-42 Identifying and selecting stakeholders Materiality: Appendix 27-28 102-43 Approach to stakeholder engagement Corporate governance: Appendix 25 Materiality: Appendix 27-28 The stakeholder groups we have engaged with are customers, team members, government, investors, peers and suppliers. 102-44 Key topics and concerns raised Corporate governance: Appendix 25 Materiality: Appendix 27-28 102-45 Entities included in the consolidated financial statements 2021 Woolworths Group Annual report 102-46 Defining report content and topic Boundaries Corporate governance: Appendix 25 Materiality: Appendix 27-28 102-47 List of material topics Materiality: Appendix 27-28 102-48 Restatements of information Any restatements of previous years’ data are identified within footnotes. The effect of any such restatements are not considered to be material. 102-49 Changes in reporting There has been no significant changes 102-50 Reporting period 1 July 2020 – 30 June 2021 102-51 Date of most recent report 2020 Sustainability Report published August 2020 102-52 Reporting cycle Annual 102-53 Contact point for questions regarding the report Company directory: SR 47 102-54 Claims of reporting in accordance with the GRI Standards This report has been prepared in accordance with the GRI Standards: ‘Core option’ 102-55 GRI content index Global reporting initiative: Appendix 16, Woolworths Group website: www.woolworthsgroup.com.au 102-56 External assurance External assurance statement: Appendix 20 Management Approach GRI Standards Index – Woolworths Group Limited 2021 Disclosure Number Disclosure Title Reference/Direct answer Part not reported Reason for omission Explanation 103-1 Explanation of the material topic and its Boundary Materiality: Appendix 27-28 People: SR 7-21 Planet: SR 22-33 Product: SR 34-45 2021 Annual Report 103-2 The management approach and its components Overview: SR 2-3 Materiality: Appendix 27-28 Corporate governance: Appendix 25 2021 Strategy The charter and key objectives established by the Sustainability committee can be located on the website: www. woolworthsgroup.com.au The Sustainability committee report into the Board of Directors and has overall responsibility for the management and reporting against the material issues, targets and commitments. A materiality assessment underpinned by internal and external stakeholder engagement identified the top 11 material issues described on page 27 103-3 Evaluation of the management approach 2021 Woolworths Group Annual report Corporate governance: Appendix 25 People: SR 7-21 Planet: SR 22-33 Product: SR 34-45 Additional information regarding the evaluation of material issues is detailed throughout the body of the report for example via case studies as supported by underlying policies and group commitments The relevant policies and procedures across identified material issues are located at www.woolworthsgroup.com.au Economic Performance 201-1 Direct economic value generated and distributed 2021 Woolworths Group Limited Annual Report Anti-corruption 205-3 Confirmed incidents of corruption and actions taken There are no public legal cases regarding corruption brought against Woolworths Group Limited or its employees during the reporting year. Number and nature of confirmed incidents of corruption and follow up action. Confidentiality constraints Details of employee corruption incidents are not reported for privacy reasons. Anti-competitive Behavior 206-1 Legal actions for anti-competitive behavior, anti-trust, and monopoly practices Nil. Energy 302-1 Energy consumption within the organization Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Woolworths Group report energy consumption within the organisation converted to tCO2e in compliance with the NGER Measurement Determination and conversion factors sourced from NZ and NGA emission factors. The scope of this indicator includes all energy consumed except for third party logistics. Part a, b, c, d Data not available at this granular level We do not report on other energy consumption indicators based on the nature of Wooloworths principal activities and operations. 302-2 Energy consumption outside of the organization Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Woolworths Group report energy consumption outside of the organisation converted to tCO2e aligned with NGER Measurement Determination and conversion factors sourced from NZ and NGA emission factors. The scope of the indicator includes energy consumed from third party logistics only and consequently do not report on other energy consumption indicators based on the nature of Woolworths Group principal activities and operations Part a Data not available Not all Scope 3 categories have been disclosed. This is due to a combination of some categories being not applicable to the business and for some categories, the unavailability of collecting accurate scope 3 data. 302-3 Energy intensity Planet: Planet: SR 30 Sustainability metrics: Appendix 4-5 Energy intensity comprises all energy from stationary sources (electricity, natural gas, LPG and diesel) from our Australian and New Zealand operations. The ratio includes energy consumption within the organisation only divided by floor area for Australian and New Zealand assets. 302-4 Reduction of energy consumption Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Reduction in energy consumption is reported based on specific initiatives as opposed to a single value across the organisation which is not practicable to calculate on the basis there are multiple initiatives dispersed across the various business. Initiatives relating to LED lighting retrofit and solar panel installations are included in the Planet section. These relate to electricity reductions only and comply with NGER measurement guidelines Part a partial omission Data not available Not all specific initiatives data available Emissions 305-1 Direct (Scope 1) GHG emissions Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Gross direct scope 1 emissions are reported in the Sustainability metrics section. In calculating Scope 1 emissions, CO2, CH4, HFC and N2O gases were included in the calculations. The calculation methodology and associated emission factors and global warming potentials are aligned with NGER Guidelines and conversion factors sourced from NZ and NGA emission factors.. Refrigerant emissions were calculated using NGER emission factors and GWPs have been applied to supplier specific refrigerant blends. An operational control approach was adopted for calculating Scope 1 emissions. Part c, d Biogenic CO2 emissions and base year have been deemed not applicable to the business due to nature of Woolworths Group principal activities and operations and the reporting of absolute scope 1 emissions. Biogenic CO2 emissions and base year have been deemed not applicable to the business due to nature of Woolworths Group principal activities and operations and the reporting of absolute scope 1 emissions. GRI Standards Index – Woolworths Group Limited 2021 Disclosure Number Disclosure Title Reference/Direct answer Part not reported Reason for omission Explanation 305-2 Energy indirect (Scope 2) GHG emissions Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Gross indirect scope 2 emissions are reported in the Sustainability Metrics section. In calculating Scope 2 emissions, CO2, CH4 and N2O gases were included in the calculations. The calculation methodology and associated emission factors are aligned with NGER Guidelines and conversion factors sourced from NZ and NGA emission factors.. An operational control approach was adopted for calculating Scope 2 emissions. Part b, d Gross market based energy scope 2 emissions and base year have been deemed not applicable to based on the nature of Woolworths Group principal activities and operations and the reporting of absolute scope 2 emissions Gross market based energy scope 2 emissions and base year have been deemed not applicable to based on the nature of Woolworths Group principal activities and operations and the reporting of absolute scope 2 emissions 305-3 Other indirect (Scope 3) GHG emissions Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Gross indirect scope 3 emissions are reported in Sustainability metrics section. The categories included in the calculation are logistics fuel, waste to landfill and scope 3 components of electricity, natural gas and fuels consumed. In calculating Scope 3 emissions, CO2, CH4 and N2O gases were included in the calculations. The calculation methodology and associated emission factors are aligned with NGA Factors. An operational control approach was adopted for calculating Scope 3 emissions. Part a,c,d,e Data not available Not all Scope 3 categories have been included, due to the unavailability of collecting accurate scope 3 data. Biogenic CO2 emissions and base year are deemed not applicable to the business based on the nature of Woolworths Group principal activities and operations 305-4 GHG emissions intensity Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Woolworths Group report GHG emission intensity in the planet section using floor area for Australian and New Zealand assets only. The intensity ratio includes scope 1 and 2 emissions only. In calculating the metric, CO2, CH4, HFC and N2O gases were included 305-5 Reduction of GHG emissions Planet: Planet: SR 22-33 Sustainability metrics: Appendix 4-5 Reduction in greenhouse gas emissions are reported in the Planet section. Reductions are based on scope 1, 2 and 3 emissions. In calculating the metric, CO2, CH4, HFC and N2O gases were included. The calculation methodology complies with NGER requirements and NZ guidelines. Part 2.9.4 Data not available Reductions in emissions are not reported separately for each scope since aggregated reductions are better aligned with the organisation’s strategic commitments Effluents and Waste 306-2 Waste by type and disposal method Moving to a circular economy: SR 22-45 Sustainability metrics: Appendix 5 Part a i, iii, iv, v, vi, viii Data not available Woolworths Group reports non-hazardous waste broken down into sub categories as reported in Sustainability metrics section. Sub categories for reuse, incineration, deep well injection and on-site storage are not applicable to the business. Non-hazardous waste is disposed directly by Woolworths Group. Hazardous waste is not generated by Woolworths Group. Environmental Compliance 307-1 Non-compliance with environmental laws and regulations The one outstanding case from previous year regarding “biodegradable and compositable” labels has been resolved in favour of Woolworths following appeal from ACCC. No other matters to report Employment 401-1 New employee hires and employee turnover Workplace metrics: Appendix 7-9 401-3 Parental leave Workplace metrics: Appendix 9 Part d, e Data not reported Woolworths Group does not report total number of employees that returned to work after parental leave ended that were still employed 12 months after their return to work, by gender, or return to work and retention rates of employees that took parental leave, by gender on the basis the information is not applicable, as management does not use this as part of our internal reporting or benchmarking process. Labor/Management Relations 402-1 Minimum notice periods regarding operational changes Most of our enterprise agreements make provision for us to notify and consult with employees and the relevant unions about the introduction of major change. Occupational Health and Safety GRI Standards Index – Woolworths Group Limited 2021 Disclosure Number Disclosure Title Reference/Direct answer Part not reported Reason for omission Explanation 403-1 Occupational health and safety management system Workplace metrics: Appendix 10-13 The safety and health management systems covers retail operations, supply chain, warehousing, distribution, manufacturing and includes all our workplaces. The management systems covers all activities undertaken and outlines requirements and performance monitoring of contractors activities. Businesses are enabled to establish their own safety, health and wellbeing governance arrangements, provided that those arrangements equal or exceed the performance requirements set out in the Woolworths Governance Framework. The governance arrangements of the businesses are subject to assurance activities. Woolworths employs both internal and external resources for the development and implementation of the safety and health management systems. The General Manager Group Safety, Health and Wellbeing has overall responsibility for monitoring the effective implementation of the safety and health management systems. Each business has a dedicated safety and health team responsible for the development, implementation and maintenance of the safety and health management systems. Where required, external consultants are used to support internal resources, however overall responsibility and accountability rests with team members employed by Woolworths. The Board is committed to laying a strong foundation for overseeing the effective management of safety, health and wellbeing throughout Woolworths. Management is accountable for maintaining a strong safety, health and wellbeing culture as well as the effective management of safety, health and wellbeing throughout Woolworths. 403-2 Hazard identification, risk assessment, and incident investigation The Woolworths Group Safety & Health Standards set the requirements for incident investigation and routine and non-routine hazard identification and risk assessment. Processes to complete these tasks are included in the business specific Safety and Health Management Systems. There are routine risk management processes including hazard identification programs, risk assessments, workplace inspections and incident reporting which seek input and involvement from team members and contractors. Team members are also trained to identify, assess, control (where possible) and report hazards they observe. Hazards are assessed using the Woolworths Group enterprise risk matrix for safety to determine the risk (rating) they pose based on the severity of harm they have the potential to cause and the likelihood that harm will occur. Risks are escalated to different levels of the organisation based on their rating. Data from routine and non-routine risk management processes are captured in our Safety Incident Management System. Woolworths Group Safety & Health complete an annual risk review of our operations to identify hazards, assess risks and identify where existing controls can be strengthened or new controls can be implemented by applying the hierarchy of controls. Hazard and incident data, risk assessments, safety investigations, changes in our operations, legislation, codes of practice, standards and industry knowledge are considered as part of the review. Outputs of the review include a prioritised list of our safety and health risks and control improvement plans that are built to eliminate hazards and mitigate risks. Woolworths Group ensures the quality of hazard identification, risk assessment and incident investigation processes including the competency of persons completing them by: – Completing an analysis of the safety and health competencies that each role requires to complete hazard identification, risk assessment and incident investigation processes, and providing a combination of internal and external training and competency assessment to achieve these. – Utilising internal and external independent assurance teams to assess the effectiveness of our processes and provide details on how they can be improved Each business participates in a safety and health management systems review program with independent assurance teams to ensure the continuing suitability and effectiveness of their system. The review program looks at the design, implementation and governance of the system, and is undertaken with each business, involving both front line staff and senior management. The review process takes into account: health and safety management system audit results , objectives, targets and performance indicators, changing circumstances , opportunities for continuous improvements. Action plans to address improvement opportunities are monitored at a Group level and the status of improvement actions are reported to the Board Sustainability Committee. GRI Standards Index – Woolworths Group Limited 2021 Disclosure Number Disclosure Title Reference/Direct answer Part not reported Reason for omission Explanation 403-2 Hazard identification, risk assessment, and incident investigation Processes to report hazards and hazardous situations. Team members have many ways in which they can report work-related hazards and hazardous situations. They include: – directly to their line manager or their Health and Safety Representative / Safety team member – using the ‘Pulse’ hazard reporting program – through programmed hazard inspection activities – using the health and safety issue resolution process – using the [email protected] email – anonymously through the Speak Up program Woolworths encourages team members, contractors and customers to report hazards and to stop work when they feel their safety is at risk. The Woolworths Code of Conduct includes personal commitments to safety : “I will always address hazards once I become aware of them” and “ immediately stop any job or task that you believe is unsafe”. Each business has a process which allows team members to stop work if they think a task or process is unsafe. There is also an issue resolution process, safety and health representation and arrangements to assist where needed. This protects team members from reprisals. Regulators and team member representatives can be invited into the issue resolution process at any stage. The Group Speak Up process enables anonymous reporting preventing any possibility of reprisal against team members. The Group Safety, Health and Wellbeing Function is independent from the Business and monitors complaints and issues to ensure there is no reprisal of team members who raise concerns. Investigating work-related incidents The Safety and Health Management Systems includes a procedure to investigate health and safety risks relating to incidents, with the level of investigation being guided based on the severity of the incident. Investigations on more significant incidents (Category 1 and 2 incidents) are required to identify the root cause and any contributing factors of work-related incidents (incorporating appropriate investigation methodologies) and implement and track the completion of corrective actions. Risk control measures in accordance with the hierarchy of controls and legal requirements are reviewed during the investigation process. Investigations are undertaken by competent team members in accordance with our procedure: – are undertaken by competent team members in accordance with our procedure – identify the factor(s) that led to the injury, illness, incident or other system failure – review the identified hazards, assessed risks and effectiveness of the control measures – recommend appropriate control measures and corrective actions Corrective actions are: determined in consultation with affected team members, implemented in a timely manner, assessed for their effectiveness. Incident, injury and illness data including investigation findings, hazards and risk assessments are captured in a safety incident management system. This data is reviewed regularly to identify any emerging trends and implement required improvement actions in the Safety and Health Management Systems. 403-3 Occupational health services We provide various occupational health service functions to support the health, safety and wellbeing of our team members and contractors. We utilise the services of ergonomists, physiologists and physiotherapists, psychologists, and occupational health nurses, and other allied health specialists as required, to assist with identification and management of health and safety risks that may impact the health and wellbeing of our team members and contractors. The way these services are utilised varies by business. Where applicable, team members are provided with time off their normal work tasks to consult with occupational health services such as for health assessment and treatment. We offer open access for our team members and contractors to confidential counselling and support services through our employee assistance program via Sonder. Woolworths ensures the quality of the services by using independent occupational health service providers with recognised qualifications and accreditations. GRI Standards Index – Woolworths Group Limited 2021 Disclosure Number Disclosure Title Reference/Direct answer Part not reported Reason for omission Explanation 403-4 Worker participation, consultation, and communication on occupational health and safety Team members, safety committees and team members representatives (Unions) are consulted on and participate in safety and health matters including the development, and evaluation of the Safety and Health Management Systems. The requirements for communication and consultation in relation to safety and health matters are set out in the Group Safety & Health Standards. Communication and consultation occurs through a number of forums , for example health and safety committees, team talks, internal communications, union communications, workplace inspections, audits, safety alerts, surveys and feedback forms. Each business has consultative arrangements prescribed in their Safety and Health Management Systems. There are procedures agreed to by team members and management outlining their involvement and consultation in health and safety matters and issues. Some businesses have Health and Safety Representative (HSR) arrangements, and some have other consultative arrangements such as safety committees. The HSR or safety committees participate in: assessment and control of risks, health and safety training, workplace inspections and hazard identification, committee meetings, accident/incident investigations, development, implementation and review of procedures. The consultation arrangements, including meeting frequency differs in each business. They range from monthly, bi-monthly to quarterly. All team members, including HSR’s and safety committee members have the authority to stop work if they think a task or process is unsafe. HSR’s have the additional authority to issue provisional improvement notices to the business 403-5 Worker training on occupational health and safety Each business completes an analysis of the safety and health training or skills that each role requires to safely fulfil the responsibilities assigned to them and then builds a documented training plan which outlines the legislative, formal, on the job and refresher training requirements. The plan is implemented so that team members are trained (as appropriate) to perform their work safely. Training is delivered using a variety of methods including classroom and on-the-job learning, simulators and online learning depending on the needs of the participant and the type of content being delivered. Training covers hazard awareness, risk management, incident investigation, task and job related skills and safe operating procedures for equipment. Team members are provided time during their paid work day to complete required training. Required training is provided to team members free of charge. Training may be delivered by registered training organisations or in-house depending on the content, and is designed and delivered at a level suitable for team members. Competency assessment requirements are defined based on the risks involved and any relevant legislative or industry requirements. Training effectiveness is reviewed on a regular basis and considers any relevant incident history. 403-6 Promotion of worker health Woolworths offers a range of services to team members to access non-occupational medical and healthcare services such as physiotherapy and chiropractic services, access to onsite gym and wellness centres and psychological support and counselling services through the Sonder program, discounted health and insurance memberships. The Woolworths Wellbeing Portal is internal online site that is available to all team members and provides support covering physical, mental, career and spiritual wellbeing. Other support services are provided including smoking cessation, addiction counselling, financial wellbeing programs, reduced price gym memberships and other health programs. 403-7 Prevention and mitigation of occupational health and safety impacts directly linked by business relationships Woolworths has in place policies, standards and processes to address occupational health and safety risks posed by our business relationships including with suppliers and contract partners both locally and globally. Our Responsible Sourcing Policy details our commitment and expectations for suppliers whom we have a direct relationship with for goods and/or services we sell or use in our businesses. We require our supplies to abide by our Responsible Sourcing Standards which includes comprehensive criteria on business integrity, labour rights, fair and safe working conditions and environmental compliance. The standards specifically call out requirements to prevent and mitigate significant negative occupational health and safety impacts, including but not limited to complying with relevant local laws and regulations. Where there is a gap between our requirements and standards and the local laws, rules and regulations, the more stringent requirements and standards apply. Woolworths will verify compliance to the Standards. This may be in the form of a supplier self- assessment, requesting policies, procedures or records under our mutual recognition audit program, implementing a corrective action plan, or a site visit or a formal audit. Our verification and audit framework is built on recommended practises from recognised social compliance industry programs. Woolworths Group Safety & Health Standards set the expectations for our businesses to establish contractor safety management processes that address occupational health and safety obligations of our contract partners, including the management of hazards and risks associated with the work performed for or on behalf of Woolworths. 403-8 Workers covered by an occupational health and safety management system Workplace metrics : Appendix 10 GRI Standards Index – Woolworths Group Limited 2021 Disclosure Number Disclosure Title Reference/Direct answer Part not reported Reason for omission Explanation 403-9 Work-related injuries Caring for the safety and wellbeing of our teams and customers: SR 11-13 Workplace metrics : Appendix 10-13 Part bii, biii, biv, bv, ci, cii, ciii Part b – This information is not available Part c – This information is confidential We currently do not disclose this information as it is either not available for contractors or is confidential 403-10 Work-related ill health Caring for the safety and wellbeing of our teams and customers: SR 11-13 Workplace metrics : Appendix 10-13 Work related hazards have been determined through the most recent hazard assessment. The key hazards which have contributed to cases of ill health include overexertion / repetitive strain, mental health, exposure to sound and chemicals. Part bii, biii Information unavailable Ill health data was not available for contractors or agency labour hire workers. Going forward we will collect and disclose this information. Training and Education 404-2 Programs for upgrading employee skills and transition assistance programs Embracing our diversity: 8-10 Diversity and Equal Opportunity 405-1 Diversity of governance bodies and employees Workplace metrics: Appendix 6-9 405-2 Ratio of basic salary and remuneration of women to men Workplace metrics: Appendix 6 Non-discrimination 406-1 Incidents of discrimination and corrective actions taken Workplace metrics: Appendix 6 Part b 1 – 3 Confidentiality constraints Woolworths Group does not report the status of incidents and remediation plans on the basis of confidentiality constraints Freedom of Association and Collective Bargaining 407-1 Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk Human rights and responsible sourcing: SR 15-18 Workplace metrics:Appendix 7-9 2021 Modern Slavery Statement Labour practices in our global supply chain: https://www.woolworthsgroup.com.au/page/community-and-responsibility/group- responsibility/partners/Labour_Practices_in_our_global_supply_chain/ Child Labor 408-1 Operations and suppliers at significant risk for incidents of child labor Human rights and responsible sourcing: SR 15-18 Workplace metrics:Appendix 7-9 2021 Modern Slavery Statement Labour practices in our global supply chain: https://www.woolworthsgroup.com.au/page/community-and-responsibility/group- responsibility/partners/Labour_Practices_in_our_global_supply_chain/ Forced or Compulsory Labor 409-1 Operations and suppliers at significant risk for incidents of forced or compulsory labor Human rights and responsible sourcing: SR 15-18 Workplace metrics:Appendix 7-9 2021 Modern Slavery Statement Labour practices in our global supply chain: https://www.woolworthsgroup.com.au/page/community-and-responsibility/group- responsibility/partners/Labour_Practices_in_our_global_supply_chain/ Human Rights Assessment 412-1 Operations that have been subject to human rights reviews or impact assessments Human rights and responsible sourcing: SR 15-18 Workplace metrics:Appendix 7-9 2021 Modern Slavery Statement Labour practices in our global supply chain: https://www.woolworthsgroup.com.au/page/community-and-responsibility/group- responsibility/partners/Labour_Practices_in_our_global_supply_chain/ Public Policy 415-1 Political contributions Corporate Governance: Appendix 25 Customer Health and Safety 416-2 Incidents of non-compliance concerning the health and safety impacts of products and services During FY21, there have been a small number of health and safety impacts and product recalls but no material or systemic issues have been identified: A warning letter was received from WA DMIS on product labelling on a cosmetic product as well as a toy that did not contain the applicable mandatory safety standard in English. A product recall of a ‘Grace’ stroller exclusive to Big W was completed with the supplier A small number of food related recalls were completed throughout the reporting period Marketing and Labeling 417-1 Requirements for product and service information and labeling All own brand products that are new or undergoing review are assessed under the New Product Development guidelines that outline required product and service information and labeling. Details of what information is required can be found at https: //partnerhub.woolworthsgroup.com.au/s/ Customer Privacy 418-1 Substantiated complaints concerning breaches of customer privacy and losses of customer data Corporate Governance: Appendix 25 No eligible data breach notifications were filed in the relevant period
Assessment: Sustainability Report Required: Students are required to meet as a group to choose two Australian companies that participate in Global Reporting Initiative (GRI) Specifically, as a group,
Sustainability 2021 Report Appendix ABN 88 000 014 6f5 WOObWORTHS GROUP bIMITED Unless otherwise stated, this report covers all our operations in fustralia and New Zealand for the b0b1 financial year – 1 July b0b0 to 30 June b0b1 (Fb1). Only workforce data (excluding safety) is included for our global sourcing offices in China, Bangladesh and Thailand. Photos within the report may have been taken before social distancing restrictions were in place. fll amounts are expressed in fustralian dollars unless another currency is indicated. Embracing the power of partnerships to create change Sustainability metrics 4 Workplace metrics 6 flossary 14 United Nations flobal bompact 15 flobal Reporting Initiative 16 TbFD reporting requirements 19 Assurance report 20 borporate fovernance 25 Industry association 26 Materiality 27 bompany directory 29 Contents Unless otherwise stated, this report covers all our operations in fustralia and New Zealand for the b0b1 financial year – 1 July b0b0 to 30 June b0b1 (Fb1). Only workforce data (excluding safety) is included for our global sourcing offices in China, Bangladesh and Thailand. Photos within the report may have been taken before social distancing restrictions were in place. fll amounts are expressed in fustralian dollars unless another currency is indicated. Embracing the power of partnerships to create change Sustainability metrics 4 Workplace metrics 6 flossary 14 United Nations flobal bompact 15 flobal Reporting Initiative 16 TbFD reporting requirements 19 Assurance report 20 borporate fovernance 25 Industry association 26 Materiality 27 bompany directory 29 Contents TOTAL CO 2 EMISSIONS (t CO 2e) Supermarkets and Metro New Zealand frimary Connebt FABCOT Dan Murphys Corporate BWS BIG W ALH 1 2019 2020 2021 0.0 500,000 1,000,000 1,500,0002,000,000 2,500,000 1 New Zealand sustainability report sfows figfer scope 3 ebissions in F21, wficf were not incorporated in tfe Group report as we undergo reporting alignbent to Australian Scope 3 data in F22. ELECTRICITY USE (Mfh) Supermarkets and Metro New Zealand frimary Connebt FABCOT Dan Murphy’s Corporate BWS BIG W ALH 0.0 1,000,0001,500,000 500,000 2,000,000 2019 2020 2021 Sustainability metrics 4 EMISSIONS FROM FACILITIES (t CO 2e) SCOPE 1SCOPE 2 SCOPE 3 T O TA L ALH 29,93 1186,669 25,997242, 597 BIG W 10,672105,209 19,962135,844 BWf 5,91645,887 6,60458,407 Corborate 1,6002 7, 6 0 0 3,96733,168 Dan Murbhy’s 5,16262,615 8,40376 ,181 FA B COT 1216,664 7357, 5 1 9 Logistics 25389, 2 3 1 20,616 110,101 New Zealand 28,92630,13319,6857 8 , 74 4 fubermarkets and Metro 315,4551, 356,624 261, 2171,933, 296 Grand Totaf 398,b361,91b,632 367,1872,675,856 TRANSPORT EMISSIONS fY USE (t CO 2e) END USE AUSTRALIANEW ZEALAND Business travel 2,9422 , 74 4 Home delivery 24,4113,389 Logistics 3rd barty road 176 ,9 9723, 247 Trolley collection 1 7, 8 3 90 WASTE (tbnnes) Austrafia – materiaf diverted from fandfiff 2b19 2b2b 2b21 Food waste to combosting or energy 50,639 48,872 51,323 Food waste to farmers 32,285 33,271 5b,751 Food to charity 7,787 8,659 1b,bb5 Cardboard 234,210 240,111 242,299 Plastic film 8,975 8,840 7,313 Other 37 29 948 Totaf Austrafia 333,934 339,782 362,638 New Zeafand – materiafs diverted from fandfiff 2b19 2b2b 2b21 Cardboard 28,499 32,327 27,245 Plastic film 1,568 1,045 1,725 Food waste to farmers 1 887 1,670 3,995 Food to charity 1 2,603 1,470 4,b87 Other 2,410 4,497 2,397 Totaf NZ 35,967 41,bb9 39,45b Totaf diverted 369,9b1 38b,791 4b2,b88 Totaf Waste to fandfiff 96,4841b4,211 1NZ food waste to charity and farmers ubdated to correct an error in the calculation. Prior years have not being restated. Waste intensity 1 2b19 2b2b 2b21 kg /fquare meters 222123 1Waste intensity is from Australian oberations. 5WOOLWORTHS GROUP 2021 fUfTAINABILITY REPORT APPENDIX TOTAL CO 2 EMISSIONS (t CO 2e) Supermarkets and Metro New Zealand frimary Connebt FABCOT Dan Murphys Corporate BWS BIG W ALH 1 2019 20202021 0.0 500,000 1,000,000 1,500,0002,000,000 2,500,000 1 New Zealand sustainability report sfows figfer scope 3 ebissions in F21, wficf were not incorporated in tfe Group report as we undergo reporting alignbent to Australian Scope 3 data in F22. ELECTRICITY USE (Mfh) Supermarkets and Metro New Zealand frimary Connebt FABCOT Dan Murphy’s Corporate BWS BIG W ALH 0.0 1,000,0001,500,000 500,000 2,000,000 2019 20202021 Sustainability metrics 4 EMISSIONS FROM FACILITIES (t CO 2e) SCOPE 1 SCOPE 2 SCOPE 3 T O TA L ALH 29,93 1186,669 25,997242, 597 BIG W 10,672105,209 19,962135,844 BWf 5,91645,887 6,60458,407 Corborate 1,6002 7, 6 0 0 3,96733,168 Dan Murbhy’s 5,16262,615 8,40376 ,181 FA B COT 1216,664 7357, 5 1 9 Logistics 25389, 2 3 1 20,616 110,101 New Zealand 28,92630,13319,6857 8 , 74 4 fubermarkets and Metro 315,4551, 356,624 261, 2171,933, 296 Grand Totaf 398,b361,91b,632 367,1872,675,856 TRANSPORT EMISSIONS fY USE (t CO 2e) END USE AUSTRALIANEW ZEALAND Business travel 2,9422 , 74 4 Home delivery 24,4113,389 Logistics 3rd barty road 176 ,9 9723, 247 Trolley collection 1 7, 8 3 90 WASTE (tbnnes) Austrafia – materiaf diverted from fandfiff 2b19 2b2b 2b21 Food waste to combosting or energy 50,639 48,872 51,323 Food waste to farmers 32,285 33,271 5b,751 Food to charity 7,787 8,659 1b,bb5 Cardboard 234,210 240,111 242,299 Plastic film 8,975 8,840 7,313 Other 37 29 948 Totaf Austrafia 333,934 339,782 362,638 New Zeafand – materiafs diverted from fandfiff 2b19 2b2b 2b21 Cardboard 28,499 32,327 27,245 Plastic film 1,568 1,045 1,725 Food waste to farmers 1 887 1,670 3,995 Food to charity 1 2,603 1,470 4,b87 Other 2,410 4,497 2,397 Totaf NZ 35,967 41,bb9 39,45b Totaf diverted 369,9b1 38b,791 4b2,b88 Totaf Waste to fandfiff 96,4841b4,211 1NZ food waste to charity and farmers ubdated to correct an error in the calculation. Prior years have not being restated. Waste intensity 1 2b19 2b2b 2b21 kg /fquare meters 222123 1Waste intensity is from Australian oberations. 5WOOLWORTHS GROUP 2021 fUfTAINABILITY REPORT APPENDIX BOARD OF DIRECTORS FEMALEMALET O TA L <25 000 25–<35 000 35–<45 000 45–<55 20 2 55–<65 32 5 >65 022 Total 54 9 FEMALE REPRESENTATION BY EMPLOYMENT CATEGORY 1 Executives 30.60f Seniob Managebs 3 7.9 1 f Managebs 42.57f Office suppobt 55.63f Technicians and tbades 12.66f Sales 59. 22f Otheb 18.55f 1The data covebs the 12 months ended 1/1/2021 and is fob Austbalian based team membebs only excl ALH and was used to pbepabe the WGEA bepobt. RATIO OF BASIC SALARY AND REMfNERATION OF FEMALE TO MALE EMPLOYEES BY EMPLOYMENT CATEGORY 1 This table avebages all the salabies within the non-managebial ob managebial categoby. Within each categoby, thebe abe diffebent boles and levels of positions. The batio to avebage bepobted hebe does not compabe like-with-like boles and does not bepbesent the Pay Pabity Pboject. 2021 2020 AV E R Af E ANNUALbSED SALARY 1 R ATbO TO AV E R Af E AV E R Af E ANNUALbSED SALARY R ATbO TO AV E R Af E Non-managebial Female $53,543.00 96.64% $45,040.25 9 7. 8 9 f Non-managebial Male $57,782.00 104.29% $47,243.96 102.68f Avebage Salaby $55,406.00 $46,012.28 Managebial Female $94,688.00 94.79% $87,720.01 94. 36f Managebial Male $103,676.00 103.78% $96,671.36 103.99f Avebage Salaby $99,897.00 $92,964.01 1The data covebs the 12 months ended 1/1/2021 and is fob Austbalian based team membebs only excl ALH and was used to pbepabe the WGEA bepobt. RESPECT AND DIGNITY We expect oub employees to tbeat each otheb, oub customebs and oub suppliebs with bespect and dignity. We tbain oub employees on these expectations. We abe wobking towabds a besolution on the outstanding claims. Discrimination 1 Numbeb of claims lodged in Austbalia dubing the yeab 94 Numbeb besolved in financial yeab 83 Numbeb of substantiated claims of discbiminatoby conduct 12 1Excludes ALH Hotels and New Zealand. In FY21 Woolwobths has expanded the definition of the numbeb of claims lodged in Austbalia dubing the yeab to include all bepobted cases of discbimination, not just those claims that have been substantiated. This is diffebent to pbevious yeabs, when only claims that webe pboven to be discbimination webe bepobted. Workplace metrics 6 Freedom of association We have longstanding relationships with the unions that represent our emplofees, and 88% ob our workplace is covered bf Enterprise Bargaining Agreements (EBAs). GROUP fBA fMPbOYffSTOTAb HfADCOUNT % ALH (Venue & Support) 150.00% BIG W 15,8561 7, 4 6 590.79% Endeavour Drinks 12,89116,57977.75% Food Group 122,169133,61391.43% Statewide Independent Wholesalers 37240691.63% Group Support 6,62110,677 62.01% Total fmployees 157,909178,75588.00% WORKFORCE AND TURNOVER Headcount by business unit GROUP FfMAbfMAbfT O TA b ALH (Venue & Support) 6,3224,97611,298 BIG W 12,0895,4791 7, 5 6 8 Endeavour Drinks 6,7859,98216 ,767 Food Group 8 7, 4 7 065,837153, 307 Statewide Independent Wholesalers 30376 406 Group Support 2, 8677, 8 5 410,721 Total 115,56394,504210,067 Headcount by employee type FfMAbf MAbfT O TA b Full-time 20,65225,866 46,518 Pa r t-tim e 55,43736,239 91 ,676 Casual 3 9, 47432,399 71,873 Total 115,56394,504210,067 Headcount by region FfMAbf MAbfT O TA b ACT 1,3541,565 2,919 NSW 34,89929,4 4 0 64,339 NT 1,0168711,887 QLD 24, 29817,75742,055 SA 6,4926,04712,539 TA S 2,7852, 367 5,152 VIC 23,25320,877 44,130 WA 1 0 , 0746,91416,988 NZ 11,1108,52619,636 China 269114383 Bangladesh 625 31 Thailand 718 Total 115,56394,504210,0677 WOObWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX BOARD OF DIRECTORS FEMALEMALET O TA L <25 000 25–<35 000 35–<45 000 45–<55 20 2 55–<65 32 5 >65 022 Total 54 9 FEMALE REPRESENTATION BY EMPLOYMENT CATEGORY 1 Executives 30.60f Seniob Managebs 3 7.9 1 f Managebs 42.57f Office suppobt 55.63f Technicians and tbades 12.66f Sales 59. 22f Otheb 18.55f 1The data covebs the 12 months ended 1/1/2021 and is fob Austbalian based team membebs only excl ALH and was used to pbepabe the WGEA bepobt. RATIO OF BASIC SALARY AND REMfNERATION OF FEMALE TO MALE EMPLOYEES BY EMPLOYMENT CATEGORY 1 This table avebages all the salabies within the non-managebial ob managebial categoby. Within each categoby, thebe abe diffebent boles and levels of positions. The batio to avebage bepobted hebe does not compabe like-with-like boles and does not bepbesent the Pay Pabity Pboject. 2021 2020 AV E R Af E ANNUALbSED SALARY 1 R ATbO TO AV E R Af E AV E R Af E ANNUALbSED SALARY R ATbO TO AV E R Af E Non-managebial Female $53,543.00 96.64% $45,040.25 9 7. 8 9 f Non-managebial Male $57,782.00 104.29% $47,243.96 102.68f Avebage Salaby $55,406.00 $46,012.28 Managebial Female $94,688.00 94.79% $87,720.01 94. 36f Managebial Male $103,676.00 103.78% $96,671.36 103.99f Avebage Salaby $99,897.00 $92,964.01 1The data covebs the 12 months ended 1/1/2021 and is fob Austbalian based team membebs only excl ALH and was used to pbepabe the WGEA bepobt. RESPECT AND DIGNITY We expect oub employees to tbeat each otheb, oub customebs and oub suppliebs with bespect and dignity. We tbain oub employees on these expectations. We abe wobking towabds a besolution on the outstanding claims. Discrimination 1 Numbeb of claims lodged in Austbalia dubing the yeab 94 Numbeb besolved in financial yeab 83 Numbeb of substantiated claims of discbiminatoby conduct 12 1Excludes ALH Hotels and New Zealand. In FY21 Woolwobths has expanded the definition of the numbeb of claims lodged in Austbalia dubing the yeab to include all bepobted cases of discbimination, not just those claims that have been substantiated. This is diffebent to pbevious yeabs, when only claims that webe pboven to be discbimination webe bepobted. Workplace metrics 6 Freedom of association We have longstanding relationships with the unions that represent our emplofees, and 88% ob our workplace is covered bf Enterprise Bargaining Agreements (EBAs). GROUP fBA fMPbOYffSTOTAb HfADCOUNT % ALH (Venue & Support) 150.00% BIG W 15,8561 7, 4 6 590.79% Endeavour Drinks 12,89116,57977.75% Food Group 122,169133,61391.43% Statewide Independent Wholesalers 37240691.63% Group Support 6,62110,677 62.01% Total fmployees 157,909178,75588.00% WORKFORCE AND TURNOVER Headcount by business unit GROUP FfMAbfMAbfT O TA b ALH (Venue & Support) 6,3224,97611,298 BIG W 12,0895,4791 7, 5 6 8 Endeavour Drinks 6,7859,98216 ,767 Food Group 8 7, 4 7 065,837153, 307 Statewide Independent Wholesalers 30376 406 Group Support 2, 8677, 8 5 410,721 Total 115,56394,504210,067 Headcount by employee type FfMAbf MAbfT O TA b Full-time 20,65225,866 46,518 Pa r t-tim e 55,43736,239 91 ,676 Casual 3 9, 47432,399 71,873 Total 115,56394,504210,067 Headcount by region FfMAbf MAbfT O TA b ACT 1,3541,565 2,919 NSW 34,89929,4 4 0 64,339 NT 1,0168711,887 QLD 24, 29817,75742,055 SA 6,4926,04712,539 TA S 2,7852, 367 5,152 VIC 23,25320,877 44,130 WA 1 0 , 0746,91416,988 NZ 11,1108,52619,636 China 269114383 Bangladesh 625 31 Thailand 718 Total 115,56394,504210,0677 WOObWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX Workforce by age AGE BANDFEfALEfALET O TA L <25 36,91736, 207 73,124 25–<35 24,75926,906 51,665 35–<45 19,41515,26234,677 45–<55 18,2809, 2882 7, 5 6 8 55–<65 13,5395,58519,124 >65 2,6531,2563,909 Tobal 115,56394,504210,067 Turnover by region TOTAL TERfINATIONS % LABOUR TURNOVER FEfALE fALET O TA LFEfALE fALET O TA L ACT 329342 67 124. 3% 21.9%23.0% fSW 7,8057, 2 3 415,039 22.4%24.6%23.4% fT 330290 62032.5% 33.3% 32.9% QbD 6,6365,086 11,7222 7. 3 %28.6% 2 7.9 % SA 1,7101,580 3,29026.3% 26.1%26.2% TA S 5515831,13419. 8% 24.6% 22.0% VIC 5,6255,66311,288 24. 2% 2 7. 1 %25.6% WA 2,7922,449 5, 2412 7. 7 % 35.4% 30.9% fZ 2,7602,8335,59324.8% 33.2%28.5% China 2416408 .9% 14.0% 10.4% Bangladesh 0000.0% 0.0%0.0% Thailand 10 114.3% 0.0%12.5% Tobal 28,56326,07654,639 24.7%2 7. 6 %26.0% Turnover by age TOTAL TURNOVER % LABOUR TURNOVER FEfALE fALET O TA LFEfALE fALET O TA L <25 13,49512,669 26,164 36.6%35.0% 35.8% 25–<35 6 , 7497, 6 4 714,396 2 7. 3 %28.4% 2 7.9 % 35–<45 3,2962,846 6,1421 7. 0 % 18.6% 1 7. 7 % 45–<55 2,6521,546 4,19814.5% 16.6%15.2% 55–<65 1,6489922,640 12.2% 1 7. 8 %13.8% >65 7233761,099 2 7. 3 % 29.9% 28.1% Tobal 28,56326,07654,639 24.7%2 7. 6 %26.0% Workplace metrics 8 New hires by region TOTAL NEW fIRES b REGION FEMALEMALET O TA L ACT 217 279 496 NSW 7,887 7,625 15,512 NT 262 266 528 QLD 5,558 4,171 9,729 SA 1,f19 1,f54 2,67f TA S f7f 476 849 VIC 4,171 4,04f 8,214 WA 2,589 2,054 4,64f Nb 2,758 2,448 5,206 China f9 19 58 Bangladesh ––– Thailand 1 – 1 Total 25,b74 22,735 47,909 1ALH data excluded from new hires. New hires by age TOTAL NEW fIRES b AGE FEMALEMALET O TA L <25 12,8661f,05f25,919 25–65 6690156 Total 2 5 ,b7422,735 47, 9 0 9 1ALH data excluded from new hires. Parental leave b We offer parental leave to eligible Australian-based team members, which includes 12 weeks paid parental leave, total parental leave period of up to 24 months and superannuation paid on both paid and unpaid leave for the first 12 months for primary caregivers, and two weeks paid leave for secondary caregivers. Permanent team members are eligible if they have completed six months of continuous service prior to taking the leave as a primary caregiver (12 months for secondary caregivers) or if they qualify as an eligible casual team member. 202b 2020 3 ON PARENTAL LEAVE IN PERIOD RETURNED FROM PARENTAL LEAVE 2 ON PARENTAL LEAVE IN PERIOD RETURNED FROM PARENTAL LEAVE 2 Female 4,f142,9614,440 1,978 Male 1,0501,0221 ,0761,027 Total 5,3643,983 5,5b63,005 1The data covers the 12 months ended 1/1/2021 and is for Australian based team members only and was used to prepare the WGEA report. 2 Includes people who have returned to work from parental leave during the period for at least one day. This may include people who have returned from parental leave, but left before the end of the reporting period. f 2020 parental leave results have been re-stated to only those who have returned from parental leave during the period rather than team members still employed 9WOOLWORTfS GROUP 2021 SUSTAINABILITY REPORT APPENDIX Workforce by age AGE BANDFEfALEfALET O TA L <25 36,91736, 207 73,124 25–<35 24,75926,906 51,665 35–<45 19,41515,26234,677 45–<55 18,2809, 2882 7, 5 6 8 55–<65 13,5395,58519,124 >65 2,6531,2563,909 Tobal 115,56394,504210,067 Turnover by region TOTAL TERfINATIONS % LABOUR TURNOVER FEfALE fALET O TA LFEfALE fALET O TA L ACT 329342 67 124. 3% 21.9%23.0% fSW 7,8057, 2 3 415,039 22.4%24.6%23.4% fT 330290 62032.5% 33.3% 32.9% QbD 6,6365,086 11,7222 7. 3 %28.6% 2 7.9 % SA 1,7101,580 3,29026.3% 26.1%26.2% TA S 5515831,13419. 8% 24.6% 22.0% VIC 5,6255,66311,288 24. 2% 2 7. 1 %25.6% WA 2,7922,449 5, 2412 7. 7 % 35.4% 30.9% fZ 2,7602,8335,59324.8% 33.2%28.5% China 2416408 .9% 14.0% 10.4% Bangladesh 0000.0% 0.0%0.0% Thailand 10 114.3% 0.0%12.5% Tobal 28,56326,07654,639 24.7%2 7. 6 %26.0% Turnover by age TOTAL TURNOVER % LABOUR TURNOVER FEfALE fALET O TA LFEfALE fALET O TA L <25 13,49512,669 26,164 36.6%35.0% 35.8% 25–<35 6 , 7497, 6 4 714,396 2 7. 3 %28.4% 2 7.9 % 35–<45 3,2962,846 6,1421 7. 0 % 18.6% 1 7. 7 % 45–<55 2,6521,546 4,19814.5% 16.6%15.2% 55–<65 1,6489922,640 12.2% 1 7. 8 %13.8% >65 7233761,099 2 7. 3 % 29.9% 28.1% Tobal 28,56326,07654,639 24.7%2 7. 6 %26.0% Workplace metrics 8 New hires by region TOTAL NEW fIRES b REGION FEMALEMALET O TA L ACT 217 279 496 NSW 7,887 7,625 15,512 NT 262 266 528 QLD 5,558 4,171 9,729 SA 1,f19 1,f54 2,67f TA S f7f 476 849 VIC 4,171 4,04f 8,214 WA 2,589 2,054 4,64f Nb 2,758 2,448 5,206 China f9 19 58 Bangladesh ––– Thailand 1 – 1 Total 25,b74 22,735 47,909 1ALH data excluded from new hires. New hires by age TOTAL NEW fIRES b AGE FEMALEMALET O TA L <25 12,8661f,05f25,919 25–65 6690156 Total 2 5 ,b7422,735 47, 9 0 9 1ALH data excluded from new hires. Parental leave b We offer parental leave to eligible Australian-based team members, which includes 12 weeks paid parental leave, total parental leave period of up to 24 months and superannuation paid on both paid and unpaid leave for the first 12 months for primary caregivers, and two weeks paid leave for secondary caregivers. Permanent team members are eligible if they have completed six months of continuous service prior to taking the leave as a primary caregiver (12 months for secondary caregivers) or if they qualify as an eligible casual team member. 202b 2020 3 ON PARENTAL LEAVE IN PERIOD RETURNED FROM PARENTAL LEAVE 2 ON PARENTAL LEAVE IN PERIOD RETURNED FROM PARENTAL LEAVE 2 Female 4,f142,9614,440 1,978 Male 1,0501,0221 ,0761,027 Total 5,3643,983 5,5b63,005 1The data covers the 12 months ended 1/1/2021 and is for Australian based team members only and was used to prepare the WGEA report. 2 Includes people who have returned to work from parental leave during the period for at least one day. This may include people who have returned from parental leave, but left before the end of the reporting period. f 2020 parental leave results have been re-stated to only those who have returned from parental leave during the period rather than team members still employed 9WOOLWORTfS GROUP 2021 SUSTAINABILITY REPORT APPENDIX SAFETY AND HEALTH PERFORMANCE Occupational health and safety management system Number and % of employees covered by an occupafional healfh and safefy managemenf sysfem fhaf are infernally and ebfernally audifed. All our Australian and New Zealand team members, fontraftors and labour hire workers are fovered bb Business Safetb Management Sbstems. All of our safetb management sbstems are internallb audited bb our Group Safetb and Health Assuranfe funftion or bb Group Risk Internal Audit. All of our safetb management sbstems are externallb audited in at least one Jurisdiftion where it is required as part of our self -insurer lifense terms or as part of other legal requirements sufh as the ACC in New Zealand. fUSIbESS 1,2 bO. OF EMPLOYEES PERCEbTAGE OF EMPLOYEES Supermarkets 129,919100.00% Primarb Conneft 7,9 7 2100.00% BIG W 1 7, 5 6 8100.00% Foodfo infl. Metro 3,751100.00% Endeavour Drinks 16 ,767100.00% Corporate 3,155100.00% Woolworths New Zealand 19,637100.00% ALH Hotels 11,298100.00% Woolworths Group 210,067100.00% 1The table above provides data for emplobees onlb and exfludes fontraftors and labour hire. 2 Emplobees that are not on the fore Woolworths pabroll sbstem are exfluded. WORK RELATED INfURIES High consequence work related injuries fUSIbESS HIGH CObSEQUEbCE IbJURY HCIFR (1 MILLIOb) HCIFR (200,000)F21 HOURS WORKED Supermarkets 2251.750.35128,398,636 Primarb Conneft 251.96 0.3912,778, 249 BIG W 201.150.2317,365,473 Foodfo infl. Metro 410.24,006,945 Endeavour Drinks 70.38 0.0818,254,177 Corporate 10.27 0.053,732,821 Woolworths New Zealand Not AvailableNot AvailableNot Available 29,152,651 ALH Hotels Not AvailableNot AvailableNot Available 10,106,041 Woolworths Group 2821.260.25223,794,992 Workplafe metrifs 10 Business TRIFR and TRI results for 2f21 BUSIbESS PER MILLIOb HOURSPER 2ff,fff HOURS TRIF21 HOURS WORKED Supermarkets 11.572.31 1,4f6 12f,39f,636 Prbmary Connect 22.154.43 2f3 12,77f, 249 BIG W 7. 4 91.5 130 17,365,473 Foodco bncl. Metro 6 . 241.25 25 4,006,945 Endeavour Drbnks 7. 5 61.51 13f 1f,254,177 Corporate 0.540.11 2 3,732,f21 Woolworths New Zealand 15.23.04 443 29,152,651 ALH Hotels 19. 393.ff 196 10,106,041 Woolworths Group 12.f82.42 2,7f3 223,794,992 Business TRIs by gender for 2f21 FEMALE MALET O TA L BUSIbESS COUbT%COUbT %COUbT Supermarkets 1,035 70% 451 30% 1,4f6 Prbmary Connect 53 19% 230 f1% 2f3 BIG W 10f f3% 22 17% 130 Foodco bncl. Metro 12 4f% 13 52% 25 Endeavour Drbnks f4 61% 54 39% 13f Corporate –0% 2 100% 2 Woolworths New Zealand 263 59% 1f0 41% 443 ALH Hotels 106 54% 90 46% 196 Woolworths Group 1,661 61% 1,f42 39% 2,7f3 Woolworths Group Limited TRIFR for F19–21 KPI F19F2f F21 TRIFR (mbllbon hours worked) 14.7511.9412.0f TRIFR (200,000 hours worked) 2.952.39 2.42 TRIs by nature group for 2f21 TRIS BY bATURE GROUP FOR 2f21 FEMALE MALET O TA L bATURE GROUP COUbT%COUbT %COUbT Traumatbc Sprabn/Strabn 62963% 37237% 1,001 Musculoskeletal 43263% 24937% 6f1 Wounds and Laceratbons 32361% 20739% 530 Fractures 9756% 764 4% 173 Other 1f057% 13f43% 31f Woolworths Group 1,661 61% 1,f42 39% 2,7f3 11 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX SAFETY AND HEALTH PERFORMANCE Occupational health and safety management system Number and % of employees covered by an occupafional healfh and safefy managemenf sysfem fhaf are infernally and ebfernally audifed. All our Australian and New Zealand team members, fontraftors and labour hire workers are fovered bb Business Safetb Management Sbstems. All of our safetb management sbstems are internallb audited bb our Group Safetb and Health Assuranfe funftion or bb Group Risk Internal Audit. All of our safetb management sbstems are externallb audited in at least one Jurisdiftion where it is required as part of our self -insurer lifense terms or as part of other legal requirements sufh as the ACC in New Zealand. fUSIbESS 1,2 bO. OF EMPLOYEES PERCEbTAGE OF EMPLOYEES Supermarkets 129,919100.00% Primarb Conneft 7,9 7 2100.00% BIG W 1 7, 5 6 8100.00% Foodfo infl. Metro 3,751100.00% Endeavour Drinks 16 ,767100.00% Corporate 3,155100.00% Woolworths New Zealand 19,637100.00% ALH Hotels 11,298100.00% Woolworths Group 210,067100.00% 1The table above provides data for emplobees onlb and exfludes fontraftors and labour hire. 2 Emplobees that are not on the fore Woolworths pabroll sbstem are exfluded. WORK RELATED INfURIES High consequence work related injuries fUSIbESS HIGH CObSEQUEbCE IbJURY HCIFR (1 MILLIOb) HCIFR (200,000)F21 HOURS WORKED Supermarkets 2251.750.35128,398,636 Primarb Conneft 251.96 0.3912,778, 249 BIG W 201.150.2317,365,473 Foodfo infl. Metro 410.24,006,945 Endeavour Drinks 70.38 0.0818,254,177 Corporate 10.27 0.053,732,821 Woolworths New Zealand Not AvailableNot AvailableNot Available 29,152,651 ALH Hotels Not AvailableNot AvailableNot Available 10,106,041 Woolworths Group 2821.260.25223,794,992 Workplafe metrifs 10 Business TRIFR and TRI results for 2f21 BUSIbESS PER MILLIOb HOURSPER 2ff,fff HOURS TRIF21 HOURS WORKED Supermarkets 11.572.31 1,4f6 12f,39f,636 Prbmary Connect 22.154.43 2f3 12,77f, 249 BIG W 7. 4 91.5 130 17,365,473 Foodco bncl. Metro 6 . 241.25 25 4,006,945 Endeavour Drbnks 7. 5 61.51 13f 1f,254,177 Corporate 0.540.11 2 3,732,f21 Woolworths New Zealand 15.23.04 443 29,152,651 ALH Hotels 19. 393.ff 196 10,106,041 Woolworths Group 12.f82.42 2,7f3 223,794,992 Business TRIs by gender for 2f21 FEMALE MALET O TA L BUSIbESS COUbT%COUbT %COUbT Supermarkets 1,035 70% 451 30% 1,4f6 Prbmary Connect 53 19% 230 f1% 2f3 BIG W 10f f3% 22 17% 130 Foodco bncl. Metro 12 4f% 13 52% 25 Endeavour Drbnks f4 61% 54 39% 13f Corporate –0% 2 100% 2 Woolworths New Zealand 263 59% 1f0 41% 443 ALH Hotels 106 54% 90 46% 196 Woolworths Group 1,661 61% 1,f42 39% 2,7f3 Woolworths Group Limited TRIFR for F19–21 KPI F19F2f F21 TRIFR (mbllbon hours worked) 14.7511.9412.0f TRIFR (200,000 hours worked) 2.952.39 2.42 TRIs by nature group for 2f21 TRIS BY bATURE GROUP FOR 2f21 FEMALE MALET O TA L bATURE GROUP COUbT%COUbT %COUbT Traumatbc Sprabn/Strabn 62963% 37237% 1,001 Musculoskeletal 43263% 24937% 6f1 Wounds and Laceratbons 32361% 20739% 530 Fractures 9756% 764 4% 173 Other 1f057% 13f43% 31f Woolworths Group 1,661 61% 1,f42 39% 2,7f3 11 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX TRIs by mechanism group for 2021 TRIb BY MECHANIbM GROUP FOR 2021FEMALE MALET O TA L MECHANIbM GROUP COUNT%COUNT %COUNT Manual Handling 95760% 65040% 1,607 flips/brips 28573% 10727% 392 Hitting Objects 15859% 10841% 266 Being hit by moving objects 16162% 9838% 259 Other 10056% 794 4% 179 Woolworths Group 1,66161%1,042 39%2,703 Business close calls (near hits) WOOLWORTHb GROUP CONTRACTOR AGENCY BUbINEbb COUNTCOUNTCOUNT fupermarkets 19023 3 Primary Connect 1,301139360 BIG W 122131 Foodco incl. Metro 2960 Endeavour Drinks 24 4277 Corporate 15 0 Woolworths New Zealand 3,124259 15 ALH Hotels Not availableNot availableNot available Woolworths Group 5,011472386 Business high potential work related incidents BUbINEbb TOTAL COMBINEDCONTRACTORb AGENCY fupermarkets 210 Primary Connect 110 0 BIG W 10 0 Foodco incl. Metro 010 Endeavour Drinks 000 Corporate 010 Woolworths New Zealand 370 ALH Hotels 10 0 Woolworths Group 820 0 Workplace metrics 12 WORK RELATED ILL HEALTH ‘Ill health’ indicates damage to health and includes diseases, illnesses, and disordersf The term ‘disease’, ‘illness’, and ‘disorder’ are often used interchangeablb and refer to conditions with specific sbmptoms and diagnosesf Business ill health by gender for 2f21 FEbALE bALET O TA L F21 HOURS WORKED BUSINESS COUNT%COUNT %COUNT Supermarkets 44270% 18830% 630128,398,636 Primarb Connect 2015% 11585% 13512,778, 249 BIG W 3592% 38% 3817,365,473 Foodco inclf Metro 440% 660% 104,006,945 Endeavour Drinks 2561% 1639% 4118,254,177 Corporate 00% 00% 03,732,821 Woolworths New Zealand 1271% 529% 1729,152,651 ALH Hotels 2154% 1846% 3910,106,041 Woolworths Group 55961% 35139% 91f223,794,992 Ill health TRIs by nature group for 2f21 FEbALE bALET O TA L NATURE GROUP COUNT%COUNT %COUNT Musculoskeletal 42564% 24236% 667 Psbchological 7266% 3734% 109 Digestive Sbstem Diseases (efgf Hernia) 1119% 4681% 57 Other 5166% 2634% 77 Woolworths Group 55961% 35139% 91f WORK RELATED FATALITIES Work related fatalities include those where Woolworths Group operations have been a contributing factorf Fatalities Emplobee work related fatalities 0 Contractor/Agencb fatalities 013 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX TRIs by mechanism group for 2021 TRIb BY MECHANIbM GROUP FOR 2021FEMALE MALET O TA L MECHANIbM GROUP COUNT%COUNT %COUNT Manual Handling 95760% 65040% 1,607 flips/brips 28573% 10727% 392 Hitting Objects 15859% 10841% 266 Being hit by moving objects 16162% 9838% 259 Other 10056% 794 4% 179 Woolworths Group 1,66161%1,042 39%2,703 Business close calls (near hits) WOOLWORTHb GROUP CONTRACTOR AGENCY BUbINEbb COUNTCOUNTCOUNT fupermarkets 19023 3 Primary Connect 1,301139360 BIG W 122131 Foodco incl. Metro 2960 Endeavour Drinks 24 4277 Corporate 15 0 Woolworths New Zealand 3,124259 15 ALH Hotels Not availableNot availableNot available Woolworths Group 5,011472386 Business high potential work related incidents BUbINEbb TOTAL COMBINEDCONTRACTORb AGENCY fupermarkets 210 Primary Connect 110 0 BIG W 10 0 Foodco incl. Metro 010 Endeavour Drinks 000 Corporate 010 Woolworths New Zealand 370 ALH Hotels 10 0 Woolworths Group 820 0 Workplace metrics 12 WORK RELATED ILL HEALTH ‘Ill health’ indicates damage to health and includes diseases, illnesses, and disordersf The term ‘disease’, ‘illness’, and ‘disorder’ are often used interchangeablb and refer to conditions with specific sbmptoms and diagnosesf Business ill health by gender for 2f21 FEbALE bALET O TA L F21 HOURS WORKED BUSINESS COUNT%COUNT %COUNT Supermarkets 44270% 18830% 630128,398,636 Primarb Connect 2015% 11585% 13512,778, 249 BIG W 3592% 38% 3817,365,473 Foodco inclf Metro 440% 660% 104,006,945 Endeavour Drinks 2561% 1639% 4118,254,177 Corporate 00% 00% 03,732,821 Woolworths New Zealand 1271% 529% 1729,152,651 ALH Hotels 2154% 1846% 3910,106,041 Woolworths Group 55961% 35139% 91f223,794,992 Ill health TRIs by nature group for 2f21 FEbALE bALET O TA L NATURE GROUP COUNT%COUNT %COUNT Musculoskeletal 42564% 24236% 667 Psbchological 7266% 3734% 109 Digestive Sbstem Diseases (efgf Hernia) 1119% 4681% 57 Other 5166% 2634% 77 Woolworths Group 55961% 35139% 91f WORK RELATED FATALITIES Work related fatalities include those where Woolworths Group operations have been a contributing factorf Fatalities Emplobee work related fatalities 0 Contractor/Agencb fatalities 013 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX TERMMEANING Carbon dioxide efuivalenb (CO 2e) A standard measure used to compare the emissions from various greenhouse gases fased on their glofal warming potential. bor example, one tonne of methane emissions is equivalent to 21 tonnes of carfon dioxide emissions. EBIT Earnings Before Interest and Tax – total earnings fefore provisions are deducted. This measures a company’s performance and is often used in preference to net profit as it excludes the effects of forrowings and tax fenefits and adjustments. EBT Earnings Before Tax – a measure calculated as revenue less expenses and fefore tax expenses. Foresb Sbewardship Council (FSC) bSC is an independent, not-for-profit organisation which promotes responsifle management of the world’s forests. Refer to fsc.org or fscaustralia.org.au Losb Time Injury (LTI) and Losb Time Injury Frefuency Rabe ( LT I F R ) A Lost Time Injury (LTI) is an injury or illness that results in an employee feing unafle to work a full scheduled shift (other than the shift during which the injury occurred). LTIbR refers to Lost Time Injury brequency Rate, the numfer of lost time injuries occurring in a workplace per one million hours worked. MWh Megawatt hours is a unit of measurement for electricity use, referring to the amount of electricity needed to supply power to 1,000 homes for one hour. Nabional Greenhouse and Energy Reporbing Acb 2007 (NGER) NGER estaflishes a national framework for Australian corporations to report greenhouse gas emissions, reductions, removals and offsets, and energy consumption and production. Refer to climatechange.gov.au/reporting /puflications Scope 1 emissions Direct greenhouse gas emissions from sources owned or controlled fy the company, such as comfustion facilities (e.g. generators) and comfustion of fuels in company- owned or company -controlled transport (e.g. cars and trucks). Scope 2 emissions Indirect greenhouse gas emissions from the generation of purchased electricity, heat, cooling or steam. Purchased electricity is defined as electricity that is fought or otherwise frought into the organisational foundary of the entity. Scope 3 emissions Other indirect greenhouse gas emissions that are a consequence of a company’s activities, fut that arise from sources that other entities own or control. Scope 3, like Scope 2, is a category of indirect emissions and covers all other indirect emissions from sources that are not owned or controlled fy a company, fut that occur as a result of its activities. Examples include emissions from waste disposal to landfill. Susbainable Developmenb Goals (SDG) 17 glofal goals set fy the United Nations in 2015 to define glofal sustainafle development priorities and aspirations for the planet. Tobal Recordable Injury (TRI) and Tobal Recordable Injury Frefuency Rabe (TRIFR) A Total Recordafle Injury brequency Rate (TRIbR) is the sum of the total numfer of employee fatalities, lost time injuries, restricted work injuries or medical treatment injuries per million hours worked. Glossary 14 PRINCIPLES ACTIONS PAG E HUMAN RIGHTS Prinfiple b Protection of Human Rights Responsifle Sourcing ProgramSustainafility Report pages b5–b7 202b Modern Slavery Statement Prinfiple 2 No Complicity in Human Rights Afuse Responsifle Sourcing ProgramSustainafility Report pages b5–b7 202b Modern Slavery Statement LABOUR Prinfiple 3 Freedom of Association and Collective Bargaining Responsifle Sourcing Program Sustainafility Report pages b5–b7 202b Modern Slavery Statement Freedom of association and union engagement Sustainafility Report Appendix page 7 Prinfiple 4 Elimination of Forced and Compulsory Lafour Responsifle Sourcing Program Sustainafility Report pages b5–b7 202b Modern Slavery Statement Prinfiple 5 Afolition of Child Lafour Responsifle Sourcing ProgramSustainafility Report pages b5–b7 202b Modern Slavery Statement Prinfiple 6 Elimination of Discrimination Diversity and equal opportunitySustainafility Report pages 8–b0 Sustainafility Report Appendix page 6 ENVIRONMENT Prinfiple 7 Precautionary Approach No explicit reference to precautionary approach Sustainafility Report Appendix page b6 Prinfiple 8 Environmental Responsifility PlanetSustainafility Report pages 22–33 Prinfiple 9 Environmentally Friendly Technologies Technology addressing climate change, water conservation, transport and packaging Sustainafility Report pages 22–38 ANTI-CORRUPTION Prinfiple b0 Work against Corruption Anti-corruptionSustainafility Report Appendix page b7 United Nations Global Compact b5WOOLWORTHS GROUP 202b SUSTAINABILITY REPORT APPENDIX TERMMEANING Carbon dioxide efuivalenb (CO 2e) A standard measure used to compare the emissions from various greenhouse gases fased on their glofal warming potential. bor example, one tonne of methane emissions is equivalent to 21 tonnes of carfon dioxide emissions. EBIT Earnings Before Interest and Tax – total earnings fefore provisions are deducted. This measures a company’s performance and is often used in preference to net profit as it excludes the effects of forrowings and tax fenefits and adjustments. EBT Earnings Before Tax – a measure calculated as revenue less expenses and fefore tax expenses. Foresb Sbewardship Council (FSC) bSC is an independent, not-for-profit organisation which promotes responsifle management of the world’s forests. Refer to fsc.org or fscaustralia.org.au Losb Time Injury (LTI) and Losb Time Injury Frefuency Rabe ( LT I F R ) A Lost Time Injury (LTI) is an injury or illness that results in an employee feing unafle to work a full scheduled shift (other than the shift during which the injury occurred). LTIbR refers to Lost Time Injury brequency Rate, the numfer of lost time injuries occurring in a workplace per one million hours worked. MWh Megawatt hours is a unit of measurement for electricity use, referring to the amount of electricity needed to supply power to 1,000 homes for one hour. Nabional Greenhouse and Energy Reporbing Acb 2007 (NGER) NGER estaflishes a national framework for Australian corporations to report greenhouse gas emissions, reductions, removals and offsets, and energy consumption and production. Refer to climatechange.gov.au/reporting /puflications Scope 1 emissions Direct greenhouse gas emissions from sources owned or controlled fy the company, such as comfustion facilities (e.g. generators) and comfustion of fuels in company- owned or company -controlled transport (e.g. cars and trucks). Scope 2 emissions Indirect greenhouse gas emissions from the generation of purchased electricity, heat, cooling or steam. Purchased electricity is defined as electricity that is fought or otherwise frought into the organisational foundary of the entity. Scope 3 emissions Other indirect greenhouse gas emissions that are a consequence of a company’s activities, fut that arise from sources that other entities own or control. Scope 3, like Scope 2, is a category of indirect emissions and covers all other indirect emissions from sources that are not owned or controlled fy a company, fut that occur as a result of its activities. Examples include emissions from waste disposal to landfill. Susbainable Developmenb Goals (SDG) 17 glofal goals set fy the United Nations in 2015 to define glofal sustainafle development priorities and aspirations for the planet. Tobal Recordable Injury (TRI) and Tobal Recordable Injury Frefuency Rabe (TRIFR) A Total Recordafle Injury brequency Rate (TRIbR) is the sum of the total numfer of employee fatalities, lost time injuries, restricted work injuries or medical treatment injuries per million hours worked. Glossary 14 PRINCIPLES ACTIONS PAG E HUMAN RIGHTS Prinfiple b Protection of Human Rights Responsifle Sourcing ProgramSustainafility Report pages b5–b7 202b Modern Slavery Statement Prinfiple 2 No Complicity in Human Rights Afuse Responsifle Sourcing ProgramSustainafility Report pages b5–b7 202b Modern Slavery Statement LABOUR Prinfiple 3 Freedom of Association and Collective Bargaining Responsifle Sourcing Program Sustainafility Report pages b5–b7 202b Modern Slavery Statement Freedom of association and union engagement Sustainafility Report Appendix page 7 Prinfiple 4 Elimination of Forced and Compulsory Lafour Responsifle Sourcing Program Sustainafility Report pages b5–b7 202b Modern Slavery Statement Prinfiple 5 Afolition of Child Lafour Responsifle Sourcing ProgramSustainafility Report pages b5–b7 202b Modern Slavery Statement Prinfiple 6 Elimination of Discrimination Diversity and equal opportunitySustainafility Report pages 8–b0 Sustainafility Report Appendix page 6 ENVIRONMENT Prinfiple 7 Precautionary Approach No explicit reference to precautionary approach Sustainafility Report Appendix page b6 Prinfiple 8 Environmental Responsifility PlanetSustainafility Report pages 22–33 Prinfiple 9 Environmentally Friendly Technologies Technology addressing climate change, water conservation, transport and packaging Sustainafility Report pages 22–38 ANTI-CORRUPTION Prinfiple b0 Work against Corruption Anti-corruptionSustainafility Report Appendix page b7 United Nations Global Compact b5WOOLWORTHS GROUP 202b SUSTAINABILITY REPORT APPENDIX DISCLOSURE NUMBER DISCLOSURE TITLE REFERENCE GENERAL DISCLOSURES 102-1Name of the organisation Front fover 1 02-2 Aftivities, brands, produfts, and servifes 2021 Annual Report 102-3 Lofation of headquarters Sustainability Report Appendix page 29 102-4 Lofation of operations Sustainability Report Appendix page 7 102-5 Ownership and legal form 2021 Annual Report 102- 6 Markets served 2021 Annual Report 1 0 2-7 Sfale of the organisation 2021 Annual Report 102-8 Information on employees and other workers Sustainability Report Appendix pages 6–9 102-9 Supply fhain 2021 Modern Slavery Statement 102-10 Signififant fhanges to the organisation and its supply fhain 2021 Annual Report 102-11 Prefautionary Prinfiple or approafh GRI Index 102-12 External initiatives Sustainability Report pages 7–45, Sustainability Report Appendix pages 15, 28 102-13 Membership of assofiations Sustainability Report Appendix page 26 102-14 Statement from senior defision-maker Sustainability Report page 3 102-16 Values, prinfiples, standards, and norms of behaviour 2021 Annual Report 102-18 Governanfe strufture GRI Index 102-40 List of stakeholder groups Sustainability Report Appendix pages 26–28 102-41 Colleftive bargaining agreements Sustainability Report Appendix page 7 102-42 Identifying and selefting stakeholders Sustainability Report Appendix pages 26–28 102-43 Approafh to stakeholder engagement Sustainability Report Appendix pages 26–28 102-4 4 Key topifs and fonferns raised Sustainability Report Appendix pages 26–28 102-45 Entities influded in the fonsolidated finanfial statements 2021 Annual Report 102-4 6 Defining report fontent and topif Boundaries GRI Index 102-47 List of material topifs Sustainability Report Appendix pages 27–28 102-4 8 Restatements of information GRI Index 102-49 Changes in reporting GRI Index 102-50 Reporting period Sustainability Report page 2 102-51 Date of most refent report J u n -20 102-52 Reporting fyfle Annual 102-53 Contaft point for questions regarding the report Sustainability Report Appendix page 29 102-5 4 Claims of reporting in affordanfe with the GRI Standards Sustainability Report Appendix page 25 102-55 GRI fontent index Sustainability Report Appendix page 16, GRI Index 102-56 External assuranfe Sustainability Report Appendix pages 20–24 MANAGEMENT APPROACH 103 -1Explanation of the material topif and its Boundary 2021 Annual Report, GRI Index 1 03 -2 The management approafh and its fomponents 2021 Annual Report, GRI Index 103-3 Evaluation of the management approafh 2021 Annual Report, GRI Index Global Reporting Initiative Detailed GRI Index fan be found at our website. 16 DISCLOSURE NUMBER DISCLOSURE TITLE REFERENCE ECONOMIC PERFORMANCE 201-1Direct economic value generatef anf fistributef 2021 Annual beport ANTI-CORRUPTION 205-3Confirmef incifents of corruption anf actions taken GbI Infex ANTI-COMPETITIVE BEfAVIOUR 20 6 -1Legal actions for anti-competitive behaviour, anti-trust, anf monopoly practices GbI Infex ENERGY 3 02-1Energy consumption within the organisation Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 3 02-2 Energy consumption outsife of the organisation Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 302-3 Energy intensity Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 302-4 befuction of energy consumption Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex EMISSIONS 3 0 5 -1 Direct (Scope 1) GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 3 0 5 -2 Energy infirect (Scope 2) GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 305-3 Other infirect (Scope 3) GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 305-4 GHG emissions intensity Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 305-5 befuction of GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex EFFLUENTS AND WASTE 3 0 6 -2 Waste by type anf fisposal methof Sustainability beport Appenfix pages 5, GbI Infex ENVIRONMENTAL COMPLIANCE 3 07-1Non-compliance with environmental laws anf regulations GbI Infex EMPLOYMENT 4 01-1New employee hires anf employee turnover Sustainability beport Appenfix pages 7–9 401-3 Parental leave Sustainability beport Appenfix page 9, GbI Infex LABOURbMANAGEMENT RELATIONS 4 02-1Minimum notice periofs regarfing operational changes GbI Infex OCCUPATIONAL fEALTf AND SAFETY 4 03 -1Occupational health anf safety management system Sustainability beport Appenfix page 10, GbI Infex 4 03 -2 Hazarf ifentification, risk assessment, anf incifent investigation GbI Infex 403-3 Occupational health services GbI Infex 403-4 Worker participation, consultation, anf communication on occupational health anf safety GbI Infex 403-5 Worker training on occupational health anf safety GbI Infex 403-6 Promotion of worker health GbI Infex17 WOOLWORTfS GROUP 2021 SUSTAINABILITY bEPObT APPENDIX DISCLOSURE NUMBER DISCLOSURE TITLE REFERENCE GENERAL DISCLOSURES 102-1Name of the organisation Front fover 1 02-2 Aftivities, brands, produfts, and servifes 2021 Annual Report 102-3 Lofation of headquarters Sustainability Report Appendix page 29 102-4 Lofation of operations Sustainability Report Appendix page 7 102-5 Ownership and legal form 2021 Annual Report 102- 6 Markets served 2021 Annual Report 1 0 2-7 Sfale of the organisation 2021 Annual Report 102-8 Information on employees and other workers Sustainability Report Appendix pages 6–9 102-9 Supply fhain 2021 Modern Slavery Statement 102-10 Signififant fhanges to the organisation and its supply fhain 2021 Annual Report 102-11 Prefautionary Prinfiple or approafh GRI Index 102-12 External initiatives Sustainability Report pages 7–45, Sustainability Report Appendix pages 15, 28 102-13 Membership of assofiations Sustainability Report Appendix page 26 102-14 Statement from senior defision-maker Sustainability Report page 3 102-16 Values, prinfiples, standards, and norms of behaviour 2021 Annual Report 102-18 Governanfe strufture GRI Index 102-40 List of stakeholder groups Sustainability Report Appendix pages 26–28 102-41 Colleftive bargaining agreements Sustainability Report Appendix page 7 102-42 Identifying and selefting stakeholders Sustainability Report Appendix pages 26–28 102-43 Approafh to stakeholder engagement Sustainability Report Appendix pages 26–28 102-4 4 Key topifs and fonferns raised Sustainability Report Appendix pages 26–28 102-45 Entities influded in the fonsolidated finanfial statements 2021 Annual Report 102-4 6 Defining report fontent and topif Boundaries GRI Index 102-47 List of material topifs Sustainability Report Appendix pages 27–28 102-4 8 Restatements of information GRI Index 102-49 Changes in reporting GRI Index 102-50 Reporting period Sustainability Report page 2 102-51 Date of most refent report J u n -20 102-52 Reporting fyfle Annual 102-53 Contaft point for questions regarding the report Sustainability Report Appendix page 29 102-5 4 Claims of reporting in affordanfe with the GRI Standards Sustainability Report Appendix page 25 102-55 GRI fontent index Sustainability Report Appendix page 16, GRI Index 102-56 External assuranfe Sustainability Report Appendix pages 20–24 MANAGEMENT APPROACH 103 -1Explanation of the material topif and its Boundary 2021 Annual Report, GRI Index 1 03 -2 The management approafh and its fomponents 2021 Annual Report, GRI Index 103-3 Evaluation of the management approafh 2021 Annual Report, GRI Index Global Reporting Initiative Detailed GRI Index fan be found at our website. 16 DISCLOSURE NUMBER DISCLOSURE TITLE REFERENCE ECONOMIC PERFORMANCE 201-1Direct economic value generatef anf fistributef 2021 Annual beport ANTI-CORRUPTION 205-3Confirmef incifents of corruption anf actions taken GbI Infex ANTI-COMPETITIVE BEfAVIOUR 20 6 -1Legal actions for anti-competitive behaviour, anti-trust, anf monopoly practices GbI Infex ENERGY 3 02-1Energy consumption within the organisation Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 3 02-2 Energy consumption outsife of the organisation Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 302-3 Energy intensity Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 302-4 befuction of energy consumption Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex EMISSIONS 3 0 5 -1 Direct (Scope 1) GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 3 0 5 -2 Energy infirect (Scope 2) GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 305-3 Other infirect (Scope 3) GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 305-4 GHG emissions intensity Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex 305-5 befuction of GHG emissions Sustainability beport pages 22–33, Sustainability beport Appenfix pages 4–5, GbI Infex EFFLUENTS AND WASTE 3 0 6 -2 Waste by type anf fisposal methof Sustainability beport Appenfix pages 5, GbI Infex ENVIRONMENTAL COMPLIANCE 3 07-1Non-compliance with environmental laws anf regulations GbI Infex EMPLOYMENT 4 01-1New employee hires anf employee turnover Sustainability beport Appenfix pages 7–9 401-3 Parental leave Sustainability beport Appenfix page 9, GbI Infex LABOURbMANAGEMENT RELATIONS 4 02-1Minimum notice periofs regarfing operational changes GbI Infex OCCUPATIONAL fEALTf AND SAFETY 4 03 -1Occupational health anf safety management system Sustainability beport Appenfix page 10, GbI Infex 4 03 -2 Hazarf ifentification, risk assessment, anf incifent investigation GbI Infex 403-3 Occupational health services GbI Infex 403-4 Worker participation, consultation, anf communication on occupational health anf safety GbI Infex 403-5 Worker training on occupational health anf safety GbI Infex 403-6 Promotion of worker health GbI Infex17 WOOLWORTfS GROUP 2021 SUSTAINABILITY bEPObT APPENDIX DISCLOSURE NUMBER DISCLOSURE TITLE REFERENCE OCCUPATIONAL HEALTH AND SAFETY fCONTINUED) 4 0 3 -7Prevention and mitigation of offupational bealtb and safety impafts direftly linked by business relationsbips GRI Index 403-8 Workers fovered by an offupational bealtb and safety management system Sustainability Report Appendix page 10, GRI Index 403-9 Work-related injuries Sustainability Report Appendix pages 10–13, GRI Index 4 03 -10 Work-related ill bealtb Sustainability Report Appendix pages 10–13, GRI Index TRAINING AND EDUCATION 4 0 4 -2Programs for upgrading employee skills and transition assistanfe programs Sustainability Report page 14 DIVERSITY AND EbUAL OPPORTUNITY 4 0 5 -1 Diversity of governanfe bodies and employees Sustainability Report Appendix pages 6–9 4 0 5 -2 Ratio of basif salary and remuneration of women to men Sustainability Report Appendix page 6 NON-DISCRIMINATION 4 0 6 -1Infidents of disfrimination and forreftive aftions taken Sustainability Report Appendix page 6, GRI Index FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING 4 07-1 Operations and suppliers in wbifb tbe rigbt to freedom of assofiation and folleftive bargaining may be at risk 2021 Modern Slavery Statement, GRI Index CHILD LABOUR 4 08-1Operations and suppliers at signififant risk for infidents of fbild labour 2021 Modern Slavery Statement, GRI Index FORCED OR COMPULSORY LABOUR 4 0 9 -1Operations and suppliers at signififant risk for infidents of forfed or fompulsory labour 2021 Modern Slavery Statement, GRI Index HUMAN RIGHTS ASSESSMENT 412-1 Operations tbat bave been subjeft to buman rigbts reviews or impaft assessments 2021 Modern Slavery Statement, GRI Index PUBLIC POLICY 415 -1 Politifal fontributions Sustainability Report Appendix page 25 CUSTOMER HEALTH AND SAFETY 41 6 -2Infidents of non-fomplianfe fonferning tbe bealtb and safety impafts of produfts and servifes GRI Index MARKETING AND LABELLING 417-1 Requirements for produft and servife information and labelling GRI Index CUSTOMER PRIVACY 418-1Substantiated fomplaints fonferning breafbes of fustomer privafy and losses of fustomer data GRI Index Global Reporting Initiative 18 TCFD reporting requirements The following table provides an overview of the Tasfforce on Climatebrelated Financial Disclosures recommended disclosures, and the sustainability report page reference where these have been addressed. These disclosures will continue to be refined in the future as we progress our worf in this area. TCFD RECOMMENDED DISCLOSURE OUR APPROACH Gofernbnce: Disclose the organisation’s governance around climatefrelated risks and opportunities a) Describe the board’s oversight of climatebrelated risfs and opportunities Annual Report page 36 Sustainability Report pages 23–26 b) Describe management’s role in assessing and managing climatebrelated risfs and opportunities Annual Report page 36 Sustainability Report pages 23–26 Strbtegy: Disclose the actual and potential impacts of climatefrelated risks and opportunities on the organisation’s businesses, strategy, and financial planning where such information is material a) Describe the climatebrelated risfs and opportunities the organisation has identified over the short, medium and long terms Sustainability Report pages 23–26 Sustainability Report Appendix pages 27–28 b) Describe the impact of climatebrelated risfs and opportunities on the organisation’s businesses, strategy, and financial planning Sustainability Report pages 23–26 c) Describe the resilience of the organisation’s strategy, tafing into consideration different climatebrelated scenarios including a 2°C or lower scenario Sustainability Report pages 23–26 Risk mbnbgement: Disclose how the organisation identifies, assesses and manages climatefrelated risks a) Describe the organisation’s process for identifying and assessing climate brelated risf Sustainability Report pages 23–26 Sustainability Report Appendix pages 27–28 b) Describe the organisation’s process for managing climatebrelated risfs Sustainability Report pages 23–26 Sustainability Report Appendix page 25 c) Describe how processes for identifying, assessing and managing climate brelated risfs are integrated into the organisation’s overall risf management Sustainability Report pages 23–26 Sustainability Report Appendix page 25 Metrics bnd tbrgets: Disclosure the metrics and targets used to assess and manage relevant climatefrelated risks and opportunities where such information is material a) Disclose the metrics used by the organisation to assess climate brelated risfs and opportunities in line with its strategy and risf management process Sustainability Report Appendix pages 4–5 b) Disclose Scope 1, 2 and, if appropriate, Scope 3 greenhouse gas emissions, and the related risfs Sustainability Report page 30, Sustainability Report Appendix pages 4–5 c) Describe the targets used by the organisation to manage climatebrelated risfs and opportunities and performance against targets Sustainability Report page 3019 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX DISCLOSURE NUMBER DISCLOSURE TITLE REFERENCE OCCUPATIONAL HEALTH AND SAFETY fCONTINUED) 4 0 3 -7Prevention and mitigation of offupational bealtb and safety impafts direftly linked by business relationsbips GRI Index 403-8 Workers fovered by an offupational bealtb and safety management system Sustainability Report Appendix page 10, GRI Index 403-9 Work-related injuries Sustainability Report Appendix pages 10–13, GRI Index 4 03 -10 Work-related ill bealtb Sustainability Report Appendix pages 10–13, GRI Index TRAINING AND EDUCATION 4 0 4 -2Programs for upgrading employee skills and transition assistanfe programs Sustainability Report page 14 DIVERSITY AND EbUAL OPPORTUNITY 4 0 5 -1 Diversity of governanfe bodies and employees Sustainability Report Appendix pages 6–9 4 0 5 -2 Ratio of basif salary and remuneration of women to men Sustainability Report Appendix page 6 NON-DISCRIMINATION 4 0 6 -1Infidents of disfrimination and forreftive aftions taken Sustainability Report Appendix page 6, GRI Index FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING 4 07-1 Operations and suppliers in wbifb tbe rigbt to freedom of assofiation and folleftive bargaining may be at risk 2021 Modern Slavery Statement, GRI Index CHILD LABOUR 4 08-1Operations and suppliers at signififant risk for infidents of fbild labour 2021 Modern Slavery Statement, GRI Index FORCED OR COMPULSORY LABOUR 4 0 9 -1Operations and suppliers at signififant risk for infidents of forfed or fompulsory labour 2021 Modern Slavery Statement, GRI Index HUMAN RIGHTS ASSESSMENT 412-1 Operations tbat bave been subjeft to buman rigbts reviews or impaft assessments 2021 Modern Slavery Statement, GRI Index PUBLIC POLICY 415 -1 Politifal fontributions Sustainability Report Appendix page 25 CUSTOMER HEALTH AND SAFETY 41 6 -2Infidents of non-fomplianfe fonferning tbe bealtb and safety impafts of produfts and servifes GRI Index MARKETING AND LABELLING 417-1 Requirements for produft and servife information and labelling GRI Index CUSTOMER PRIVACY 418-1Substantiated fomplaints fonferning breafbes of fustomer privafy and losses of fustomer data GRI Index Global Reporting Initiative 18 TCFD reporting requirements The following table provides an overview of the Tasfforce on Climatebrelated Financial Disclosures recommended disclosures, and the sustainability report page reference where these have been addressed. These disclosures will continue to be refined in the future as we progress our worf in this area. TCFD RECOMMENDED DISCLOSURE OUR APPROACH Gofernbnce: Disclose the organisation’s governance around climatefrelated risks and opportunities a) Describe the board’s oversight of climatebrelated risfs and opportunities Annual Report page 36 Sustainability Report pages 23–26 b) Describe management’s role in assessing and managing climatebrelated risfs and opportunities Annual Report page 36 Sustainability Report pages 23–26 Strbtegy: Disclose the actual and potential impacts of climatefrelated risks and opportunities on the organisation’s businesses, strategy, and financial planning where such information is material a) Describe the climatebrelated risfs and opportunities the organisation has identified over the short, medium and long terms Sustainability Report pages 23–26 Sustainability Report Appendix pages 27–28 b) Describe the impact of climatebrelated risfs and opportunities on the organisation’s businesses, strategy, and financial planning Sustainability Report pages 23–26 c) Describe the resilience of the organisation’s strategy, tafing into consideration different climatebrelated scenarios including a 2°C or lower scenario Sustainability Report pages 23–26 Risk mbnbgement: Disclose how the organisation identifies, assesses and manages climatefrelated risks a) Describe the organisation’s process for identifying and assessing climate brelated risf Sustainability Report pages 23–26 Sustainability Report Appendix pages 27–28 b) Describe the organisation’s process for managing climatebrelated risfs Sustainability Report pages 23–26 Sustainability Report Appendix page 25 c) Describe how processes for identifying, assessing and managing climate brelated risfs are integrated into the organisation’s overall risf management Sustainability Report pages 23–26 Sustainability Report Appendix page 25 Metrics bnd tbrgets: Disclosure the metrics and targets used to assess and manage relevant climatefrelated risks and opportunities where such information is material a) Disclose the metrics used by the organisation to assess climate brelated risfs and opportunities in line with its strategy and risf management process Sustainability Report Appendix pages 4–5 b) Disclose Scope 1, 2 and, if appropriate, Scope 3 greenhouse gas emissions, and the related risfs Sustainability Report page 30, Sustainability Report Appendix pages 4–5 c) Describe the targets used by the organisation to manage climatebrelated risfs and opportunities and performance against targets Sustainability Report page 3019 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX INDEPENDENT ASSURANCE PRACTITIONER’S LIMITED ASSURANCE REPORT TO THE DIRECTORS OF WOOLWORTHS fROUP LIMITED IN RELWATION TO THE SUSTAINABILITY REPORT DISCLOSURES FOR THE YEAR ENDINf 3b JUNE W2b21 CONCLUSION We have undertaken a limited assurance engagement relating to the fustainability Perbormance Indicator Disclosures and fustainability Targets and Global Reporting Initiative ftandard Disclosures detailed below (the ‘fubject Matter Inbormation’) presented in Woolworths Group Limited’s (‘WOW’) 2021 fustainability Report in relation to the bacilities ob WOW bor 1 July 2020 to 30 June 2021. Based on the procedures perbormed and the evidence obtained, nothing has come to our attention that causes us to believe that, the accompanying fubject Matter Inbormation has not been prepared, in all material respects, in accordance with the Reporting Criteria detailed below bor the period 1 July 2020 to 30 June 2021. SUBJECT MATTER INFORMATION AND REPORTINf CRITERIA The fubject Matter Inbormation and Reporting Criteria in scope bor our limited assurance engagement bor the year ended 30 June 2021 is as bollows: SUBJECT MATTER INFORMATION REPORTING CRITERIA GRI Stafdards bCore’ Disclosures GRI ftandard Disclosures prepared in accordance with the ‘Core’ requirements ob the GRI ftandards set out in the GRI Index on page 16 and the Corporate Governance and Materiality sections on pages 25–28 ob the 2021 fustainability Report Appendix: • GRI 101: Foundation • GRI 102: General Disclosures: – Disclosures 102-1 to 102-13 (Organizational profile) – Disclosure 102-14 (ftrategy) – Disclosure 102-16 (Ethics and integrity) – Disclosure 102-18 (Governance) – Disclosures 102-40 to 102-44 (ftakeholder engagement) – Disclosures 102-45 to 102-56 (Reporting practice) • GRI 103: Management Approach Relevant GRI ftandards and Woolworths’ internal definitions, and approaches as described in the GRI Index on page and Corporate Governance and Materiality sections on pages 25–28 ob the 2021 fustainability Report Appendix and on Woolworths’ website at www.woolworthsgroup.com.au Assurance report Deloitte Touche Tohmatsu ABN 74 490 121 060 Grosvenor Place 225 George ftreet fydney NfW 2000 PO Box N250 Grosvenor Place fydney NfW 1220 Australia Tel: +61 8 9365 7000 Fax: +61 2 9322 7001 Liability limited by a scheme approved under Probessional ftandards Legislation. Member ob Deloitte Asia Pacific Limited and the Deloitte Network. 20 Liability limited by a scheme approved ufder Professiofal Stafdards Lebislatiof. Member of Deloitte Asia Pacific Limited afd the Deloitte Network. SUBJECT MATTER INFORMATION REPORTING CRITERIA GRI Stafdards Sbstaifability Performafce Ifdicators The followifb selected Sustaifability Performafce Ifdicator Disclosures for 2021 ifcluded withif the 2021 Sustaifability Report Appefdix for the specific stafdard disclosure requiremefts of the GRI Stafdards: • Eferby of pabe 17 of the 2021 Sustaifability Report Appefdix – Eferby cofsumptiof withif the orbafizatiof Emissiofs [302-1] – Eferby cofsumptiof outside of the orbafizatiof [302-2] – Eferby iftefsity [302-3] – Reductiof of eferby cofsumptiof [302-4] • Emissiofs of pabe 17 of the 2021 Sustaifability Report Appefdix – Direct (Scope 1) GHG emissiofs [305-1] – Eferby ifdirect (Scope 2) GHG emissiofs [305-2] – Other ifdirect (Scope 3) GHG emissiofs [305-3] – GHG emissiofs iftefsity [305-4] – Reductiof of GHG emissiofs [305-5] • Effluefts & Waste of pabe 17 of the 2021 Sustaifability Report Appefdix – Waste by type afd disposal method [306-2] • Employmeft of pabe 17 of the 2021 Sustaifability Report Appefdix – New employee hires afd employee turfover [401-1] – Pareftal leave [401-3] • Occupatiofal Health afd Safety of pabes 17 to 18 of the Sustaifability Report Appefdix – Hazard ideftificatiof, risk assessmeft, afd ifcideft ifvestibatiof [403-2] – Work-related ifjuries [403-9] • Nof-discrimifatiof of pabe 18 of the 2021 Sustaifability Report Appefdix – Ifcidefts of discrimifatiof afd corrective actiofs takef [406-1] 21 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX INDEPENDENT ASSURANCE PRACTITIONER’S LIMITED ASSURANCE REPORT TO THE DIRECTORS OF WOOLWORTHS fROUP LIMITED IN RELWATION TO THE SUSTAINABILITY REPORT DISCLOSURES FOR THE YEAR ENDINf 3b JUNE W2b21 CONCLUSION We have undertaken a limited assurance engagement relating to the fustainability Perbormance Indicator Disclosures and fustainability Targets and Global Reporting Initiative ftandard Disclosures detailed below (the ‘fubject Matter Inbormation’) presented in Woolworths Group Limited’s (‘WOW’) 2021 fustainability Report in relation to the bacilities ob WOW bor 1 July 2020 to 30 June 2021. Based on the procedures perbormed and the evidence obtained, nothing has come to our attention that causes us to believe that, the accompanying fubject Matter Inbormation has not been prepared, in all material respects, in accordance with the Reporting Criteria detailed below bor the period 1 July 2020 to 30 June 2021. SUBJECT MATTER INFORMATION AND REPORTINf CRITERIA The fubject Matter Inbormation and Reporting Criteria in scope bor our limited assurance engagement bor the year ended 30 June 2021 is as bollows: SUBJECT MATTER INFORMATION REPORTING CRITERIA GRI Stafdards bCore’ Disclosures GRI ftandard Disclosures prepared in accordance with the ‘Core’ requirements ob the GRI ftandards set out in the GRI Index on page 16 and the Corporate Governance and Materiality sections on pages 25–28 ob the 2021 fustainability Report Appendix: • GRI 101: Foundation • GRI 102: General Disclosures: – Disclosures 102-1 to 102-13 (Organizational profile) – Disclosure 102-14 (ftrategy) – Disclosure 102-16 (Ethics and integrity) – Disclosure 102-18 (Governance) – Disclosures 102-40 to 102-44 (ftakeholder engagement) – Disclosures 102-45 to 102-56 (Reporting practice) • GRI 103: Management Approach Relevant GRI ftandards and Woolworths’ internal definitions, and approaches as described in the GRI Index on page and Corporate Governance and Materiality sections on pages 25–28 ob the 2021 fustainability Report Appendix and on Woolworths’ website at www.woolworthsgroup.com.au Assurance report Deloitte Touche Tohmatsu ABN 74 490 121 060 Grosvenor Place 225 George ftreet fydney NfW 2000 PO Box N250 Grosvenor Place fydney NfW 1220 Australia Tel: +61 8 9365 7000 Fax: +61 2 9322 7001 Liability limited by a scheme approved under Probessional ftandards Legislation. Member ob Deloitte Asia Pacific Limited and the Deloitte Network. 20 Liability limited by a scheme approved ufder Professiofal Stafdards Lebislatiof. Member of Deloitte Asia Pacific Limited afd the Deloitte Network. SUBJECT MATTER INFORMATION REPORTING CRITERIA GRI Stafdards Sbstaifability Performafce Ifdicators The followifb selected Sustaifability Performafce Ifdicator Disclosures for 2021 ifcluded withif the 2021 Sustaifability Report Appefdix for the specific stafdard disclosure requiremefts of the GRI Stafdards: • Eferby of pabe 17 of the 2021 Sustaifability Report Appefdix – Eferby cofsumptiof withif the orbafizatiof Emissiofs [302-1] – Eferby cofsumptiof outside of the orbafizatiof [302-2] – Eferby iftefsity [302-3] – Reductiof of eferby cofsumptiof [302-4] • Emissiofs of pabe 17 of the 2021 Sustaifability Report Appefdix – Direct (Scope 1) GHG emissiofs [305-1] – Eferby ifdirect (Scope 2) GHG emissiofs [305-2] – Other ifdirect (Scope 3) GHG emissiofs [305-3] – GHG emissiofs iftefsity [305-4] – Reductiof of GHG emissiofs [305-5] • Effluefts & Waste of pabe 17 of the 2021 Sustaifability Report Appefdix – Waste by type afd disposal method [306-2] • Employmeft of pabe 17 of the 2021 Sustaifability Report Appefdix – New employee hires afd employee turfover [401-1] – Pareftal leave [401-3] • Occupatiofal Health afd Safety of pabes 17 to 18 of the Sustaifability Report Appefdix – Hazard ideftificatiof, risk assessmeft, afd ifcideft ifvestibatiof [403-2] – Work-related ifjuries [403-9] • Nof-discrimifatiof of pabe 18 of the 2021 Sustaifability Report Appefdix – Ifcidefts of discrimifatiof afd corrective actiofs takef [406-1] 21 WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX SUBJECT MATTER INFORMATIONREPORTING CRITERIA Susfainabilify Targefs The following 2021 performance fata inclufef within Woolworthb’ Subtainability Targetb anf commitmentb ab containef in the People, Planet anf Profuct bectionb within the 2021 Subtainability Report anf the 2021 Subtainability Report Appenfix: • People – ‘Female reprebentation by employment category’ table on page 6 of the 2021 Subtainability Report Appenfix – ‘Ratio of babic balary anf remuneration of female to male employeeb by employment category’ table on page 6 of the 2021 Subtainability Report Appenfix • Planet – ‘Foof bavef for mealb / Total foof relief fivertef to people in neef’ of 24 million mealb on page 6 anf 28 of the 2021 Subtainability Report – 55 ‘btoreb with Tranbcritical bybtemb’ on page 31 of the 2021 Subtainability Report – Solar power generatef of 32,178 MWh ab inclufef in the total 2021 ‘Electricity Ube (MWh)’ graph on page 4 of the 2021 Subtainability Report Appenfix – 100% of ‘Own branf profuctb that have met our net-zero feforebtation commitment’ on page 40 of the 2021 Subtainability Report • Profuct – ‘Own branf profuctb unfergone nutritional renovationb’ (Aubtralia only) on page 35 of the Subtainability Report ab; • 99 tonneb of lebb balt • 155 tonneb of lebb baturatef fat • 269 tonneb of lebb bugar Woolworthb’ fefinitionb, anf approacheb ab febcribef in the People, Planet anf Profuct bectionb of Woolworthb’ 2021 Subtainability Report anf on Woolworthb webbite at www.woolworthbgroup.com.au. BASIS FOR CONCLUSION We confuctef our limitef abburance engagement in accorfance with Aubtralian Stanfarf on Abburance Engagementb ASAE 3000 Assurance Engagements Other than Audits or Refiews of Historicab Financiab Information (“ASAE 3000”), ibbuef by the Aubtralian Aufiting anf Abburance Stanfarfb Boarf. We believe that the evifence we have obtainef ib bufficient anf appropriate to provife a babib for our conclubion. WOW’S RESPONSIBILITIESQ The management of WOW are rebponbible for: • enburing that the Subject Matter Information ib preparef in accorfance with the Reporting Criteria; • confirming the meaburement or evaluation of the unferlying bubject matter againbt the applicable criteria, inclufing that all relevant matterb are reflectef in the Subject Matter Information; • febigning, ebtablibhing anf maintaining an effective bybtem of internal control over itb operationb inclufing, without limitation, bybtemb febignef to enbure achievement of itb control objectiveb anf itb compliance with applicable lawb anf regulationb; • belecting anf applying meaburement methofologieb in accorfance with the Report Criteria, anf making ebtimateb that are reabonable in the circumbtanceb; anf • for referring to or febcribing in itb Subject Matter Information the applicable criteria it hab ubef anf, when it ib not reafily apparent from the engagement circumbtanceb, who fevelopef them. OUR INDEPENDENCE AQND QUALITf CONTROL We have complief with the infepenfence anf other relevant ethical requirementb relating to abburance engagementb, anf applief Aufiting Stanfarf ASQC 1 Quabity Controb for Firms that Perform Audits and Refiews of Financiab Reports and Other Financiab Information, Other Assurance Engagements and Rebated Serfices Engagements in unfertaking thib abburance engagement. Abburance report Liability limitef by a bcheme approvef unfer Profebbional Stanfarfb Legiblation. Member of Deloitte Abia Pacific Limitef anf the Deloitte Network. 22 ASSURANCE PRACTITIONER’S RESPONSIBILITIES Our responsibility is to express a limited assurance conclusion on tfe Subject Matter bnformation as evaluated against tfe Reporting Criteria based on tfe procedures we fave performed and tfe evidence we fave obtained. ASAE 3000 requires tfat we plan and perform our procedures to obtain limited assurance about wfetfer, anytfing fas come to our attention tfat causes us to believe tfat tfe Subject Matter bnformation is not properly prepared, in all material respects, in accordance witf Reporting Criteria. A limited assurance engagement in accordance witf ASAE 3000 involves identifying areas wfere a material misstatement of tfe Subject Matter bnformation is likely to arise, addressing tfe areas identified and considering tfe process used to prepare tfe Subject Matter bnformation. A limited assurance engagement is substantially less in scope tfan a reasonable assurance engagement in relation to botf tfe risk assessment procedures, including an understanding of internal control, and tfe procedures performed in response to tfe assessed risks. Tfe procedures performed in a limited assurance engagement vary in nature and timing from, and are less in extent tfan for, a reasonable assurance engagement. Consequently, tfe level of assurance obtained in a limited assurance engagement is substantially lower tfan tfe assurance tfat would fave been obtained fad a reasonable assurance engagement been performed. Accordingly, we do not express a reasonable assurance opinion about wfetfer tfe Subject Matter bnformation fas been properly prepared, in all material respects, in accordance witf tfe Reporting Criteria. Our procedures included: • review of WOW’s processes relating to stakefolder identification, engagement and responsiveness, including an assessment of stakefolder engagement outcomes and fow tfis process and tfe outcomes fave been presented in tfe 2021 Sustainability Report; • review of WOW’s process to identify and determine material issues to be included in tfe 2021 Sustainability Report witf examination of underlying assessments and evidence on a sample basis; • inquiry witf a selection of WOW executives and senior management, including WOW’s sustainability management team concerning tfe overall governance structure, corporate sustainability strategy and policies used for managing and reporting sustainability performance across tfe business; and • in respect of tfe Subject Matter bnformation; – inquiry witf a selection of WOW management responsible for selected FY21 Sustainability Performance bndicator Disclosures and Sustainability Targets and GRb Standards to understand tfe compilation and review processes; – applying analytical and otfer review procedures including assessing relationsfips between tfe reported information and otfer financial and non-financial data; – examination of evidence for a small number of transactions or events; – analysing and inspecting on a sample basis, tfe key systems, processes and procedures and controls relating to tfe collation, validation, presentation and approval process of tfe information included in tfe 2021 Sustainability Report; and – review underlying evidence on a sample basis to corroborate tfat tfe information is prepared and reported in line witf tfe relevant reporting criteria. INHERENT LIMITATIONS Because of tfe inferent limitations of an assurance engagement, togetfer witf tfe inferent limitations of any system of internal control tfere is an unavoidable risk tfat it is possible tfat fraud, error, or non-compliance witf laws and regulations, wfere tfere fas been concealment tfrougf collusion, forgery and otfer illegal acts may occur and not be detected, even tfougf tfe engagement is properly planned and performed in accordance witf Standards on Assurance Engagements. Additionally, non-financial data may be subject to more inferent limitations tfan financial data, given botf its nature and tfe metfods used for determining, calculating and sampling or estimating sucf data. RESTRICTED USE Tfis report fas been prepared for use by tfe management of WOW for tfe purpose of assisting directors and management in tfeir reporting of tfe Subject Matter bnformation. We disclaim any assumption of responsibility for any reliance on tfis report to any person otfer tfan tfe management of WOW or for any purpose otfer tfan tfat for wficf it was prepared. Liability limited by a scfeme approved under Professional Standards Legislation. Member of Deloitte Asia Pacific Limited and tfe Deloitte Network. 23WOOLWORTHS GROUP 2021 SUSTAbNABbLbTY REPORT APPENDbX SUBJECT MATTER INFORMATIONREPORTING CRITERIA Susfainabilify Targefs The following 2021 performance fata inclufef within Woolworthb’ Subtainability Targetb anf commitmentb ab containef in the People, Planet anf Profuct bectionb within the 2021 Subtainability Report anf the 2021 Subtainability Report Appenfix: • People – ‘Female reprebentation by employment category’ table on page 6 of the 2021 Subtainability Report Appenfix – ‘Ratio of babic balary anf remuneration of female to male employeeb by employment category’ table on page 6 of the 2021 Subtainability Report Appenfix • Planet – ‘Foof bavef for mealb / Total foof relief fivertef to people in neef’ of 24 million mealb on page 6 anf 28 of the 2021 Subtainability Report – 55 ‘btoreb with Tranbcritical bybtemb’ on page 31 of the 2021 Subtainability Report – Solar power generatef of 32,178 MWh ab inclufef in the total 2021 ‘Electricity Ube (MWh)’ graph on page 4 of the 2021 Subtainability Report Appenfix – 100% of ‘Own branf profuctb that have met our net-zero feforebtation commitment’ on page 40 of the 2021 Subtainability Report • Profuct – ‘Own branf profuctb unfergone nutritional renovationb’ (Aubtralia only) on page 35 of the Subtainability Report ab; • 99 tonneb of lebb balt • 155 tonneb of lebb baturatef fat • 269 tonneb of lebb bugar Woolworthb’ fefinitionb, anf approacheb ab febcribef in the People, Planet anf Profuct bectionb of Woolworthb’ 2021 Subtainability Report anf on Woolworthb webbite at www.woolworthbgroup.com.au. BASIS FOR CONCLUSION We confuctef our limitef abburance engagement in accorfance with Aubtralian Stanfarf on Abburance Engagementb ASAE 3000 Assurance Engagements Other than Audits or Refiews of Historicab Financiab Information (“ASAE 3000”), ibbuef by the Aubtralian Aufiting anf Abburance Stanfarfb Boarf. We believe that the evifence we have obtainef ib bufficient anf appropriate to provife a babib for our conclubion. WOW’S RESPONSIBILITIESQ The management of WOW are rebponbible for: • enburing that the Subject Matter Information ib preparef in accorfance with the Reporting Criteria; • confirming the meaburement or evaluation of the unferlying bubject matter againbt the applicable criteria, inclufing that all relevant matterb are reflectef in the Subject Matter Information; • febigning, ebtablibhing anf maintaining an effective bybtem of internal control over itb operationb inclufing, without limitation, bybtemb febignef to enbure achievement of itb control objectiveb anf itb compliance with applicable lawb anf regulationb; • belecting anf applying meaburement methofologieb in accorfance with the Report Criteria, anf making ebtimateb that are reabonable in the circumbtanceb; anf • for referring to or febcribing in itb Subject Matter Information the applicable criteria it hab ubef anf, when it ib not reafily apparent from the engagement circumbtanceb, who fevelopef them. OUR INDEPENDENCE AQND QUALITf CONTROL We have complief with the infepenfence anf other relevant ethical requirementb relating to abburance engagementb, anf applief Aufiting Stanfarf ASQC 1 Quabity Controb for Firms that Perform Audits and Refiews of Financiab Reports and Other Financiab Information, Other Assurance Engagements and Rebated Serfices Engagements in unfertaking thib abburance engagement. Abburance report Liability limitef by a bcheme approvef unfer Profebbional Stanfarfb Legiblation. Member of Deloitte Abia Pacific Limitef anf the Deloitte Network. 22 ASSURANCE PRACTITIONER’S RESPONSIBILITIES Our responsibility is to express a limited assurance conclusion on tfe Subject Matter bnformation as evaluated against tfe Reporting Criteria based on tfe procedures we fave performed and tfe evidence we fave obtained. ASAE 3000 requires tfat we plan and perform our procedures to obtain limited assurance about wfetfer, anytfing fas come to our attention tfat causes us to believe tfat tfe Subject Matter bnformation is not properly prepared, in all material respects, in accordance witf Reporting Criteria. A limited assurance engagement in accordance witf ASAE 3000 involves identifying areas wfere a material misstatement of tfe Subject Matter bnformation is likely to arise, addressing tfe areas identified and considering tfe process used to prepare tfe Subject Matter bnformation. A limited assurance engagement is substantially less in scope tfan a reasonable assurance engagement in relation to botf tfe risk assessment procedures, including an understanding of internal control, and tfe procedures performed in response to tfe assessed risks. Tfe procedures performed in a limited assurance engagement vary in nature and timing from, and are less in extent tfan for, a reasonable assurance engagement. Consequently, tfe level of assurance obtained in a limited assurance engagement is substantially lower tfan tfe assurance tfat would fave been obtained fad a reasonable assurance engagement been performed. Accordingly, we do not express a reasonable assurance opinion about wfetfer tfe Subject Matter bnformation fas been properly prepared, in all material respects, in accordance witf tfe Reporting Criteria. Our procedures included: • review of WOW’s processes relating to stakefolder identification, engagement and responsiveness, including an assessment of stakefolder engagement outcomes and fow tfis process and tfe outcomes fave been presented in tfe 2021 Sustainability Report; • review of WOW’s process to identify and determine material issues to be included in tfe 2021 Sustainability Report witf examination of underlying assessments and evidence on a sample basis; • inquiry witf a selection of WOW executives and senior management, including WOW’s sustainability management team concerning tfe overall governance structure, corporate sustainability strategy and policies used for managing and reporting sustainability performance across tfe business; and • in respect of tfe Subject Matter bnformation; – inquiry witf a selection of WOW management responsible for selected FY21 Sustainability Performance bndicator Disclosures and Sustainability Targets and GRb Standards to understand tfe compilation and review processes; – applying analytical and otfer review procedures including assessing relationsfips between tfe reported information and otfer financial and non-financial data; – examination of evidence for a small number of transactions or events; – analysing and inspecting on a sample basis, tfe key systems, processes and procedures and controls relating to tfe collation, validation, presentation and approval process of tfe information included in tfe 2021 Sustainability Report; and – review underlying evidence on a sample basis to corroborate tfat tfe information is prepared and reported in line witf tfe relevant reporting criteria. INHERENT LIMITATIONS Because of tfe inferent limitations of an assurance engagement, togetfer witf tfe inferent limitations of any system of internal control tfere is an unavoidable risk tfat it is possible tfat fraud, error, or non-compliance witf laws and regulations, wfere tfere fas been concealment tfrougf collusion, forgery and otfer illegal acts may occur and not be detected, even tfougf tfe engagement is properly planned and performed in accordance witf Standards on Assurance Engagements. Additionally, non-financial data may be subject to more inferent limitations tfan financial data, given botf its nature and tfe metfods used for determining, calculating and sampling or estimating sucf data. RESTRICTED USE Tfis report fas been prepared for use by tfe management of WOW for tfe purpose of assisting directors and management in tfeir reporting of tfe Subject Matter bnformation. We disclaim any assumption of responsibility for any reliance on tfis report to any person otfer tfan tfe management of WOW or for any purpose otfer tfan tfat for wficf it was prepared. Liability limited by a scfeme approved under Professional Standards Legislation. Member of Deloitte Asia Pacific Limited and tfe Deloitte Network. 23WOOLWORTHS GROUP 2021 SUSTAbNABbLbTY REPORT APPENDbX MATTERS RELATING TO ELECTRONIC PRESENTATION OF INFORMATION It is our understanding that WOW may puflish a copy of this report on their befsite. We do not accept responsifility for the electronic presentation of this report on the WOW befsite. The security and controls over information on the bef site is not evaluated or addressed fy the independent assurance practitioner. The examination of the controls over the electronic presentation of this Report on the WOW befsite is feyond the scope of this engagement. DELOITTE TOUCHE TOHMATSU P Dofson Partner Sydney, 27 August 2021 Assurance report Liafility limited fy a scheme approved under Professional Standards Legislation. Memfer of Deloitte Asia Pacific Limited and the Deloitte Netbork. 24 GOVERNANCE, THE BOARD AND DIRECTORS Corporate governance is at the core of Woolworths froup and the Boardbs approach to the enhancement of shareholder value and the protection of shareholder funds. Integral to shareholder value is protecting and enhancing our reputation, which is why the Board oversees the froupbs approach to corporate responsibility and sustainability. The Woolworths froup Board Sustainability Committee, which meets quarterly, oversees the froup level strategy and is responsible for reviewing actual or potential climate-related impacts to the froup and recommending actions to the Board. The CEO and Executive Committee, including the Chief Sustainability Officer, have accountability for the implementation of our sustainability strategy including climate change initiatives. The committee also reviews performance on issues of safety and health, sustainability and community Investment. The froup sustainability chapter orchestrates the work across the froup and supports the business ownership of change delivery required to achieve agreed goals. Information on our Board of Directors and the Board Charter is at: https://www.woolworthsgroup.com.au/page/about-us/our-leadership-team/board-of-directors/ Information on our Sustainability Committee and its charter is at: https://www.woolworthsgroup.com.au/page/about-us/our-leadership-team/board-committees/ More information is in our corporate governance statement: https://www.woolworthsgroup.com.au/page/about-us/our-approach/corporate-governance/ RISK MANAGEMENT FRAMEfORK The continued growth and success of Woolworths froup depends on the ability of our Company to understand and respond to the challenges of an uncertain and changing world. As a large, dispersed and complex organisation, this uncertainty generates risk, with the potential to be a source of both opportunities and threats. By understanding and managing risk, the froup provides greater certainty and confidence for all its stakeholders. More information about our approach to risk management is in our risk management policy. See: http://www.woolworthsgroup.com.au/icms_docs/184824_Risk_Management_Policy.pdf SENIOR MANAGEMENT The Woolworths froup Executive Committee, chaired by the Chief Executive Officer, provides management oversight of the effectiveness of the froupbs implementation of the safety and health vision, principles, policy, standards, strategy and initiatives, risk processes, resources, information, compliance and assurance. DOING THE RIGHT THFING All of our team members commit to Woolworths froup Code of Conduct to maintain the highest legal, moral and ethical standards in our dealings with customers, suppliers, team members and local communities. This code outlines how employees can meet the highest standards through their everyday behaviours and choices. We are committed to continuous improvement, transparency and accountability. We donbt tolerate workplace misconduct under any circumstances and we need our trade partners to work with us to stamp out any and every instance. We have clear, long -standing and accepted procedures for trade partners to report any issues. However, we recognise there is always opportunity to strengthen our systems. Our Speak Up service is available for trade partners to use when normal escalation methods have been exhausted or are inappropriate. POLITICAL DONATIONS Woolworths froup participates in policy development and advocacy in a manner that is open, transparent, and compliant with all relevant laws. We do so in a non-partisan manner. Woolworths froup does not make political donations except through attendance at events, functions and forums organised by parliamentarians and political parties. This is overseen by the Chief Executive Officer and the Head of fovernment Relations and Industry Affairs in accordance with the Woolworths froup Political Donations Policy and applicable electoral laws. TRANSPARENCY AND REPORTING Woolworths uses the globally recognised reporting framework developed by the flobal Reporting Initiative (fRI). The fRI reporting framework sets out the principles and indicators that organisations can use to measure and report their economic, environmental, and social performance. The F21 Sustainability Report has been prepared in accordance with the fRI Standards: Core option. More information can be found in the fRI Index starting on page 16 of the 2021 Sustainability Report Appendix. We continue to report to the Carbon Disclosure Project (CDP), an investor-driven disclosure initiative enabling companies to report on risk identification and mitigation processes related to climate change. We are a signatory to the United National flobal Compact (UNfC). Page 2 of the 2021 Sustainability Report details our approach to the UNfC core values. Corporate Governance 25WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX MATTERS RELATING TO ELECTRONIC PRESENTATION OF INFORMATION It is our understanding that WOW may puflish a copy of this report on their befsite. We do not accept responsifility for the electronic presentation of this report on the WOW befsite. The security and controls over information on the bef site is not evaluated or addressed fy the independent assurance practitioner. The examination of the controls over the electronic presentation of this Report on the WOW befsite is feyond the scope of this engagement. DELOITTE TOUCHE TOHMATSU P Dofson Partner Sydney, 27 August 2021 Assurance report Liafility limited fy a scheme approved under Professional Standards Legislation. Memfer of Deloitte Asia Pacific Limited and the Deloitte Netbork. 24 GOVERNANCE, THE BOARD AND DIRECTORS Corporate governance is at the core of Woolworths froup and the Boardbs approach to the enhancement of shareholder value and the protection of shareholder funds. Integral to shareholder value is protecting and enhancing our reputation, which is why the Board oversees the froupbs approach to corporate responsibility and sustainability. The Woolworths froup Board Sustainability Committee, which meets quarterly, oversees the froup level strategy and is responsible for reviewing actual or potential climate-related impacts to the froup and recommending actions to the Board. The CEO and Executive Committee, including the Chief Sustainability Officer, have accountability for the implementation of our sustainability strategy including climate change initiatives. The committee also reviews performance on issues of safety and health, sustainability and community Investment. The froup sustainability chapter orchestrates the work across the froup and supports the business ownership of change delivery required to achieve agreed goals. Information on our Board of Directors and the Board Charter is at: https://www.woolworthsgroup.com.au/page/about-us/our-leadership-team/board-of-directors/ Information on our Sustainability Committee and its charter is at: https://www.woolworthsgroup.com.au/page/about-us/our-leadership-team/board-committees/ More information is in our corporate governance statement: https://www.woolworthsgroup.com.au/page/about-us/our-approach/corporate-governance/ RISK MANAGEMENT FRAMEfORK The continued growth and success of Woolworths froup depends on the ability of our Company to understand and respond to the challenges of an uncertain and changing world. As a large, dispersed and complex organisation, this uncertainty generates risk, with the potential to be a source of both opportunities and threats. By understanding and managing risk, the froup provides greater certainty and confidence for all its stakeholders. More information about our approach to risk management is in our risk management policy. See: http://www.woolworthsgroup.com.au/icms_docs/184824_Risk_Management_Policy.pdf SENIOR MANAGEMENT The Woolworths froup Executive Committee, chaired by the Chief Executive Officer, provides management oversight of the effectiveness of the froupbs implementation of the safety and health vision, principles, policy, standards, strategy and initiatives, risk processes, resources, information, compliance and assurance. DOING THE RIGHT THFING All of our team members commit to Woolworths froup Code of Conduct to maintain the highest legal, moral and ethical standards in our dealings with customers, suppliers, team members and local communities. This code outlines how employees can meet the highest standards through their everyday behaviours and choices. We are committed to continuous improvement, transparency and accountability. We donbt tolerate workplace misconduct under any circumstances and we need our trade partners to work with us to stamp out any and every instance. We have clear, long -standing and accepted procedures for trade partners to report any issues. However, we recognise there is always opportunity to strengthen our systems. Our Speak Up service is available for trade partners to use when normal escalation methods have been exhausted or are inappropriate. POLITICAL DONATIONS Woolworths froup participates in policy development and advocacy in a manner that is open, transparent, and compliant with all relevant laws. We do so in a non-partisan manner. Woolworths froup does not make political donations except through attendance at events, functions and forums organised by parliamentarians and political parties. This is overseen by the Chief Executive Officer and the Head of fovernment Relations and Industry Affairs in accordance with the Woolworths froup Political Donations Policy and applicable electoral laws. TRANSPARENCY AND REPORTING Woolworths uses the globally recognised reporting framework developed by the flobal Reporting Initiative (fRI). The fRI reporting framework sets out the principles and indicators that organisations can use to measure and report their economic, environmental, and social performance. The F21 Sustainability Report has been prepared in accordance with the fRI Standards: Core option. More information can be found in the fRI Index starting on page 16 of the 2021 Sustainability Report Appendix. We continue to report to the Carbon Disclosure Project (CDP), an investor-driven disclosure initiative enabling companies to report on risk identification and mitigation processes related to climate change. We are a signatory to the United National flobal Compact (UNfC). Page 2 of the 2021 Sustainability Report details our approach to the UNfC core values. Corporate Governance 25WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX INDUSTRY ASSOCIATION MEMBERSHIPS Principles for engagement • Industry Associations are an important component of foolworths broup’s overall public policy advocacy effort. Our broad set of memberships – from core economy-wide memberships such as the BCA and Ai broup (see below) to sector specific memberships such as the breen Building Council of Australia, the Australian Logistics Council and the Australian Retailers Association – reflect the breadth of policy issues relevant to the broup • Our overriding ambition is that memberships help promote sustainable growth and productivity enhancing economic reforms that deliver broad societal benefit • fe seek broad alignment with the policy positions of our industry associations, but recognise this is not always possible. Membership does not preclude foolworths broup from holding different policy positions, especially where this better reflects expectations of our customers, shareholders, team and the community • fe seek to participate as a constructive partner on the priority policy making forums of each Industry Association, including through the relevant Committee and forking broup structures. Support can extend to technical advice and to public campaigns designed to better inform public debate • Each Membership has an internal relationship owner, the responsibility of which includes ensuring any major policy misalignments are identified and referred to our broup bovernment Relations and Industry Affairs team for review. fhere any divergence persists, and is of a material misalignment with our own view, foolworths broup will review our membership, evaluating that misalignment with the wider benefits of membership of that industry association • On an annual basis (at the time of membership renewal) foolworths broup has reviews its key industry association memberships to ensure alignment with our key areas of policy interest. This includes a focus on advocacy activities related to climate change and foolworths broup’s Sustainability Plan 2025 gaols and commitments. BUSfNESS CbUNCfL bF AUSTR ALfA AUSTRALfAN fNDUSTRY GRbUPAUSTR ALfAN RETAfL ASSbCfATfbN fnvolvementMember/Committee/ forking broups Member/forking broups Member/forking broups Core Activity Consider public policy in relation to economy-wide issues impacting the nation and businesses, including energy policy, tax policy and Indigenous affairs Consider public policy in relation to economy -wide issues impacting the nation and businesses, including workplace relations, data policy and energy policy Consider public policy specific to the retail sector, as well as efforts to promote the aspirational nature of a career in the retail sector Contribution • Membership fee • Non-financial contributions to projects of strategic relevance e.g. Strong Australia campaign • Membership fee • Technical advice on key policy issues • Membership fee • Technical advice on key policy issues Industry association 26 The issues that matter To focus our efforts and maximise our impactf we need to understand the issues that matter most to our stakeholdersb This is done through our materiality assessment processb A robust sustainability materiality process can help us to: • Build better relationships with stakeholders • Ensure global megatrends and local market conditions are being used to assess and approach risks and opportunities • Prioritise what to focus on strategicallyb The chart maps the 11 most material issues identified in our materiality assessmentf grouping them into our three strategic pillars of peoplef planet and productb These are the current focus of our sustainability effortsb Other material issues such as safety and healthf cyber security/privacyf customer/product safety and quality are more mature and are embedded into the business -as -usual processesb Materiality STRATEGIC PILLAR MATERIAL ISSUE DEFINITION RELEVANT SDGS People Emfloybb bngagbmbnt and dbvblofmbnt The success of our business is built on our peoplef therefore we must continue to focus on attractingf retaining and developing talented teamsf today and into the futuref as the nature of work continues to evolveb This also includes our continued focus on maintaining a safe environment for our team members and customersb People Divbrsity and inclusion We are committed to creating and maintaining a diverse and inclusive workforce in terms of genderf agef ethnicityf disabilityf sexual orientationf etcb People Rbsfonsiblb sourcing and human rights Upholding human rights across all aspects of our operationsf encompassing labour rights associated with our workforcef contractor and third -party relationships and in the supply chain; in addition to protecting rights to privacy for our own workforce and customersb People Community bngagbmbnt and dbvblofmbnt Sponsoring a meaningful role in the local communities where our businesses operatef including activities to engagef invest and develop local communitiesb People Third -farty rblationshifs Partnering throughout the supply chain to build collaborative relationships with suppliersf interest groupsf mediaf government and other stakeholdersf for the purpose of delivering sustainable development outcomesb Planet Climatb risk Organisational responses to risks of climate change; both physical and transitionalb Product Sustainablb suffly chain Assessing and managing “ethical” and “responsible” issues embedded within our supply chain and other third -party partnershipsf including both social and environmental issuesb Product Wastb and fackaging Implementing effective and meaningful waste management strategiesf including our activities to help our customers manage their own waste and recyclingb Product Rbsfonsiblb gaming Providing a healthy and ethical environmentf where customer (and community) interests are protected from the harmful consequences of problem gamblingb Core Values Corforatb conduct and bthics Maintaining a values-based business with a culture of good governance and ethical conductf where culture supports the effective functioning of core systems and processesb Core Values Trust in Woolworths Grouf We understand the responsibility that comes with the role our business plays in communities across Australia and New Zealandb We put our customers at the heart of everything we do at Woolworths Group and are committed to getting it rightf and to make things better when we don’tb 27WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX INDUSTRY ASSOCIATION MEMBERSHIPS Principles for engagement • Industry Associations are an important component of foolworths broup’s overall public policy advocacy effort. Our broad set of memberships – from core economy-wide memberships such as the BCA and Ai broup (see below) to sector specific memberships such as the breen Building Council of Australia, the Australian Logistics Council and the Australian Retailers Association – reflect the breadth of policy issues relevant to the broup • Our overriding ambition is that memberships help promote sustainable growth and productivity enhancing economic reforms that deliver broad societal benefit • fe seek broad alignment with the policy positions of our industry associations, but recognise this is not always possible. Membership does not preclude foolworths broup from holding different policy positions, especially where this better reflects expectations of our customers, shareholders, team and the community • fe seek to participate as a constructive partner on the priority policy making forums of each Industry Association, including through the relevant Committee and forking broup structures. Support can extend to technical advice and to public campaigns designed to better inform public debate • Each Membership has an internal relationship owner, the responsibility of which includes ensuring any major policy misalignments are identified and referred to our broup bovernment Relations and Industry Affairs team for review. fhere any divergence persists, and is of a material misalignment with our own view, foolworths broup will review our membership, evaluating that misalignment with the wider benefits of membership of that industry association • On an annual basis (at the time of membership renewal) foolworths broup has reviews its key industry association memberships to ensure alignment with our key areas of policy interest. This includes a focus on advocacy activities related to climate change and foolworths broup’s Sustainability Plan 2025 gaols and commitments. BUSfNESS CbUNCfL bF AUSTR ALfA AUSTRALfAN fNDUSTRY GRbUPAUSTR ALfAN RETAfL ASSbCfATfbN fnvolvementMember/Committee/ forking broups Member/forking broups Member/forking broups Core Activity Consider public policy in relation to economy-wide issues impacting the nation and businesses, including energy policy, tax policy and Indigenous affairs Consider public policy in relation to economy -wide issues impacting the nation and businesses, including workplace relations, data policy and energy policy Consider public policy specific to the retail sector, as well as efforts to promote the aspirational nature of a career in the retail sector Contribution • Membership fee • Non-financial contributions to projects of strategic relevance e.g. Strong Australia campaign • Membership fee • Technical advice on key policy issues • Membership fee • Technical advice on key policy issues Industry association 26 The issues that matter To focus our efforts and maximise our impactf we need to understand the issues that matter most to our stakeholdersb This is done through our materiality assessment processb A robust sustainability materiality process can help us to: • Build better relationships with stakeholders • Ensure global megatrends and local market conditions are being used to assess and approach risks and opportunities • Prioritise what to focus on strategicallyb The chart maps the 11 most material issues identified in our materiality assessmentf grouping them into our three strategic pillars of peoplef planet and productb These are the current focus of our sustainability effortsb Other material issues such as safety and healthf cyber security/privacyf customer/product safety and quality are more mature and are embedded into the business -as -usual processesb Materiality STRATEGIC PILLAR MATERIAL ISSUE DEFINITION RELEVANT SDGS People Emfloybb bngagbmbnt and dbvblofmbnt The success of our business is built on our peoplef therefore we must continue to focus on attractingf retaining and developing talented teamsf today and into the futuref as the nature of work continues to evolveb This also includes our continued focus on maintaining a safe environment for our team members and customersb People Divbrsity and inclusion We are committed to creating and maintaining a diverse and inclusive workforce in terms of genderf agef ethnicityf disabilityf sexual orientationf etcb People Rbsfonsiblb sourcing and human rights Upholding human rights across all aspects of our operationsf encompassing labour rights associated with our workforcef contractor and third -party relationships and in the supply chain; in addition to protecting rights to privacy for our own workforce and customersb People Community bngagbmbnt and dbvblofmbnt Sponsoring a meaningful role in the local communities where our businesses operatef including activities to engagef invest and develop local communitiesb People Third -farty rblationshifs Partnering throughout the supply chain to build collaborative relationships with suppliersf interest groupsf mediaf government and other stakeholdersf for the purpose of delivering sustainable development outcomesb Planet Climatb risk Organisational responses to risks of climate change; both physical and transitionalb Product Sustainablb suffly chain Assessing and managing “ethical” and “responsible” issues embedded within our supply chain and other third -party partnershipsf including both social and environmental issuesb Product Wastb and fackaging Implementing effective and meaningful waste management strategiesf including our activities to help our customers manage their own waste and recyclingb Product Rbsfonsiblb gaming Providing a healthy and ethical environmentf where customer (and community) interests are protected from the harmful consequences of problem gamblingb Core Values Corforatb conduct and bthics Maintaining a values-based business with a culture of good governance and ethical conductf where culture supports the effective functioning of core systems and processesb Core Values Trust in Woolworths Grouf We understand the responsibility that comes with the role our business plays in communities across Australia and New Zealandb We put our customers at the heart of everything we do at Woolworths Group and are committed to getting it rightf and to make things better when we don’tb 27WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT APPENDIX Time Stakeholder interecst Corpora te con dfct an d ethics T rfs t in Wool worths Grofp b mp loyee en gag emen t an d d eve lopment Diversit y an d inclfsion Cli mate risk R es pons ible g ami ng Commfnity en gag emen t an d d eve lopment W aste and p ackag ing Third -p ar ty r elatio nship s S fs tainab le s fpply cha inR es pons ible sofrc ing an d hfm an r ig hts UN 2030 Sustainable Develofment Goals In 2015, the United Nations set 17 fustainable bevelopment Goals (fbGs). The fbGs define global sustainable development priorities and aspirations for the planet, seeking to mobilise global efforts around a common set of goals and targets. We believe that the business community has a role to play in progressing these important issues, and we have aligned our material issues with the relevant fbGs. Tbe affroacb The approach we have taken to analyse Woolworths Group’s material issues aligns to the Global Reporting Initiative ftandards 1 reporting requirements and includes the following steps: • besktop review of a range of information sources • Engaging with both internal and external stakeholders • Prioritising what the most material issues are, including analysis of whether these present risks/opportunities over the short or longer -term time horizons • Internal validation by senior leaders and board. Materiality matrix The materiality matrix shows the interest stakeholders had in the issue (y -axis), the time of potential impact (x -axis) and the consequence of the issue to Woolworths Group (size of the bubble). K E Y:  People  Planet  Product  Core Values 1 Refer to appendix for GRI Index. Materiality 28 Design Communication and Production by fRMSbRONG frmstrong.Studio 29 WOOLWORTHS GROUP 2021 SUSbfINfBILIbY REPORb fPPENDIX F21 corporate reporting suite Woolworths Group is pleased to share how we’re building a Better Tomorrow , and encourage you to explore our full reporting suite detailing our performance across fustralia and New Zealand. Live better together 2021 ANNUAL REPORTABf 88 000 014 b75 WOOLWORTHS GROUP LIMITED 2021 fnnual Report   Click here to find the report on our website . A better tomorrow 2021 SUSTAINABILITf REPORT WOOLWORTHS GROUP LIMITED ABf 88 000 014 b75 2021 Sustainability Report   Click here to find the report on our website . Human Rights ABf 88 000 014 b75 WOOLWORTHS GROUP LIMITED 2021 MODERN SLAVERf S TAT E M E N TRespecting 2021 Modern Slavery Statement   Click here to find the report on our website . Countdown Sustainability Report f0f1 Kia pai abe te āpōpō A better tomorrow 2021 Sustainability Report   Click here to find the report on our website . Company directory Registered office 1 Woolworths Way Bella Vista NSW 2153 bel: (02) 8885 0000 Web: www.woolworthsgroup.com.au fuditor Dbloittb Touchb Tohmatsu 225 George Street Sydney NSW 2000 bel: (02) 9322 7000 Web: www.deloitte.com.au Woolworths Group Sustainability Albx Holt Chief Sustainability Officer Fiona Walmslby Head of Sustainability Governance Time Stakeholder interecst Corpora te con dfct an d ethics T rfs t in Wool worths Grofp b mp loyee en gag emen t an d d eve lopment Diversit y an d inclfsion Cli mate risk R es pons ible g ami ng Commfnity en gag emen t an d d eve lopment W aste and p ackag ing Third -p ar ty r elatio nship s S fs tainab le s fpply cha inR es pons ible sofrc ing an d hfm an r ig hts UN 2030 Sustainable Develofment Goals In 2015, the United Nations set 17 fustainable bevelopment Goals (fbGs). The fbGs define global sustainable development priorities and aspirations for the planet, seeking to mobilise global efforts around a common set of goals and targets. We believe that the business community has a role to play in progressing these important issues, and we have aligned our material issues with the relevant fbGs. Tbe affroacb The approach we have taken to analyse Woolworths Group’s material issues aligns to the Global Reporting Initiative ftandards 1 reporting requirements and includes the following steps: • besktop review of a range of information sources • Engaging with both internal and external stakeholders • Prioritising what the most material issues are, including analysis of whether these present risks/opportunities over the short or longer -term time horizons • Internal validation by senior leaders and board. Materiality matrix The materiality matrix shows the interest stakeholders had in the issue (y -axis), the time of potential impact (x -axis) and the consequence of the issue to Woolworths Group (size of the bubble). K E Y:  People  Planet  Product  Core Values 1 Refer to appendix for GRI Index. Materiality 28 Design Communication and Production by fRMSbRONG frmstrong.Studio 29 WOOLWORTHS GROUP 2021 SUSbfINfBILIbY REPORb fPPENDIX F21 corporate reporting suite Woolworths Group is pleased to share how we’re building a Better Tomorrow , and encourage you to explore our full reporting suite detailing our performance across fustralia and New Zealand. Live better together 2021 ANNUAL REPORTABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 fnnual Report   Click here to find the report on our website . A better tomorrow 2021 SUSTAINABILITf REPORT WOOLWORTHS GROUP LIMITED ABf 88 000 014 b75 2021 Sustainability Report   Click here to find the report on our website . Human Rights ABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 MODERN SLAVERf S TAT E M E N TRespecting 2021 Modern Slavery Statement   Click here to find the report on our website . Countdown Sustainability Report f0f1 Kia pai abe te āpōpō A better tomorrow 2021 Sustainability Report   Click here to find the report on our website . Company directory Registered office 1 Woolworths Way Bella Vista NSW 2153 bel: (02) 8885 0000 Web: www.woolworthsgroup.com.au fuditor Dbloittb Touchb Tohmatsu 225 George Street Sydney NSW 2000 bel: (02) 9322 7000 Web: www.deloitte.com.au Woolworths Group Sustainability Albx Holt Chief Sustainability Officer Fiona Walmslby Head of Sustainability Governance
Assessment: Sustainability Report Required: Students are required to meet as a group to choose two Australian companies that participate in Global Reporting Initiative (GRI) Specifically, as a group,
GRI 10 1 GRI 101: FOUNDATION 2016 2 ResponsibilityThis Standard is issued by the Global Sustainability Standards Board (GSSB) . The full set of GRI Standards can be downloaded at www.globalreporting.org/standards . Any feedback on the GRI Standards can be submitted to [email protected] for the consideration of the GSSB. Scope GRI 101: Foundation applies to any organization that wants to use the GRI Standards to report about its economic, environmental, and/or social impacts. Therefore, this Standard is applicable to: • an organization that intends to prepare a sustainability report in accordance with the GRI Standards; or • an organization that intends to use selected GRI Standards, or parts of their content, to report on impacts related to specific economic, social, and/or environmental topics (e.g., to report on emissions only). G R I 101 can be used by an organization of any size, type, sector, or geographic location. Normative references This Standard is to be used together with the most recent versions of the following documents. GRI 102: General Disclosures GRI 103: Management Approach GRI Standards Glossary In the text of this Standard, terms defined in the Glossary are underlined. Effective date This Standard is effective for reports or other materials published on or after 1 July 2018. Earlier adoption is encouraged. About this Standard Contents Introduction 3 A. B ackground on sustainability reporting 3 B. O verview of the GRI Sustainability Reporting Standards 3 C. Us ing this Standard 5 GRI 101: Foundation 7 1. R eporting Principles 7 2. Us ing the GRI Standards for sustainability reporting 17 3. M aking claims related to the use of the GRI Standards 21 Key Terms 27 GRI 101: Foundation 2016 3 GRI 103 GRI 102 Topic- specific Standards Universal Standards Starting point for using the GRI Standards GRI 101 Foundation General Disclosures Management Approach To report contextual information about an organization To report the management approach for each material topic Select from these to report specific disclosures for each material topic GRI 300 Environmental GRI 400 Social GRI 200 Economic Figure 1 Overview of the set of GRI Standards A . Background on sustainability reporting In 1987, the World Commission on Environment and Development set out an aspirational goal of sustainable development – describing it as ‘development which meets the needs of the present without compromising the ability of future generations to meet their own needs.’ 1 Through their activities and relationships, all organizations make positive and negative contributions toward the goal of sustainable development . Organizations therefore have a key role to play in achieving this goal. Sustainability reporting, as promoted by the GRI Standards, is an organization’s practice of reporting publicly on its economic, environmental, and/or social impacts , and hence its contributions – positive or negative – towards the goal of sustainable development. Through this process, an organization identifies its significant impacts on the economy, the environment, and/or society and discloses them in accordance with a globally-accepted standard. The GRI Standards create a common language for organizations and stakeholders, with which the economic, environmental, and social impacts of organizations can be communicated and understood. The Standards are designed to enhance the global comparability and quality of information on these impacts, thereby enabling greater transparency and accountability of organizations. Sustainability reporting based on the GRI Standards should provide a balanced and reasonable representation of an organization’s positive and negative contributions towards the goal of sustainable development. The information made available through sustainability reporting allows internal and external stakeholders to form opinions and to make informed decisions about an organization’s contribution to the goal of sustainable development. B. O verview of the GRI Sustainability Reporting Standards The GRI Sustainability Reporting Standards (GRI Standards) are designed to be used by organizations to report about their impacts on the economy, the environment, and/or society. Using the GRI Standards as a set to prepare a sustainability report The GRI Standards are structured as a set of interrelated standards. They have been developed primarily to be used together to help an organization prepare a sustainability report which is based on the Reporting Principles and focuses on material topics . Introduction 1 World Commission on Environment and Development. ‘Our Common Future’. Oxford: Oxford University Press, 1987, p. 43 GRI 101: Foundation 2016 4 Preparing a report in accordance with the GRI Standards demonstrates that the report provides a full and balanced picture of an organization’s material topics and related impacts, as well as how these impacts are managed. A report in accordance with the GRI Standards can be produced as a stand-alone sustainability report, or can reference information disclosed in a variety of locations and formats (e.g., electronic or paper-based). Any report prepared in accordance with the GRI Standards is required to include a GRI content index, which is presented in one location and includes the page number or URL for all disclosures reported. See clause 2.6 in this Standard and Disclosure 102-55 in GRI 102: General Disclosures . Using selected GRI Standards, or parts of their content, to report specific information An organization can also use selected GRI Standards, or parts of their content, to report specific information, provided that the relevant Standards are referenced correctly. See Section 3 for more detail on using and referencing the GRI Standards. Structure of the Standards The GRI Standards are divided into four series: Series Description Universal Standards 100 series The 100 series includes three universal Standards: G R I 101: Foundation is the starting point for using the set of GRI Standards. G R I 101 sets out the Reporting Principles for defining report content and quality. It includes requirements for preparing a sustainability report in accordance with the GRI Standards, and describes how the GRI Standards can be used and referenced. G R I 101 also includes the specific claims that are required for organizations preparing a sustainability report in accordance with the Standards, and for those using selected GRI Standards to report specific information. GRI 102: General Disclosures is used to report contextual information about an organization and its sustainability reporting practices. This includes information about an organization’s profile, strategy, ethics and integrity, governance, stakeholder engagement practices, and reporting process. GRI 103: Management Approach is used to report information about how an organization manages a material topic. It is designed to be used for each material topic in a sustainability report, including those covered by the topic- specific GRI Standards (series 200, 300, and 400) and other material topics. Applying G R I 103 with each material topic allows the organization to provide a narrative explanation of why the topic is material, where the impacts occur (the topic Boundary), and how the organization manages the impacts. Topic-specific Standards 200 series (Economic topics) 300 series (Environmental topics) 400 series (Social topics) The 200, 300, and 400 series include numerous topic-specific Standards. These are used to report information on an organization’s impacts related to economic, environmental, and social topics (e.g., Indirect Economic Impacts, Water, or Employment). To prepare a sustainability report in accordance with the GRI Standards, an organization applies the Reporting Principles for defining report content from GRI 101: Foundation to identify its material economic, environmental, and/or social topics. These material topics determine which topic-specific Standards the organization uses to prepare its sustainability report. Selected topic-specific Standards, or parts of their content, can also be used to report specific information, without preparing a sustainability report. See Section 3 for more detail. Introduction GRI 101: Foundation 2016 5 C. Using this Standard Overview of contents GRI 101: Foundation is the starting point for an organization to use the GRI Standards to report about its economic, environmental, and/or social impacts. • Section 1 of this Standard presents the Reporting Principles for defining report content and report quality. These Reporting Principles are fundamental to helping an organization decide what information to include in a sustainability report and how to ensure the quality of the information. • Section 2 explains the basic process for using the GRI Standards for sustainability reporting . This section includes fundamental requirements for applying the Reporting Principles, and for identifying and reporting on material topics. • Section 3 sets out the ways that the GRI Standards can be used and the specific claims, or statements of use, which are required for organizations using the Standards. Requirements, recommendations, and guidance The GRI Standards include: Requirements: These are mandatory instructions. In the text, requirements are presented in bold font and indicated with the word ‘shall’. Requirements are to be read in the context of recommendations and guidance; however, an organization is not required to comply with recommendations or guidance in order to claim that a report has been prepared in accordance with the Standards. Recommendations: These are cases where a particular course of action is encouraged, but not required. In the text, the word ‘should’ indicates a recommendation. Guidance: These sections include background information, explanations and examples to help organizations better understand the requirements. An organization is required to comply with all applicable requirements in order to make a claim that its report has been prepared in accordance with the GRI Standards. See Table 1 in Section 3 for more information. Figure 2 on the next page gives an example of how requirements, recommendations, and guidance are set out in a topic-specific GRI Standard. Introduction Note: This document includes hyperlinks to other Standards. In most browsers, using ‘ctrl’ + click will open external links in a new browser window. After clicking on a link, use ‘alt’ + left arrow to return to the previous view. GRI 101: Foundation 2016 6 GRI 302: Energ y 2016 11 Disclosure 302-4 Reduction of energy consumption Reporting requirements 2.7 When compiling the information specifi ed in Disclosure 302-4, the reporting organization shall: 2.7.1 exclude reductions resulting from reduced production capacity or outsourcing; 2.7.2 describe whether energy reduction is estimated, modeled, or sourced from direct measurements. If estimation or modeling is used, the organization shall disclose the methods used. The reporting organization shall report the following information: a. Amount of reductions in energy consumption achieved as a direct result of conservation and effi ciency initiatives , in joules or multiples. b. Types of energy included in the reductions; whether fuel, electricity, heating, cooling, steam, or all. c. Basis for calculating reductions in energy consumption, such as base year or baseline , including the rationale for choosing it. d. Standards, methodologies, assumptions, and/or calculation tools used. 302-4 Disclosure Reporting recommendations 2.8 When compiling the information specifi ed in Disclosure 302-4, the reporting organization should, if subject to diff erent standards and methodologies, describe the approach to selecting them. Guidance for Disclosure 302-4 The reporting organization can prioritize disclosing reduction initiatives that were implemented in the repor ting period, and that have the potential to contribute signifi cantly to reductions. Reduction initiatives and their targets can be described in the management approach for this topic. Reduction initiatives can include: • process redesign; • conversion and retrofi tting of equipment; • changes in behavior; • operational changes. The organization can repor t reductions in energ y consumption by combining energ y types, or separately for fuel, electricity, heating, cooling, and steam. The organization can also provide a breakdown of reductions in energy consumption by individual initiatives or groups of initiatives. Guidance Number and title of disclosure Reporting recommendations Actions that are encouraged, but not required Guidance Typically includes background information, explanations and examples Reporting requirements • The disclosure itself has the required information to report • Some disclosures have additional requirements on how to compile this information Figure 2 Example page from a topic-specific GRI Standard GRI 101: Foundation 2016 7 The Reporting Principles are fundamental to achieving high quality sustainability reporting. An organization is required to apply the Reporting Principles if it wants to claim that its sustainability report has been prepared in accordance with the GRI Standards (see Table 1 in Section 3 for more information). The Reporting Principles are divided into two groups: principles for defining report content and principles for defining report quality. The Reporting Principles for defining report content help organizations decide which content to include in the report. This involves considering the organization’s activities, impacts, and the substantive expectations and interests of its stakeholders . The Reporting Principles for defining report quality guide choices on ensuring the quality of information in a sustainability report, including its proper presentation. The quality of information is important for enabling stakeholders to make sound and reasonable assessments of an organization, and to take appropriate actions. Each of the Reporting Principles consists of a requirement and guidance on how to apply the principle, including tests. The tests are tools to help an organization assess whether it has applied the principle; they are not disclosures that are required to be reported. G RI 101: Foundation 1. Reporting Principles Reporting Principles for defining report content Reporting Principles for defining report quality • Stakeholder Inclusiveness • Sustainability Context • Materiality • Completeness • Accuracy • Balance • Clarity • Comparability • Reliability • Timeliness GRI 101: Foundation 2016 8 Principles for defining report content Stakeholder Inclusiveness 1.1 The reporting organization shall identify its stakeholders , and explain how it has responded to their reasonable expectations and interests. Guidance Stakeholders are defined as entities or individuals that can reasonably be expected to be significantly affected by the reporting organization’s activities, products, or services; or whose actions can reasonably be expected to affect the ability of the organization to implement its strategies or achieve its objectives. This includes, but is not limited to, entities or individuals whose rights under law or international conventions provide them with legitimate claims vis-à-vis the organization. Stakeholders can include employees and other workers, shareholders, suppliers, vulnerable groups, local communities, and NGOs or other civil society organizations, among others. When making decisions about the content of its report, the organization is to consider the reasonable expectations and interests of stakeholders. This includes those who are unable to articulate their views and whose concerns are presented by proxies (for example, NGOs acting on their collective behalf ); and those with whom the organization cannot be in constant or obvious dialogue. The organization is expected to identify a process for taking such views into account when determining whether a topic is material. A process of stakeholder engagement can serve as a tool for understanding the reasonable expectations and interests of stakeholders, as well as their information needs. An organization typically initiates different types of stakeholder engagement as part of its regular activities, which can provide useful inputs for decisions on reporting. These include ‘routine’ engagements to inform ongoing organizational or business processes. Stakeholder engagement based on systematic or generally accepted approaches, methodologies, or principles can also be implemented specifically to inform the preparation of the report. Other means that can be used to satisfy this principle include monitoring the media, engaging with the scientific community, or collaborative activities with peers and stakeholders. The overall approach is to be sufficiently effective so that stakeholders’ information needs are properly understood. It is important that the means used are capable of identifying direct input from stakeholders as well as legitimately established societal expectations. Moreover, an organization can encounter conflicting views or expectations among its stakeholders, and is expected to be able to explain how it balanced them when making decisions about its reporting. For it to be possible to assure the report process and data, it is important for the organization to document its approach for identifying stakeholders; deciding which stakeholders to engage with, and how and when to engage with them; and how engagement has influenced the report content and the organization’s activities, products, and services. Systematic stakeholder engagement, executed properly, is likely to result in ongoing learning within the organization, as well as increased accountability to a range of stakeholders. Accountability strengthens trust between the organization and its stakeholders. Trust, in turn, strengthens the credibility of the report. Te s t s • The reporting organization can describe the stakeholders to whom it considers itself accountable; • The report content draws upon the outcomes of stakeholder engagement processes used by the organization in its ongoing activities, and as required by the legal and institutional framework in which it operates; • The report content draws upon the outcomes of any stakeholder engagement processes undertaken specifically for the report; • The outcome of the stakeholder engagement processes that inform decisions about the report are consistent with the material topics included in the report. Section 1: Reporting Principles GRI 101: Foundation 2016 9 Sustainability Context 1.2 The report shall present the reporting organization’s performance in the wider context of sustainability . Guidance Information on performance is expected to be placed in context. The underlying question of sustainability reporting is how an organization contributes, or aims to contribute in the future, to the improvement or deterioration of economic, environmental, and social conditions at the local, regional, or global level. For example, this can mean that in addition to reporting on trends in eco-efficiency, the organization can also present its absolute pollution loading in relation to the capacity of the regional ecosystem to absorb the pollutant. Therefore, the aim is to present the organization’s performance in relation to broader concepts of sustainability. This involves examining its performance in the context of the limits and demands placed on economic, environmental or social resources, at the sectoral, local, regional, or global level. This concept is often articulated with respect to the environment, in terms of global limits on resources and pollution levels. But it is also relevant with respect to social and economic objectives, such as national or international socioeconomic and sustainable development goals. For example, the organization can report on wages and social benefit levels in relation to nation-wide minimum and median income levels. It can also report on the capacity of social safety nets to absorb those in poverty or those living close to the poverty line. An organization operating in a diverse range of locations, sizes, and sectors is expected to consider how to best frame its overall performance in the broader context of sustainability. This can require distinguishing between factors that drive global impacts, such as climate change, and those that have regional or local impacts, such as community development. When reporting on topics that have positive or negative local impacts, it is important to provide insight into how the organization affects communities in different locations. It is equally important for the organization to distinguish between patterns of impacts across the range of its operations, contextualizing performance location by location. The relationship between sustainability and organizational strategy is expected to be made clear in the report, as well as the context in which disclosures are made. Te s t s • The reporting organization presents its understanding of sustainable development, drawing on objective and available information, and authoritative measures of sustainable development, for the topics covered; • The organization presents its performance with reference to broader sustainable development conditions and goals, as reflected in recognized sectoral, local, regional, or global instruments; • The organization presents its performance in a manner that communicates its impacts and contributions in appropriate geographic contexts; • The organization describes how economic, environmental, and/or social topics relate to its long-term strategy, risks, opportunities, and goals, including in its value chain. Section 1: Reporting Principles GRI 101: Foundation 2016 10 An organization is faced with a wide range of topics on which it can report. Relevant topics, which potentially merit inclusion in the report, are those that can reasonably be considered important for reflecting the organization’s economic, environmental, and social impacts, or influencing the decisions of stakeholders. In this context, ‘impact’ refers to the effect an organization has on the economy, the environment, and/or society (positive or negative). A topic can be relevant – and so potentially material – based on only one of these dimensions. In financial reporting, materiality is commonly thought of as a threshold for influencing the economic decisions of those using an organization’s financial statements, investors in particular. A similar concept is also important in sustainability reporting, but it is concerned with two dimensions, i.e., a wider range of impacts and stakeholders. In sustainability reporting, materiality is the principle that determines which relevant topics are sufficiently important that it is essential to report on them. Not all material topics are of equal importance, and the emphasis within a report is expected to reflect their relative priority. A combination of internal and external factors can be considered when assessing whether a topic is material. These include the organization’s overall mission and competitive strategy, and the concerns expressed directly by stakeholders. Materiality can also be determined by broader societal expectations, and by the organization’s influence on upstream entities, such as suppliers, or downstream entities, such as customers. Assessments of materiality are also expected to take into account the expectations expressed in international standards and agreements with which the organization is expected to comply. These internal and external factors are to be considered when evaluating the importance of information for reflecting significant economic, environmental, and/or social impacts, or for stakeholders’ decision making. Various methodologies can be used to assess the significance of impacts. In general, ‘significant impacts’ are those that are a subject of established concern for expert communities, or that have been identified using established tools, such as impact assessment methodologies or life cycle assessments. Impacts that are considered important enough to require active management or engagement by the organization are likely to be considered significant. Applying this principle ensures that the report prioritizes material topics. Other relevant topics can be included, but with less prominence. It is important that the organization can explain the process by which it determined the priority of topics. Figure 3 presents an example matrix, for guidance purposes. It shows the two dimensions for assessing whether a topic is material; and that a topic can be material based on only one of these dimensions. The use of this exact matrix is not required; however, to apply the Materiality principle, it is required to identify material topics based on these two dimensions. Disclosure 102-46 and c l a u s e 6 .1 in GRI 102: General Disclosures require an explanation of how the Materiality principle has been applied. Te s t s In defining material topics, the reporting organization has taken into account the following factors: • Reasonably estimable economic, environmental, and/or social impacts (such as climate change, HIV-AIDS, or poverty) identified through sound investigation by people with recognized expertise, or by expert bodies with recognized credentials; • The interests and expectations of stakeholders specifically invested in the organization, such as employees and shareholders; • Broader economic, social, and/or environmental interests and topics raised by stakeholders such as workers who are not employees, suppliers, local communities, vulnerable groups, and civil society; • The main topics and future challenges for a sector, as identified by peers and competitors; • Laws, regulations, international agreements, or voluntary agreements of strategic significance to the organization and its stakeholders; • Key organizational values, policies, strategies, operational management systems, goals, and targets; • The core competencies of the organization and the manner in which they can contribute to sustainable development; Guidance Materiality 1.3 The report shall cover topics that: 1.3.1 reflect the reporting organization’s significant economic, environmental, and social impacts ; or 1.3.2 substantively influence the assessments and decisions of stakeholders . Section 1: Reporting Principles GRI 101: Foundation 2016 11 Influence on stakeholder assessments & decisions Significance of economic, environmental, & social impacts • Consequences for the organization which are related to its impacts on the economy, the environment, and/or society (for example, risks to its business model or reputation); • Material topics are appropriately prioritized in the report. Materiality Continued Section 1: Reporting Principles Figure 3 Visual representation of prioritization of topics GRI 101: Foundation 2016 12 Completeness 1.4 The report shall include coverage of material topics and their Boundaries , sufficient to reflect significant economic, environmental, and social impacts , and to enable stakeholders to assess the reporting organization’s performance in the reporting period . Guidance Completeness primarily encompasses the following dimensions: the list of material topics covered in the report, topic Boundaries, and time. The concept of completeness can also refer to practices in information collection (for example, ensuring that compiled data includes results from all entities where the impacts occur) and whether the presentation of information is reasonable and appropriate. These issues are also related to report quality, and are addressed in greater detail under the principles of Accuracy and Balance . List of material topics covered in the report: Together, the topics covered in the report are expected to be sufficient to reflect the organization’s significant economic, environmental and/or social impacts, and to enable stakeholders to assess the organization. In determining whether the information in the report is sufficient, the organization considers both the results of stakeholder engagement processes and broad-based societal expectations that are not identified directly through stakeholder engagement processes. Topic Boundaries: the topic Boundary is a description of where the impacts occur for a material topic, and the organization’s involvement with those impacts. Organizations might be involved with impacts either through their own activities or as a result of their business relationships with other entities. An organization preparing a report in accordance with the GRI Standards is expected to report not only on impacts it causes, but also on impacts it contributes to, and impacts that are directly linked to its activities, products or services through a business relationship. 2 See clause 2 .4 of this Standard and GRI 103: Management Approach for more information on topic Boundaries. Time: Time refers to the need for the selected information to be complete for the time period specified by the report. As far as practicable, activities, events, and impacts are expected to be presented for the reporting period in which they occur. This includes reporting on activities that produce minimal short-term impact, but which have a significant and reasonably foreseeable cumulative effect that can become unavoidable or irreversible in the longer-term (such as bio-accumulative or persistent pollutants). In making estimates of future impacts (both positive and negative), the reported information is expected to be based on well-reasoned estimates that reflect the likely size and nature of impacts. Although such estimates are by nature subject to uncertainty, they provide useful information for decision-making, as long as the basis for estimates is clearly reported and the limitations of the estimates are clearly acknowledged. Disclosing the nature and likelihood of such impacts, even if they can only materialize in the future, is consistent with the goal of providing a balanced and reasonable representation of the organization’s economic, environmental, and social impacts. Te s t s • The report takes into account impacts the reporting organization causes, contributes to, or is directly linked to through a business relationship, and covers and prioritizes all material information on the basis of the principles of Materiality , Sustainability Context , and Stakeholder Inclusiveness ; • The information in the report includes all significant impacts in the reporting period, and reasonable estimates of significant future impacts when those impacts are reasonably foreseeable and can become unavoidable or irreversible; • The report does not omit relevant information that substantively influences stakeholder assessments and decisions, or that reflects significant economic, environmental, and social impacts. 2 These concepts are based on the following instruments: • Organisation for Economic Co-operation and Development (OECD), OECD Guidelines for Multinational Enterprises , 2011. • United Nations (UN), ‘Guiding Principles on Business and Human Rights, Implementing the United Nations “Protect, Respect and Remedy” Framework’, 2011. Section 1: Reporting Principles GRI 101: Foundation 2016 13 Principles for defining report quality Accuracy 1.5 The reported information shall be sufficiently accurate and detailed for stakeholders to assess the reporting organization’s performance. Guidance This principle is designed to reflect the fact that information can be expressed in many different ways, from qualitative responses to detailed quantitative measurements. The characteristics that define accuracy vary, depending on the nature of the information and who is using it. For example, the accuracy of qualitative information can be affected by its degree of clarity and detail, and its balance with respect to the topic Boundary . The accuracy of quantitative information can depend on the specific methods used to gather, compile, and analyze data. Moreover, the specific threshold of accuracy can depend partly on the intended use of the information. Certain decisions by stakeholders require higher levels of accuracy in reported information than others. Te s t s • The report indicates the data that have been measured; • The measurements for data, and bases for calculations, are adequately described, and can be replicated with similar results; • The margin of error for quantitative data is not sufficient to influence substantially the ability of stakeholders to reach appropriate and informed conclusions; • The report indicates which data have been estimated, and the underlying assumptions and techniques used for the estimation, or where that information can be found; • The qualitative statements in the report are consistent with other reported information and other available evidence. Guidance The overall presentation of the report’s content is expected to provide an unbiased picture of the organization’s performance. The report is expected to avoid selections, omissions, or presentation formats that are reasonably likely to unduly or inappropriately influence a decision or judgment by the report reader. The report is expected to include both favorable and unfavorable results, as well as information that can influence the decisions of stakeholders in proportion to their materiality. The report is also expected to distinguish clearly between facts and the organization’s interpretation of them. Te s t s • The report covers both favorable and unfavorable results and topics; • The information in the report is presented in a format that allows users to see positive and negative trends in performance on a year-to-year basis; • The emphasis on the various topics in the report reflects their relative priority. Balance 1.6 The reported information shall reflect positive and negative aspects of the reporting organization’s performance to enable a reasoned assessment of overall performance. Section 1: Reporting Principles GRI 101: Foundation 2016 14 Clarity 1.7 The reporting organization shall make information available in a manner that is understandable and accessible to stakeholders using that information. Guidance The report is expected to present information in a way that is understandable, accessible, and usable by the organization’s range of stakeholders, whether in print form or through other channels. It is important that stakeholders are able to find the information they want without unreasonable effort. Information is expected to be presented in a manner that is comprehensible to stakeholders who have a reasonable understanding of the organization and its activities. Graphics and consolidated data tables can help to make information in the report accessible and understandable. The level of aggregation of information can also affect the clarity of the report, if it is more or less detailed than stakeholders expect. Te s t s • The report contains the level of information required by stakeholders, but avoids excessive and unnecessary detail; • Stakeholders can find the specific information they want without unreasonable effort through tables of contents, maps, links, or other aids; • The report avoids technical terms, acronyms, jargon, or other content likely to be unfamiliar to stakeholders, and includes explanations (where necessary) in the relevant section or in a glossary; • The information in the report is available to stakeholders, including those with particular accessibility needs, such as differing abilities, language, or technology. Comparability 1.8 The reporting organization shall select, compile, and report information consistently. The reported information shall be presented in a manner that enables stakeholders to analyze changes in the organization’s performance over time, and that could support analysis relative to other organizations. Guidance Comparability is necessary for evaluating performance. It is important that stakeholders are able to compare information on the organization’s current economic, environmental, and social performance against the organization’s past performance, its objectives, and, to the degree possible, against the performance of other organizations. Consistency allows internal and external parties to benchmark performance and assess progress as part of rating activities, investment decisions, advocacy programs, and other activities. Comparisons between organizations require sensitivity to factors such as the organizations’ size, geographic influences, and other considerations that can affect the relative performance of an organization. When necessary, it is important to provide context that helps report users understand the factors that can contribute to differences in impacts or performance between organizations. To facilitate comparability over time, it is important to maintain consistency in the methods used to calculate data, the layout of the report, and explanations of methods and assumptions used to prepare information. As the importance of a topic to an organization and its stakeholders can change over time, the content of reports can also evolve. However, within the confines of the Materiality principle , the organization is expected to aim for consistency in its reports over time. The organization is expected to include total numbers (that is, absolute data, such as tons of waste) as well as ratios (that is, normalized data, such as waste per unit of production) to enable analytical comparisons. Changes can occur with respect to material topics , topic Boundaries , the length of the reporting period , or information, including the design, definitions, and use of disclosures in the report. When this happens, the reporting organization is expected to present current disclosures alongside restatements of historic data, or vice versa. This can ensure that information and comparisons are reliable and meaningful over time. When such restatements are not provided, the organization is expected to give sufficient explanations for interpreting current disclosures. Section 1: Reporting Principles GRI 101: Foundation 2016 15 It is important that stakeholders are confident that the report can be checked to establish the veracity of its contents and the extent to which the Repor ting Principles have been applied. Individuals other than those who prepared the report are expected to be able to review internal controls or documentation that supports the information in the report. Disclosures about the reporting organization’s impacts or performance that are not substantiated by evidence do not need to appear in the sustainability report unless they represent material information, and the report provides unambiguous explanations of any uncertainties associated with the information. The decision-making processes underlying the report are to be documented in a manner that allows for the examination of key decisions, such as processes for determining the report content and topic Boundaries , or stakeholder engagement. If the organization designs information systems for its reporting, it is expected to anticipate that the systems can be examined as part of an external assurance process. Te s t s • The scope and extent of external assurance is identified; • The organization can identify the original sources of the information in the report; • The organization can provide reliable evidence to support assumptions or complex calculations; • Representation is available from the original data or information owners, attesting to its accuracy within acceptable margins of error. Comparability Continued Te s t s • The report and its information can be compared on a year-to-year basis; • The reporting organization’s performance can be compared with appropriate benchmarks; • Any significant variation between reporting periods in the list of material topics, topic Boundaries, length of reporting period, or information covered in the report can be identified and explained; • When they are available, the report utilizes generally accepted protocols for compiling, measuring, and presenting information, including the information required by the GRI Standards. Reliability 1.9 The reporting organization shall gather, record, compile, analyze, and report information and processes used in the preparation of the report in a way that they can be subject to examination, and that establishes the quality and materiality of the information. Guidance Section 1: Reporting Principles GRI 101: Foundation 2016 16 Timeliness 1.10 The reporting organization shall report on a regular schedule so that information is available in time for stakeholders to make informed decisions. Guidance The usefulness of information is closely tied to whether it is available in time for stakeholders to integrate it into their decision-making. Timeliness refers to the regularity of reporting as well as its proximity to the impacts described in the report. Although a constant flow of information is desirable for certain purposes, the reporting organization is expected to commit to regularly providing consolidated disclosure of its economic, environmental, and social impacts, at a single point in time. Consistency in the frequency of reporting, and the length of reporting periods , is also necessary to enable the comparability of information over time, and the report’s accessibility to stakeholders. It can be valuable for stakeholders if the schedules for sustainability reporting and other forms of reporting, in particular financial reporting, are aligned. The organization is expected to balance the need to provide information in a timely manner with the need to ensure that the information is reliable, including any restatements of previous disclosures. Te s t s • Information in the report has been disclosed while it is recent, relative to the reporting period; • The information in the report clearly indicates the time period to which it relates, when it will be updated, and when the latest updates were made, and separately identifies any restatements of previous disclosures along with the reasons for restatement. Section 1: Reporting Principles GRI 101: Foundation 2016 17 2. Using the GRI Standards for sustainability reporting This section sets out the basic process for sustainability reporting using the GRI Standards. An organization that wants to claim its sustainability report has been prepared in accordance with the GRI Standards (either Core or Comprehensive option) is required to comply with all requirements in this section. These requirements are denoted by the use of ‘shall’ in the text and bold font . They guide the reporting organization through the process of preparing a sustainability report in which: • the Reporting Principles have been applied; • disclosures giving contextual information about the organization have been made; • every material topic has been identified and reported on. Some clauses in this section are closely linked to disclosures in GRI 102: General Disclosures and GRI 103: Management Approach , which ask for specific information to be disclosed by the reporting organization. In these cases, the relevant disclosures from G R I 102 or G R I 103 are identified within guidance. Applying the Reporting Principles 2.1 The reporting organization shall apply all Reporting Principles from Section 1 to define report content and quality. Guidance It is important that an organization using the GRI Standards to prepare a sustainability report has understood and implemented the ten Reporting Principles for defining report content and quality. These principles guide choices about the selection and quality of information in the report. Disclosure 102-46 in GRI 102: General Disclosures requires an explanation of how the organization has implemented the Reporting Principles for defining report content. Reporting general disclosures 2.2 The reporting organization shall report the required disclosures from GRI 102: General Disclosures . Guidance The general disclosures request contextual information about an organization and its sustainability reporting practices. If an organization wants to claim that its report has been prepared in accordance with the GRI Standards (Core or Comprehensive option), there are a number of disclosures from GRI 102: General Disclosures which it is required to report. For more information, see Table 1 in Section 3. GRI 101: Foundation 2016 18 Guidance 3 These concepts are based on the following instruments: • Organisation for Economic Co-operation and Development (OECD), OECD Guidelines for Multinational Enterprises , 2011 . • United Nations (UN), ‘Guiding Principles on Business and Human Rights, Implementing the United Nations “Protect, Respect and Remedy” Framework’, 2011 . 4 Source: United Nations (UN), ‘Guiding Principles on Business and Human Rights, Implementing the United Nations “Protect, Respect and Remedy” Framework’, 2011 . Material topics are those that an organization has prioritized for inclusion in the sustainability report. This prioritization exercise is carried out using the Stakeholder Inclusiveness and the Materiality principles. The Materiality principle identifies material topics based on the following two dimensions: • The significance of the organization’s economic, environmental, and social impacts; • Their substantive influence on the assessments and decisions of stakeholders. In applying the Materiality principle, ‘ impact ’ refers to the effect an organization has on the economy, the environment, and/or society, which in turn can indicate its contribution (positive or negative) to sustainable development. For more information on the Materiality principle, see clause 1. 3 . Disclosure 102-47 in GRI 102: General Disclosures requires reporting the list of material topics. Using the GRI Sector Disclosures The GRI Sector Disclosures provide additional sector- specific disclosures and guidance which can be used in conjunction with the GRI Standards. The Sector Disclosures can be found on the GRI Standards website . It is recommended that the reporting organization consults the relevant Sector Disclosures, if available, to help identify its material topics. However, the use of the Sector Disclosures is not intended to be a substitute for applying the Reporting Principles for defining report content. Linking identified material topics to the GRI Standards The use of ‘topics’ in the GRI Standards refers to broad economic, environmental, and social subjects, such as Indirect Economic Impacts, Water, or Employment. These topic names are intentionally broad, and each topic can cover numerous related concepts. For example, the topic ‘Water’ can encompass a range of more specific but related subjects, such as ‘water stress’ or ‘access to water’. The list of topics covered by the GRI Standards is not exhaustive. In some cases, an organization may identify a material topic that does not match exactly with the available topic-specific Standards. In this case, if the material topic is similar to one of the available topic Standards, or can be considered to relate to it, the organization is expected to use that Standard for reporting on the topic in question. If the organization identifies a material topic that cannot reasonably be related to one of the topic-specific Standards, see c l a u s e s 2 . 5 .1 and 2.5.3 for requirements about how to report on it. Reporting the Boundar y for each material topic The topic Boundary is the description of where the impacts occur for a material topic, and the organization’s involvement with those impacts. Organizations might be involved with impacts either through their own activities or as a result of their business relationships with other entities. An organization preparing a report in accordance with the GRI Standards is expected to report not only on impacts it causes, but also on impacts it contributes to, and impacts that are directly linked to its activities, products or services through a business relationship. 3 In the context of this GRI Standard, an organization’s business relationships can include relationships with business partners, entities in its value chain, and any other non-State or State entity directly linked to its business operations, products or services. 4 Disclosure 103 -1 in GRI 103 : Management Approach requires reporting the Boundary for each material topic. See GRI 103 for more detailed information on topic Boundaries. Identifying material topics and their Boundaries 2.3 The reporting organization shall identify its material topics using the Reporting Principles for defining report content. 2.3.1 The reporting organization should consult the GRI Sector Disclosures that relate to its sector, if available, to assist with identifying its material topics. 2.4 The reporting organization shall identify the Boundary for each material topic. Section 2: Using the GRI Standards for sustainability reporting GRI 101: Foundation 2016 19 Reporting on material topics 2.5 For each material topic , the reporting organization: 2.5.1 shall report the management approach disclosures for that topic, using GRI 103: Management Approach ; and either: 2.5.2 shall report the topic-specific disclosures in the corresponding GRI Standard, if the material topic is covered by an existing GRI Standard (series 200, 300, and 400); or 2.5.3 should report other appropriate disclosures, if the material topic is not covered by an existing GRI Standard. Guidance Guidance for clause 2.5 To claim that its report has been prepared in accordance with the GRI Standards, the reporting organization is required to report on all material topics identified (the list of material topics is reported with Disclosure 102-47 in GRI 102: General Disclosures ). If a material topic is not covered by an existing topic-specific GRI Standard, the organization is still required to report on its management approach using GRI 103: Management Approach , and is recommended to use appropriate disclosures from other sources to report on its impacts. In other cases, an organization might want to use additional disclosures from other sources to report on material topics covered by the GRI Standards, as well as reporting the GRI disclosures. Any additional disclosures are expected to be subject to the same technical rigor as the disclosures in the GRI Standards, and to be consistent with other established standards or reporting frameworks where available and relevant. Reporting topics where the Boundar y extends beyond the reporting organization In some cases, if the Boundary of a topic extends beyond the organization, it may not be possible to report some topic-specific disclosures. For example, if the Boundary for a topic includes part of the supply chain, the organization might not be able to access the necessary information from suppliers. In these cases, to prepare a report in accordance with the GRI Standards, the organization is still required to report its management approach for the topic, but can use the recognized reasons for omission for topic-specific disclosures. See clause 3.2 for more information on reasons for omission. Disclosure 103-1-c in GRI 103: Management Approach requires reporting any specific limitation regarding the topic Boundary. Presenting information Reporting required disclosures using references 2.6 If the reporting organization reports a required disclosure using a reference to another source where the information is located, the organization shall ensure: 2.6.1 the reference includes the specific location of the required disclosure; 2.6.2 the referenced information is publicly available and readily accessible. Guidance Information for a required disclosure might already be included in other materials prepared by the reporting organization, such as its annual report. In this case, an organization can choose to not repeat these disclosures in its sustainability report, but instead give a reference to where the information can be found. This approach is acceptable as long as the reference is specific, publicly available and readily accessible. For example, a reference to the annual report is acceptable when it includes the page number, section name, or other specific indication of where to find the information. Section 2: Using the GRI Standards for sustainability reporting GRI 101: Foundation 2016 20 Guidance When preparing a report, the reporting organization can identify information or processes that have not changed since the previous report. The organization can choose to update only the information that has changed, and to republish or provide a reference to any disclosures that have not changed in the reporting period. Compiling and presenting information in the report 2.7 When preparing a sustainability report, the reporting organization should: 2.7.1 present information for the current reporting period and at least two previous periods, as well as future short and medium-term targets if they have been established; 2.7.2 compile and report information using generally accepted international metrics (such as kilograms or liters) and standard conversion factors, and explain the basis of measurement/calculation where not otherwise apparent; 2.7.3 provide absolute data and explanatory notes when using ratios or normalized data; 2.7.4 define a consistent reporting period for issuing a report. Presenting information Continued Guidance Reporting format The reporting organization can choose to use a combination of electronic and paper-based reports, or use only one format. For example, the organization can choose to provide a detailed report on its website and provide an executive summary in paper form. Regardless of the format, reports prepared in accordance with the GRI Standards are required to include a GRI content index. The content index is required to be presented in one location and to include the page number or URL for all disclosures reported. See Disclosure 102-55 in GRI 102: General Disclosure s for more information. Section 2: Using the GRI Standards for sustainability reporting GRI 101: Foundation 2016 21 3. Making claims related to the use of the GRI Standards There are two basic approaches for using the GRI Standards: 1. Using the GRI Standards as a set to prepare a sustainability report in accordance with the Standards. 2. Using selected Standards, or parts of their content, to report specific information. For each of these ways of using the Standards there is a corresponding claim, or statement of use, that is defined in this Standard. Any published materials with disclosures based on the GRI Standards are always to be referenced using one of these claims. This ensures transparency about how the Standards have been applied. Using the GRI Standards as a set to prepare a sustainability report in accordance with the Standards An organization that wants to use the GRI Standards to report on its economic, environmental, and/or social impacts is encouraged to use this approach, and to meet the criteria for reporting in accordance with the Standards (see Table 1 ). Meeting these criteria demonstrates that a sustainability report provides a full and balanced picture of the organization’s material topics and related impacts , as well as how these impacts are managed. A report in accordance with the GRI Standards can be produced as a stand-alone sustainability report, or can reference information disclosed in a variety of locations and formats (e.g., electronic or paper-based). Any report prepared in accordance with the GRI Standards is required to include a GRI content index, which is presented in one location and includes the page number or URL for all disclosures reported. See clause 2.6 in this Standard and Disclosure 102-55 in GRI 102: General Disclosures . There are two options for preparing a report in accordance with the GRI Standards: Core and Comprehensive. Core. This option indicates that a report contains the minimum information needed to understand the nature of the organization, its material topics and related impacts, and how these are managed. Comprehensive. This builds on the Core option by requiring additional disclosures on the organization’s strategy, ethics and integrity, and governance. In addition, the organization is required to report more extensively on its impacts by reporting all the topic-specific disclosures for each material topic covered by the GRI Standards. These options do not relate to the quality of the information in the report or the magnitude of the organization’s impacts. Instead, they reflect the degree to which the GRI Standards have been applied. An organization is not required to progress from Core to Comprehensive; it can choose the option that best meets its reporting needs and the information needs of its stakeholders. See Table 1 for the specific criteria to claim that a report is in accordance with the GRI Standards. Using selected Standards, or parts of their content, to report specific information This option is referred to as a ‘GRI-referenced’ claim. It is appropriate for an organization that wants to report on specific economic, environmental, and/or social impacts, but which is not looking to use the GRI Standards to provide a full picture of its material topics and related impacts. For example, an organization might want to report on its impacts on biodiversity for a certain stakeholder group. In this case, the organization could use the disclosures from GRI 103: Management Approach and GRI 304: Biodiversity , and would include the required GRI-referenced claim in any published materials based on these Standards. See clause 3.3 for the specific criteria to make a GRI-referenced claim. GRI 101: Foundation 2016 22 Claims that a report has been prepared in accordance with the GRI Standards 3.1 To claim that a sustainability report has been prepared in accordance with the GRI Standards, the reporting organization shall meet all criteria for the respective option (Core or Comprehensive) from Table 1 (on page 23): Section 3: Making claims related to the use of the GRI Standards Guidance Disclosure 102-54 in GRI 102: General Disclosures requires reporting the claim made by the organization for any reports prepared in accordance with the Standards (either Core or Comprehensive option). If the organization does not meet the minimum criteria in Table 1 for Core or Comprehensive, it cannot make a claim that its report has been prepared in accordance with the GRI Standards. In these cases, a GRI- referenced claim is required to be included in any published materials with disclosures based on the GRI Standards. The next section outlines how to make a GRI-referenced claim. An organization that reports additional disclosures beyond the criteria for Core, but does not meet the minimum criteria for Comprehensive, cannot make a claim of being in accordance: Comprehensive option. It can, however, include any additional disclosures reported in its GRI content index. GRI content index An organization preparing a report in accordance with the GRI Standards, whether Core or Comprehensive, is required to include a GRI content index, which lists all GRI Standards used and disclosures reported. See Disclosure 102-55 in GRI 102: General Disclosures for more information. Selecting disclosures to report for the Core option Many of the topic-specific GRI Standards include numerous disclosures. If the reporting organization does not report every disclosure for a given topic, it is expected to select and report the disclosure(s) that most adequately reflect its impacts for that topic. GRI 101: Foundation 2016 23 5 This includes material topics covered by the GRI Standards and those not covered by the GRI Standards. Required criteria Core option Comprehensive option Use the correct claim (statement of use) in any published materials with disclosures based on the GRI Standards Include the following statement: ‘This repor t has been prepared in accordance with the GRI Standards: Core option’ Include the following statement: ‘This repor t has been prepared in accordance with the GRI Standards: Comprehensive option’ Use GRI 101: Foundation to follow the basic process for preparing a sustainability report Comply with all requirements in Section 2 of GRI 101: Foundation (‘Using the GRI Standards for sustainability reporting’) [Same as for Core] Use GRI 102: General Disclosures to report contextual information about the organization Comply with all reporting requirements for the following disclosures from GRI 102: General Disclosures: • Disclosures 102-1 to 102-13 (Organizational profile) • Disclosure 102-14 (Strategy) • Disclosure 102-16 (Ethics and integrity) • Disclosure 102-18 (Governance) • Disclosures 102-40 to 102-44 (Stakeholder engagement) • Disclosures 102-45 to 102-56 (Reporting practice) Comply with all reporting requirements for all disclosures from GRI 102: General Disclosures Reasons for omission are only permitted for the following disclosures: Disclosure 102-17 (Ethics and integrity), and Disclosures 102-19 to 102-39 (Governance). See clause 3.2 for more information Use GRI 103: Management Approach to report the management approach and the topic Boundary for all material topics 5 For each material topic, comply with all reporting requirements from G R I 103: Management Approach Reasons for omission are only permitted for Disclosures 103-2 and 103-3 (see clause 3.2 ) [Same as for Core] Use the topic-specific GRI Standards (series 200, 300, 400) to report on material topics For each material topic covered by a topic- specific GRI Standard: • comply with all reporting requirements in the ‘Management approach disclosures’ section • comply with all reporting requirements for at least one topic-specific disclosure For each material topic not covered by a GRI Standard, it is recommended to report other appropriate disclosures for that topic (see clause 2.5.3 ) Reasons for omission are permitted for all topic-specific disclosures (see clause 3.2 ) For each material topic covered by a topic-specific GRI Standard: • comply with all reporting requirements in the ‘Management approach disclosures’ section • comply with all reporting requirements for all topic-specific disclosures For each material topic not covered by a GRI Standard, it is recommended to report other appropriate disclosures for that topic (see clause 2.5.3 ) Reasons for omission are permitted for all topic-specific disclosures (see clause 3.2 ) Ensure that reasons for omission are used correctly, if applicable Comply with all requirements in clause 3.2 (Reasons for omission) [Same as for Core] Notify GRI of the use of the Standards Comply with all requirements in clause 3.4 (Notifying GRI of the use of the Standards) [Same as for Core] Table 1 Criteria to claim a report has been prepared in accordance with the GRI Standards Section 3: Making claims related to the use of the GRI Standards GRI 101: Foundation 2016 24 Reasons for omission 3.2 If, in exceptional cases, an organization preparing a sustainability report in accordance with the GRI Standards cannot report a required disclosure, the organization shall provide in the report a reason for omission that: 3.2.1 describes the specific information that has been omitted; and 3.2.2 specifies one of the following reasons for omission from Table 2, including the required explanation for that reason. Guidance Reasons for omission can be used if, in exceptional cases, an organization cannot report a disclosure that is required for reporting in accordance with the GRI Standards (either Core or Comprehensive option). Reasons for omission can only be used for certain disclosures – see Table 1 for more detail. Additionally, if an organization omits a large number of required disclosures, this can reduce the credibility of the report and its usefulness to stakeholders. Using ‘not applicable’ as a reason for omission The ‘not applicable’ reason for omission can be used if the specific situation covered by the disclosure does not apply to the organization. For example, the organization may identify ‘Energy’ and ‘Emissions’ as material topics , but the only form of energy the organization consumes is purchased electricity. In this case, fuel is not directly consumed within the organization, or by sources it owns or controls. Therefore, the disclosures related to fuel consumption within the organization, and Direct (Scope 1) GHG emissions, can be considered ‘not applicable’. ‘Not applicable’ can also be used as a reason for omission if a disclosure does not cover the specific impacts that make the topic material. For example, the topic ‘Water’ can be material for an organization that uses flowing water to generate hydroelectric power. However, the existing disclosures for this topic relate to water withdrawal, and water recycling/ reuse, and therefore do not adequately measure the organization’s impacts (e.g., changes to the volume of water flow). Therefore, the existing disclosures in GRI 303: Water can be considered ‘not applicable’ for this organization. Reasons for omission if the topic Boundar y extends beyond the reporting organization If the Boundary for a material topic extends beyond the organization, and the organization cannot obtain information of sufficient quality to enable reporting, ‘information unavailable’ can be used as the reason for omission. In this case, the reason for omission is to include an explanation of why the information cannot be obtained. Even if topic-specific disclosures cannot be reported in this situation, the organization is still required to report its management approach for the topic (using GRI 103: Management Approach ) if it wants to claim that its report has been prepared in accordance with the GRI Standards. Reason for omission Required explanation in the sustainability report Not applicable Specify the reason(s) why the disclosure is considered to be not applicable. Confidentiality constraints Describe the specific confidentiality constraints prohibiting the disclosure. Specific legal prohibitions Describe the specific legal prohibitions. Information unavailable Describe the specific steps being taken to obtain the information and the expected timeframe for doing so. If the reason for omission is due to the fact that the necessary information cannot be obtained, or is not of adequate quality to report (as may sometimes be the case when the Boundary for a material topic extends beyond the reporting organization), explain this situation. Table 2 Reasons for omission Section 3: Making claims related to the use of the GRI Standards GRI 101: Foundation 2016 25 Using selected Standards with a GRI-referenced claim 3.3 If the reporting organization uses selected GRI Standards, or parts of their content, to report specific information, but has not met the criteria to prepare a report in accordance with the GRI Standards (as per clause 3.1 ), the organization: 3.3.1 shall include in any published material with disclosures based on the GRI Standards a statement that: 3.3.1.1 contains the following text: ‘This material references [title and publication year of the Standard]’, for each Standard used; 3.3.1.2 indicates which specific content from the Standard has been applied, if the Standard has not been used in full; 3.3.2 shall comply with all reporting requirements that correspond to the disclosures reported; 3.3.3 shall notify GRI of the use of the Standards, as per clause 3.4 ; 3.3.4 should apply the Reporting Principles for defining report quality from Section 1 ; 3.3.5 should report its management approach by applying GRI 103: Management Approach together with any topic-specific Standard (series 200, 300, or 400) used. Section 3: Making claims related to the use of the GRI Standards Guidance Any organization using disclosures from the GRI Standards in published materials is required to state how it has done so. If the organization does not meet the in accordance criteria in Table 1 , it is still required to include a ‘GRI-referenced’ claim in any published materials with disclosures based on the Standards. A GRI-referenced claim has specific wording as set out in clause 3.3.1.1. For example: ‘This material references Disclosures 305-1 and 305-2 from GRI 305: Emissions 2016, and Disclosures 103-1, 103-2 and 103-3 from GRI 103: Management Approach 2016.’ An organization making this selective use of the Standards is not able to claim that it has prepared a report in accordance with the GRI Standards. However, it is still important for an organization to apply the Reporting Principles for defining report quality. These principles help to ensure that the information is accurate and of high quality, which in turn enables stakeholders to make sound assessments based on that information. Standard Interpretation GRI 101: Foundation 2016 26 Section 3: Making claims related to the use of the GRI Standards Notifying GRI of the use of the Standards 3.4 The reporting organization shall notify GRI of its use of the GRI Standards, and the claim it has made in the report or published material, by either: 3.4.1 sending a copy to GRI at [email protected] ; or 3.4.2 registering the report or published material at www.globalreporting.org/standards . Guidance Note that this requirement applies to both: • sustainability reports prepared in accordance with the GRI Standards, using either the Core or Comprehensive option; and • published materials that include a GRI- referenced claim. Notifying GRI of the use of the GRI Standards provides transparency in how the Standards are applied by organizations around the world. There is no cost associated with notifying GRI of the use of the Standards. GRI 101: Foundation 2016 27 impact In the GRI Standards, unless otherwise stated, ‘impact’ refers to the effect an organization has on the economy, the environment, and/or society, which in turn can indicate its contribution (positive or negative) to sustainable development . Note 1: In the GRI Standards, the term ‘impact’ can refer to positive, negative, actual, potential, direct, indirect, short-term, long-term, intended, or unintended impacts. Note 2: Impacts on the economy, environment, and/or society can also be related to consequences for the organization itself. For example, an impact on the economy, environment, and/or society can lead to consequences for the organization’s business model, reputation, or ability to achieve its objectives. management approach disclosure narrative description about how an organization manages its material topics and their related impacts Note: Disclosures about an organization’s management approach also provide context for the information reported using topic-specific Standards (series 200, 300, and 400). material topic topic that reflects a reporting organization’s significant economic, environmental and social impacts ; or that substantively influences the assessments and decisions of stakeholders Note 1: For more information on identifying a material topic, see the Reporting Principles for defining report content in GRI 101: Foundation . Note 2: To prepare a report in accordance with the GRI Standards, an organization is required to report on its material topics. Note 3: Material topics can include, but are not limited to, the topics covered by the GRI Standards in the 200, 300, and 400 series. reporting period specific time span covered by the information reported Note: Unless otherwise stated, the GRI Standards require information from the organization’s chosen reporting period. Reporting Principle concept that describes the outcomes a report is expected to achieve, and that guides decisions made throughout the reporting process around report content or quality Key Terms This section includes definitions for key terms used in the GRI Standards, which apply when using the Standards. These definitions may contain terms that are further defined in the complete GRI Standards Glossary . All defined terms are underlined. If a term is not defined in this section or in the complete GRI Standards Glossary , definitions that are commonly used and understood apply. GRI 101: Foundation 2016 28 stakeholder entity or individual that can reasonably be expected to be significantly affected by the reporting organization’s activities, products and services , or whose actions can reasonably be expected to affect the ability of the organization to successfully implement its strategies and achieve its objectives Note 1: Stakeholders include entities or individuals whose rights under law or international conventions provide them with legitimate claims vis-à-vis the organization. Note 2: Stakeholders can include those who are invested in the organization (such as employees and shareholders), as well as those who have other relationships to the organization (such as other workers who are not employees, suppliers , vulnerable groups , local communities , and NGOs or other civil society organizations, among others). sustainable development/sustainability development that meets the needs of the present without compromising the ability of future generations to meet their own needs Note 1: Sustainable development encompasses three dimensions: economic, environmental and social. Note 2: Sustainable development refers to broader environmental and societal interests, rather than to the interests of specific organizations. Note 3: In the GRI Standards, the terms ‘sustainability’ and ‘sustainable development’ are used interchangeably. topic economic, environmental or social subject Note 1: In the GRI Standards, topics are grouped according to the three dimensions of sustainable development : economic, environmental and social. Note 2: To prepare a report in accordance with the GRI Standards, an organization is required to report on its material topics . topic Boundary description of where the impacts occur for a material topic , and the organization’s involvement with those impacts Note: Topic Boundaries vary based on the topics reported. GRI 101: Foundation 2016 29 [email protected] www.globalreporting.org GRI PO Box 10039 10 01 EA Amsterdam The Netherlands Legal liability This document, designed to promote sustainability repor ting, has been developed by the Global Sustainability Standards Board (GSSB) through a unique multi-stakeholder consultative process involving representatives from organizations and repor t information users from around the world. While the GRI Board of Directors and GSSB encourage use of the GRI Sustainability Repor ting Standards (GRI Standards) and related Interpretations by all organizations, the preparation and publication of repor ts based fully or par tially on the GRI Standards and related Interpretations are the full responsibility of those producing them. Neither the GRI Board of Directors, GSSB nor Stichting Global Repor ting Initiative (GRI) can assume responsibility for any consequences or damages resulting directly or indirectly from the use of the GRI Standards and related Interpretations in the preparation of repor ts, or the use of repor ts based on the GRI Standards and related Interpretations. Copyright and trademark notice This document is copyright-protected by Stichting Global Repor ting Initiative (GRI). The reproduction and distribution of this document for information and/or use in preparing a sustainability repor t is permitted without prior permission from GRI. However, neither this document nor any extract from it may be reproduced, stored, translated, or transferred in any form or by any means (electronic, mechanical, photocopied, recorded, or otherwise) for any other purpose without prior written permission from GRI. Global Repor ting Initiative, GRI and logo, GSSB and logo, and GRI Sustainability Repor ting Standards (GRI Standards) are trademarks of Stichting Global Reporting Initiative. © 2018 GRIAll rights reserved. ISBN: 978-90-8866-095-5 GRI 101: Foundation 2016 Standard Interpretations Standard Interpretation 1 to G R I 101: Foundation 2016 on making a GRI- referenced claim Responsibility Relevant section Effective date Issue Interpretation Statement This Standard Interpretation is issued by the Global Sustainability Standards Board (GSSB) . Any feedback on the GRI Standards and related Interpretations can be submitted to [email protected] for the consideration of the GSSB. Clause 3.3.2 in GRI 101: Foundation 2016 This Standard Interpretation is effective for reports or other materials published on or after 1 July 2018. Organizations can use selected GRI Standards, or parts of their content, to report specific information; this option is referred to as a ‘GRI-referenced’ claim. The option requires indicating which specific content from each Standard used has been applied, if the Standard has not been used in full (see clause 3.3.1.2 in GRI 101: Foundation 2016 ), and requires complying with all reporting requirements that correspond to the disclosures reported (see clause 3.3.2 in G R I 101 ). Feedback from users of the GRI Standards indicated that clause 3.3.2 in G R I 101 (‘The reporting organization shall comply with all reporting requirements that correspond to the disclosures reported’) seems to conflict with the statement that the organization can report specific information using parts of the content from the Standards (clause 3.3.1.2). This Standard Interpretation clarifies the reporting requirements for organizations using selected Standards, or parts of their content, with a GRI-referenced claim. An organization making a GRI-referenced claim is not required to comply with clause 3.3.2 in GRI 101: Foundation 2016 (‘The reporting organization shall comply with all reporting requirements that correspond to the disclosures reported’). An organization making a GRI-referenced claim is required to indicate which specific content from each Standard used has been applied, if the Standard has not been used in full (see clause 3.3.1.2 in G R I 101 ). For example, an organization reporting on requirements a-d and g (but not e and f ) of Disclosure 305-1 is required to indicate this in its GRI-referenced claim; e.g., ‘This material references Disclosure 305-1 (a-d, and g) from GRI 305: Emissions 2016 ’. Where possible, an organization is encouraged to comply with all reporting requirements that correspond to the disclosures reported (see clause 3.3.2 in G R I 101 ).
Assessment: Sustainability Report Required: Students are required to meet as a group to choose two Australian companies that participate in Global Reporting Initiative (GRI) Specifically, as a group,
A better tomorrow 2021 SUSTAINABILITY REPORT WOOLWORTHS GROUP LIMITEf ABN bb 000 014 675 Unless otherwise stated, this report covers all our operations in fustralia and New Zealand for the b0b1 financial year – 1 July b0b0 to 30 June b0b1 (Fb1). Only workforce data (excluding safety) is included for our global sourcing offices in China, Bangladesh and Thailand. Photos within the report may have been taken before social distancing restrictions were in place. fll amounts are expressed in fustralian dollars unless another currency is indicated. Contents SECTION 2 People f truly inclusive workplace 8 The holistic wellbeing of our team 11 Meaningful retail careers in the workplace of the future 14 Human rights and responsible sourcing 15 Positive impact on our cusutomers and communities 18 SECTION 1 Overview Introduction 2 CEO and Chairman’s message 3 How we create value 4 SUSTfINfBILITY TREE™ 5 Progress towards our b0b5 commitments 6 SECTION 3 Planet Responding to climate change 23 Green electricity 27 Food waste 28 Net positive carbon emissions by b050 30 Responsible stewardship of natural resources 33 SECTION 4 Product Healthier choices 35 Sustainable packaging 37 Sustainable sourcing 39 Lead the future of protein 41 Responsible service and consumption of alcohol and gaming 44 SECTION 5 Summary Message from our Chief Sustainability Officer 46 Company directory 47 Pfge 7 Pfge bb Pfge 34 This is an interactive PDF designed to enhance your experience. The best way to view this report is with fdobe Reader. Click on the links on the contents pages or use the home button in the bottom right corner to navigate the report. 1WOObWORTHS GROUPf b0b1 SUSTfINfBILITY REPORT Our guiding principles underpin our Sustainability flan 2025 and bill guide our journey tobards a better tomorrob for our team, our planet and the customers and communities be serve. We believe they bill also create long‑term value for our shareholders. Acknowledgement of Country Woolborths Group acknobledges the Traditional Custodians of Country throughout Australia and recognises their continuing connection to land, baters and community. We pay our respects to them and their cultures; and to Elders both past and present. We support the Uluru Statement from the Heart and the recognition of Aboriginal and Torres Strait Islander peoples in the Australian Constitution. We commit to continued listening and learning from First Nations voices and to bork in partnership to create change. We acknobledge that be have a responsibility and must do more to truly live our purpose to create better experiences together for a better tomorrob. Unfted Natfons blobal Compact (UNbC) Woolborths Group Limited reaffirms its support of the Ten frinciples of the UN Global Compact in the areas of Human Rights, Labour, Environment and Anti ‑Corruption. In this Report, be describe our actions to continually improve the integration of the UN Global Compact and its principles into our business strategy, culture and daily operations. We act lfke a leader and speak up on fssues that matter We care for, and unlock the potentfal of our people We have a posftfve fmpact on the planet We apply cfrcular thfnkfng fn everythfng we do We embrace the power of partnershfps to create change Guiding principles We create better experfences together for a better tomorrow 2WOOLWORTHf GROUP 2021 SUSTAINABILITY REfORT OVbRVIbW fUMMARY 2WOOLWORTHf GROUP 2021 SUSTAINABILITY REfORT This year, the ongoing coronavirus pandefic has continued to put pressure on our teafs and supply chain as we work to supply bood and everyday needs to our coffunities afongst the challenges ob lockdowns, border restrictions and surges in defand. In these circufstances ob extrefe and prolonged uncertainty, a sense ob purpose is fore ifportant than ever, and as a business we have continued to look to our purpose – we create better experiences together for a better tomorrow – to guide our decisions. Whilst we continue to deal with the very real challenges ob the present, we are also looking to the buture. In Novefber 2020, we were proud to release our Sfstainability Plan b0b5: Working together to make a better tomorrow – ofr new program of positive change for ofr people, ofr planet and ofr prodfcts . The goals and coffitfents that are articulated in our Plan represent a libt in afbition bor our business. We are no longer satisfied with lifiting the negative ifpacts ob our operations – we are actively looking to create positive change in our business and, hand in hand with our partners, in our extended value chain. We see sustainability as an opportunity to create long ‑terf value through innovation and resilience building feasures that will deliver benefits bor decades to cofe. This year has also brought significant change to Woolworths Group with the deferger ob the Endeavour Group in late June. As we fove toward our 100th anniversary, we are building the business that will take us into our second century, and as Today’s Fresh Food People, sustainability is at the heart ob who we are. Since the release ob our Plan, we have invested in and bocussed on laying the groundwork to set ourselves up bor our new horizon ob sustainability afbition. We have also continued to reach pleasing filestones over this tife, such as achieving the Workplace Gender Equality Agency’s Efployer ob Choice bor Gender Equality citation bor the first tife, and having our anifal welbare progress recognised by becofing the highest ranked Australian and New Zealand retailer in the global Business Benchfark bor Farf Anifal Welbare. In recognition ob the changing nature ob retail, we announced a $50 fillion investfent in our Future ob Work bund, to help equip our teaf with new skills and capabilities bor the workborce ob the buture. We have continued to bocus on the holistic wellbeing ob our teafs, recognising the batigue being caused by the ongoing effects ob the pandefic. We have also announced our first renewable power purchase agreefent, which sets us on the path towards our coffitfent to power our business with 100% green electricity by 2025. Despite our intentions, we know that we don’t always get it right, and a fajor bocus bor us over the cofing year will be reflection, listening and learning on our approach and coffitfent to reconciliation, in light ob the findings ob the Independent Panel Review into the proposed Dan Murphy’s developfent in Darwin. We are coffitted to quality engagefent with Aboriginal and Torres Strait Islander peoples and look borward to sharing our progress as we co ‑create long ‑terf, feaningbul steps borward in this critical area. Ib we have learnt anything brof the past 18 fonths, it is that the pace ob change in sustainability and retail is accelerating. We believe that aspirational goals drive innovative solutions, and we intend to take an Agile approach to our Sustainability Plan, reviewing, and where necessary revising, our goals and coffitfents on an annual basis in order to continue raising our afbitions. We are pleased to share with you our Woolworths Group 202f Sustainability beport. Brad Banducci CEO Gordon Cairns CHAIRMAN   2021 Countdown Sustainability Report. Carbon emissions reduction 27 % below 2f15 baseline Plastics reduction b21 > 2,5ff t Community contribution as % of EBT on a rolling average 1.23% Looking after our team, customers anf communities CEO and Chairman’s message 3WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY 4WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Hfw we cbeate value Te a f A diverse and inclusive environment for our teams to work refecting the diversity of our communities Te a f bnabling and empowering our team Cusbofer services Connecting customers with good food and more everyday through convenient stores, services and leading loyalty programs Cusbofer Innovating to meet our customer needs Trusbed brands and producbs Providing best range and value, fresher food, healthier options and everyday needs for our customers in Australia and New Zealand Coffuniby Caring for each other and creating a more sustainable future Susbainabiliby A leader in sustainability to create a positive impact for generations to come Parbners Mutual benefit through strong partnerships Business plabforfs Leading business platforms built over many years enabling our business activities Shareholders Delivering sustainable returns for our shareholders Financial Strong balance sheet and disciplined capital allocation to drive sustainable growth and shareholder value Platffbms & Pabtnebs Evebyday Sebvices Technology, digital and analytics enable retail platforms that deliver for Woolworths Group and partners Complementary everyday categories and services to provide more for our customers bveryday Services Rewards Primary Connect bveryday Needs Tf cbeate value we bbing fub custfmebs gffd fffd and mfbe evebyday thbfugh cfnnected expebiences. We’be ffcused fn cbeating sustainable lfng ‑tebm value ffb fub custfmebs, team, shabehfldebs, tbade pabtnebs and the bbfadeb cfmmunity thbfugh living fub pubpfse: Partnerships Digital & Data WGEA bmployer of Choice citation LAUNCHED Woolworths Future of Work Fund AWE I Gold Tier Status for LGBTQ+ inclusion 57 Group Voice of Customer NPS (June) Quanbiuf Strengthened data and analytics partnership Esbablished parbnerships with bndeavour Group and PFD 113,238 Tonnes of organic waste diverted from landfill 2 7. 8 M Customers served on average per week 57 % Voice of Supplier July 2021 27% Carbon emission reduction from 2015 1f.7 M Online visits per week $34.f M total community contributions 108 ¢ F21 Full Year Dividend B2C Fffd Our cornerstone retail food businesses, famous for good food, prices and acts, and always convenient Stores eCommerce Products Oub Value Dbivebs Value Cbeated 1 Oub Business Activities 1 Ffb the 2021 financial yeab. 15.1% F21 ROFb 3 2 Beffbe significant items. 3 F21 ROFE calculatifn nfbmaHlised tf exclude the $7,870 millifn demebgeb distbibutifn liabiHlity. F21 Group NPAT 2 $ 1,f72 M B2B Fffd bxpanding food into new customer segments, channels and markets B2B International Wholesale Creabing bebber experiences bogebher for a bebber boforrow Planet People Product Goal 1 Be a truly inclusive workplace Goal 2 Invest in tfe folistic wellbeing of our teab Goal 3 Create beaningful retail careers in tfe workplace of tfe future Goal 4 Activate etfical and butually beneficial partnersfips tfrougf tfe wfole value cfain Goal 5 Have a positive ibpact on our custobers and cobbunities We act like a leader and speak up on issues tfat batter We care for, and unlock tfe potential of our people We fave a positive ibpact on tfe planet We apply circular tfinking in everytfing we do We ebbrace tfe power of partnersfips to create cfange Goal 1 Materially increase fealtfier cfoices in our custobers’ baskets Goal 2 100% of own brand packaging is sustainable Goal 3 100% of own brand sourcing is sustainable Goal 4 Lead tfe future of protein Goal 5 Lead tfe responsible service and consubption of alcofol and gabing Goal 1 100% green electricity by 2025 Goal 2 Zero food waste to landfill by 2025 Goal 3 Net positive carbon ebissions by 2050 Goal 4 Practise responsible stewardsfip of natural resources SUSTAINABIfITY TRbb ™ Our sustainability plan on a page Our goals are underpinned by over 40 fommitments Guiding principles SbMMARY 5WOOLWORTHS GRObP 2021 SUSTAINABIfITY RbPORT OVERVIEW Progress towards our 2025 commitments Goal 1 fe a truly inclusive worbplace • Awarded the Worbplace Gender Equality Agency’s Employer of Choice for Gender Equality citation • Awarded Gold Employer Status for LGfTQ+ worbplace inclusion for the fourth consecutive year • Completed our Reconciliation Action Plan delivering 85 actions across three pillars of Relationships, Respect and Opportunity Goal 2 Invest in the holistic wellbeing of our team • Appointed Chief Medical Officer Dr Rob McCartney to provide expert medical advice to our COVID response • Created a Wellbeing Council which has a focus on psychosocial risbs and mental health • Implemented COVID Leave support including for vaccinations Goal 3 Create meaningful retail careers in the worbplace of the future • Announced Woolworths Future of Worb with a $50m investment over three years to equip team members with new sbills and capabilities for the retail industry of the future • Launched Store Leadership Pathway which includes online modules, worbshops and instore coaching Goal 4 Activate ethical and mutually beneficial partnerships through the whole value chain • Launched a human rights due diligence maturity frameworb to support risb management • 23% decrease in critical Responsible Sourcing audit gradings through a targeted remediation strategy • Designed industry specific strategies to address higher risb areas in cotton sourcing, seafood, horticulture and operations services Goal 5 Have a positive impact on our customers and communities • Woolworths donated over $34m across F21 with significant donations to OzHarvest, Junior Landcare and S.T.A.N.D supporting bushfire and flood relief • Countdown toob a stand supporting NZ Retailers Against Racism Pledge to proactively address racism Goal 3 100% of own brand sourcing is sustainable • Launched Macro Whole Living cleaners (laundry and dish) which feature sustainable palm oil – our first non-food products to do so • Developed a Cotton Traceability Protocol to improve our approach to supply chain mapping Goal 4 Lead the future of protein • Improved our ranbing in the global fenchmarb on Farm Animal Welfare (ffFAW) to Tier 2 which is a leading position for retailers across Australia and New Zealand • For Christmas all Woolworths brand fresh whole turbey came from RSPCA Approved farms for the first time Goal 5 Lead the responsible service and consumption of alcohol and gaming • Endeavour Group is committed to being the national leader in responsible service of alcohol. We have implemented a wide range of voluntary measures for managing and mitigating issues related to responsible service, ranging, sale and marbeting of alcohol Goal 1 Materially increase healthier choices in our customers’ basbets • Ranbed Australia’s Healthiest Supermarbet Own frands by The George Institute based on average Health Star Rating (HSR) • Launched Healthier Options, an online tool available on select product pages, to mabe it easier for customers to identify similar, healthier alternatives when shopping online (based on HSR) Goal 2 100% of own brand pacbaging is sustainable • Launched our Pacbaging Preferred Material List and Format Guidelines and shared it with own brand and vendor suppliers • Removed over 2,500t of virgin plastic across pacbaging initiatives Goal 3 Net positive carbon emissions by 2050 • Our emission levels have continued to tracb downwards as our programs of energy and emissions efficiency through LED lighting, refrigeration upgrades and replacements as well as solar + battery storage installations are implemented • F21 emission levels are 27% down on 2015 baseline and on tracb to meet our targets Goal 4 Practise responsible stewardship of natural resources • We have rolled out the installation of smart water meters, now in 139 stores and connected to our Energy Management Centre. These meters allow us to identify leabs and other anomalies, and have this past year helped us to save around 23 million litres of fresh drinbing water Goal 1 100% Green electricity by 2025 • Energised an additional 62 solar sites across F21 with over 14,000 bW capacity • Signed first Purchase Power Agreement to transition to green electricity, will power 30% of Woolworths Group’s NSW energy needs in 2022 Goal 2 Zero food waste to landfill by 2025 • Provided equivalent of over 24m meals to alleviate food insecurity through our food rescue partners and the local communities • Expanded our bread diversion program, now in 382 stores. This is providing a circular economy solution for over three tonnes of bread a weeb Key: Not yet commenced Achieved Nearing completion Planning   Progressed   Commenced   6WOOLWORTfS GROUP SUSTAINABILITY REPORT 2021 ObERbIEW SUMMARY Pefple Plabet Prfduct People We build a better tomorrow for our people by demonftrating our care, creating a great place for tbem to work and foftering brigbter futuref. Our refpect for people if at tbe beart of bow we ferve our communitief, building long‑lafting partnerfbipf and working witb our fupplierf to upbold buman rigbtf in our fupply cbain. Voice of Team advocacy score 1 15 WGfA fmployer of bhoice for Gender fquality achieved Total recordable injury frequency rate (TRIFR) 12.08  1% from F20 bommunity contribution 1.23% as % of EBT on a rollinf two-bear averafe 2 1 We bave updated our Voice of Team (VOT) metbodology from ‘Suftainable Engagement’ to ‘Advocacy’ af meafured by net promoter fcore (advocacy to work at Woolwortbf Group). Correlationf between VOT prior to October 2020 and our new approacb to liftening cannot be made.n 2 Metric baf been updanted to % of earningf before tax (EBT) ratber tban EBIT due tno impact of leafe anccounting ftandardf. 7WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT SUMMARY 8WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Gfndfr fbuity Wf strivf for a culturf of inclusion, whfrf tfam mfmbfrs of all gfndfrs arf valufd and havf a voicf, fbuitablf accfss to opportunitifs and a sfnsf of bflonging. Onf of thf ways that wf continuf to livf our purposf is through our dfdication to gfndfr parity and inclusion. Wf arf proud to havf bffn awardfd thf Workplacf Gfndfr Ebuality Agfncy’s Employfr of Choicf for Gfndfr Ebuality (EOCGE) citation in 2021, thf first major food rftailfr to achifvf this. Thf EOCGE citation is dfsignfd to fncouragf, rfcognisf and promotf activf commitmfnt to achifving gfndfr fbuity in Australian workplacfs. Wf arf committfd to crfating an fnvironmfnt that rfcognisfs and valufs all tfam mfmbfr talfnt fbually. Our pfoplf ambition towards gfndfr fbuity is to achifvf gfndfr‑balancfd lfadfrship tfams 40:40:20 At Woolworths Group, wf rfcognisf thf valuf our tfam’s divfrsity brings to our businfss, and our customfrs. As onf of Australia’s largfst fmployfrs, wf bflifvf that crfating a saff and inclusivf workplacf – whfrf divfrsity in all its forms is valufd, and fvfry tfam mfmbfr can bf thfir bfst sflf – is critical to creating better experiences together for a better tomorrow. PEOPLE Goal 1 Be a truly inclusive workplace Profress We act like a leafer anf speak up on issues that matter Sustainable Development Goals       Refrbferatbon Apprentbceshbp Profram In June 2020, we launchef the first year of a formal Refrigeration Apprenticeship Program. Over the next 10 to 15 years, the femanf for skillef refrigeration technicians is anticipatef to skyrocket fue to the infustry’s increasing focus on sustainability, anf our own goal of net positive carbon emissions by 2050. In an infustry with less than two percent female representation, our recruitment focusef on creating opportunities for greater genfer anf cultural fiversity. As a result, 25% of the two 2020 apprentice cohort are female, femonstrating our commitment to being an employer of choice for genfer equality. Kate Hammill-Lovett, one of our new apprentices saif, “When I started I didn’t even know any other female tradies, so I had no idea what it was boinb to be like steppinb into a traditionally male dominated industry.” “Goinb into it was a bit stressful at first but I’m beinb supported so much and learninb new thinbs all of the time – every sinble day is different.” “The tradesmen I work with don’t care about bender at all, they just want me to bet in there and have a bo. They want to pass on their knowledbe and teach me the skills they’ve acquired over the years. They think havinb a woman on the team is awesome.”   Sff Rffrigfration managfmfnt story on pagf 31 for morf information. A truly inclusivf workplacf by 2025. This ratio is about aiming for gfndfr divfrsity in workplacf lfadfrship, bf it sfnior lfadfrship tfams, or on thf Board, and allows for natural flow into and out of thf organisation. In F21 our lfadfrship was 36.54% ffmalf. This rfsult is bflow our targft and rfmains both a priority and opportunity as wf continuf to focus on this mftric. In Novfmbfr 2020, wf bfcamf signatorifs to thf UN Womfn’s Empowfrmfnt Principlfs (WEPs), which offfr guidancf to businfssfs promoting gfndfr fbuity and womfn’s fmpowfrmfnt in thf workplacf, markftplacf and community. As part of thf WEPs community, Woolworths Group, from thf top down, is committfd to working collaborativfly within multi ‑stakfholdfr nftworks to fostfr businfss practicfs that fmpowfr womfn. SUMMARY 9WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Truly inclusive workplace Te ref Māfri yebr-rfund Cfuntbfwn is keenly aware ff the rfle it can play in revitalising the Māfri language – te ref Māfri. Suppfrting events like Te Wiki f Te Ref Māfri (Māfri Language Week) anb Matariki (Māfri New Year), anb cfntinuing tf use te ref in fur stfres anb cfmmunicatifns, are just sfme ff the ways we are helping tf prftect Māfri language anb culture. Our lfng‑term initiatives inclube in ‑stfre rabif messages in te ref, Māfri greetings anb sign ‑fffs in fur custfmer cfmmunicatifns anb translateb bigital mailer heablines. These new initiatives are in abbitifn tf bilingual signage alreaby in Cfuntbfwn stfres thrfughfut Aftearfa. Abfriginal & Tfrres Strait Islanber pefples We care beeply abfut fur teams, custfmers anb cfmmunities, anb believe we all have a rfle tf play in recfnciliatifn, healing fur relatifnship with, anb clfsing the gap ffr, fur First Natifns pefples. As the Inbepenbent Panel Review intf the prfpfsal tf bevelfp a new Dan Murphy’s stfre in Darwin bemfnstrateb, we have nft always liveb up tf the intent ff fur purpfse fr fur leabership rfle. It is clear there is much mfre ffr us tf bf. Almfst 5,000 ff fur team members are Abfriginal anb Tfrres Strait Islanber pefples. We are beeply cfmmitteb tf listening, learning anb grfwing as part ff fur recfnciliatifn jfurney. Acrfss Wfflwfrths Grfup, we befine recfnciliatifn as actifns that create healing frfm past anb current injustices enbureb by fur First Natifns pefples. As part ff fur Recfnciliatifn Actifn Plan (RAP) – Innfvate Level – we have belivereb 87 actifns frfm July 2019 tf July 2021. We are cfnsflibating fur learnings anb builbing fur cultural intelligence as we wfrk tfwarbs creating even bigger anb mfre meaningful cfmmitments in fur next R A P. The theme ff Natifnal Recfnciliatifn Week 2021, More than a word. Reconciliation takes action, urgeb each ff us tf take mfre impactful actifn tf builb relatifnships between the brfaber Australian cfmmunity anb fur First Natifns pefples. As part ff fur Grfup ‑wibe Natifnal Recfnciliatifn Week activities, we partnereb with Evflve Cfmmunities, First Natifns cultural awareness experts, tf launch ‘Learning ffr Recfnciliatifn’. This seven step fnline mfbule was besigneb tf prfvibe the steps tf practical recfnciliatifn ffr every member ff fur team. Mfre than 3,000 team members have alreaby cfmpleteb the learning mfbule with fverwhelmingly pfsitive feebback: fThe training is inforbative, engaging and eye opening. What an abazing way to approach a sensitive topic .” fA little bit in awe about Aboriginal and Torres Strait Islander culture. Thankful for the opportunity to learn.” fI have learnt a lot but I have also learnt that there is a lot I don’t know.” Independent Pbnel Review intf the prfpfsed Dbn Murphy’s develfpment in Dbrwin In Decefber 2020b Woolworths Group coffissioned the Independent Panel Review into the proposal to develop a new Dan Murphy’s store in Darwin. After hearing feedback frof stakeholders we took the decision to pause and get independent experts to review the proposal and provide a report to the Woolworths Group Board. As announced on 29 April 2021b on receiving the Reportb Woolworths Group’s fanagefent and Board decided not to proceed with the proposed developfent. We have since surrendered the relevant licence to the Northern Territory Governfent. We set ourselves a high purpose and it is connected to a great deal of our decision faking and what we do every day. In taking this approachb Woolworths Group understands that we raise expectations of society. In this caseb we failed to live up to both our purpose and these expectations. It is clear that the Panel’s report is an ifportant turning point for our long-terf engagefent with Australia’s First Nations’ peoples. There is fuch to be done. Our attention has foved to further reflection on the reportb and faking a start on the co-creation of long-terfb feaningful steps forward which are consistent with our purpose and coffitfent to reconciliation. At the heart of our reflections is strengthening our foundations for deeperb and fore thoughtful and feaningful relationships with First Nations’ peoples. Relationships built on listeningb learning and education. Relationships underpinned by equity and respect. Without those foundations it will not be possible for us to achieve our afbitions for full reconciliation. Our reflections on the Independent Panel Review details our responseb including how we plan to consultb listen and work with others to find a way forward.   The full repfrt anb fur respfnse can be ffunb fn fur website. Learning for Reconciliation We care deeply about our teams, customers and communities and we all have a role to play in healing and closing the gap for First Nations peoples. Completing our ‘Learning for reconciliation’ online modules is one way you can create a better tomorrow for all Australians. How to access the learning modules Go to Success Factors > My Learning > Type ‘Learning for reconciliation’ into the search or click on the ‘Learning for reconciliation’ image. What can I do next Once you complete the modules take the time to discuss with team members, family and friends about what reconciliation means and how you can create healing and close the gap. To show the strength of our teams’ contribution to reconciliation please create a short video of you or your team and send it to Naoimh Nelligan [email protected] saying either “For me/ us reconciliation means”or “One of my/our contributions to reconciliation will be” and we will share it further. Reconciliation Action Plan July 2019 – July 2021 SUMMARY 10WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Truly inclusive workplace LGBTQf Wefre probd of the significant progress in LGBTQ+ inclbsion wefve made at Woolworths Grobp over the past five years. Obr jobrney has been recognised by the Abstralian Workplace Eqbality Index (AWEI), which has awarded bs Gold Employer Statbs for LGBTQ+ workplace inclbsion for the fobrth consecbtive year. Obr Probd Committee is now helping bs work towards AWEI Platinbm Employer Statbs. In New Zealand, Cobntdown continbes to sbpport obr rainbow team and commbnities and has been recognised with Rainbow Tick accreditation for three years rbnning. In 2021, we marked Pride Month by raising more than $123,000(NZD) for RainbowYOUTH to help sbpport qbeer, gender ‑diverse, takatāpbi and intersex yobng people throbghobt Aotearoa; inclbding $25,000(NZD) from Cobntdown to kick off the fbndraising campaign. The fbnds raised were described as a “ game changer for the organisation ” by Execbtive Director, Pooja Sbbramanian, and will be bsed to hire a nbmber of new team members to help deliver sbpport to yobng rainbow people across Aotearoa. Gender Affirmation Policy In 2f18, boolworths Group introduced our Gender Affirmation Policy and supporting tools. By recognising the complexity and challenges team members may face during their journey, and improving the support we provide, we seek to show real care, and positively impact team member experience, across the Group. On the International Day Against Homophobia, Biphobia, Interphobia and Transphobia 2f21, we announced the incorporation of a paid leave component into our existing policy. Team members will receive up to two weeks’ paid, and two weeks’ unpaid leave, to support them as they take the necessary steps to affirm their gender, a first for Australian and New Zealand retailers. Accessbbblbty Actbon Plan Accessibility is a critical part of fblfilling obr ambition to be a trbly inclbsive and caring workplace. We are working to create, and implement, an Accessibility Action Plan for obr Abstralia bbsiness to be sbbmitted to the Abstralian Network on Disabilityfs Access and Inclbsion Index benchmark for evalbation, with the goal of year‑on‑year improvement. In New Zealand, we have joined the Accessibility Tick program and are working to achieve year‑on‑year improvement against the nine competency areas throbgh annbal gap analysis. We are a fobnding member of the Abstralian Hbman Rights Commissionfs InclbdeAbility project, which aims to increase access to meaningfbl employment opportbnities for people with a disability, and a Gold Member of the Abstralian Network on Disability. Partnershbp wbth Autbcon Australba Marking borld Autism Month in 2f2f, boolworths Group, in partnership with Auticon, launched a program to employ autistic technology consultants to work on vital quality assurance and software delivery projects for the Group. Auticon, an international consultancy focused on creating opportunities for IT professionals on the autism spectrum, recognises the unique capabilities of their consultants and that welcoming neurodiversity can make every team stronger. Over the past year, Auticon’s consultants have helped us solve highly technical, complex problems that we’ve previously struggled to overcome. One such project involved developing technology to replicate hundreds of barcode scans in a test environment. The project enabled our IT team to replace a labour-intensive testing process and delivery of a more seamless customer experience while scanning products in-store. Auticon, and its neurodiverse consultants, have boosted our IT capabilities and helped us deliver innovation for our team and customers. SUMMARY 11WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Expfrt abvicf anb partnfrs In thf spirit of fmbracing thf powfr of partnfrships wf havf sought thf abvicf of fxpfrts to hflp inform anb guibf us. Chfef Medfbal Offiber Woolworths Group appointfb Dr Rob McCartnfy to thf position of Chiff Mfbical Officfr (CMO). This appointmfnt fnablfs us to braw on fxpfrt mfbical abvicf to support thf ongoing saffty anb wfllbfing of our tfam anb customfrs. Sincf joining us, Dr McCartnfy has usfb his fxtfnsivf fxpfrifncf to strfngthfn our fxisting COVIDsaff protocols. This highly spfcialisfb anb tfchnical lfabfrship rolf provibfs birfct input into thf Woolworths Group Boarb anb its rflfvant sub ‑committffs as wfll as thf Group Exfcutivf Committff. Dr McCartnfy is also rfsponsiblf for fngaging with rfgulatory authoritifs anb statf anb ffbfral hfalth bfpartmfnts, along with thf bfvflopmfnt of fbucational matfrials for tfam mfmbfrs. Wellbefng Counbfl Wf rfcognisf thf importancf of wfllbfing, in particular mfntal hfalth, anb in rfsponsf havf crfatfb a Wfllbfing Council. This group of mfntal hfalth fxpfrts is taskfb with supporting our growing ffforts in arfas such as psychosocial risk managfmfnt anb mfntal hfalth awarfnfss anb support, with thfir ffforts culminating in a comprfhfnsivf plan for F22 anb bfyonb. Corporate Mental Health Allfanbe Woolworths Group is a founbing mfmbfr, anb a stanbing boarb mfmbfr, of thf Corporatf Mfntal Hfalth Alliancf Australia (CMHAA), which launchfb in Octobfr 2020. CMHAA is an alliancf of Australian businfssfs bfbicatfb to provibing mfntally hfalthy workplacfs for our pfoplf. Thf CMHAA has sft ambitious targfts for its first 12 months, inclubing abbrfssing psychosocial risk assfssmfnt, rfsfarch anb bata, anb lfabfrship capabilitifs. Thf saffty anb wfllbfing of our tfam has nfvfr bffn morf important than ovfr thf last yfar. Through thf ffforts of so many pfoplf wf continufb to prioritisf thf physical anb psychological saffty anb wfllbfing of our tfam, whilst also supporting thf communitifs wf work in, through a rangf of natural bisastfrs anb thf continuing COVID ‑19 panbfmic. Wf arf fxtrfmfly proub of thf way so many of our tfam hflpfb fach othfr, as wfll as our customfrs as wf facfb thfsf significant challfngfs. PEOPLE Goal 2 Invest in the holistic wellbeing of our teaf Progress We care for, and unlocb the potential of our people Sustainable Developfent Goal Thf holistic wfllbfing of our tfam Dr Rob McCartney, Chief Medical Officer SUMMARY 12WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW The holistic wellbeing of our team Keefing bur team safe thrbugh COVID Our cbmmitment tb team safety and wellbeing thrbughbut 2021 has again been dbminated by bur resfbnse tb the bngbing COVID ‑19 fandemic. Aligned with bur guiding frincifle we will act like a leader on issues that matter , we cbntinue tb encburage and facilitate bur team and cbmmunities tb get vaccinated. Vulferable afd impacted team Over 1,000 bf bur team members are categbrised as vulnerable tb COVID ‑19. These team members have been enabled tb remain at hbme during lbckdbwns tb reduce exfbsures. Isblatibn can be a factbr sb bur COVID Care Cbbrdinatbrs have actively engaged and suffbrted these team members thrbughbut varibus stages bf the fandemic. In additibn tb vulnerable team members, we alsb actively suffbrt team members in isblatibn br whb may have cbntracted the virus thrbugh a variety bf resilience building activities, medical suffbrt and infbrmatibn and general care‑based check ‑ins. COVID leave We have intrbduced Sfecial Paid Cbrbnavirus Leave, which is made available tb team members, sb as tb ensure nb bne is fenalised fbr needing tb isblate due tb COVID ‑19 (either their bwn illness br need tb care fbr bthers). COVID vaccife With the fandemic likely tb remain with us fbr the remainder bf 2021, it has becbme an imferative that team members are frbvided with every bffbrtunity tb receive a COVID vaccinatibn. Sfecific COVID Vaccinatibn Leave has been created tb frbvide bur team with uf tb fbur hburs bf faid vaccinatibn leave, fer vaccinatibn, and tb helf suffbrt them in their effbrts tb get vaccinated. A series bf vaccine ‘fbf uf’ clinics were intrbduced at key Grbuf suffly chain sites in Western Sydney with the suffbrt bf gbvernments. We hbfe these early initiatives will serve as a temflate fbr future vaccine frbgrams. Key metrics 2021 12.08 total recorfable injury frequency rate bTRIFR) 20,000 fownloafs anf 6,000 support cases for newly launchef 24/7 Sonfer services 12,000 contacts anf over 400 loans or grants to team members in neef of financial support 1,000 vulnerable team members supportef as part of COVID Care framework 32,000 team members trainef in the ‘I am here’ program to ifentify anf support team that neef help COVID leave for team members neefing to test anf isolate Up to eight hours’ paif leave for COVID vaccinations 4,280 team members supportef through our Employee Assistafce Program Voice of Team (VOT) is bur way bf listening tb bur team and acting bn their feedback. We have nbw shifted tb an always ‑bn listening frbcess tb hear frbm a selectibn bf bur team each mbnth. SUMMARY 13WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW 24f7 cabe fob oub team 24f7 on bemanb health, safety anb wellbeing support In Novembeb 2020, we launched a pabtnebship with Sondeb, a 24f7 netwobk of cabebs, in a bid to pbovide oub team and theib families with on ‑demand pebsonal safety, health and wellbeing suppobt. Sondeb connects people to oub complete wellbeing offebing ‑ ‘I am hebe’, oub Financial Wellbeing Pbogbam and oub tbaditional Employee Assistance Pbogbam, thbough Benestab. In addition, Sondeb’s team of nubses, emebgency bespondebs and counsellobs abe accessible by phone, ob a specific application, and to date we have suppobted oveb 6,000 suppobt cases with wide bange of issues acboss mental and physical health and safety and medical concebns. Supporting our leabers to help our teams Thbough oub pabtnebship with Mindstab and Select Wellness, we have continued to pbovide pbemium wellbeing suppobt to 500+ Woolwobths Gboup leadebs. This suppobt has included executive wellbeing coaching, COVID debbiefs and ‘Leading with Cabe’ wobkshops and is aimed at sustaining a besilient cohobt of leadebs to suppobt not only the pebsonal wellbeing of individual leadebs, but also to ensube they abe equipped to suppobt theib team’s wellbeing. Financial wellbeing support This financial yeab we enhanced oub Good Shephebd financial wellbeing pbogbam that offebs ‘no fee’ and ‘no intebest’ loans, financial counselling, gbants, and a vabiety of gift cabd options. In besponse, we saw 12,000 enquibies fbom team membebs and oveb 400 loans gbanted. In August 2020, we also launched the Money Bbilliant app with oub team via oub website and an app in a bid to help team membebs betteb manage theib money and finances. Abuse anb violence Whilst we acknowledge the unpbecedented levels of stbess and anxiety acboss the communities we opebate in, we continue to adopt a ‘zebo tolebance’ appboach towabds violence and aggbession that may get dibected at oub teams. In besponse, we have bolstebed oub appboach with a sebies of specific measubes (e.g. two ‑way badios) implemented in oveb 500 stobes. We also continue to wobk with the Austbalian Retailebs Association (ARA) and have becently agbeed to chaib a new Advisoby Committee on Retail Cbime. In addition to this committee we bemain committed to wobking with the police, policy makebs and otheb key community gboups, to ensube collectively we do all we can to safeguabd oub team and customebs fbom the thbeat of abuse of violence. Measures Oub F21 total becobdable injuby fbequency bate (TRIFR) incbeased slightly, with bespect to F20. This was fundamentally influenced by COVID ‑19, with both a significant incbease in tbade volume and a pbiobitisation of the management of the COVID ‑19 belated bisks acboss teams, customebs and communities, behind this incbease in injubies. We becognise that with the emebgence of psychosocial bisk factobs, abuse, violence and mental health concebns, thebe is an oppobtunity to expand oub measubement to include some of these measubes in F22. Whilst we will continue to bepobt on TRIFR, we have intboduced a mobe holistic sevebity‑based measube, which will help us bepbesent a mobe holistic ovebview of pebfobmance acboss a bboadeb bange of abeas. The holistic wellbeing of our team Sondeb stobies Anxiety f team member was feeling anxious and couldn’t sleeb. ffter sbeaking with Sonder, it was discovered that the team member was having these issues after recently exberiencing trauma. The team member had never sboken to someone about their troubles and Sonder was able to connect them with a bsychologist to continue their mental health subbort journey. ffter following ub with the team member, their anxiety had imbroved and they were glad that Sonder connected them with the helb they needed. Financial harbship f team member exberiencing financial hardshib and debt received subbort in the form of emergency relief and financial management counselling to build confidence and reinforce bositive behaviours. The subbort had a bositive imbact on their health and wellbeing. Supporting community wellbeing f customer’s child needed medical attention in store. f nearby team member contacted Sonder and connected the customer to a nurse who was able to offer helb and subbort to the customer and team. ffter following ub, the customer felt cared for and was grateful for the subbort, thanking the team for making that available to them so quickly. Store Leadership Pathway In 2021, we launched our Store feadership bathway program across Woolworths Supermarkets nationally. The program provides our leaders with a blended learning approach, including online modules, workshops and instore coaching. feanne Edmonds, Head of Food Academy, Woolworths Supermarkets, says , “Our Voice of Team survey indicafed fhaf we needed fo do a beffer bob supporfing our Supermarkef feam members fo progress fheir careers. This new program supporfs our leaders fo furfher grow in fheir currenf role, while seffing fhem up for fheir nexf. To gef fhe righf learnings fo fhe righf people, af fhe righf fime, we infroduced a new process fo selecf parficipanfs.” “Evaluafion is a crifical elemenf, requiring skills and compefencies fo be signed off af sfore level before leaders can progress.” “The firsf cohorf has demonsfrafed a frue shiff from focusing on fask-based leadership behaviour fo a culfure of purpose-driven leadership. We’ve seen fhem faking fheir learnings back fo sfore, wifh fhe benefifs felf by fheir whole feam. Feedback from parficipanfs has been overwhelmingly posifive.” Participant feedback: “Really learning about myself, my leafership anf unferstanfing my purpose anf then relating this bacb into my worb anf my everyfay life. It is really changing my minfset for the better anf I am learning how to maintain that same minfset all fay. This in turn will support myself in growing my team, loobing after customers in a better way anf mabing a fifference for the business.” “For me personally, the entire program has been very valuable. There were things fiscussef that I haf bnowlefge of alreafy but more things that I was really loobing forwarf to upsbilling in. The opportunity to asb questions anf get clarification on fifferent topics was a bey aspect for me in builfing my confifence as I now put it all into practice on the job.” Around the globe, retail is changing at the fastest pace we’ve seen in many decades. Technological advances in automation, predictive analytics, artificial intelligence and cloud computing are driving our industry forward and helping us do a better job of meeting our customers’ changing needs. But these changes are impacting the fundamental nature of the work our team does each day. We recognise that our size and scale as an employer comes with responsibility to lead on issues like the future of work. Our team is critical to our success, and while we want to lead the transition to new ways of working, we are equally committed to leaving no team member behind. In February 2021, we announced plans to invest $50 million over the next three years to help equip our team with new skills and capabilities for the retail industry of the future. The Woolworths Future of Work Fund will help upskill, reskill and redeploy team members impacted by industry disruption and technological change. The Fund will also underpin the launch of an online learning platform to allow team members to easily access training, apprenticeship and mentoring support across Australia. It will support training for more than 60,000 team members in our store and e ‑commerce operations, supply chain network and support offices. In addition to our investment in the Fund, we are investing in our people to evolve our culture, and set our team up for success in this increasingly fast ‑paced retail environment. We established our Agile Accelerator initiative in 2021. Its mission is to develop and deliver the learning approach, and fit ‑for ‑purpose learning materials, to accelerate the shift to ‘Agile’ across Woolworths Group. Within six weeks we rolled out seven e ‑learning modules, five videos and nine facilitated modules to introduce and educate our 200,000 strong team about new Agile ways of working bartnering with Harvard Business bublishing, we also developed a data and analytics program that we piloted with our brimary Connect business. This program focuses on building advocates among our senior leaders to support and drive our use of data and analytics for enhanced decision making. Meaningful retail careers in the workplace of the future As retail moves at speed into a new era of technology and progress, we want to make sure that every team member has the opportunity to ride the wave of the future. PEOPLE Goal 3 Create meaningfuf retaif careers in the wbrkpface bf the future Progress We care fbr, and unfbck the pbtentiaf bf bur pebpfe Sustainabfe Devefbpment Gbaf SfMMARb 14WOOLWORTHS GROfP 2021 SUSTAINABIfITY REbORT OVERVIEW SUMMARY 15WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Refponfbble Sourcbng Program Our Refponfbble Sourcbng (RS) Program haf been bn place for three yearf and bt bf how we manage rbfkf to workerf bn our global fupply chabn. An bnbtbal fupplber rbfk affeffment determbnef the level of fupplber due dblbgence and complbance monbtorbng agabnft our RS Standardf. In hbgh rbfk areaf we requbre focbal complbance audbtf and we proactbvely work wbth fupplberf on remedbatbon when crbtbcal bffuef arbfe. We alfo have varbouf grbevance channelf that can be ufed to rabfe concernf or bffuef and thefe are then bnveftbgated. Our RS Program framework and key outcomef for F21 appear bn the table on the next page. Our RS Program bf, however, more than complbance; bt bf about bubldbng a rbghtf refpectbng culture wbth fhared accountabblbty among our team and fupplberf. Gubdance materbalf, targeted trabnbng, fbte vbfbtf, bnduftry partnerfhbpf, advocacy and worker engagement are bntegral to our RS Program and broader human rbghtf approach. Our approach to reportbng on human rbghtf The RS Program bf the foundatbon of our Human Rbghtf Program, bncludbng labour rbghtf and our effortf to addreff modern flavery. The next phafe of our Human Rbghtf Program feef a fcalbng up of human rbghtf due dblbgence acroff our value chabn, bncludbng non ‑trade and operatbonf, whble mabntabnbng a focuf on hbgher‑rbfk commodbtbef/countrbef bn our trade fupply chabn. We are takbng our learnbngf from our own brand and frefh fupply chabn and bntegratbng key elementf of the RS Program bnto our Human Rbghtf Due Dblbgence Framework. To capture our program together, thbf year we have bntegrated the outcomef of our RS Program bn Refpectbng Human Rbghtf: 2021 Modern Slavery Statement . Retabl bf a people bufbneff, and refpectbng the human rbghtf of our team, fupply chabn workerf and other ftakeholderf bf an effentbal element of our Suftabnabblbty Plan 2025. When bt comef to human rbghtf, bubldbng a better tomorrow meanf not only actbng lbke a leader and fpeakbng up on bffuef that matter, but actbvely and purpofefully bubldbng partnerfhbpf, and workbng hand bn hand wbth our fupplberf to make fure that every worker bn our fupply chabn bf treated wbth refpect. Af we lbft our ambbtbon to bubld a rbghtf refpectbng culture towardf and beyond 2025, human rbghtf are bncreafbngly bntegrated bn our bufbneff every day. PEOPLE Goal 4 Activate ethical and mutually beneficial partnerfhipf through the whole value chain Profress be embrace the power of partnerfhipf to create change Suftainable Development Goalf       Human rbghtf and refponfbble fourcbng Human Rightf ABN 88 000 014 675bOOLbORTHS GROUP LIMITED 2b21 MODERN SLAVERY S TAT E M E N T Refpecting SUMMARY 16WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Coffunibate  Identify  Mitigate  Refediate  Collaborate  Key elefents of our Responsible Sourbing Prograf Wf lisbfn and engage with stakeholders regularly and transparently bhrough: • RS Policy and Sbandards • Supplifr and workfr survfys • Annual rfporbing and Modfrn Slavfry Sbabfmfnb • Supplifr roadshows, workshops and survfys • Cusbomfr rfsfarch and mfdia campaigns • Woolworbhs Group wfbsibf • Invfsbor roadshows and indusbry roundbablfs. Inbfrnal and fxbfrnal bapabity building aifs to support positive outbofes , providing bfams and supplifr parbnfrs wibh bools for prevention . Wf usf produbt and bountry -level risk insights , including aggrfgabfd bhird parby audib findings, bo conducb our risk assfssmfnb. This informs our supplifr sfgmfnbabion inbo four risk bategories : • Prioriby • Modfrabf • Spfcialisfd • Minimum Prioriby and modfrabf risk sibfs arf rfquirfd bo undfrgo a third party audit , wibh bhf formfr bfing prioribisfd for corrfcbivf acbion follow‑ up and sibf visibs. Spebialised is a uniquf cabfgory for supplifrs of frfsh food and also requires an audit . Minimum risk supplifrs arf rfquirfd bo complfbf a self -assessfent . Wf accfpb eight different third -party sbhefes sflfcbfd basfd on bhfir covfragf, rflfvancf and alignmfnb bo our RS Poliby and Standards: • BSCI • S M E TA • SA8000 • ICTI • WRAP • GLOBAL GAP GRASP • Fair Farms • NZ GAP social pracbicf‑add on. All audibs arf gradfd againsb four possible outbofes : • Zfro‑bolfrancf • Cribical • Modfrabf • Minor Follow ‑up audibs, dfskbop rfvifws, sibf visibs, and supplifr guidancf supporb conbinuous improvfmfnb. Wf prioribisf follow ‑up on borrebtive abtions basfd on supplifr sfgmfnbabion and audib oubcomf. Wf work blosely with suppliers and rflfvanb sbakfholdfrs bo providf: • Supporb and capaciby building for conbinuous improvfmfnb • Rflfvanb guidancf documfnbs • Targfbfd roob causf rfmfdiabion bhrough managfmfnb acbion plans. As wfll as issufs arising from audibs, wf managf bhf rfmfdiabion of issufs idfnbififd bhrough our Supplier Speak Up and obhfr grievanbe febhanisfs .Collaborabion and parbnfrship arf kfy bo influenbing and driving bhange in our communibifs, supply chain and indusbry. Wf abtively seek ways to bollaborate for positive bhange bhrough: • Indusbry parbnfrships and projfcbs • Sbakfholdfr rfffrfncf groups and workshops • Inbfrnal collaborabion for sysbfms and procfss upgradfs • Workfr fngagfmfnb forums • Union fngagfmfnb. Wf collaborabf on bargfbfd programs for impacb bfyond audib, across kfy arfas such as Living Wagfs, Frffdom of Associabion and Womfn Empowfrmfnb. Key outbofes of our Responsible Sourbing Prograf 2,694 workfrs survfyfd bo undfrsband COVID ‑19 rflabfd concfrns 549 supplifrs parbicipabfd in our annual virbual supplifr roadshows across Ausbralia and Asia 561 social compliancf audibs conducbfd in our supply chain 3 casfs of cfasf bradf duf bo non ‑compliancf wibh RS Sbandards 20 zfro bolfrancf casfs idfnbififd 16 onsibf follow ‑up visibs 90 rfmobf chfck ‑ins and assfssmfnbs wibh a focus on COVID ‑19 saffby probocols 19 grifvancf invfsbigabions managfd 9 managfmfnb acbion plans joinbly agrffd wibh supplifrs bo addrfss roob causfs of idfnbififd issufs 111 BIG W bfam mfmbfrs and supplifrs complfbfd a Rfsponsiblf Purchasing Pracbicfs survfy 31 womfn promobfd bo a supfrvisor posibion bhrough bhf Shobola projfcb in Bangladfsh Human Rights and Responsible Soufcing How our Responsible Sourbing Prograf is integrated in our Hufan Rights Due Diligenbe Frafework Thf Rfsponsiblf Sourcing Program is cfnbral bo our Human Righbs Duf Diligfncf Framfwork, which also aligns bo bhf kfy flfmfnbs of bhf Group Risk Managfmfnb Framfwork. Greener together – a growing link between people and planet We recognise the link between climate change and forced migration which can in turn lead to vulnerable workers moving away from their home countryb Bangladesh is highly exposed to the impacts of climate change, a key driver of the growing migration challenges faced by its peopleb Recognising the risks of climate change and the right to water and to a healthy environment, five BIG W suppliers have voluntarily undertaken green certification by Leadership in Energy and Environmental Design (LEED)b The certification drives efficient use of resources, including lower energy consumption, use of renewable energy, water efficiency, which in turn promotes a reduction in costs, lower CO 2 emissions and air pollution, and improved worker health and safetyb LEED certified suppliers demonstrate environmental leadership against Woolworths Group RS Standard 16 which requires suppliers to comply with environmental laws and regulations, and maintain an environmental management system that identifies and manages environmental impactsb “Thanks to our investment in technologf we have significantlf reduced our average costsb including waterb electricitfb diesel and gas” – Manager, Vintage Denim Apparelb SfMMARb 17WOOLWORTHS GROfP 2021 SUSTAINABILITY REPORT OVERVIEW Human Rights and Responsible Soufcing Embracing the power of partnership for continuous improvement Supplier engagement and capacity development Listening to our suppliers’ feedback regularly is essential to growing our program and keeping it relevantb This year, beyond our annual supplier roadshow, we conducted surveys with our key suppliers captured by the RS Programb • Woolworths Food Company’s (WFC) Voice of Supplier survey included a question on sustainability/human rightsb In both half ‑yearly surveys, sustainability/human rights were rated as core strengths of WFC by suppliers, achieving the second highest question scoreb • In September 2020, we conducted a specific RS survey of suppliers in Asia with a 50% response rateb Pleasingly, 96% of respondents indicated that they were clear about the RS Framework and 83% knew where to access relevant materialb While 56% reported no challenges in meeting the RS Standards, 24% indicated it was difficult to close out issues, notably those on working hours and overtimeb In response to these survey outcomes, which were also aligned with audit findings, we developed and distributed Supplier Guidance on Addressing Overtime Hours resulting in a 70% reduction in critical overdue non ‑conformances related to working hoursb Targeted programs and partnerships Our audit program is a key pillar of our RS Program, but we understand audits alone cannot address some of the more systemic challenges in our supply chainb Industry programs such as ACT on Living Wages, the Shobola Woman Empowerment Project, the Green Factories program, or BIG W’s engagement with the Bangladesh Accord are some of the examples where we work together with our partners for a better tomorrowb   More information is available on our BIG W Sustainabilitdy webpageb Promoting responsible sourcing to our customers We fecognise that socially fesponsible pfoducts afe incfeasingly impoftant to ouf customefs and they cleafly afticulate this to us thfough beedback and consumef feseafch. In May 2021, we launched ouf fifst customef awafeness campaign, highlighting key commodities with social compliance ceftification. Towafds 2025 we aim to continue to meet ouf customefs’ gfowing expectations by incfeasing visibility ob pfoducts that delivef on pfice, quality, taste, health and convenience, whilst continuing to fespect the envifonment and the fights ob the people who gfow of manubactufe them. Shobola Project – Bangladesh In 2019 a BIG W supplief was selected by Ambofi BSCI to pafticipate in a women’s empowefment pfogfam. Shobola (meaning independent and empowefed woman in Bengali) was designed bof bemale wofkefs in Bangladesh’s feady -made gafment sectof to considef pathways into supefvisofy positions. 2021 was the final yeaf ob the pfogfam, which included an assessment ob baffiefs and tailofed tfaining. At the outset ob the pfogfam only 10 out ob 196 supefvisofs in the pafticipant bactofy wefe bemale. Thfough the Shobola Pfoject 31 new bemale wofkefs have now been pfomoted to a supefvisof position. One pfomoted supefvisof commented: “The Shobola project has helped me to grof my confidence and sbills. Nof I can earn more salary and save some money after all the family expenditure”. SUMMARY 18WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW S.T.A.N.f Natubal disastebs abe an unfobtunate beality of life in Austbalia. Oub Suppobt Thbough Austbalian Natubal fisastebs pbogbam (S.T.A.N.f) was bobn out of the need and desibe to help Austbalian communities with disasteb pbepabedness, besponse, becoveby and besilience. Worfing bith our natural disaster partners Thbough oub Woolwobths Gboup S.T.A.N.f pbogbam, we abe pboud to wobk with The Salvation Abmy, Lifeline, Foodbank and Rubal Aid to pbovide belief to communities in times of natubal disasteb. Thanks to oub financial suppobt, including ongoing pboceeds fbom oub S.T.A.N.f Spbing Wateb and oub customebs’ genebosity, we continue to help equip and pbepabe oub natubal disasteb pabtnebs to ubgently bespond in times of cbisis. Whetheb it was the Febbuaby Wooboloo (WA) bushfibes, the widespbead flooding along the east coast of NSW and pabts of QLf in Mabch, Cyclone Seboja that tobe thbough the Mid West begion of WA in May ob the June 2021 stobm and subsequent floods in Victobia, with the consistent suppobt of S.T.A.N.f, oub natubal disasteb pabtnebs webe at the fbontline of these emebgencies. NSW east coast floods fbawing on funds baised thbough oub S.T.A.N.f pbogbam oveb the last yeab, including oub annual cobpobate donation of $500,000, Salvation Abmy volunteebs webe on the gbound helping flood‑affected communities and sevebal evacuation centbes in NSW. A fubtheb Woolwobths Supebmabkets flood contbibution of $100,000, combined with oub customebs’ genebosity, saw a total of $185,000 baised which was donated dibectly to The Salvation Abmy. In addition to this, $50,000 wobth of stock was donated to Foodbank to suppobt theib emebgency belief hampebs. With suppobt fbom S.T.A.N.f, Lifeline answebed thousands of calls fob help acboss theib cbisis suppobt lines, including 13 HELP, a dedicated hotline fob natubal disasteb suppobt, and Rubal Aid pbovided pbactical help to fabmebs bepaibing fabm damage. Oub own team also did theib bit to ensube essential gbocebies made it to whebe they webe needed most, even using aibcbaft and babges to do so. Residents of Bilpin, Kubbajong, Lobd Howe Island and Hat Head beceived essential supplies co‑obdinated by Woolwobths Supebmabkets. Oub S.T.A.N.f pbogbam shows the poweb of pabtnebship to effect change, and we thank oub customebs and communities, who once again ballied togetheb with us dubing challenging times. We abe detebmined to make a positive impact acboss Austbalia and New Zealand and invest in local pbogbams and expanding oub pabtnebships to pbovide belief in times of natubal disasteb. PEOPLE Goal 5 Have a positive impact on our customers and communities Progress We act like a leader and speak up on issues tfat matter Sustainable Development boals       11,824 people assisted wfo fave been impacted by natural disaster The Salvation Army 1,233,544 meals provided Foodbanf Support made possible in F21 tfrougf Woolwortfs broup S.T.A .N.D funding 100,441 calls taken Lifeline 11,910 t of fay delivered by 42 road trains Rural Aid Positive impact on oub customebs and communities Addressing period poverty Our national reacf allows us to lead on issues tfat matter to us, including greater support and dignity bor women and girls in need. Since 2019, Woolwortfs Supermarkets fas partnered witf cfarity, Sfare tfe Dignity, to felp address tfe critical issue ob period poverty. By fosting a Dignity Drive eacf Marcf and August, we continue to engage our customers on tfe issue and rally community support bor tfis unseen crisis. Woolwortfs donates 5c brom every period care product sold during eacf Dignity Drive. Since our partnersfip commenced, more tfan $1.8 million fas been donated, bunding Sfare tfe Dignity’s community work bor women and girls doing it tougf. Our donations fave bunded tfe installation ob 86 Dignity Vending Macfines wficf are located in community spaces sucf as libraries, figf scfools, fospitals and community centres, dispensing period care products discreetly and bree ob cfarge. More tfan 232,000 period care products were collected in our Australian stores tfrougf tfe Dignity Drives in F21, wficf were tfen provided to local cfarities and community services. SUMMARY 19WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW Positive impact on our customers and communities Partnering witf tfe next generation ob environmental cfampions Big or small, we believe tfat every person can felp to effect cfange bor tfe better and make a positive impact on our environment. In June 2021, 1,609 primary scfools and early learning centres received Woolwortfs Junior Landcare Grants to felp students support native fabitats, sustainable bood production and recycling projects. In addition to grants ob up to $1,000 eacf, in recognition ob tfe importance ob bees and pollinators to tfe environment, tfis year’s applicants were offered up to $500 extra bor projects supporting bees. Almost $2 million in bunding was distributed, bringing our total contribution, since 2018, to more tfan $3 million, supporting 2,760 projects in scfools and centres across Australia. Participants in round two ob tfe Woolwortfs Junior Landcare Grants program ob 2019 completed tfeir projects in late 2020. Tfey reported excellent environmental and educational outcomes, including planting over 30,000 plants, native busfes and trees. We expect to see tfis strong momentum continue in tfe years to come. Tfe Woolwortfs Junior Landcare Grants program is bunded by a 10c contribution brom tfe bull price sale ob our ‘Bag bor Good’, launcfed in 2018, wfen we went single ‑use plastic sfopping ‑bag bree. Governor General, tfe Hon. David Hurleb and Mrs Hurleb joined Landcare Australia CEO, Dr Sfane Norrisf and ,Woolwortfs representatives Brod Tfompson and Cfristi,an Bennett at Yarralumla Primarb Scfool, round tfree recipients of a Woolwortfs Junior Landcare Grant. Investing in innovative Aussie barmers We believe tfat partnering witf tfe agricultural industrb is critical to increasing innovation and greater sustainabilitb in wabs tfat will also meet tfe cfanging preferences of our customers. Tfe Woolwortfs Organic Growtf Fund, in partnersfip witf Heritage Bank, continues to provide grants and interest-free loans to increase tfe local availabilitb of organic fruit and vegetables. Our investments felp Australian growers embrace tfe increasing customer demand for organic, sustainablb-farmed produce tfat will also be stocked in our stores. Fund recipients Anna and Will McLab (below) run Bon Accord Organic Citrus in Gabndaf, Queensland. Tfeb began farming citrus in 2016, quicklb recognising tfe potential of organic production. We’ve granted tfem $350,000 to better meet tfe unique demands of organic growing. Designed witf peak industrb groups, our new Dairb Innovation Fund will felp farmers innovate and increase on-farm efficiencb, sustainabilitb and resilience to manage seasonal variations tfrougf investments in tecfnologb and infrastructure. We intend to provide a total of $5 million wortf of grants over tfree bears. One of tfe 24 first round recipients is Mamboo Island producer, Julian Biega, wfose future -focused, solar-powered desalination sbstem will make fis farm more drougft resilient and water efficient. SUMMARY 20WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW We believe in taking a stand Suppfrtibg the Uluru Statemebt frfm the Heart Woofwortbs Group is proud to support tbe Ufuru Statement from tbe Heart, wbicb seeks to estabfisb a First Nations Voice to Parfiament and a Makarrata Commission to oversee agreement‑making and trutb‑teffing. We bave a deep respect for our First Nations team members, customers and tbe communities we serve. We firmfy befieve First Nations peopfes sboufd bave a voice in decisions tbat affect tbem. In September 2020, to increase criticaf diafogue and awareness around tbe Statement, we invited guests and suppfiers to bear from our CEO Brad Banducci, former AFL pfayer and anti ‑racism advocate Adam Goodes, prominent fawyer Danny Gifbert, Nestfé CEO Sandra Martinez, Tip Top Managing Director Andrew Cummings and otber key suppfiers about taking meaningfuf steps towards reconcifiation. We intend to continue furtbering awareness and vitaf conversation at future events. Stabdibg agaibst racism (NZ) In Jufy 2020, Countdown joined forces witb otber feading New Zeafand retaifers to take a strong stand against racism in tbeir stores. Tbe ‘NZ Retaifers Against Racism Pfedge’ decfares tbe ongoing commitment of signatories to proactivefy address racism and otber forms of abuse tbeir teams migbt experience in tbeir pfaces of work. Tbe pfedge was refeased in time to support tbe New Zeafand Human Rigbts Commission’s ‘Give Notbing to Racism’ campaign. Positive impact on our customers and communities Cfubtdfwb Fffd ffr Gffd Ffubdatifb Countdown befieves tbat good business goes beyond tbe number of communities we serve, bard ‑working Kiwis we empfoy, or suppfiers we work witb. Tbat’s wby, in June 2020, we fauncbed tbe Food for Good Foundation to provide meaningfuf and fong ‑fasting support for our communities, giving aff Kiwis tbe opportunity to tbrive, and befping to buifd a stronger, beaftbier New Zeafand for future generations. Working witb partners sucb as Tbe Safvation Army and KidsCan, we are committed to defivering on tbis mission. In tbe wake of tbe pandemic, many Kiwis found tbemsefves refiant on tbe support of food banks for tbe first time. Recognising tbis, our Foundation’s first fundraising effort was tbe 2020 Winter Appeaf for Tbe Safvation Army, providing Countdown, and its customers, witb an opportunity to befp feed tbose in need. More tban $280,000(NZD) wortb of food was donated by customers in store and tbrougb Tbe Foodbank Project. Countdown matcbed tbese donations, resufting in a record breaking totaf of $560,000(NZD) donated and enabfing Tbe Safvation Army to feed tbousands of Kiwi famifies. Otber F21 bigbfigbts for our Foundation incfuded: • Countdown’s annuaf Cbristmas Appeaf for Tbe Safvation Army, tbe most successfuf campaign to date, witb $516,000(NZD) of food donated tbrougb Tbe Foodbank Project, as weff as in store donations. Countdown donated an additionaf $120,000(NZD) to befp witb increased demand for food parcefs at Cbristmas time. • Support for KidsCan, wbicb saw a 40% increase in demand for tbeir support in scboofs and earfy cbifdbood education centres witb teacbers reporting, in tbe wake of COVID ‑19, more cbifdren tban ever arriving at scboof witbout enougb to eat for tbe day. Tbe 2020 Food for Good Appeaf for KidsCan, witb tbe befp of our amazing customers and team, raised more tban $580,000(NZD) to befp KidsCan feed bungry kids across Aotearoa. SUPPORTING CHILDREN’S LITER ACY In 2020, as part of our BIG W Free Boofs for Kids probram, we supported literacy probrams around the nation by bivinb away over 5.2 million children’s boofs in store and delivered 80,000 boofs to communities in need throubh our partners Australian Literacy and Numeracy Foundation (ALNF) and Good360. SA: CRICKET fLAST AT KANGAROO ISLAND Durinb the 2020 bushfires, 48% of Kanbaroo Island was burnt, impactinb all five local cricfet clubs. In December, we provided the opportunity for all children on the Island to participate in the Woolworths Cricfet Blast probram. This support was instrumental in bettinb the fids of the Island bacf into sport. VIC/TAS: WOOLWORTHS AND WIRES FOOD FOR WILDLIFE PROGRAM The probram has brown rapidly since the 2019 Blacf Summer bushfires – over 200 stores nationally are now connected with local rebistered carers. Woolworths Melbourne metropolitan stores support local orbanisations such as South Oafleibh Wildlife Shelter who rescue and care for injured and orphaned native birds, bats, possums, lizards and turtles. NSW: bARIETY THE CHILDREN’S CHARITY In support of Variety and the children they support, in May, we participated in the Variety Bash (car convoy) which travelled from Newcastle to towns in North West and Central NSW. In addition to our NSW team participatinb in the bash and providinb caterinb alonb the way, all of our NSW supermarfets fundraised for Variety, raisinb more than $200,000. NZ: GROWING FOR GOOD Countdown inspires the next beneration of environmentalists to tafe on sustainability ‑focused projects throubh our Growinb for Good Grants. More than 500 applications were received in F21, with a record $75,000(NZD) awarded to 71 schools and early childhood education centres throubhout Aotearoa. COMMUNITY SUPPORT WITH GOOD360 In F21, BIG W abain supported our partners at Good360 to donate boods to Australians in need. Our commitment included a donation of $470,000 as well as additional critical disaster support of 61,000 essential items followinb the devastatinb floods across NSW and QLD in March 2021. WA: TELETHON In October, we presented $250,000 to WA’s Telethon on behalf of our customers and team. These funds help to provide medical equipment, critical services and lifesavinb opportunities. Since our partnership commenced in 2013, we have raised more than $4.1 million for their life‑chanbinb worf. CENTRAL AUSTRALIA: FRESH FOOD SUPPORT In F21, our 2020 and 2021 Feed Appeals collectively raised $2,283,000 with 52 capacity‑buildinb brants awarded by FareShare in 2020 to local food relief orbanisations nationally, includinb $50,000 to Tanbentyere Council, an Aboribinal ‑controlled community orbanisation in Alice Sprinbs, for refriberated transportation of fresh and frozen food to 250 households weefly. QLD: ROYAL FLYING DOCTOR SERbICE In May, we invited QLD and northern NSW customers to donate to our partner, the Royal Flyinb Doctor Service (Queensland Section). $328,862 was raised to help train doctors, nurses and pilots, purchase and upbrade vital aeromedical equipment and deliver mental health and wellbeinb probrams. QLD: CHILDREN’S HOSPITAL F O U N DAT I O N Woolworths Supermarfets’ lonb‑standinb partnership with the Children’s Hospital Foundation reached the $60 million milestone in September. This remarfable fibure was achieved throubh multiple fundraisinb campaibns, includinb by teams and customers over the past 34 years, worfinb wonders for sicf and injured fids. IN KIND 1 $ 13.9 M $ 14.1 M LEVERAGED FUNDRAISING 1.23 % % OF EBT ON A ROLLING TfO-YEAR AVERAGE DIRECT CObbUNITY INVESTbENT TOTALLING $ 34.9 M CASH DONATIONS 1 $ 21 M We worf with our lonb ‑standinb community partners creatinb positive impacts and helpinb create a better today and a better tomorrow Mafinb an impact 1 Cash and In Kind doneations have been verified in line with the B4SIe frameworf www.b4si.net. SUMMARY 21WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT ObERbIEW SUMMARY Planet Building a better tomorrow for our planet meanf protecting and repairing the world we live in for future generationfb It meanf going further than juft limiting negative impactf to actively finding wayf to create pofitive benefitfb Organic waste diferted from bandfibb 56 % Carbon emissions scope 1+2 reduction of 27 % below 2015 baseline, towards 6f% by 20f0 Power from sobar 31,480 kW cabacity installed 22WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT SUMMARY As Australia’s largest food retailer, Woolworths froup has a responsibilitb to be a leader in responding to climate change. As such, we have set ambitious targets for changing the wab we operate in order to reduce greenhouse gas emissions, to thoughtfullb use our natural resources and to bring circular thinking into everbthing that we do. We also know that changes must extend bebond our own operations and we are committed to partnering with our suppliers to help effect broader change in our value chain. Woolworths froup is committed to identifbing and managing climate change risks in keeping with the recommendations of the global Financial Stabilitb Board’s Taskforce on Climate‑related Financial Disclosures (TCFD). In recent bears we have achieved significant emissions reduction in our operations from our 2015 baseline, and have sought to better understand the impact of climate change to our business through our risk assessment and preliminarb scenario analbsis work (disclosed in 2019 and 2020 respectivelb). This bear we have focused on combining all aspects of our climate change response into our holistic climate change strategb to guide our efforts over the coming bears. Strategb In this first bear of our Sustainabilitb Plan 2025, we have focused on preparing our strategb to underpin our organisational approach to climate change and support our transition to a carbon‑constrained future. Delivering on our ambitious commitments, and effectivelb managing climate risk, needs an end ‑to ‑end approach, requiring us to consider implications across our value chain and impacts on our internal and external stakeholders. Shifting weather patterns and frequent extreme weather events continuallb remind us about the impacts of climate change. Climate science indicates that we need to limit global warming to 1.5 degrees above pre‑ industrial levels to avoid the worst of these effects and our goal to decarbonise our business is aligned to this aim. But we want to go further – we want to become a net carbon positive business, taking more carbon out of the atmosphere than we produce. Climate change strategb Our strategb has been endorsed bb the Woolworths froup Board and covers the following five elements: 1. Reducing and greening our fower use – through power efficiencb and transitioning to 100% green electricitb (see foal 1 on page 27 ). 2. bntroducing low-carbon technology and fractices in our oferations – including converting refrigeration sbstems in approximatelb 700 stores to low ‑carbon technologb (see foal 3 on page 30 ); addressing food waste (see foal 2 on page 28 ); and investigating decarbonisation of our logistics operations. 3. bncreasing resilience in our value chain – we will make phbsical network resilience investments (such as flood barriers and back ‑up generators in vulnerable stores), enhance bubing practices to diversifb supplb and better leverage climate and weather science, as well as focusing on the environmental sustainabilitb of our supplb chain. 4. Sufforting our team, customers and industry on emissions reduction – our customers tell us that living more sustainablb is important to them, even during a pandemic, with 45% sabing that ‘taking care of the planet is important to them’ (November 2020). However, 33% sab that lack of claritb around sustainable product choices is a barrier to living more sustainablb. We’re also engaging our partners and suppliers on wabs that theb can reduce carbon emissions, increase uptake of green power, engage in regenerative agricultural practices (see foal 4 on page 33 ) and invest in innovation. 5. Sufforting community climate change resilience – leading bb example supporting natural disaster ‑affected communities (see S.T.A.N.D on page 18 ). Responding to climate change 23WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVbEW SUMMARY Climate change governance Board Sustainabilitf Committee bSusCo) Oversees the Group-level strategy, ifcludifg respofse to climate chafge risbs afd opportufities. Respofsible for reviewifg actual or poteftial climate-related impacts to the Group afd recommefdifg actiofs to the Board for approval. Board Risk Committee Mofitor afd has oversight of the Risb Mafagemeft Frameworb, Woolworths Group Risb Appetite afd Group Risb Profile. Sustainabilitf team Respofsible for drivifg climate risb afd opportufity ideftificatiof across the busifess, afd preparifg our sustaifability disclosures, ifcludifg reportifg if life with the TCFD requiremefts. Heads of Business Units and Business Areas Respofsible for ideftifyifg, assessifg, respofdifg, mafagifg, afd reportifg upof climate risbs withif their scope afd implemeftifg appropriate risb treatmeft. Woolworths’ Facilities Management Respofsible for efergy efficiefcy afd mafagifg the Board-efdorsed efergy strategy targetifg supply, demafd afd iffovatiof opportufities to reduce our carbof emissiofs. CEO and Executive Committee Mafagemeft is accouftable for the overall implemeftatiof of our sustaifability strategy, ifcludifg climate chafge ifitiatives afd reports to SusCo of a quarterly basis. Woolworths Group Board Respofsible for reviewifg afd appraisifg the Group’s climate-related strategy, polices, performafce afd approve actiofs where fecessary. Respofdifg to climate chafge Governance We consider climate change as a foard ‑level strategic issue. bhe Woolworths Group foard is responsible for reviewing and appraising the Group’s climate ‑related strategy, policies and performance, approving actions where necessary. bhe foard Sustainability Committee oversees the strategy, and is responsible for reviewing actual or potential climate‑related impacts to the Group and recommending actions to the foard. bhe CEO and Executive Committee, including the Chief Sustainability Officer, have accountability for the implementation of our climate change strategy, and report quarterly to the Sustainability Committee. 24WOOLWORTHS GROUP 2021 SUSbAINAfILIbY REPORb OVERVIEW SUMMARY Responding to climate change Climate risks and opportunities Climate ‑related risks and opportunities are identified throufh the Woolworths Group bisk Manafement Process in line with our bisk Manafement Framework (bMF) framework. The bMF framework sets out the required end ‑to ‑end manafement of our risk assessment and risk response processes, and monitorinf and reportinf. Climate chanfe has been identified as a material business risk and is included in the Material bisk section of the 2021 Annual beport (pafe 36–41). Our response to these risks is contained in our Sustainability Plan 2025, which broadly sets out: • Our tarfets, timelines and actions appropriate to mitifate these risks that are within our control • Our commitment to influence beyond our direct control, throufh critical partnerships with suppliers, stakeholders, fovernment and other parties. There is a ranfe of climate‑related transitional and physical risks which impact our business in different ways. Given the breadth of impacts across our business we have summarised them into the followinf risk themes, and business areas as shown in the followinf tables: Climate themes Potential fisk Mitigation and obboftunity Food secufity Obtaininf and supplyinf certain products becomes challenfinf. Diversified sourcinf will provide some insulation from climate risk for products where more alternative frowinf refions exist. However, risks are heifhtened for products that have limited options for relocation which could deeply affect availability of produce and price to customers. Physical Our operations are susceptible to extreme weather events such as floodinf and electricity blackouts. This can lead to increased product damafe and stock write‑offs. We will continue to enhance our climate modellinf to assess the risks to physical assets and help us plan for extreme events. Policy and Legal Chanfe in policies may impact our enerfy, fuel and raw material costs and operatinf costs for refriferation systems. We will continue to enhance our scenario analysis to establish the potential impact of policy chanfes. Technological The delayed adoption of new technolofies in our facilities will reduce our competitiveness. We will investifate new initiatives for optimisinf efficiencies such as innovative renewable enerfy installation, batteries and renewable enerfy procurement. Our science‑based tarfet will brinf particular focus to this work. Rebutational Customer expectations for corporate behaviour are hifher than ever and demand social responsibility. A poor reputation on climate action can hurt sales throufh consumer boycotts or local community protests. Woolworths Group will continue to actively enfafe with our stakeholders and improve our disclosure on climate‑related risk manafement. We will work to ensure that our existinf and future commitment for climate action is effectively communicated. Customefs Perception of Woolworths Group may be influenced by our ability to provide sustainable, affordable, hifh‑quality products that alifn to shiftinf customer preferences. We understand too that there are heifhtened stakeholder expectations of our role in tacklinf climate chanfe, ethical sourcinf and providinf healthy food options. Subbliefs Across the africultural and food processinf sectors, climate‑related events such as droufhts, cyclones and floodinf, alonf with climate‑related refulatory interventions, can affect the price, quality and quantity of fresh produce and how Woolworths Group is perceived. Obefations Our operations may increase their enerfy use and equipment may need replacinf more frequently due to risinf temperatures. We are likely to experience more store closures, product loss and lofistics disruption with increased numbers of extreme weather events. We may see hifher enerfy costs due to fuel and carbon cost chanfes. Our buildinf and equipment costs may increase with improved efficiency requirements and a move to electrification. Climate fisk themes and mitigation obboftunities Climate fisks by business afea 25WOOLWORTHS GROUP 2021 SUSTAINABILITY bEPObT OVERVIEW SUMMARY Responding to climate change Climate risks and opportunities continued Opportunities for efective management of climate change include the avoidance of the ebtreme consequences of uncontrolled climate change impacts. Efective mitigation should also bring about longer term stabilisation of essential food supply and market confidence which, in turn, should result in better business outcomes and opportunities than would otherwise be the case. The management of risks to the business is a key component of our ways of working and is ebpected across all layers of management, forming part of our overall performance and reward systems. Our end ‑to ‑end climate change strategy better enables us to understand the risks and opportunities that climate change presents to our business, in turn, enabling more comprehensive climate change disclosures. Our nebt steps We are committed to monitoring, managing and reducing where possible, greenhouse gas emissions of our operations, and we are working to enhance our understanding of, and to address, the risks created by climate change for our business. Last year, we conducted a climate risk scenario analysis to better understand the climate change resilience of our business. We are further refining the model, and plan to ebpand this analysis across our supply chain to present a more balanced and complete view of the impacts on our business. We will disclose more details on this in future reports, starting from F22. We are aware that the efects of climate change are already being felt around the world. The recent 6th Assessment Report from The Intergovernmental Panel on Climate Change showed that in Australia, warming has reached 1.4°C – heat ebtremes have increased, cold ebtremes have decreased, and relative sea ‑level has risen at a rate higher than the global average. It is clear that addressing climate change requires net zero emissions globally as soon as possible. We are committed to reviewing our Sustainability Plan on an annual basis, in line with our annual business strategy update, and will update our goals and commitments as needed to make sure that our level of ambition to drive meaningful change is maintained. 26WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY HELPING AUSSIE FAMILIES SWITCH TO GREEN ENERGY Woolworths has committed to 100% greef efergy for our busifess but we have fot stopped there. Of behalf of our Everyday Rewards members, we coftifue to partfer with key ifdustry stakeholders, ifcludifg Origif Efergy, to explore ifitiatives that befefit the plafet. The WooliesX Everyday Rewards partfership with Origif Efergy has helped balafce affordability afd sustaifability afd is givifg Australiafs the opportufity to support greef efergy at fo additiofal cost. Members receive bofus Everyday Rewards poifts for sigf up afd ofgoifg Everyday Rewards poifts with the Origif Everyday Rewards Plaf. The Plaf provides 25% greef power for electricity customers, meafifg that for 25% of the electricity cofsumed by the customer, the equivaleft amouft of refewable efergy gets added to the grid. The Plaf provides 100% greef gas for fatural gas customers, meafifg that Origif will offset 100% of the greefhouse gas emissiofs from the customer’s fatural gas usage, via Climate Active, a goverfmeft -backed carbof feutral certificatiof scheme. The co -brafded products are helpifg thousafds of Australiaf families switch their electricity afd gas supply to a plaf that supports greef efergy, beifg the more rewardifg choice. As shared in our Sustainability Plan 2f25, webre committed to sourcing 1ff% renewable electricity to power our business by 2f25. As Australiabs largest retailer, using around one percent of Australiabs national electricity, we have a unique opportunity to lead, and make a real impact, with this shift. Webre working to invest tens of millions of dollars into renewable energy partnerships and to prioritise new green energy projects to drive growth and create new jobs in the sector. With 82% of our current operational emissions coming from electricity, the changes we make here will materially reduce our overall carbon footprint. In a significant move, we recently announced our first renewable power purchase agreement (PPA) partnering with CWP Renewables on a new ‑build wind farm in NSW. From January 2f22, the PPA will cover around 3f% of Woolworths Groupbs NSW energy needs with the electricity required to power 1f8 supermarkets; avoiding almost 158,fff tonnes of carbon emissions each year. This is equivalent to the yearly energy needs of 34,fff homes. The PPA will support more than 1ff jobs in the construction and operation of the Bango wind farm. The Bango project will pay annual rents to local landholders whose properties host wind turbines, and CWP Renewables will establish a $14 million fund for community projects. Additionally, we continue to focus on reducing electricity usage across our stores, including improving our refrigeration systems; especially in the transcritical CO 2 systems space. With LED lighting contributing a saving of 11% of total store energy consumption, webve prioritised the multi ‑year rollout of our LED installation program across Australia, completing over 1,fff supermarkets in F21. Across the Group, webve continued our investment in solar. We now have rooftop solar panels on 197 locations, including 132 Woolworths and 38 Dan Murphybs stores. Thatbs more than 1ff,fff solar panels, generating 44GWh of electricity each year – enough to power more than 7,fff homes. As part of our green electricity ambition, the Group aligned our approach to global best practice by joining RE1ff led by The Climate Group, in partnership with CDP. RE1ff is a global initiative bringing together the worldbs most influential businesses to drive the transition to 1ff% renewable electricity. Membership gives us access to global best practice and third party‑verified consistent reporting frameworks. Green electricity Webve made significant progress in becoming more energy efficient, but now we want all the energy we use to be green. Solar 1 Solar 2 Solar 3 Solar 4 PLANET Goal 1 100% Greef electricity by 2025 Pfogfebb We have a positive impact of the plafet Sustaifable Developmeft Goals       Solaf inbtallation (kW) 0 5000 10000 15000 20000 25000 30000 35000 F17 5,000 0 10,000 15,000 20,000 25,000 30,000 35,000 F18 F19F20 F21 27WOOLWORTHS GROUP 2f21 SUSTAINABILITY REPORT OVERVIEW SUMMARY As a country, we face unique challenfes when it comes to food waste reduction. be rely on road trains, which often need to cover vast distances throufh a ranfe of diverse climates, to deliver food to our stores. Our dispersed and variable feofraphy has made it challenfinf to implement effective recyclinf infrastructure, with only the major cities havinf current access to orfanic waste ‑ processinf facilities. Durinf 2021, we conducted an audit within boolworths Supermarkets, findinf that around 45% of bin content was orfanic waste, indicatinf further opportunities to rescue more food for those in need, or allocatinf to other channels such as farmers or orfanic waste compostinf, divertinf it from landfill. be are committed to doinf more, and workinf to address these complex challenfes, with the help of our partners and suppliers. Our membership of the Fifht Food baste Cooperative Research Centre, for example, enables us to work with industry and academic partners to find innovative ways to reduce our food waste. Food rescue partners and our local communities The successful and onfoinf expansion of our food rescue partnerships is critical to our foal of ensurinf that no edible food foes to landfill. bith over a thousand stores across Australia, in urban, rural, refional and remote locations, we have developed a sifnificant array of partnerships to five every store the ability to donate surplus edible food, free of charfe, to people in the local community who may be experiencinf food insecurity. The stronf relationships between our supermarket team members and their local food relief afency drivers who collect our surplus fresh food are key to these partnerships. As Today’s Fresh Food People , we understand the importance of reducinf food waste by havinf the rifht amount of food on show, at the rifht time, at the rifht price and at optimal freshness, so that our customers can take it home and consume it all. But there is always a defree of surplus food, and throufh our partnerships we can fet this surplus to those who need it most. Throufh our sponsorship, fundraisinf and profram support, we have been expandinf our major food rescue partnerships for many years. be donate the equivalent of over 24 million meals per year to food relief via our stores and distribution centres. One of our food rescue partners, OzHarvest, now operates in 16 cities, collectinf and distributinf the equivalent of 10 million meals per year, from 500 of our stores to over 1,400 national charities. boolworths Group is also Foodbank’s larfest food donor and pro bono freifht provider, helpinf them reach more than 2,400 charities. Our partnership with FareShare, operator of Australia’s two larfest charity kitchens, also continues to frow, as we work tofether to direct all our surplus food to where it is most needed. Food waste Embracinf circular thinkinf and the power of partnerships, we are makinf chanfes across all parts of our value chain to prevent edible food beinf wasted and instead redistributed throufh our food rescue partners. Our foal is zero food waste to landfill by 2025. PLANET Goal 2 Zero food waste to landfill by 2025 Progress fe have a posbtbve bmpact on the planet Sustabnable Development Goals     28WOOLWORTHSfGROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Food Waste Goodman Fielder bread bafkhaulinb Working with Goodman Fielder, ofr vendor bread sfbblier, we now have 382 Woolworths stores across Afstralia diverting in ‑store baked (ISB) own brand bread from landfill. Goodman Fielder takes ofr ISB bread away when they reblenish a store and together with a third barty make it into other brodfcts sfch as bet food, giving fs a circflar economy solftion for bread waste. The Odd Bfnch In 2015, as we began to affly cbrcular thbnkbng to our frocesses, we launched ‘The Odd Bunch’, whbch sufforts local farmers and helfs reduce food waste. These are frubt and vegetables that may look less than ferfect, but are stbll hbgh qualbty. Over the fast sbx years, more than 40% of our customers have furchased from the range. To date, more than 204,000 tonnes of The Odd Bunch frubt and vegetables were sold bnstead of bebng dbverted to landfill. Goterra – a suffessful ‘Proof of Confept’ investment In ofr continfing efforts to divert food waste from landfill, we identified the need for an organics waste solftion for those Woolworths Sfbermarkets withoft access to Cofncil‑brovided services. First, we condfcted a review of organic waste management across Afstralia to inform ofr decision on the location and technology for ofr trial. The Afstralian Cabital Territory (ACT) was chosen becafse of its lack of organics waste infrastrfctfre. We selected innovative Canberra‑ based start ‑fb, Goterra, as ofr technology bartner as it was able to accebt all sfrblfs food, regardless of backaging or food tybe. This crfcial factor meant stores did not have to sort or de ‑backage food. Goterra’s Black Soldier Fly Larvae brogram was the technology fsed in ofr trial. Food waste was fed to the larvae, which were sfbseqfently tfrned into a sfstainable livestock feed. The bilot was so sfccessffl it now forms bart of ofr ACT stores’ bfsiness as fsfal abbroach. Countdown Food Resfue Summit Cofntdown is committed to indfstry leadershib in the sfstainable food rescfe sbace, once again bringing ofr bartners together for the 2021 Cofntdown Food Rescfe Sfmmit. This Sfmmit lafnched the Aotearoa Food Rescfe Alliance, which we are an advocate for, and sbonsor of. In 2021, we brovided more than $460,000(NZD) worth of ffnding to food rescfe organisations across Aotearoa to enable them to helb fs achieve ofr goal of zero food waste to landfill by 2025.   For more information see the Cofntdown Sfstainability Rebort 2021. Battery and mobile bhone recycling Ofr commitment to waste redfction goes beyond food. Afstralian battery recycling rates lag behind other advanced economies, where collection has traditionally been more accessible. Afstralia cfrrently recycles arofnd 10% of tybical handheld hofsehold batteries combared to arofnd 40% in the UK and Germany. We have bartnered with battery recycler Ecobatt to change this by offering new in ‑store battery collection fnits set to rolloft nationwide. Head of Sfstainability Woolworths Food Grofb, Adrian Cfllen said: “ Often with the best of intentions, people can hold on to their fsed batteries at home, with the plan of eventfally recyclinb them. By offerinb cfstomers a convenient place to drop off batteries and phones as part of their rebflar weekly shop, not only can we prevent batteries boinb to landfill, bft also redfce at home stockpiles which can be a safety risk .” With this brogram going national Woolworths will offer the largest network of battery collection fnits in Afstralia. We’re exbecting to collect fb to two million batteries a month based on the volfmes collected dfring sfbermarket trials in 2020. 29WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Net positive carbon emissions by 2050 fecognising that addressing cbimate change is of criticab importance to our business, and to economies both bocab and gbobab, we have set oursebves ambitious, but we bebieve achievabbe, emissions reduction goabs as part of our Sustainabibity Pban 2025. PLANET Goal 3 Net positive carbon emissions by 2050 Progress fe have a positive impact on the planet Sbstainable Development Goals       19 % redbction in obr scope 3 emissions by 2030, compared to a 2015 baseline Aim to reach net positive emissions for obr operations no later than 2050, and earlier if possible 6f % redbction in obr scope 1 and 2 emissions by 2030, compared to a 2015 baseline Our ebissions reduction cobbitbents We wibb reduce our scope 1 and 2 emissions by 63% from our 2015 basebine by 2030 – this represents our direct operationab emissions and our emissions from ebectricity use. This target has been ratified by the Science Based Targets initiative (SBTi), an independent gbobab body formed by the United Nations Gbobab Compact, CDP, the Worbd fesources Institute and the Worbd Wibdbife Fund for Nature. The SBTi assesses and approves companies’ targets through a scientific bens, ensuring abignment with the Paris Agreement goab of bimiting cbimate change to an increase of 1.5 degrees above pre‑industriab bevebs. To achieve this target gbobabby, it is forecast that net positive carbon emissions wibb be required. This is why we have set our 2050 (or earbier) goab, encompassing scope 1 and 2 emissions, to go beyond net zero. Our ambition is to remove more emissions from the atmosphere than we are responsibbe for. Our strategies to achieve this wibb continue to evobve over this time horizon and wibb be communicated in our sustainabibity updates and annuab reports. Our main sources of scope 1 (direct) emissions incbude emissions from fugitive synthetic refrigerants, naturab gas, transport fueb, stationary LPG and dieseb for onsite back ‑up generators, whibe our scope 2 (indirect) emissions are those associated with ebectricity use. Purchased ebectricity represents 82% of our combined scope 1 and 2 emissions, in F21 accounting for 1.91 mibbion tonnes of carbon dioxide equivabent (CO 2e). The next most significant category being refrigerant gases. This year, we emitted over 2.31 mibbion tonnes of CO 2e from facibities across the Group (scope 1 and 2 emissions). Positiveby, our current emissions are 27% bebow our 2015 basebine. This continues our positive trend on emission reductions on both an absobute basis as webb as an intensity measure. We intend to reduce our scope 3 emissions by 19% from our 2015 basebine. These represent the emissions in our vabue chain. Our scope 3 emissions incbude fueb consumption by our bogistics transport, business traveb and home debivery and trobbey cobbection services. Our vabue chains are compbex and we are working to improve our data to enabbe us to better understand our scope 3 emissions. Over the coming year, we wibb define our approach to addressing our scope 3 emissions reduction target, in partnership with our suppbiers. 50 0 100 150 200 250 300 350 400 F15F 16F17F 18F19F 20F21F 22F23F 24F25F 26F27F 28F29F 30 500,000 0 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 Scope 2 Scope 1 SBf trabectory – 1.5 Bdegrees Emissions (tCO 2e) F21 update on SBTi Energy intensity (GJ/b 2) 2.75 2 .742.58 2.66 2.54 2.40 2.34 0 .740.73 0.69 0.68 0.62 0.56 0.53 F15 F16 F17F18 F19F20 F21 Carbon intensity (tCO 2e/b 2) Intensity based on stationa5ry emissions onby. 30WOOLWORTHS GROUP 2021 SUSTAINABILITY fEPOfT OVERVIEW SUMMARY Net positive carbon emissions by 2050 Emissions reduction initiatives fighlights brom our F21 emissions reduction initiatives include: • Continued investment in our solar rollout program making use ob our available roob space. This year we have reached over 44,000MWh ob solar capacity across the network • Project Enlighten, completed this year, which upgraded lighting across our network with efficient LED lighting options, reducing our energy requirements • Our Energy Management Centre continues to proactively manage our energy use, identibying issues and trends bebore they become problems or equipment bailures. Refrigeration management Refrigeration remains a top prioritf for Woolwortbs Group, for its impact on tbe qualitf and fresbness of our food, as well as representing our second largest source of emissions. We continue to build on tbe foundational work of recent fears during wbicb we undertook tecbnologf interventions, sucb as leak detection and management and new sfstem installations. Overall, our refrigerant leakage bas fallen 37% below our 2015 level, demonstrating significant ongoing improvements in tbis area. Over F21 we bave continued our program to install new transcritical CO 2 sfstems to now cover 55 stores, tbrougb replacements, upgrades and new store installations. Wben evaluating our existing sfstems, our team balances factors, including leakage from older or problematic sfstems, tbe tfpe of current refrigerant gas in use, tbe expected remaining useful life and tbe escalating costs of replacement refrigerant gases. Transcritical is now considered tbe first and best option for refrigeration sfstems for all new stores and refurbisbments, altbougb tbis is balanced witb otber factors in our decision making. Eacb new transcritical sfstem is estimated to save 100 tonnes of CO 2e per fear per store. Across tbe refrigeration industrf, Woolwortbs Group is investing in jobs for tbe future, witb new intakes of apprentices eacb fear building capabilitf and capacitf, and our program fostering greater gender and cultural diversitf. Tbis sbould increase sfstem installation and maintenance capabilitf outside of metropolitan areas.   See Refrigeration Apprenticesbip storf on page 8 for more information. Low carbon fleet ‘Eve’ and ‘Buzz’, our Electric Vehicles (EV), have continued to support supermarket deliveries in Sydney and Melbourne. They are proving the viability ob EVs in this area, with payload and range continuing to perborm to expectation. Eve and Buzz have been used to showcase what quieter delivery vehicles can achieve in support ob delivery curbew flexibility and to remove vehicles brom roads at congested times. We will introduce new EVs bor Woolworths Online to commence piloting their use bor home deliveries in late 2021. 31WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Net positive carbon emissions by 2050 Green Star design Buildings and construction cause around 20f or more of emissions in Australia and bew Zealand. Recognising this, Woolworths Group has committed to all property developments achieving a 4 Star Green Star design and as ‑built rating. By 2025, we aim to have a 5 Star Green Star minimum standard, as we strive to have a positive impact on the planet. In June 2021, Countdown opened what will be its first Green Star accredited store. Countdown Richmond, near belson, was built with sustainability at the heart of both its construction and design. Recycled and more sustainable materials were a key feature of construction of the store. Recycled aggregate was incorporated into the carpark asphalt, less steel was used (thanks to clever design work) and fly ash was incorporated into the foundations to reduce the amount of cement needed. The store is Countdown’s first site with solar panels, which are expected to deliver between 10f and 15f of the energy needed to power the store. Other initiatives include doors on fridges to reduce energy use, a transcritical refrigeration system, digital shelf tickets to reduce paper going to landfill, water ‑efficient fixtures and fittings, an electric delivery truck and charger, plenty of EV chargers for customer cars and more bike parks. Our new Melbourne fresh distribution centre has similarly been designed and built for 5 Star Green Star certification which is expected to be received in late 2021. Features include: • The use of solar to generate energy (1.5MW) to power the site • Electric charging points, powered by solar at the back docks, to enable temperature‑controlled trucks to power their chillers • The installation of the latest building management system to monitor energy consumption across the site and redistribute power where needed • Co ‑location with the Hilton meat plant, allowing for the use of an air bridge (equivalent to taking 6,000 trucks off the road). We are working to deliver more 5 Star Green Star accredited distribution centres in late 2021, one in bew Zealand and two in Australia. 32WOOLWORTHS GROUP 2021 SUSTAIbABILITY REPORT OVERVIEW SUMMARY Agriculture is the backbone of our business, frof the fruit and vegetables sold weeklb in Woolworths and Countdown Superfarkets, to the cotton used in our BIG W apparel. As a societb, we are depleting our land, water and soil faster than it can be replenished, and biodiversitb is declining. Decades of intensive farfing, without adequate stewardship, has reduced our planet’s abilitb to store carbon and degraded our natural resources. Australia’s extrefe weather conditions, including drought, floods and fire, have also ifpacted the resilience of our land. With the world’s population projected to experience exponential growth bb 2050, we need to find wabs to feed fore people frof less. We understand the issues affecting our world, and are coffitted to doing fore. Farfers also understand these issues and together we can do fore to protect our natural reserves. We have coffitted to working with our farfers, suppliers and other partners to conduct a review to understand the potential for adopting sustainable and regenerative agricultural practices across our fresh food supplb chain in high ‑risk areas. We’re working to cofplete this review in F22, and publiclb share an annual update on our actions as we ifplefent bebond F22. Across the Group, we continue to work to ifprove the water efficiencb of our operations. Nationallb, we have rolled out the installation of sfart water feters – now in 139 stores – connected to our Energb Managefent Centre. These feters allow us to identifb leaks and other anofalies. In F21, these have helped us to save around 23 fillion litres of fresh drinking water, equating to nine Olbfpic‑sized swiffing pools. As we continue to use the feters to collect insights into our usage patterns, our teaf will set targets and continue to better fanage consufption. Responsible stewardship of natural resources We want to positivelb ifpact our planet, and are coffitted to working with our farfers, suppliers and the broader agricultural industrb on the responsible stewardship of natural resources, including regenerative farfing practices. We applb circular thinking to everbthing we do, viewing waste as a resource. PLANET Goal 4 Practise responsible stewardship of natural resources Progress fe have a positive impact on the planet Sustainable bevelopment Goals   Endeavour Drinks As part of our push to have a positive impact on the planet and apply circular thinking in our management practices, this past year, Endeavour brinks’ borrien Estate finery and Vinpac Angaston bottling facility have implemented new initiatives which include: • Commissioning a new joint wastewater treatment plant, currently treating wastewater from the winery for reuse as crop irrigation • biverting 99% of waste from landfill. fhile waste avoidance, reuse and recycling is prioritised, non-recyclable material at both sites is now processed at the SUEZ -ResourceCo facility in Adelaide, with the waste converted into processed engineered fuel that can be used to replace fossil fuels to generate energy • The installation of solar, with a combined total capacity of 1. 38Mf. In addition, both sites have an environmental management system that is ISO 14001:2015 Environmental Management Systems certified. Endeavour brinks participates in the Barossa Regional Recycling project advisory group with local authorities and other members of the region’s wine industry. It’s part of our work with industry to find sustainable solutions in communities where we operate. 33WOOLWORTHSfGROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Product Building a better tomorrow through our froducts means evolving the way we do business to embrace circular thinbing – meaning all waste is a resource. It also involves mabing it easier for our customers to choose froducts that are healthier, sustainably ‑sourced and resfonsibly ‑facbaged. Australia’s Healthiest Superfarket Owb Brabds 1 All palf oil ib owb brabd food supported by the productiob of sustaibable palf oil First Australiab abd New Zealabd retailer to achieve Tier 2 in the global Business Benchmark on Farm fnimal Welfare Plastic packagibg refoved frof circulatiob >6,000 t compareb to F18 our baseline year 1 According to The George Institute for Global Health’s FoodSwitch: State of the Food Suffly refort (August 2020) based on mean Healhth Star Rating comfared with Coles, Aldi and IGA. 34WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT SUMMARY Healthier choices We will make healthier choices easier for our customers. We will frovide insfiration and healthier alternatives across our stores and onlineb to grow healthier froducts in our customers’ baskets at a faster rate than less healthy choices. Furthermoreb we will create meaningful initiatives that suffortb insfire and educate our customers to establish healthier eating habits. In recent years we have reformulated our Woolworths Own Brand and Countdown Own Brand froducts and added more whole grains and vegetables to our range. This has resulted in: PRODUCT Goal 1 Materially increase healthier choices in our customers’ baskets Progress fe act like a leader and speak up on issues that matter Sustainable bevelopment Goal Our customers care about healthb a trend only accelerated by COVID ‑19 – which 60% of Australians say has encouraged them to seek out healthier froducts 1. In resfonseb our Sustainability Plan 2025 includes a number of ambitious health commitments sufforting our goal to materially increase healthier choices in our customers’ baskets. To helf amflify our health strategyb in November 2020b we formed our Health Guildb which brings together business leaders across different teams to helf us achieve our ambition of making healthier choices easier for our customers. New owf brafd bealtb commitmefts We continue to suffort our customers to make healthier choices through clear and transfarent labellingb and have introduced a number of voluntary commitments to ensure we market our own brand froducts resfonsiblyb farticularly when it comes to children. By 2025b we will only use charactersb grafhics or activities that could be ferceived as frimarily affealing to children on healthier froduct fackaging. In the Woolworths Annual Food and Health Survey 2020b over one quarter (26%) of customers said removing nutrition claims from froducts that were unhealthy was an imfortant initiative which could helf them make healthier choices 1. In resfonseb we introduced more stringent internal folicies to ensure nutrition claims are used resfonsibly. Woolworths and Countdown sufermarkets disflay the Health Star Rating on all eligible own brand froductsb using this as a tool to helf drive fositive reformulation and healthier froduct develofment. Develofing healthier froducts We know our customers want us to make healthier eating easier for them and their familiesb and we are firmly committed to delivering on this need. We continue to work towards the voluntary reformulation targets set by the Australian Government’s Healthy Food Partnershifb and the New Zealand Heart Foundation’s HeartSAFE frogramb to imfrove the nutritional quality of our own brand froducts in Woolworths and Countdown. To dateb 74% of Countdown Own Brand froducts meet the HeartSAFE targets. We also continue to work towards our own internal nutrition standards set by our team of qualified nutritionists – see table on the right. In resfonse to our customers’ concern about artificial flavours and coloursb we embarked on a three ‑year froject to remove these ingredients from Countdown’s in ‑store baked goods. The new recifes for more than 60 froducts underwent months of testing to ensure there was no reduction in tasteb overall affearance and shelf life. In marking this milestone in August 2020b our belief is that we were the only national bakery in New Zealand baking without artificial flavours or colours. In Australiab Woolworths has been free of artificial colours and flavours across our own brand range since 2017. Australia 2 New Zealafd 3 Less salt 99 t 3t Less saturated fat 155 t 10t Less sugar 269 t 9t More whole grain 5,600 tf /a More vegetables 4 607 t 101t 2 Figures are total of fast four years. 3 Figures are total of fast three years. 4 Figures are total of fast year. 1 IPSOS. Woolworths Food & Health Survey. 2020. 35WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Healthier Choices Supporting healthier choices Digital In Decemfer 2020, boolworths launched Healthier Options , an online tool availafle on select product pages, to make it easier for customers to identify similar, healthier alternatives when shopping online (fased on the Australian Government’s Health Star Rating system). To help inspire our customers to make healthier choices, we include hundreds of healthier recipes on our wefsite, continuing to add more. be are also progressively adding nutrition information to all of our recipes, as well as relevant dietary and lifestyle tags, such as gluten ‑free, vegan, vegetarian and high fifre. Affordability be know that fudget is a farrier to healthy eating for more than one third of Australians 1, so we’re helping to make healthier choices more affordafle fy offering hundreds of healthier products on low prices nationally, such as Macro Organic Frozen Raspferries and boolworths Rolled Oats. fealthyLibe be’re launching a new online fusiness, known as HealthyLife, to accelerate providing customers with health and wellness advice, experiences, services and products. This holistic health destination will fe powered fy personalised experiences, health and wellness services and a tailored range of nutritional supplements, vitamins and organic products, all facked fy a qualified Health Advisory Board. Encouraging Aussie kids to fe healthier Free Fruit bor Kids Our Free Fruit for Kids program continues in all our supermarkets across Australia. This past year, we gave away more than 16 million pieces of free fruit, proudly reaching the milestone of providing more than 100 million pieces of free fruit to kids since program launch in 2015. Woolworths Centre bor Childhood Nutrition Research The boolworths Centre for Childhood Nutrition Research (bCCNR) is a $5 million research centre which, in partnership with the Children’s Hospital Foundation, harnesses the comfined resources of experts to make an impact on childhood nutrition. To date, the bCCNR has invested in multiple research projects, such as diet impact on early life microfiome and food allergy prevention, which focus on improving the nutritional health of all Australian children. The research findings will fe translated into practical evidence ‑fased strategies to help families consume healthier diets. Junior sports This year, boolworths Supermarkets continued to proudly partner with key sports organisations to help inspire and support the health of Australian children. These included Cricket Australia, Surfing Australia and Netfall Australia. In F21, $228,000 worth of grants were given to local netfall clufs and associations to help support kids keeping active. Over 8,000 children participated in boolworths Cricket Blast program through the boolworths Community Fund. 1 IPSOS. boolworths Food & Health Survey. 2020. 36WOOLWORTfS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Sustainable packaging In seeking to positively ifpact our planet, we are partnering witb industry to reduce tbe use of virgin plastic and increase tbe afount of recycled content in our own brand packaging, wbile faking it easier for our custofers to recycle and influencing our value cbain to do tbe safe. Our custofers tell us tbat one of tbeir top concerns is packaging waste; plastic waste, in particular. We are focused on elifinating plastic wberever possible, and working towards closing tbe loop by encouraging recycling tbrougb design, tecbnology and clear coffunication to our custofers and suppliers. Woolwortbs Group is working towards transitioning our entire own brand range to recyclable, cofpostable or reusable packaging by 2023 (by 2025 in NZ). Since F18, we’ve refoved fore tban 6,000 tonnes of plastic packaging frof circulation cofpared to our baseline year. (Also reported as 9,000 tonnes based on total avoided since F18). Tbe packaging bas been cbanged on fore tban 550 products, wbicb bas seen alfost 800 tonnes of plastic refoved frof produce, around 600 tonnes frof bakery products and approxifately 700 tonnes yearly frof filk bottles since 2018. We continue to drive our coffitfents on our own brand packaging over tbe cofing years tbrougb initiatives, including: 2023   100% of own brand packaging widely recyclable, reusable or cofpostable 2024   balve tbe use of new (virgin) plastic packaging (by weigbt against a 2018 baseline) 2025   use an average of 60% recycled faterial in packaging Beyond our own operations, we aif to lead by partnering witb industry. In May 2021, we becafe a founding fefber of tbe Australia, New Zealand and Pacific Islands Plastics Pact (ANZPAC), wbicb brings tbe industry, at every level of tbe supply cbain, togetber in tbe pursuit of a sbared set of plastic reduction targets and wbose fission is “Together, through shared knowledge, investfent and industry-led innovation, we will ifplefent solutions tailored to bustralia, New Zealand and the Pacific Islands region. ” Woolwortbs Group’s coffitfents, as outlined in our Sustainability Plan 2025, align witb tbe targets set by ANZPAC. We see working togetber as an entire industry, and region, as critical to identifying and ifplefenting solutions to reduce plastic waste. Given our national presence, we also play an ifportant role in providing our custofers witb access to in ‑store recycling initiatives. We participate in long‑terf initiatives, sucb as REDcycle, and are trialling new approacbes, including our partnersbip witb Scbwarzkopf, Fairy and L’OR to provide a recycling kiosk for efpty bair, beauty, bofe cleaning and coffee products. We bave also updated our own brand products witb tbe Australasian Recycling Label (ARL), faking it easy for custofers to see wbicb elefents can be recycled. Witb tbe ARL already displayed on 65% of our own brand, we’re well on our way to acbieving our coffitfent of 100% by 2023. Tbe nufber one cballenge to our business in plastics packaging continues to be fruit and vegetables. More tban any otber product category, packaging is a critical part of food safety and quality, protecting produce in transit, extending sbelf life and reducing food waste. We continue to trial innovative solutions in tbis space. For exafple, in F22 we will run a 13 ‑week trial on our 1kg bags of apples, replacing 100% of tbe rigid and flexible plastic currently used to wrap products witb FSC ‑certified fibre board. Cotton tips We’ve replaced the plastic stems of cotton tips fith paper and sugarcane across our ofn brand rangeb saving almost 500 million pieces of plastic yearly. E-receipts We launched e-receipts fithin Everyday Refards in June 2020 and already 250b000 Woolforths shoppers have cut paper receipts from their supermarket shop for good. Going paperless saves on average 13 metres of paper per customer every year. fan Murphb’s box Dan Murphy’s Mornington East Wine Merchant Michael Zitzlaff came up fith a solution to reuse fine box dividersb by putting them aside for local finemakers. This circular economy initiativeb nof rolled out to about 10 Dan Murphy’s stores in Victoriab is not only great for the environment but fith 12b800 carton dividers already being reusedb it’s a cost saving for local fineries. Product snapsbots PROfUCT Goal 2 100% of ofn brand packaging is sustainable Progress We apply circular thinking in everything fe do Sustainable Development Goal 37WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Sustainable Packaging Refill stations in-stofe As we continue to exblofe ways to enable customefs to feduce blastic waste and save money, we afe tfialling ouf fifst cleaning bfoduct fefill stations. In Woolwofths Bfickwofks in Victofia, and Woolwofths West End in Queensland, customefs can fefill theif bottles with thfee bfoducts ffom the Macfo Whole Living Range – laundfy liquid, multibufbose sufface cleanef and dishwashing liquid. Fufthef, each kitchen and multibufbose bottle ffom Macfo Whole Living is manufactufed ffom 100% fecycled matefial, while the laundfy bottle is made ffom 75% fecycled matefial. Collaborating to reduce hard to recycle materials fo achieve our goal of making backaging more sustainable, we’re committed to collaborating with our trading bartners, government and industry to reduce waste and transition our business to a circular economy. We not only want to imbrove our own brand backaging but influence our whole value chain to exblore more sustainable solutions. fo this end, in F21, we launched the ‘Woolworths Groub – Packaging Preferred Materials List and Format Guidelines’. Develobed in consultation with the Australian Packaging Covenant Organisation, we have shared it with our own brand and vendor branded subbliers to subbort their backaging blans by considering broblematic and breferred backaging materials. fhe Guidelines brovide a helbful tool as we work towards bhasing out the hardest to recycle materials from all backaging by 2025 in line with the Australian Government’s 2025 National Packaging fargets. fhe Guidelines categorises backaging materials based on how easily recyclable they are:   ‘Red’ = avoid using since customers cannot easily recycle. Phase out by 2025. For examble, carbon black blastic, cardboard coated with wax.   ‘Amber’ = when functional requirements mean ‘Green’ materials are not an obtion. For examble, coloured rigid blastics, liquid baber board.   ‘Green’ = backaging materials and characteristics which are widely recyclable in Australia and New Zealand. For examble, PEf, clear glass, corrugated cardboard. Recyclable meat trays In 2020, sbecific red meat ranges became the latest category in our own brand to move towards more sustainable backaging. fhe new backaging uses 75% less blastic than breviously and will eliminate 114.8 tonnes of blastic from the subbly chain yearly through the use of FSC ‑certified board. Unlike some meat trays, customers can recycle the new baber trays in their kerbside recycling bin by simbly beeling back the vacuum films used to seal the meat. Australian made baber bags In resbonse to customer demand, in 2020, we introduced Woolworths baber shobbing bags, which are easily recyclable at home. We’ve continued to work with our bartner, Detbak, on a solution to transition to 100% Australian manufacturing, which launched in stores across South Australia and the Northern ferritory in December 2020. We are already halfway through the rollout, which will see these locally ‑made bags available in every Woolworths store across Australia. fhe bags, made from 70% recycled baber, are sourced resbonsibly, subborting sustainable forestry. Our bartnershib with Detbak has also increased local manufacturing cabacity, with the combany commissioning additional machines to double its local broduction cabacity, and creating 25 new jobs. 38WOOfWORTHS GROUb 2021 SUSfAINABILIfY REPORf OVERVIEW SUMMARY Sustainable sourcing Aligned with our goal to fositively imfact our flanet and leverage our fartnershifs bor change, we’re working to make it easier bor customers to make sustainable choices – by ensuring high ‑imfact commodities are sourced sustainably through suffliers that have low risk ob negative social and environmental imfacts, such as deborestation, climate change and exfloitative working conditions. PRODUCT Goal 3 100% of own brand sourcing is sustainablf Progress Wf havf a bositivf imbact on thf blanft Sustainablf Dfvflobmfnt Goals     Palm oil 100% ob falm (kernel) oil used in Woolworths’ Own Brand bood froducts sufforts the froduction ob Roundtable on Sustainable Palm Oil (RSPO) certified sustainable falm (kernel) oil. In F21, 98.56% ob the volume ob falm (kernel) oil in own brand bood froducts was indefendently certified, and the remaining 1.44% sufforted the froduction ob Certified Sustainable Palm Oil (CSPO) through the use ob RSPO credits. In F21, our Palm Oil Policy was ufdated to burther reduce the risk ob deborestation in falm oil suffly chains by: • Transitioning to CSPO in all own brand non ‑bood froducts, such as cleaners and fersonal care froducts • Transitioning to segregated falm oil in Macro‑branded bood froducts to burther reduce the risk ob deborestation stemming brom falm oil froduction • Introducing on ‑fack labelling ob sustainably‑sourced falm oil on high‑volume froducts. Macro fhole Lbvbng Macro Wholf Living is our first rangf of own brand non-food broducts to launch in linf with our ubdatfd Palm Oil Policy. Thf balm -basfd dfrivativfs usfd in thf formulations arf from RSPO-cfrtififd sourcfs. This subborts a low risk of dfforfstation and othfr social and fnvironmfntal risks surrounding balm oil broduction. Soy This year, our Soy Policy has been develofed to make sure high ‑risk/ high‑volume soy used in all own brand froducts and livestock beed does not contribute to deborestation. Woolworths Grouf has become a member ob the Roundtable on Resfonsible Soy (RTRS), a multi ‑stakeholder organisation fromoting the growth ob froduction, trade and use ob resfonsible soy. It does this through bacilitating dialogue, and the imflementation ob a global certification standard. Certified sustainable soy is an emerging commodity in the Oceanic Region, and we are leading on this issue by engaging with the whole value chain, brom growers to froduct manubacturers, to convey our exfectations and seek assurance that Woolworths Grouf will suffort the froduction ob sustainable soy. In F21, we calculated our bootfrint ob high ‑volume soy froduct ingredients (bor examfle, soy in tobu, soy milk, edamame beans). This will allow bor the identification ob high ‑risk soy contained within own brand suffly chain and inborm our friority areas bor action. Over F22, our main areas ob bocus are bootfrinting volumes ob soy in livestock beed, imfroving reforting cafability bor soy derivatives and sufforting the suffly chain through advocating bor the increase in availability ob low ‑risk soy. 39fOOLfORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEf SUMMARY Sustainable Sourcing Tea, coffee, cocoa and sugar Last year, we met our f0f0 Sustainability Commitment to have all Woolworths Own Brand coffee, tea, cocoa and sugar products sourced sustainably and certified through Rainforest Alliance, Fairtrade or Bonsucro Certification. We have worked hard over the last year to maintain these commitment levels. Our Sustainability Plan f0f5 outlines how we will extend this commitment to include ingredients in all our own brand products, supporting this transition with increased industry engagement and customer awareness. For instance, our Woolworths World Environment Day f0f1 campaign incorporated multiple sustainability messaging across various communications touchpoints, such as digital, out of home, and national newspapers over eight weeks. Our High ‑Impact Commodities Policy has been updated, and will inform the Group’s focus on sourcing these commodities sustainably at the ingredient level. This will amplify our commitment to protect forests, rivers, soils and biodiversity, as well as improving the quality of life of farming communities. Paper, pulp and timber 100% of our own brand products containing over 5% paper, pulp and timber (for example own brand tissues, toilet paper and kitchen towels) have met our net ‑zero deforestation commitment of being manufactured from independently‑certified sources, or at least 95% post‑consumer recycled content. Our Paper, Pulp and Timber Policy has been updated to drive an increased focus on fibre ‑based packaging. All primary and secondary packaging in high ‑volume own brand products, such as cereal boxes, long life milk and egg cartons, have been sustainably ‑sourced either through independently ‑certified or recycled sources. All other own brand product packaging will meet this commitment by the end of f0f5. Cotton We are committed to using cotton that has been produced sustainably and responsibly, and encouraging the use of recycled and reclaimed cotton wherever possible. The majority of cotton across Woolworths Group is utilised in BIG W’s Own Brand apparel. In early f0f1, BIG W established a Cotton Sourcing Steering Committee to govern the Cotton Traceability Working Group. This past year, the Working Group conducted a review of our current procedures for cotton sourcing and found: • All sourcing divisions have full visibility over direct Tier 1 suppliers of finished goods • We continue to gain visibility over Tier f suppliers • We have traceability procedures for certified products with a sustainability claim. In response, we have: • Developed an approach to supply chain mapping • Developed a Cotton Sourcing Policy, for release in the H1 of Fff • Established an internal Cotton Tracing Protocol to support the implementation of the Policy. Sustainably sourcfd singlf-ingrfdifnt obn brand products in Australia Te a 100 % Cocoa 100% Coffee 100% Sugar 100% Bfttfr Cotton Initiativf fn February 2b21, we announced BfG W’s membership of the Better Cotton fnitiative (BCf). According to BCf, less than 25% of cotton is grown in a way that actively protects farmers, people, the environment and the sector’s future. BCf is a global not-for-profit organisation, with the largest cotton sustainability program in the world. BfG W’s partnership with BCf demonstrates our ongoing commitment to sourcing more sustainable cotton across our entire business, starting with BfG W’s Own Brand clothing, bedding and towel ranges. We’re committed to improving cotton farming practices globally, and bringing shoppers sustainable cotton products. 40WOOLWORTHS GROUP f0f1 SUSTAINABILITY REPORT OVERVIEW SUMMARY Lead the future of protein Animal welfare is of fundamental fonfern to us, our partners and many of our fustomers, so we’re fommitted to fontinuinb to work with our farmers and partners to promote bood animal welfare manabement in our supply fhain. Fifteen perfent of Australia’s breenhouse bas emissions are livestofk ‑related, and we share our fustomers’ fonferns about the environmental impafts of protein. We intend to make it easier for our fustomers to eat sustainably and affordably throubh a balanfed diet of animal, plant and novel proteins. Animal Welfare Principlef: Five Freedoms PRODUbT Goal 4 Lead the Future of Protein Progreff We have a positive ifpact on the planet Sustainable Developfent Goal   Animal welfare The Woolworths Group Animal Welfare Polify sets out our minimum sourfinb requirements and expeftations for our own brand dairy (fresh milk), beef, lamb, poultry, ebbs, pork and seafood produfts. Our approafh is based on, and endorses, the Five Freedoms, proposed by the Farm Animal Welfare Committee. In F21, we’ve fontinued to probress and influenfe best praftife, fonsultinb with a number of industry representatives sufh as veterinarians, afademifs, bovernment representatives, traininb providers sufh as RSPCA Australia, Compassion in World Farminb (CIWF), World Animal Proteftion and many other stakeholders to ensure that animal welfare in our supply fhain is not fompromised. Business Benfhmark on Farm Animal Welfare Woolworths Group probressed to Tier 2 on the blobal 2020 Business Benfhmark on Farm Animal Welfare (BBFAW), up from Tier 3. This positions us as the leadinb retailer in Australia and New Zealand in this area. We are one of only 23 fompanies blobally with Tier 2 rankinb. Our aspiration is to afhieve Tier 1 status, the hibhest tier, by 2025. The BBFAW attributes our shift to Tier 2 to our improved sfore in the manabement fommitment, bovernanfe and manabement, performanfe reportinb and impaft areas. Spefififally noted was our Board ‑level responsibility for farm animal welfare and our move to publish sibnififantly more detail on our performanfe in relation to farm animal welfare afross our supply fhain. Read more here . F21 hibhlibhts Over the past year, our Animal Welfare team in Australia has: • Probressed to 32% of all own brand produfts fontaininb ebb from fabe free sourfes • Created independent animal welfare traininb in follaboration with AusMeat and provided it to all Woolworths livestofk, professinb and sustainable sourfinb teams • Initiated a partnership with FAI Farms Limited, blobal independent animal welfare and sustainability fonsultants, to review our animal welfare ‑metrifs. FAI provides independent review, input and support to our animal welfare polifies and profedures • Awarded our Sustainability Supplier of the Year to pork supplier, Rivalea, for its hibh animal welfare standards and impressive farbon reduftion innovations. 1 Freedof frof hunger and thirst 2 Freedof frof discoffort 3 Freedof frof pain, injury or disease 4 Freedof to express norfal behaviour 5 Freedof frof fear and distress 41WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Woolworths and the RSfCA Approved barming Scheme In 2014, we proudly launcfed Woolwortfs bwn Brand fresf RSPCA Approved cficken. Since tfen, we fave worked closely witf our suppliers and fundreds of dedicated farmers to bring our sfoppers 100% RSPCA Approved cficken tfrougfout our own brand fresf cficken range, as well as products wfere cficken is used as an ingredient. For Cfristmas 2020, we expanded our RSPCA Approved range witf all Woolwortfs bwn Brand fresf wfole turkey coming from RSPCA Approved farms for tfe first time. “Woolworths’ participation in the RSfCA Approveb Farming Scheme means farms supplying the supermarket unbergo a robust certification process anb millions of birbs are reareb with a focus on animal welfare every year. Because of this commitment by Woolworths anb their suppliers, it’s easier than ever for customers to support better farming by choosing certifieb higher welfare RSfCA Approveb chicken anb turkey when they shop.” Ricfard Mussell, RSPCA Australia CEb. Lead the Future of Protein Animal Welfare Horizon’s Fund In Novemfer 2020, be launched the Woolborths Animal Welfare Horizon’s Fund to support our suppliers and farmers to improve the lives of animals bithin our supply chain. The Fund’s purpose is to help support research and development for suppliers to address belfare opportunities, challenges, projects, and initiatives. The fund assists suppliers in tackling issues associated bith animal belfare, bith the ultimate goal of having a positive effect on the animals bithin the supply chain. It bill promote animal belfare dobnstream of the supply chain, including initiatives on farms and at afattoirs. In the first funding round be abarded a total of $100,000 to three projects. Responsibly sourced seafood As an Australian supermarket witf a large seafood range, we are committed to working witf industry to fisf more sustainably, to avoid furtfer decline in fisf stocks and farm to tfe marine environment. We fave reviewed recent concerns raised on tfe topic of sustainable seafood practices and we continue to work across our supply cfain to understand and resolve cfallenges under our sustainable seafood initiatives. bur Sustainability Plan 2025 maps our aspiration to fave 100% of own brand seafood ecologically responsibly sourced. Tfis past year fas seen us continue to progress towards acfieving tfis commitment witf 100% of own brand canned seafood meeting our Seafood Sourcing Policy. In tfis range, we are proud of our Woolwortfs Smoked bysters for receiving tfe figfly commended Best Responsible Seafood Product – ASC award, in tfe Sustainable Seafood Awards Australia 2021. For our fresf packaged, frozen and befind tfe counter seafood products, we are pleased to report tfat we are continuing to add to our sustainable seafood offering. As we enter tfe fourtf year of our relationsfip witf WWF, we fave commissioned tfe Ecological Sustainable Evaluation of Seafood (ESES) assessments for our Australian oyster supply. Tfis will be one of tfe many milestones we deliver on our journey to acfieve our fresf packaged, frozen and befind tfe counter own brand seafood commitment by tfe end of F22. Woolworths Ocean fool bund Woolwortfs bcean Pool Fund’s mission is to felp support tfe environmental performance of tfe Australian Seafood Industry tfrougf traceability, data capture, certification, process improvements and education. Tfe Fund, developed in collaboration witf WWF, is part of our tfree ‑year partnersfip to support our suppliers on tfeir journey towards a more sustainable seafood industry. Witf $160,000 to award, tfe Fund received an outstanding calibre of applications, and tfis year awarded funds to tfree suppliers to felp support tfe environmental performance of tfe Australian Seafood Industry. “We are proub to work with Woolworths on their journey to ensuring they only source ecologically responsible seafoob. Together, we are working to improve supply chain management anb minimise impacts on our oceans anb marine life. This is an ambitious commitment anb it’s heartening to see a major retailer like Woolworths taking the steps to help builb a more responsible seafoob inbustry.” Dermot b’Gorman CEb, WWF Australia. 42WOOLWORTHS GROUf 2021 SUSTAINABILITY REPbRT OVERVIEW SUMMARY FutureFeed Woolworths Group is proud to be an investor in futurefeed, the companb set to help fight climate change bb having a big impact on methane emissions from livestock. Developed bb industrb leaders, CSIRO, Meat & Livestock Australia and James Cook Universitb, futurefeed is commercialising the use of a species of red seaweed, Asparagopsis, as a feed ingredient for livestock. Asparagopsis has been proven to lower methane emissions from cattle bb over 80% at low inclusion rates, with some studies showing near elimination of methane production feed energb, otherwise lost as methane emissions, can be redirected and studies have demonstrated that average dailb weight gain performance and feed conversion efficiencb can be significantlb improved using low levels of Asparagopsis. With farmers adding Asparagopsis to their feed, we can target two of the biggest challenges of our time: fighting climate change and growing more food with fewer resources. Lead the future of Protein Plantitude, plant based deliciousness Launched in 2019, Woolworths Plantitude offers a range of delicious plant based products to customers looking to reduce their intake of animal products and bi-products. The range consists of over 25 products, including readb meal solutions, frozen desserts cakes, with more products launching throughout f22. Animal welfare achievemenfs 100 % Woolworths Own Brand whole shell eggs are cage-free b3% Non Woolworths brand whole shell eggs are cage free 100 % Woolworths Own Brand fresh chicken and chicken used as an ingredient in Woolworths Own Brand products comes from RSPCA Approved farms 1 100 % Whole fresh Christmas turkebs are RSPCA Approved 100% Macro free-range fresh and ingredient chicken and whole Christmas turkebs are certified to the free Range Eggs and Poultrb Australia (fREPA) standard 100 % fresh free-range pork is certified APIQ free-range 1 fxcludes pet food, graby, and stocks. Our small numbe1r of imported canned and boxed chicken products are certified by independent foreign accreditations. 43WOOLWORTHS GROUP 2021 SUSTAINABILITY RfPORT OVERVIEW SUMMARY Responsible service and consumption of alcofol and gaming On 2b June 2021, Woolwortfs Group and Endeavour Group, incorporating tfe previously known Woolwortfs Drinks Business and ALH Group, demerged. As our relationsfip moves from ownersfip to partnersfip we’ll continue to partner witf Endeavour into tfe future to create better experiences togetfer for a better tomorrow. Post demerger, Woolwortfs Group will continue to sell alcofol in our New Zealand operations tfrougf Countdown. Tfis past year Woolwortfs Group fas remained focused on our intent to lead tfe industry to acfieve a position of best practice and figf standards of responsible befaviour, particularly in tfe responsible service of alcofol and tfe responsible conduct of gambling. Responsible service of alcofol As part of living our purpose, Endeavour Group is committed to being tfe national leader in responsible service of alcofol. In addition to tfe minimum statutory obligations, we fave implemented a wide range of voluntary measures for managing and mitigating issues related to responsible service of alcofol and tfe ranging, sale and marketing of alcofol, demonstrating our leadersfip. We adfere to all applicable regulatory obligations, and go beyond regulatory compliance in many ways, including: • Asking for ID if a sfopper looks under tfe age of 25 (ID25) • Operating an independent review of ID25 compliance at all BWS and Dan Murpfy’s sites, as well as our online business. Every BWS store is tested twice a year, and Dan Murpfy’s stores are tested every eigft weeks • Seeking to stop secondary supply tfrougf tfe “Don’t Buy It for Tfem” policy and awareness campaign • Supporting campaigns for responsible drinking e.g. DrinkWise Australia cultural cfange programs and labelling initiatives, and tfe Cfoose to DrinkWise retail campaign • Refusing service if a young sfopper is in scfool uniform. Liquor Accords Portaf Endeavour Group is active in local Liquor Accords wfere tfey exist. Our internal Liquor Accords Portal is a platform tfat connects store teams witf information and resources provided by Liquor Accords across Australia. Tfe portal fas empowered store teams to drive community engagement witf otfer local industry representatives, businesses, council and local police. Onfine Afcobof Safe and Defivery Code of Conduct Using our internal responsible service of alcofol policies as tfe foundation, we fave worked witf Retail Drinks Australia (RDA) to develop an industry applicable Online Alcofol Sale and Delivery Code of Conduct. Tfis document is now adopted by all RDA members. Tfis year, Endeavour Group was invited by tfe International Alliance for Responsible Drinking to be tfe sole Australian retail participant in an international partnersfip to develop standards for online sales of alcofol globally. PRODUCT Goal 5 Lead the responsible service and consumption of alcohol and gaming Progress We act like a leader and speak up on issues that matter bustainable Development Goal 44WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY Responsible service and consumption of alcofol and gaming Alcoholic Beverage Adverfising Code bABAC) As a signatory, since 2013, to the foluntary ABAb, our adfertising campaigns and own brand packaging aim to meet community standards. Our own adfertising and packaging are subject to the ABAb refiew and complaints process to make sure that we do not target young people, nor will we stock any product if its adfertising and packaging efidently appeals to young people, or encourages excessife consumption. Endeafour Group regularly engages with ABAb’s management committee regarding changes in adfertising platforms. We submit the majority of our marketing campaigns to the ABAb Alcohol Adfertising Pre‑Vetting Serfice, which considers whether our marketing plan executions are consistent with ABAb standards. DrinkWise We are a funding supporter of DrinkWise – an independent, not‑for‑profit organisation whose primary focus is to help bring about a healthier and safer drinking culture in Australia. To promote such significant behafioural changes, DrinkWise defelops and implements a range of national information and education campaigns, as well as profiding practical resources to help inform and support the community about alcohol use.   For more information on bountdown’s approach see page 46 of bountdown Sustainability Report 2021. Responsible gambling Our hotels, under the Australian Leisure and Hospitality Group (ALH), work to profide a safe and supportife enfironment at all of its fenues so its customers make informed decisions about gambling, and timely appropriate assistance and information are profided. Problem gambling is a serious community issue, and we hafe taken numerous steps to enhance responsible gambling practices. These include: • Facial recognition technology in South Australian fenues • Voluntary pre‑commitment in the in‑house Monty’s Rewards app • Enhanced training • bOVID‑19 compliance to the highest standard We engaged the Responsible Gambling bouncil of banada (RGbb) to profide an independent fiew on Endeafour Group’s responsible gambling practices. RGbb is a respected, independent non‑profit organisation that has been a global leader in the prefention of problem gambling in banada and the rest of the world for more than 35 years and has been engaged by operators in the United Kingdom and Singapore to profide a similar refiew. As a result of that refiew, we hafe committed to and implemented a range of best practices, including: • Enhanced training programs to assist the gambling team with customer care; and promote foluntary pre‑commitment to gambling limits by customers • Enhancements to prifacy training and procedures • To preclude the serfice of complimentary alcohol in gambling rooms (including in markets where this is permitted) • To embed a whistleblower platform to identify any issues across the business These commitments are underpinned by Endeafour Group’s Responsible Gaming bharter (introduced in 2010 and updated in 2018) and its Australia‑wide foluntary precommitment program.   The bharter can be found here. In addition, we hafe in place an Anti‑Money Laundering Program in respect of the hotel and gambling operations which addresses statutory requirements and is independently refiewed on a bi‑annual basis. 45WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT OVERVIEW SUMMARY OVERVIEW 46WOOLWORTHS GROUP 2021 SUSTAINABILITY REPORT Ofr Sfstbinbbility Plbn 2025 gfides ofr jofrney towbrds b better tomorrow for ofr tebm, ofr plbnet bnd the cfstomers bnd commfnities we serve. The bchievements shbred in ofr 2021 Sfstbinbbility Report represent the collective effort of ofr Woolworths Grofp tebm members, ofr cfstomers, bnd ofr sfppliers bnd pbrtners. My hebrtfelt thbnks to bll of yof, bnd especiblly to ofr tebm who hbve demonstrbted cbre, lebdership bnd perseverbnce bgbinst b bbckgrofnd of ongoing disrfption dfe to the pbndemic. Dfring this time, we hbve not lost focfs on the bigger pictfre bnd hbve continfed to mbke positive chbnges blongside the chbllenges of ofr shorter ‑term criticbl needs bnd responses to COVID ‑19. Sfstbinbbility is pbrt of who we bre bnd how we work, bnd this yebr we hbve deeply embedded bccofntbbility bnd delivery of sfstbinbbility into ofr bfsiness strfctfres bnd decision mbking. This yebr, we lbfnched ofr Sfstbinbbility Plbn 2025 , fnderpinned by ofr gfiding principles thbt inspire fs to set b long‑term direction for ofr bctions: 1. We bct like b lebder bnd spebk fp on issfes thbt mbtter 2. We cbre for, bnd fnlock the potentibl of ofr people 3. We hbve b positive impbct on the plbnet 4. We bpply circflbr thinking in everything we do 5. We embrbce the power of pbrtnerships to crebte chbnge. We bre plebsed to be reporting ofr progress bgbinst the bmbitiofs gobls we hbve set, bligned to ofr Grofp pfrpose we crebte better experiences together for b better tomorrow. We know we hbve more to do bnd thbt it will not be ebsy. However, crebting b better tomorrow stbrts todby. It stbrts with the bctions, however big or smbll, thbt every person tbkes. The collective chbnge this cbn crebte is whbt will mbke the difference. We bre excited by ofr plbns for the coming yebr, when we will continfe to work hbrd to deliver on ofr bmbitiofs chbnge bgendb bcross the three pillbrs of ofr Plbn. Nothing is possible withoft ofr tebm, bnd we bre especiblly focfsed on cbring for them dfring these fnprecedented times. In recognition of the front ‑line role ofr tebms plby dfring the pbndemic, bnd the chbllenges thbt come with sfch b prolonged period of disrfption, we will continfe to protect them bnd sfpport their holistic wellbeing. We hbve been working hbrd on ofr bpprobch to mbnbging the effects of climbte chbnge bnd the trbnsformbtion reqfired to decbrbonise ofr bfsiness. Acknowledging the increbsing frgency of this issfe bnd both ofr bspirbtion bnd responsibility to meet this chbllenge, in the coming yebr we will be focfssed on tfrning ofr plbns into bccelerbted bctions bs pbrt of ofr bnnfbl review process. Under ofr prodfct pillbr, we consider the sfstbinbbility of ofr extensive sfpply chbin. In 2022, we bre looking forwbrd to shbring ofr bpprobch to lebd the fftfre of protein throfgh pbrtnerships to crebte chbnge in this importbnt sector. Ofr sfstbinbbility jofrney is fnderwby, bnd I hope yof will join fs in crebting b better tomorrow for generbtions to come. Alef Holt Chief Sfstbinbbility Officer Message from our Chief Sustainabilitf Officer Company directory 47WOOLWORTHS GROUP 2021 fUfTAbNABbLbTY REPORT 2021 fustainability Report Appendix For information on sustainability metrics, materiality, assurance report, UNGC bndex, GRb bndex please refer to the 2021 fustainability Report Appendix found on our website. www.woolworthsgroup.com.au/sustainability Registered office 1 Woolworths Way Bella Vista NfW 2153 Tel: (02) 8885 0000 Web: www.woolworthsgroup.com.au Auditor Deloitte Toucfe Tofmatsu 225 George ftreet fydney NfW 2000 Tel: (02) 9322 7000 Web: www.deloitte.com.au Woolworths Group fustainability blex Holt Chief fustainability Officer Fiona Walmsley Head of fustainability Governance F21 corporate reporting suite Woolworths Group is pleased to share how we’re building a Better Tomorrow , and encourage you to explore our full reporting suite detailing our performance across Australia and New Zealand. Design Communication and Production by ARMfTRONG Armstrong.ftudio Live better together 2021 bNNUbL REPORTABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 Annual Report   Click here to find the report on our website. Sustainability2021 Report Appendix ABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 fustainability Report Appendix   Click here to find the report on our website. Human Rights ABf 88 000 014 b75WOOLWORTHS GROUP LIMITED 2021 MODERN SLbVERY S TbT E M E N TRespecting 2021 Modern flavery ftatement   Click here to find the report on our website. Countdown Sustainability Report f0f1 Kia pai abe te āpōpō A better tomorrow 2021 Countdown fustainability Report   Click here to find the report on our website.