Westpac’s Environmental, Social and Governance dashboard

Through our Workforce Revolution strategy, we are focused on creating a future-ready workforce where our people are passionate about delivering great service experiences and take pride in doing the right thing for our customers and stakeholders. We measure and report progress on a number of indicators that reflect this focus. 

^{1. Women in Leadership refers to the proportion of women (permanent and maximum term) in leadership roles across the Group. It includes the CEO, Group Executives, General Managers, senior leaders with significant influence on business outcomes (direct reports to General Managers and their direct reports), large (3+) team people leaders three levels below General Manager, and Bank and Assistant Bank Managers.}

^{2. https://www.unfe.org/wp-content/uploads/2017/09/UN-Standards-of-Conduct-Summary.pdf}

^{3. New monthly employee survey conducted from 2017. Six month rolling average results reported.}

^{4. Voluntary new starter retention over the new starter headcount for the 12-month period (permanent full time and part time employees).}

As a major financial institution, we recognise we can influence social and environmental outcomes through our lending and investment decisions. This is a responsibility we take seriously and we have in place a number of frameworks, policies and positions that outline our approach to lending and investing. Westpac has also aligned reporting to the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), in our 2019 Annual Report (pages 118-120, 127-128) and Sustainability Performance Report (page 28-37).

^{1. Updated transition risk methodology applied from 1H19}

Direct environmental performance is measured against a number of indicators. These include greenhouse gas (GHG) emissions, energy use, paper consumption, waste and recycling, water use, and business travel. 

^{1. Data reflects a 1 July – 30 June reporting year.}

Recognising that the actions of our suppliers are important to our sustainability performance, our responsible sourcing approach provides a strong foundation for us to manage risks and opportunities in our supply chain. This is achieved through clear standards of ethical, social and environmental business practices for suppliers, outlined in our Responsible Sourcing Code of Conduct. Our Supplier Inclusion and Diversity Policy formalises our aspiration to increase the proportion of products and services we buy from businesses that are driven by a social or environmental mission, or that support people who have traditionally been financially excluded. To track the sustainability performance of our supply chain, we measure and report on a number of indicators. 

^{1. Annual spend with businesses that are 51% or more owned and operated by an Aboriginal or Torres Strait Islander person and certified with a relevant member organisation.}

^{2. Slavery and Human Trafficking Statement will be released prior to 30 March 2020.}

We measure and report the economic value we generate as well as our overall community investment, including charitable giving through donations, grants, volunteering, scholarships and the financial education we provide. We also continue to report social impact measures that demonstrate the value being generated for our customers and communities through our initiatives, beyond dollars or time. 

^{1. Total number of interactions by employees, customers and general public with financial education materials offered by the Westpac Group during the year, delivered through face to face and online platforms. Uplift in 2019 number of participants driven by the inclusion of our Life Moments and Help for your Business Education pages}

Westpac's board comprises directors with a diverse range of financial and other skills, experience and knowledge. Apart from the CEO, all directors are non-executive and independent.

Westpac’s remuneration strategy is designed to attract and retain talented employees by rewarding them for achieving high performance and delivering superior long term results for our customers and shareholders, while adhering to sound risk management and governance principles.

^{1. Clawback will apply, to the extent legally permissible and practicable, to deferred variable remuneration awarded in respect of performance periods commencing on or after 1 October 2019 for up to seven years from the date of grant. Clawback may occur in circumstances of serious or gross misconduct, fraud, bribery, severe reputational damage, and any other deliberate, reckless or unlawful conduct that may have a serious adverse impact on Westpac, its customers or its people which has resulted in dismissal or the Board considers at its discretion would have justified the dismissal of the relevant executive or where otherwise required by law. It is the Board’s current intention that clawback will only be considered for relevant conduct that occurred on or after 1 October 2019.}

Effective risk management across the entire Group is critical to achieving our vision to be one of the world’s great service companies, helping our customers, communities and people to prosper and grow.

Westpac takes its tax obligations seriously and is committed to paying the right amount of tax in all the jurisdictions where it operates. 

Westpac does not make cash donations to political parties. Political expenditure, as set out below, relates to participation in legitimate political activities where they were assessed to be of direct business relevance to Westpac. Such activities include business observer programs attached to annual party conferences, policy dialogue forums and other political functions, such as speeches and events with industry participants.

Westpac supports the United Nations Sustainable Development Goals and their agenda to end extreme poverty, fight inequality and injustice, and protect the planet. Our Sustainability Strategy outlines our priority goals, identified by their importance to our stakeholders and business.

Our 10 priority goals

• Goal 4: Quality education
• Goal 5: Gender equality
• Goal 8: Decent work and economic growth
• Goal 9: Industry innovation and infrastructure
• Goal 10: Reduced inequalities
• Goal 11: Sustainable cities and communities
• Goal 12: Responsible consumption and production
• Goal 13: Climate action
• Goal 16: Peace, justice and strong institutions
• Goal 17: Partnership for the goals

^{1. All results as at 30 September 2019 except for jobs created through the Westpac Foundation job creation grants to social enterprises which are as at 30 June 2019. Refer to www.westpac.com.au/sustainability for glossary of terms and conditions.}

^{2. Proportion of women (permanent and maximum term) in leadership roles across the Group. It includes the CEO, Group Executives, General Managers, senior leaders with significant influence on business outcomes (direct reports to General Managers and their direct reports), large (3+) team people leaders three levels below General Manager, and Bank and Assistant Bank Managers.}

Our Industry awards, Sustainability indices, and Inclusion & diversity recognition can be found on our Ratings and Recognition page.