THE BEAUTY OF DOING GOOD - Responsible Business Report 2020 - Avon Worldwide
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THE BEAUTY OF Responsible
Business
DOING GOOD Report 2020
A MESSAGE FROM
Responsible
Business
Angela Cretu, CEO of Avon International
Report 2020
A message
from our CEO For all of us, much changed in 2020 – but particularly for women. Covid-19 caused gender gaps to
Reporting widen, damaging women’s employment and earnings prospects. Meanwhile, instances of gender-
scope
Avon at based violence soared during national lockdowns. Reversing these trends takes many years.
a glance
Our approach At Avon, we want to create opportunities for women – and As part of Natura &Co, we’ve set ambitious targets in line with
to responsible
business and men – to earn and learn, in their own way, and on their own the Group’s Commitment To Life, which sets out to tackle
sustainability terms. Beauty is more than skin-deep. It’s the independence some of the world’s most pressing issues. Together, we’re
2020 highlights and self-esteem that comes with financial empowerment; challenging ourselves to do more and go faster, addressing
Being it’s the confidence that comes with learning new skills; it’s the climate crisis, ensuring equality and inclusion, and
human-kind
the sensual indulgence of a special fragrance; it’s being focusing on circularity and regeneration. We’ve committed
Being
planet-kind healthy and happy, and the best you can be. to becoming a B Corp by 2025, joining over 3,500 businesses
globally to meet the highest standards of social and
In 2020, we worked hard to address the changing needs of
environmental performance, transparency, and balance
our employees, Representatives and communities, to make
between profit and purpose.
sure we continued to support them, even when circumstances
were changing fast. We repurposed our production lines to Meanwhile, we’ll work towards Avon’s vision of creating a
produce hand sanitiser, supported our Representatives to better world for women, which is a better world for all. This
accelerate the transition to online selling, and worked with our report, and information online, shows the progress we made
NGO partners around the world to reach out to and support in 2020 and our future plans, supporting emerging issues
women at increased risk of gender-based violence. and continuing to support the causes that have always
been close to our hearts at Avon.
This took place against the backdrop of a milestone for
Avon. At the start of 2020, we became part of the Natura
&Co family. We are proud to be part of a global family of
purpose-led businesses, all committed to making a positive
difference – and to being not just the best beauty company
in the world but also the best beauty company for the world.
2 Every company within Natura &Co has its own story, but we
are all moving in the same direction. Angela Cretu
REPORTING
Responsible
Business
Report 2020
SCOPE
A message This report covers the year to 31st
from our CEO
December 2020.
Reporting
scope
Avon at Our manufacturing operations in Latin
a glance America are now integrated with those of our
Avon
Our approach sister company operation in Natura &Co and
to responsible International
business and those Avon employees who are based in Latin
sustainability America now work for Natura &Co. Outside
2020 highlights this region, Avon International operates as
Being a stand-alone business. This means that
human-kind
we’ve changed the way we report on our
Being
planet-kind key performance indicators this year.
Where applicable, we’ve separated out our
environmental data to distinguish between
the Latin American operations and the
Avon Latin
Avon International business. All company America
data relating to employees refers to Avon
International and excludes Latin America.
3
AVON AT
Responsible
Business
Report 2020
A GLANCE
For over 130 years, Avon has stood The facts*
A message
from our CEO
for women, providing innovative and
Reporting
scope
Avon at
a glance high-quality beauty products, which are 5 million active independent Avon sales
Representatives in 68 countries
Our approach
to responsible
business and
primarily sold to women, by women.
sustainability
2020 highlights We have over five million independent sales Representatives, in
Being countries across the world. They work in their own way, and on their
human-kind own terms, to sell Avon products on a full or part-time basis, building 102 lipsticks, 60 mascaras and 121 nail enamels
Being
planet-kind
their own businesses and developing skills as they do. sold by Avon Representatives every minute
We’re proud to say that Avon is a democratic beauty brand. Anyone
can sell our products, and we are inclusive and open to all in our pricing,
brand positioning and marketing.
The biggest fragrance brand in the world
Over US$1.1 billion donated over the years to
help women live safe and healthy lives
4
* As of 31st December 2020
OUR APPROACH TO RESPONSIBLE
Responsible
Business
Report 2020
BUSINESS AND SUSTAINABILITY
We’ve re-focused This report addresses our efforts to be
A message
from our CEO
Human-kind and Planet-kind. Human-kind
our approach to
Reporting
scope is about supporting Representatives and
Avon at employees, and supply chain partners and
a glance responsible business the communities we’re in. It also covers our
Our approach work to campaign, fundraise and create
to responsible
business and
and sustainability to positive change around the two causes we
align with Natura &Co’s
sustainability
support: raising awareness of breast cancer
2020 highlights
and gender-based violence. We want to
Being
human-kind 2030 sustainability vision, create a better world for women, which is a
better world for all. We seek to help women
Being
planet-kind Commitment To Life. overcome the challenges they face, and
become the best they can be.
This vision addresses
This report also examines what it means
some of the world’s most to be Planet-kind, which includes the work
we’re doing to address the climate crisis,
pressing issues. We’re embrace circularity and regeneration
setting our goals as and lower the environmental footprint
of our operations.
a business to ensure Our approach to responsible business
they support progress is informed by the UN Sustainable
Development Goals (SDGs). We continue
towards the Natura &Co to support the delivery of the goals, with a
particular focus on the eight SDGs where
Commitment To Life. we can make the biggest difference.
5
Responsible
Business A better world for women, which is a better world for all: our approach to sustainability
Report 2020
A message
u ra & Co 2 0 3 0
from our CEO
Nat
Reporting
scope
Avon at GOOD HEALTH To defend To embrace RESPONSIBLE
a glance AND WELL- BEING Human Rights Circularity CONSUMPTION
and AND PRODUCTION
and to be
UN
Our approach
s
Human-Kind Regeneration
to responsible
al
Go
business and
Su
sustainability
sta
nt
2020 highlights
GENDER CLIMATE
le Developme
Being
inab
EQUALITY ACTION
human-kind
Being
le Developme
planet-kind
HUMAN- PLANET-
DECENT WORK
KIND KIND LIFE BELOW
AND ECONOMIC WATER
GROWTH
a inab
n
t
t
s
Go
Su
PEACE AND To address the LIFE
JUSTICE STRONG ON LAND
a
UN
Climate Crisis
INSTITUTIONS
ls
and protect
the Amazon
Co i fe
mmit
ments to L
6
Responsible
Business How we do business Identifying our
Report 2020
responsibly material issues What matters most
Corporate responsibility and sustainability
are overseen by the Director of Corporate
In 2019, we conducted a survey with key
stakeholders to explore which issues matter
to our stakeholders
A message
from our CEO Responsibility & Sustainability, who works most to the people that matter to us – our
Reporting in partnership with relevant teams and employees, our Representatives and our
scope
executives. We also have a Corporate customers – to inform our sustainability
Avon at
a glance Responsibility Steering Group. The group strategy. We also surveyed commercial
Our approach meets regularly to review the progress stakeholders, trade organisations and
to responsible
of key performance indicators, discuss regulators separately to ensure that our
business and ANIMAL SUPPORT
sustainability emerging issues, agree resource allocation sustainability strategy is aligned to the
2020 highlights and prioritisation, and ensure corporate needs and priorities of all key stakeholders. WELFARE FOR WOMEN’S
Being responsibility is integrated throughout CAUSES
human-kind These issues inform our strategy and
our business.
Being goals, and we will repeat the exercise in
planet-kind 2021, making sure that we understand and
The Corporate Responsibility Steering
incorporate stakeholder expectations into
Group comprises senior executives
our business through sustainability strategies
from business functions including Supply
and operations.
Chain, Procurement, HR, and Research
PRODUCT AND PRESERVATION
& Development. The Group is chaired by
Avon’s Group Vice President of Research
Awards and recognition INGREDIENT OF NATURAL
& Development and Sustainability, who is a We’re proud to be continually recognised SAFETY RESOURCES
member of both Avon’s Senior Leadership for how we do business in a responsible and
Team and the Natura &Co Sustainability sustainable way. Highlights in 2020 include
Network of Excellence. The latter is headed being recognised by the Women Economic
up by the Natura &Co Group’s Sustainable Forum in Colombia among the ‘Iconic
Growth Officer and is focused on delivering Companies’ that create a better world, and
the Group’s Sustainability Vision 2030: winning at the Global Business Excellence
Commitment To Life. Awards for our breast cancer awareness WELFARE OF WORKERS
campaign in Turkey. Find out more about IN THE SUPPLY CHAIN
7 our awards and recognition, historically
and in 2020, here.
2020
Responsible
Business
Report 2020
HIGHLIGHTS
A message
from our CEO
Reporting
scope
Avon at
a glance
Our approach Human-kind Planet-kind
to responsible
business and
sustainability
We launched our #Isolated We expanded our We achieved all of our We continued our
2020 highlights NotAlone campaign, portfolio of make-up 2020 environmental commitment to never
Being
human-kind
reaching over 96 million shades to match a wider targets for carbon testing our products or
Being people on social media range of skin tones emissions, waste and ingredients on animals
planet-kind
recycling, and water use
We donated US$9.2 We implemented our We achieved a 90%
million across the world, gender-based violence We achieved zero Scope 2 recycling rate in our
tackling breast cancer protocol, providing support emissions from electricity operations
and violence against to any survivors who work use, with 100% of energy
We updated our Supplier
women and girls to date for Avon purchases coming from
Code of Conduct with
renewable sources
We produced over 9 We launched Avon’s new environmental
million units of hand Essence, our new All of our brochures were requirements
sanitiser and over 4 million employee value printed on sustainably
face masks globally proposition with a focus sourced paper
on inclusion and purpose
8
At Avon, we largely fundraise and donate through our business operations. Additionally, we
donate through the Avon Foundation and independent Institutes in Argentina, Brazil and
Colombia. For more information on our Foundations, please see our website
Responsible
Business
Report 2020
A message
from our CEO
Reporting
scope
Avon at
a glance
Our approach
to responsible
business and
sustainability
2020 highlights
Being
human-kind
• Responding
to Covid-19
• Action against
gender-based
violence
• Breast cancer
support and
awareness
• Avon’s essence
• Diversity &
BEING
Inclusion
• Human-kind
sourcing
• Ethics and
compliance
CREATING A BETTER
Being
planet-kind
HUMAN-KIND
WORLD FOR WOMEN,
WHICH IS A BETTER
9
WORLD FOR ALL
RESPONDING
Responsible
Business
Report 2020
TO COVID-19
In 2020 Covid-19 forced In response, we focused on supporting
A message
from our CEO
our Representatives to continue to sell
all of us to fundamentally
Reporting
scope safely and effectively, helping our
Avon at employees manage their changing work
a glance change how we live and environments, and by increasing our
Our approach investment in and support for our NGO
to responsible
business and
work. Women faced partners around the world who work to
particular pressures as
sustainability
address gender-based violence.
2020 highlights
We’ve campaigned to end violence
Being
human-kind a result of the pandemic against women for more than a decade.
• Responding
to Covid-19 – from a stark increase in We know that Covid-19 has had a significant
impact on rates of gender-based violence,
gender-based violence
• Action against
gender-based particularly in domestic settings. This year
violence
we launched a new policy providing access
• Breast cancer
support and around the world to the to extra paid leave and support for any
awareness employees who find themselves in an
• Avon’s essence main burden of caring abusive relationship. More detail on this is
• Diversity &
Inclusion
• Human-kind
responsibilities falling provided here, and information about the
work we did to support our communities
sourcing
• Ethics and
on women. and partner NGOs here.
compliance
Being
planet-kind
10Responsible
Business Supporting our
Report 2020
Representatives Supporting
A message
When the pandemic hit, we needed to support mental health
from our CEO our self-employed Representatives, many
We also trained 25 volunteers
Reporting of whom depend on their Avon business for
for our Mental Health First Aider
scope supplemental or total income. We provided
programme in the UK. This gave
Avon at thousands of soap and hand sanitisers to our
a glance employees someone to speak to
Representatives, and accelerated the digital
Our approach about issues affecting their mental
to responsible support and training available to them, so that
business and health at work. To complement
they could access the tools they needed to
sustainability this, we conducted ‘Leading With
sustain and grow their businesses safely.
2020 highlights Heart’ training for managers on how
Being In the UK we reduced our earning threshold, to support employees during the
human-kind
so that Representatives now earn money pandemic; emphasising stability,
• Responding
to Covid-19
from their first £1 of sales. This, together with positivity and the importance of
• Action against
gender-based
We accelerated the our Watch Me Now campaign and the fact meeting their team’s needs. After
that women worked in many of the sectors the session, managers said they
violence
• Breast cancer
digital support and that were hardest hit by lockdown, led to a would prioritise random acts of
training available two-fold increase in new Representatives
support and kindness to keep their team smiling
awareness
• Avon’s essence
joining our UK business. This gave them and focus on asking what they
• Diversity & to our Reps, so that access to new earning opportunities and a can do to help.
Inclusion greater degree of financial independence.
• Human-kind
sourcing
they could access the
• Ethics and
compliance
tools they needed to
Being
planet-kind
sustain and grow their
businesses safely.
11Responsible
Business Supporting our
Report 2020
communities
It became clear early in the pandemic that Across Latin America, Avon In New York State, employees at the
A message
from our CEO there was an urgent worldwide need for and Natura donated 2.8 million Avon Innovation Center donated over
Reporting more hygiene products to halt transmission units of soap to local communities. 8,000 masks and gloves to the Good
scope of the virus. As shortages of hand gel Samaritan Hospital to keep critical
Avon at became widespread, we developed a new In the Czech Republic and Slovakia, workers safe.
a glance
hand sanitiser product and switched some we donated 3.5 tonnes of liquid soap
Our approach
to responsible of our production capacity to manufacturing and shower gel to care homes and Our team in Russia participated
business and this to meet the demand worldwide.
sustainability oncology centres. in #MyVmeste (#WeAreTogether),
2020 highlights providing support for vulnerable
Being In Brazil, Avon and Natura partnered people. Our contact centre operators
human-kind
with energy drinks company Usina staffed a special hotline to help
• Responding
São Martinho, to provide 15,000 kilos pensioners and people with limited
to Covid-19
of alcohol gel and 150,000 litres of mobility, dealing with over 5,000
• Action against
gender-based
medical grade alcohol to the São requests for grocery and medicine
violence
Paulo State Health Department. This supplies, support with making
• Breast cancer
support and was recognised as one of the most payments and other services. This
awareness was recognised with an award from
• Avon’s essence
remembered brand actions during
the pandemic by the Estãdao the Russian President.
• Diversity &
Inclusion
• Human-kind
We developed a Marcas Mais awards.
sourcing
• Ethics and
new hand sanitiser in
In Poland, we donated seven tonnes
response to the needs
compliance
of Avon products including soaps,
Being
shampoos and pre-purchased
planet-kind
of our communities antibacterial gel to hospitals and
worldwide. public services.
12ACTION AGAINST
Responsible
Business
Report 2020
GENDER-BASED VIOLENCE
At Avon, we’ve been speaking up and speaking
A message
from our CEO
out about violence against women and girls In 2020:
Reporting
scope
Avon at
a glance since 2004. Over that period, Avon and the
Our approach
Distributed US$4.7 million globally to help end
to responsible
business and
Avon Foundation have contributed more than violence against women and girls and support
US$85 million globally to the cause.
sustainability
survivors and their families through grants
2020 highlights
and donations, Avon education campaigns
Being
human-kind Our work is focused on education and awareness. We do this by encouraging and other awareness events
• Responding conversation, signposting information to help people recognise and respond
to Covid-19
• Action against
to violence safely, and supporting frontline service provision, such as helplines Funded 36 helplines and online support
gender-based and refuges. services, and 90 refuges
violence
• Breast cancer In addition to our usual contributions, Avon and the Avon Foundation for Women
support and also donated over US$1 million to support NGOs across the world in response to Helped 277,867 people through our funding
awareness
• Avon’s essence the spike in domestic violence, including £150,000 to Refuge in the UK. to NGOs
• Diversity &
Inclusion
• Human-kind
Sold over 13 million product units whose profits
sourcing go towards tackling gender-based violence
• Ethics and
compliance
Being Provided training for 916 employees in
planet-kind partnership with Vital Voices on recognising
the signs of gender-based violence and
where to get support
13Responsible
Business Covid-19 and We also launched our Gender-Based
Violence (GBV) protocol internally, which
Report 2020
gender-based violence provides support and guidance for any
employees experiencing domestic violence.
Global data from 2020 showed a dramatic This gives them access to support from our
A message
from our CEO increase in the incidence of violence in specially-trained GBV Ambassadors, flexible
Reporting homes and relationships, due to Covid-19 working and additional paid leave to handle
scope restrictions imposed to curb the spread of issues arising from their situation, and
Avon at the virus. In response, we doubled-down on signposts them to local services.
a glance
our efforts to support local NGO partners
Our approach
to responsible to provide culturally relevant support and
business and help for people at risk of gender-based
sustainability
violence. The Avon Foundation for Women
2020 highlights
also donated an additional US$1 million to
Being
support 50 NGOs in 37 countries to provide
#IsolatedNotAlone
human-kind
• Responding much needed additional funding.
to Covid-19
• Action against In partnership with our Natura &Co As part of our global #IsolatedNotAlone campaign, the Avon Institute
gender-based sister brands, we created and led the in Argentina created a series of three ‘Trojan Horse’ films, reaching
violence
#IsolatedNotAlone campaign, uniting with out to women potentially experiencing a national lockdown with an
• Breast cancer
support and national and international organisations abuser. Each film starts as a cooking guide aimed at women, as a
awareness
that deliver frontline services to survivors chef introduces a simple recipe for women to try. A few seconds in,
• Avon’s essence
• Diversity & of domestic violence. The campaign raised the voiceover changes to tell women experiencing violence that they
Inclusion awareness of the increase in incidents this are not alone and where they can find support. Several of our other
• Human-kind
year, via an open letter that called on global markets were inspired to use and adapt this campaign. Through our
sourcing
• Ethics and governments to increase funding and digital access to our five million Representatives, and their millions of
compliance resources. The campaign also signposted customers, we are in a unique position to reach women and share this
Being support for those at risk, reaching 200 kind of life-saving information.
planet-kind
million women worldwide through our
online channels.
14BREAST CANCER SUPPORT
Responsible
Business
Report 2020
AND AWARENESS
At Avon, we have a long Through events and product sales, we raise
A message
from our CEO
funds to support the cause, as well as sharing
tradition of promoting
Reporting
scope vital lifesaving information and resources to
millions of women in our brochures, online
Avon at
a glance breast cancer awareness. and elsewhere. In 2020:
Our approach
to responsible
business and
Our Breast Cancer The impact of the coronavirus pandemic
meant health services had to focus on Distributed US$4.2 million globally to support
Promise helps people
sustainability
2020 highlights emergency care for those affected, breast cancer education and awareness
leading to other services being temporarily
Being
human-kind to notice the signs suspended. This made it more urgent than
through grants and donations, Avon education
campaigns and other awareness events
• Responding
to Covid-19 of breast cancer, ever to ensure that everyone knows the
risks and signs of breast cancer, and when
Funded 27,608 free breast cancer screenings
understand the risks,
• Action against
gender-based to get help. To raise awareness of this and
violence
encourage people to check their breasts, we
• Breast cancer
support and and know when and have increased our communications around Helped 272,082 people through our
awareness breast cancer to ensure that people get to NGO funding
• Avon’s essence how to take action. know their bodies and what is normal for
• Diversity &
Inclusion them, and seek medical advice if they notice Sold over 18 million products whose profits
Over the last three decades, with the Avon
• Human-kind a change or have any concerns. We have go towards tackling breast cancer
sourcing Foundation for Women, we’ve donated more
spread this message through our network
• Ethics and than US$943 million to breast cancer causes
compliance of 5 million Representatives to amplify the
and funded breast health screening for over
Being reach of this important campaign.
planet-kind 16.3 million women.
15
Historic figures for women screened have been reviewed and amended based on incorrect screening figures in 2017 and 2018.Responsible
Business Stories from our communities
Report 2020
A message
from our CEO
Reporting
scope
Avon at
a glance
Our approach
to responsible
business and
sustainability
Franz Tolentino Melissa Lammas
2020 highlights Franz was diagnosed with breast cancer after finding a lump in her Melissa is one of Avon’s Sales Leaders. She was diagnosed with breast
Being breast and noticing it changing in size. cancer, after being mis-diagnosed with mastitis whilst breastfeeding.
human-kind
During her treatment, she became one of the first members of the In the UK, we collaborated with breast cancer survivors to launch a care pack
• Responding
to Covid-19 Avon Breast Care Center Support Group at Philippine General Hospital of three products. The bundle’s Caring Scalp Balm replenishes skin to leave
• Action against during her treatment, and was asked by Avon to share her story at our the scalp feeling healthier during treatment. Melissa was invited to be an early
gender-based
violence National Sales Convention. user of the Care Pack to give us feedback.
• Breast cancer
support and Inspired by meeting Avon Representatives and seeing their success, 100% of the Pack’s profits are donated to Look Good Feel Better, the
awareness Franz decided to become a Rep herself. only cancer support charity helping to boost the physical and emotional
• Avon’s essence
wellbeing of people undergoing treatment. In 2020 alone, the pack raised
• Diversity &
Inclusion £34,600 since its launch in October.
• Human-kind
sourcing
• Ethics and
compliance
Being
planet-kind
I was able to send my children to college and finance my [It’s] absolutely amazing – thank you to everyone who
house through my Avon earnings… As a representative, I developed it. After three weeks of using the Caring Scalp
learned a lot from the training, gained a lot of friends and Balm, my skin felt nourished and my hair regrowth was
increased my network too.” more obvious. It really worked wonders for my scalp.”
16Responsible
Business
Report 2020
A message
from our CEO
Reporting
scope
Avon at
a glance
Our approach
to responsible
business and
sustainability
2020 highlights
Being
human-kind
• Responding
to Covid-19
• Action against
gender-based
violence
• Breast cancer
support and
#BoobWatch
awareness
• Avon’s essence
During the pandemic, many people were reluctant to attend medical
• Diversity & appointments for fear of contracting the virus and many regular
Inclusion screening appointments were postponed. Breast health awareness
• Human-kind
sourcing
became even more important in the absence of early warning
• Ethics and check-ups and regular screening appointments. For Breast Cancer
compliance Awareness Month in October 2020, we launched our #BoobWatch
Being campaign to encourage women to get to know their breasts and
planet-kind
understand what is normal for them, in order to #WatchForChange
and go to their general practitioner if they notice changes. The
campaign featured women’s personal experiences with checking
their breasts and encouraged other women to do the same.
17AVON’S
Responsible
Business
Report 2020
ESSENCE Our Employee
Value Proposition
A message
from our CEO Being a great place to • PURPOSEFUL WORK
Reporting
scope work means creating Our commitment • MEANINGFUL CAREERS
Avon at
a glance an inclusive culture to the living wage • BEAUTIFUL TO BE YOU
Our approach
to responsible
for all our employees, We want to provide everyone • RELATIONSHIPS AT HEART
• WORK THAT WORKS FOR YOU
business and with an income that reflects
where everyone
sustainability
the real cost of living. This year,
• TRULY REWARDING
2020 highlights
we analysed the salaries of our
Being
human-kind feels valued and that employees to ensure everyone
was being paid at least the
• Responding
to Covid-19 their development is Living Wage or the equivalent in
supported.
• Action against
gender-based their countries. Most were found
violence to be at these rates. However,
• Breast cancer
support and In September 2020, we launched our we identified 106 employees
awareness
new employee value proposition for who were earning slightly less
• Avon’s essence
Avon International: Avon’s Essence. This than this, so we are investing in
• Diversity &
Inclusion communicates what we believe as a closing this gap by the end of
• Human-kind company, and sets out our purpose and 2021 (with individual increases
sourcing capped at 20% for each pay
• Ethics and
what employees can expect when they work
compliance for Avon. Supporting and promoting diversity instalment) to ensure salary
Being and inclusion has been a particular focus for progression equity with local
planet-kind
us in 2020, as well as continuing to develop peer positions.
our training opportunities.
18
All employee information relates specifically to Avon International. Avon employees who are based in Latin America now work
for Natura &Co.DIVERSITY &
Responsible
Business
Report 2020
INCLUSION
We have long been In November, we launched our anti-racism
A message
from our CEO
commitment, which you can find out more
proud of our diverse and
Reporting
scope about here.
Avon at
a glance inclusive workforce. Avon In 2020, we also continued our support for
the United Nations Standards of Conduct for
Our approach
to responsible
business and
is open to all. The events Business to tackle discrimination against the
LGBTQIA+ community; we celebrated PRIDE
of 2020 strengthened
sustainability
2020 highlights
as well as looking at ways to improve the
inclusivity of our marketing messages
Being
human-kind our resolve to ensure and products.
• Responding
to Covid-19 we recognise and We are moving ahead with our work on
diversity and inclusion across the business.
celebrate diversity, and
• Action against
gender-based
violence For example, we are assessing how diverse
• Breast cancer
support and respond to the needs and inclusive our recruitment processes are
at all stages and whether our products are
awareness
• Avon’s essence of all of our employees. genuinely representative of our consumers.
• Diversity & Through our employee resource groups, we
Inclusion
• Human-kind
We believe that no form are improving our corporate culture and the
experience of our consumers, and we work
sourcing
• Ethics and
of discrimination is with our brands and external partners to
acceptable, and we are
compliance
improve the inclusivity of our products.
Being
planet-kind
committed to equality
and to inclusive beauty.
19
All employee information relates specifically to Avon International. Avon employees who are based in Latin America now work
for Natura &Co.Responsible
Business
Report 2020
A message
from our CEO
Reporting
scope
Avon at
a glance
Our approach
to responsible
business and
sustainability
2020 highlights
Being
Employee resource groups
human-kind
• Responding
to Covid-19
We’re also building a more inclusive culture through employee
• Action against
gender-based resource groups (ERGs). These are networks for employees to have
violence
conversations about the issues that matter to them.
• Breast cancer
support and
awareness
Existing ERGs include the Global Women’s Network, Avon Pride for
• Avon’s essence LGBTQIA+ employees and allies, and Beauty in Colour. We are also
• Diversity & launching a PossAbility group in 2021 to support employees with
Inclusion
disabilities and carers.
• Human-kind
sourcing
Through our VIBE community (Valuing Inclusion, Belonging and
• Ethics and
compliance Equity) on our intranet, these groups have been able to continue to
Being meet virtually to discuss and raise awareness of important topics.
planet-kind
All employee information relates specifically
to Avon International. Avon employees who
20 are based in Latin America now work
for Natura &Co.Inclusive beauty
Responsible
Business
Report 2020
I N V I S I B I L I T Y
A message
from our CEO
Reporting
Beautiful to be you: employee
scope
Avon at
resource group
a glance This year, we have focused on product innovation, to make our beauty
Our approach products more inclusive, and championing women of colour who work
A N D
to responsible
business and for us.
sustainability
The Beauty in Colour employee resource group has developed a
C O L O R I S M
2020 highlights
Being
charter to make improvements to our company’s culture, consumer
human-kind experience, and through our brands and partnerships. Included in the
• Responding Group’s aims are improving diversity across our talent base, providing
to Covid-19
anti-racism training and education, and pay transparency based on
• Action against
gender-based ethnicity. We also want to ensure that the holidays we celebrate are
violence multi-cultural, and in 2021 we will launch a Global Diversity Calendar.
Black Beauty Campaign
• Breast cancer
support and The group also commits to ensuring our products are inclusive
awareness
• Avon’s essence of women of colour, that we are attracting a diverse base of In Brazil, in November 2020, we launched our Black Beauty campaign
• Diversity & Representatives, and that our external communications are diverse to celebrate women of colour and showcase our range of cosmetics
Inclusion
and inclusive. When it comes to brand partnerships, we will assess to suit dark skin tones. We also conducted a Black Beauty workshop to
• Human-kind
sourcing the diversity of our collaborations to ensure we are supporting better understand Black women’s challenges when finding the perfect
• Ethics and communities and entrepreneurs of colour. We want to create a global shade of foundation for them. As a result of the workshop, we have
compliance
network of brand ambassadors, influencers and collaborators that increased our range of foundations to include more transitional tones
Being
planet-kind
support people of colour. The group is also championing outreach to suit more women, expanding our range from 17 to 22 shades in Brazil,
to minority communities through initiatives like mentoring and which we will roll out in other countries in 2021. We have also expanded
tackling discrimination. our global shade palette for foundation and concealer, which now
includes one extra tone for each colour category.
21Inclusive beauty
Responsible
Business
Report 2020
Herstory Fragrance
A message
from our CEO launched for Changing
Reporting
scope
Beauty in Colour Faces’ #PledgeToBeSeen
Avon at
a glance
The beauty industry has not always
met the needs of women of colour, and
campaign
Our approach many product ranges are unsuitable In the UK, we continued our partnership with
to responsible
business and for darker skin tones. Changing Faces to celebrate people with visible
sustainability differences; embracing what makes them unique
2020 highlights Addressing this has been a focus of and challenging beauty stereotypes. Changing
Being ours for some time. In October 2020, Faces is the UK’s leading charity for everyone
human-kind we launched our Beauty in Colour who has a mark, scar or condition that makes
• Responding Start-Up competition for women of them look different.
to Covid-19
colour aspiring to become beauty
• Action against
gender-based entrepreneurs. The competition acted In 2020, we launched Herstory fragrance as part of
violence
as an accelerator programme to make our #PledgeToBeSeen commitment to represent
• Breast cancer
support and the beauty industry more inclusive more people with visible differences and celebrate
awareness of women of colour, who often find their stories. 50% of the sales of every bottle of
• Avon’s essence
that beauty products have not been Herstory was donated to Changing Faces to help
• Diversity &
Inclusion designed with them in mind. The winner them to provide advice and support, challenge
• Human-kind of the competition was awarded a discrimination, and campaign for a world that
sourcing respects uniqueness. In total, the fragrance raised
£20,000 investment to support the
• Ethics and
compliance development of their product, with £124,000 for Changing Faces in 2020.
Being two runners up being given access We’re inviting other beauty companies to join us
planet-kind
to support and mentorship from and commit to #PledgeToBeSeen to increase
Avon’s leading beauty experts. representation of visible difference across the AVON UK TEAMS UP WITH
beauty industry. C H A N G I N G FAC E S
22Responsible
Business Representation
Report 2020
of women
Creating a better world for women is We are delighted to
fundamental to our business mission and
A message
from our CEO social purpose, and we strive to provide
have been accepted
Reporting
scope
women with equal opportunities and an onto the Bloomberg
inclusive working culture where they can thrive.
Avon at
a glance
Gender-Equality
Our approach
to responsible
For the third year running, we are delighted
Index (GEI), which
to have been accepted onto the Bloomberg
business and
sustainability Gender-Equality Index (GEI), which celebrates companies
celebrates companies that are committed
2020 highlights
Being to transparency in gender reporting and
that are committed
human-kind
• Responding
advancing women’s equality. Criteria include to transparency in
disclosure and examples of best-in-class
to Covid-19
• Action against practices for investing in women. gender reporting and
gender-based
violence
We champion the economic freedom of
advancing women’s
equality.
• Breast cancer
support and women and take our responsibilities seriously.
awareness
There is still work to be done, within Avon and
• Avon’s essence
• Diversity &
society at large, and we will continue to be a
Inclusion strong voice for women, and to stand up for
• Human-kind equality in all its forms. We remain committed
sourcing
• Ethics and to closing the gender pay gap. We will do Our Agile Working Policy provides flexibility
compliance this by continuing to strengthen our internal for all employees, regardless of their personal
Being talent pipeline, improve our recruitment situation, to have a good work-life balance. We
planet-kind
processes and champion flexible working also benchmark ourselves against our peers to Awards &
policies so we remain open and attractive to
a wide range of people.
make sure we are providing the best support
we can to the women who work for us.
recognition
23
All employee information relates specifically to Avon International. Avon employees who are based in Latin America now work for
Natura &Co.Responsible
Business
Report 2020
Percentage of Women in Senior Leadership Positions
A message
from our CEO
Vice Presidents and above: 2018 2019 2020
Reporting Vice Presidents, including our CEO, who 29% 29% 42%
scope
is a member of the Natura &Co Group
Avon at Operating Committee
a glance
Our approach Leaders: 2018 2019 2020
to responsible all of Avon International’s directors 41% 49% 55%
business and
sustainability
Managers: 2018 2019 2020
2020 highlights all of Avon International’s 62% 63% 67%
Being and senior managers
human-kind
Total workforce: 2018 2019 2020
• Responding
to Covid-19
all 8,756 employees 59% 69% 67%
of Avon International
• Action against
gender-based
violence
• Breast cancer
support and
awareness
• Avon’s essence
The table above shows the percentage of women at different levels within Avon International.
• Diversity & We previously included a board level section, but as part of Natura &Co, Avon no longer has
Inclusion a board of independent directors. The ‘VP and above’ population now represents the most
• Human-kind
sourcing senior level of decision making within Avon, with the oversight of the Natura &Co. board.
• Ethics and
compliance
Being
planet-kind
24
All employee information relates specifically to Avon International. Avon employees who are based in Latin America now work for
Natura &Co.Responsible
Business Keeping those who work
12
Report 2020
for and with us safe
Avon Recordable Cases (ARCs) While workplace safety is always a priority, Covid-19 created new risks and
A message
from our CEO – the number of recordable incidents, including we put enhanced measures in place to ensure our facilities were Covid-
Reporting lost time, restricted work cases and medical secure. For those in our factories, we implemented social distancing by
scope treatment beyond first-aid. This has reduced avoiding face-to-face meetings and adapting shift patterns to reduce the
Avon at from 17 in 2019. number of people in locker rooms and factory spaces. We also enhanced
a glance
our sanitisation procedures, provided more personal protective equipment,
Our approach
to responsible and checked temperatures of workers and visitors on entry.
business and
sustainability As always, we strive to ensure the safety of those working in our
2020 highlights manufacturing sites and distribution centres. We, therefore, monitor
Being
human-kind
• Responding
0.30 accident rates across all of these Avon-owned locations, which we disclose
and track in our quarterly global safety reports.
to Covid-19 Total Recordable Case (TRC) Most of our office-based employees have been working from home since
• Action against rate against a target of 0.30 Spring 2020. We created our Staying Connected online community on our
gender-based
violence – the total number of ARCs per 100 full-time intranet to help them feel connected to their colleagues. The community hosts
• Breast cancer employees in Avon-owned global manufacturing sessions, such as virtual coffees, employee resource groups’ meetups, advice
support and
awareness plants and distribution centres. This has reduced on supporting families, fitness classes, and tips on self-care. Employees also
• Avon’s essence from 0.34 in 2019 had access to the THRIVE app, which provides guidance on health, mental
• Diversity &
Inclusion
wellbeing and personal development. An internal survey found that 95% felt well-
• Human-kind connected to their team and 92% felt they were getting the support they needed.
sourcing
0
• Ethics and
compliance
For comparison with 2019 data:
Being
planet-kind
Reporting is for Avon International only, as Avon operations in Latin
Fatalities
America are now combined with the Natura &Co Group. In 2020, for
– among Avon employees in supply chain
Avon International and Avon LATAM combined, there were 19 ARCs in
operations, which stayed the same as in 2019.
total (down from 41 last year), the TRC rate was 0.17 (down from 0.33)
25 and there were 0 fatalities, as in 2019.HUMAN-KIND
Responsible
Business
Report 2020
SOURCING
Our Supplier Social We expect all suppliers to act responsibly
A message
from our CEO
and to ensure that no abusive, exploitative
Responsibility
Reporting
scope or illegal conditions exist in their workplaces
Avon at or supply chains. Any factory producing
a glance Programme protects finished goods for Avon, or Avon-branded
Our approach beauty components, is considered to be
to responsible
business and
the health, safety and an ‘in-scope’ site and its working conditions
employment conditions
sustainability
are actively monitored in line with the
2020 highlights requirements of our Supplier Code
Being
human-kind of people who work in of Conduct.
• Responding
to Covid-19 our global supply chain. In India, we work with BSR’s HERproject,
a collaborative initiative that supports
This includes suppliers
• Action against
gender-based workers through women’s empowerment
violence
programmes in global supply chains.
• Breast cancer
support and – agents, vendors, This year, we are supporting its HERrespect
awareness programme, which fights harassment, abuse
• Avon’s essence factories and other and gender-based violence in workplaces
• Diversity &
Inclusion
• Human-kind
third-party production and beyond. We are also signatories to
the Bangladesh Accord, which ensures the
sourcing
• Ethics and
sites - who provide our safety of factory workers in Bangladesh
through regular inspections, and
raw ingredients and
compliance
Being engagement with suppliers and factories.
planet-kind
who manufacture the
products that we do not
26 make ourselves.In 2020:
Responsible
Business Supplier Code Human-kind ingredients
470
Report 2020
of Conduct and materials
more factories
Our Supplier Code of Conduct sets out our Some ingredients we use have particular
minimum expectations regarding compliance social or environmental impacts. The
were onboarded to
A message
from our CEO with all applicable laws and regulations, Commitment To Life will ensure full traceability SEDEX platform
Reporting environmental performance, and working and/or certification of our critical supply chains
scope
Avon at
conditions and labour rights. In-scope by 2025. This includes the supply chains for the 745
a glance suppliers also receive our Social Responsibility palm oil, mica, paper, alcohol, soy and cotton factories are
Guidebook for Suppliers, which provides we purchase.
Our approach
to responsible
onboarded in total
business and
guidance on how to implement the Code and
on our social responsibility programme. By Mica, a mineral used in cosmetics to provide
sustainability
2020 highlights signing the Code, our suppliers are required a shimmer effect, is an example of such
60%
Being to adhere to its terms. an ingredient, because of a history of child of our in-scope factories
human-kind
labour in the mines where mica is found. are onboarded
• Responding In 2020, we launched our updated Supplier Approximately 57% of the mica we source
to Covid-19
• Action against Code with the support of BSR. The new Code is from suppliers that are members of the
gender-based explicitly includes additional protection for Responsible Mica Initiative and, as part of the Target:
violence
• Breast cancer
vulnerable workers, including women in our Natura &Co 2030 Commitment To Life, we
support and supply chain, and specific terms related to will ensure full traceability and/or certification
awareness
gender equality generally. The new Code was of our critical supply chains by 2025. This
• Avon’s essence
• Diversity & signed by 2,084 suppliers through our buying Commitment includes the supply chains for the To onboard
Inclusion system in 2020. palm oil, mica, paper, alcohol, soy and cotton
• Human-kind
we purchase. For more information on how 95%
sourcing
we source sustainable palm oil, please see our of our in-scope
• Ethics and
compliance SEDEX Planet-kind section. factories by
Being
planet-kind
The Supplier Ethical Data Exchange (SEDEX) 2021
platform allows us to assess suppliers’
environmental and social performance.
27ETHICS AND
Responsible
Business
Report 2020
COMPLIANCE
As part of the Natura &Co family, Code of Conduct Training and
A message
from our CEO
Reporting
scope we are proud to build on our and policies communications
Avon at
a glance longstanding sustainable and Last year, we simplified our Code of Conduct,
published in 20 languages, and global
We are proud of how quickly we were able
to adapt our training and communications
Our approach
to responsible
business and
ethical business practices. policies to make them easier to understand plan during the pandemic to ensure there
sustainability and implement. We simplified the Code of was no delay. We delivered E&C training to
Conduct with our ‘ Speak Up’ campaign to all employees, for example via eLearning
2020 highlights
Being
We have been working with encourage employees to raise concerns via courses, through which 11,500 employees
our Integrity Helpline; in 2020, the Helpline were trained in 2020. 1,795 employees in
our sister companies to build
human-kind
• Responding received 1.5 reports per 100 employees. 20 countries also received ‘Our Values,
the best beauty group for the
to Covid-19
Our Code’ webinar training designed to
• Action against
gender-based
violence
world, staying true to our beliefs Commitment from give associates an overview of our Code of
Conduct and certain critical policies. For our
• Breast cancer
Senior Management offline and field sales employees who interact
and ensuring that the values of
support and
awareness with government officials, and for temporary
• Avon’s essence We have trained our senior leaders on
• Diversity &
Inclusion
sustainability and integrity are ethics and compliance issues and ask them
workers, we delivered role-specific training.
to lead by example. This year, for example,
• Human-kind
sourcing embedded in all our decisions during our virtual E&C weeks, we shared
• Ethics and
compliance and interactions. As part of this several interviews with General Managers
about its importance. We also reinforce
journey, Ethics & Compliance
Being
planet-kind these messages through ‘town halls’,
team meetings, newsletters and
(E&C) is considered key for the through our intranet.
group to achieve this goal.
28Responsible
Business Risk assessment and company-sponsored gifts (including
hosting) to government officials, conducted
Report 2020
measuring our progress due diligence on over 100 new suppliers,
and assessed US$16.2 million worth
In 2020, despite challenges caused by the
A message pandemic, we carried out our annual risk
of contributions. In 2020, the team created
from our CEO assessment by partnering with our data a data privacy protection
Reporting privacy, finance and procurement teams, as Data Privacy
scope
Avon at
well as our annual monitoring programme.
As our strategy focuses on increasing
Covid-19 toolkit to respond
Every quarter, we also provide E&C metrics
a glance
Our approach reports to our management team. No major
our digital and e-commerce capacity, we to new risks posed by an
reviewed 73 projects and assessed 760
to responsible
business and
issues have been identified, as a result of
suppliers in 2020 to ensure that privacy increase in remote working...
sustainability the assessments.
principles and laws were followed with
2020 highlights
respect to data privacy.
Being Ethical expectations are a part of annual
human-kind
performance objectives and apply to all
• Responding
This year, we also established our Data
employees of all levels. They clearly pull
to Covid-19 Privacy Centre of Excellence, staffed by a
• Action against together those fundamental behaviours,
team of Data Privacy experts, who provide
gender-based values, and ways of working that employees
violence guidance, best practice and expert global
need to embrace and consistently
• Breast cancer support to the legal, IT and HR teams, and
support and demonstrate in order to achieve
awareness the rest of the business. In 2020, the team
those objectives.
• Avon’s essence created a data privacy protection Covid-19
• Diversity & toolkit to respond to new risks created by
Inclusion
• Human-kind Third-party an increase in remote working through the
pandemic, among other issues. The team
management
sourcing
• Ethics and also provided support to the markets to
compliance
Being programme make sure that the return to our offices was
planet-kind managed in a privacy-compliant manner,
As part of our third-party management particularly with respect to the collection of
programme, we conduct reviews of our the health-related data of our employees.
activities. In 2020, we analysed possible
new market entries, reviewed all
29Responsible
Business
Report 2020
A message
from our CEO
Reporting
scope
Avon at
a glance
Our approach
to responsible
business and
sustainability
2020 highlights
Being
human-kind
Being
planet-kind
• Journey towards
our 2030 goals
• Carbon
emissions
• Waste and
recycling
• Water
stewardship
BEING
• Sustainable
packaging
and paper
• Planet-kind
sourcing
• Animal welfare
PLANET-KIND
WATCH US MAKE
OUR WORLD MORE
30
BEAUTIFULOUR JOURNEY
Responsible
Business
Report 2020
TO 2030 SO FAR
2020 was the date In 2019, we set new goals. Now, as part of
A message
from our CEO
the Natura &Co family, we have reframed
we set to achieve our
Reporting
scope some targets to support the journey towards
Avon at the Natura &Co 2030 commitments, while
a glance 2015 environmental pursuing our own business-specific targets
Our approach where appropriate. In 2020, we focused
to responsible
business and
targets against a 2005 on our two most material issues: carbon
baseline. Last year, we
sustainability emissions and packaging.
2020 highlights
Since joining Natura &Co, Avon’s operations
Being
human-kind were delighted to report in Latin America have been integrated into
Being
planet-kind that we had met many Natura’s operations, so products for both
brands are manufactured at the same sites
• Journey towards
our 2030 goals of these targets ahead in Latin America. For the purposes of
• Carbon this report and future reporting, we have
emissions
• Waste and
of time. We are pleased disclosed aggregated environmental
data for Avon Global (comprising Avon
recycling
• Water
to confirm that we met International and Avon Latin America) to
the remainder of these
stewardship
complete the reporting of our 2020 goals, as
• Sustainable
packaging well as separated Avon International figures
We are pleased to
and paper
targets in 2020. to allow comparison with previous years.
• Planet-kind
sourcing confirm that we met or
• Animal welfare
exceeded all of our 2020
environmental goals.
31Responsible
Business Our journey to 2030 so far
Report 2020
2020 GOAL NEW GOAL
A message 20% reduction
from our CEO Net zero by 2030
Carbon emissions of total carbon emissions from Avon
Reporting We are now aligned with Natura &Co’s
Baseline year 2005 operations on an absolute basis
scope
EXCEEDED TARGET IN 2019
ambition to reach net zero by 2030
Avon at
a glance
Our approach 30% reduction Zero waste to landfill by 2025
to responsible Waste in waste on a per unit basis To send zero waste to landfill
business and Baseline year 2005
sustainability EXCEEDED TARGET IN 2019 in our own operations
2020 highlights
Being 95% recycling rate by 2025
human-kind Recycling Increase total recycling rate to 90% To maintain a recycling rate of at
Being EXCEEDED TARGET IN 2019
planet-kind
Baseline year N/A
least 95% in our own operations
• Journey towards
our 2030 goals 5% reduction by 2025
40% reduction
• Carbon
emissions
Water in water intensity To reduce our water intensity by a further
Baseline year 2005
• Waste and ACHIEVED IN 2020 5% by 2025 from a 2020 baseline
recycling
• Water Promise extended to carton packaging
stewardship 100% of brochure paper purchased from certified
• Sustainable Paper promise We have extended our Paper Promise to
or post-consumer recycled content sources
packaging carton packaging and 100% sustainable
and paper
Baseline year 2011 ACHIEVED IN 2020
• Planet-kind
carton in packaging by 2025 are still in place
sourcing
• Animal welfare 100% of all packaging material to be reusable,
–
Packaging recyclable or compostable by 2030
Baseline year 2020 This includes 50% post-consumer recycled
(PCR) content in plastic packaging and 20%
less packaging weight by 2030
32CARBON
Responsible
Business
Report 2020
EMISSIONS
Last year, we reported Our renewable energy purchasing has
A message
from our CEO
increased from 50% in 2019 and means
that we had exceeded
Reporting
scope that our Scope 2 carbon emissions (those
from energy that we purchase for use in our
Avon at
a glance our 2020 target of business) are now zero. This will also be the Improving our energy and
Our approach
to responsible
reducing our carbon
case in 2021. We have also begun our journey
to measure our Avon International Scope 3
water efficiency in Poland
business and
This year, our manufacturing site in Poland
emissions by 20% from
sustainability emissions (for those in our value chain) with
2020 highlights support from the Carbon Trust. completed a programme of roof enhancements
Being
human-kind our 2005 baseline. We have purchased approximately 105,000
and coatings that reflect heat. These reduce the
need for artificial cooling, resulting in a reduction
Being MWh of energy attribute certificates (EACs)
planet-kind This year, in our combined Latin American of approximately 275 metric tonnes of carbon
from Schneider Electric, which was recently
• Journey towards and International operations, we further annually. We also improved the efficiency for
ranked the number one most sustainable
our 2030 goals
reduced our emissions, which are now 31% demineralised water at one of our plants to
• Carbon company by Corporate Knights. Through this,
lower than our 2005 baseline. We are now reduce water consumption. This will save 10,000
emissions we achieved our 100% renewable electricity
• Waste and setting new ambitious targets, so that we m3 of water annually and approximately 170
goal globally. The EACs purchased represent
recycling
contribute towards the Natura &Co goal of metric tonnes of carbon emissions.
• Water a broad range of international environmental
stewardship net zero carbon emissions by 2030, and will commodities, including wind from the Ventos In 2021, we are planning a large-scale installation
• Sustainable report on these in 2021. de Indios project in Brazil. We are also one of of a combined heat and power (CHP) unit at our
packaging
and paper the first global corporations to purchase EACs biggest manufacturing site in Poland to generate
For our combined Latin American and
• Planet-kind
from Russia. on-site electricity. This will deliver 20% reduction
sourcing International operations, we brought our
of the site’s carbon emissions.
• Animal welfare Scope 2 net emissions down to zero by At our manufacturing sites, we are increasing
purchasing location-specific I-RECs to the renewable energy that we generate
match our electricity consumption. This ourselves and improving efficiency throughout
aligns with the principles of The RE100, a our operations to reduce overall energy
global initiative dedicated to driving the use. The data below show our progress on
33 transition to 100% renewable energy. reducing emissions and exceeding our goal,
compared to the previous two years.You can also read
