Orsted
ESRS disclosure: ESRS S1
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- Provide detailed information regarding your company's policies designed to manage material impacts, risks, and opportunities associated with your own workforce. Specify whether these policies apply to specific groups within your workforce or encompass the entire workforce, in accordance with ESRS 2 MDR-P Policies adopted to manage material sustainability matters.
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Question Id: S1-1_01
At Ørsted, all employees are part of a safe working environment where impacts are identified and managed, including impacts related to physical injuries and well-being of employees. Due to the nature of our industry, we recognize the impact to employees of potential injuries and fatalities, primarily during the construction and operation phases of our assets. Furthermore, we recognize the present impact of work-related stress and anxiety experienced among employees on a global level. Ensuring transparent and fair working conditions are rooted in our employee value proposition, where fair and competitive rewards and employment terms as well as a flexible working culture, are foundational factors. Our flexible working culture is creating additionality within many of the markets where we operate, and particularly in our US and APAC regions, as our global policies go beyond the norm. Our 'Global parental leave policy' goes far beyond the US and APAC norm. For instance, according to a report by New America’s Better Life Lab, the median length of leave for fathers in the US is just one week, compared to 11 weeks for mothers. This disproportionate leave highlights the need for more equitable policies, and our approach seeks to address that imbalance by offering substantial leave for all parents, aligning more closely with global best practices. For our employees in APAC, entitlements such as industry-leading leave and flexible working hours go beyond labour and similar companies’ standards. As a testament to this, Ørsted Taiwan has received a special recognition in the form of the 2024 Work-Life Balance Award presented by Taiwan’s Ministry of Labor, specifically in consideration of our wide-ranging and industry-leading policies, supporting the work-life balance of our employees. This award is one of the highest Taiwanese recognitions from the Ministry, and it honours Ørsted among 251 other companies, where Ørsted is the only energy company to receive the award twice, with special recognition of our mission to create a greener future, whilst also creating a positive impact for society and employees. In 2024, Ørsted navigated a rapidly evolving industry landscape, necessitating organisational adjustments, including redundancies, to maintain our competitive edge. While both satisfaction and motivation levels as well as voluntary turnover remain healthy compared to industry benchmarks, the changes have had a noticeable impact on employee satisfaction and motivation and our voluntary turnover trend. This poses a short-term risk of increased voluntary turnover and lower morale, satisfaction, and heightened stress. To address these challenges, we are focused on our internal communication and change management, strengthening our focus on good leadership and mental health and reaffirming our commitment to transparency and the well-being of our workforce. All employees in our own workforce are included in the scope of our disclosures. Our own workforce does not include self-employed people or people provided by third-party undertakings, primarily engaged in employment activities. Lastly, due to the nature of our operations and the jurisdictions covering our workforce, we are not at risk of either forced labour incidents or child labour incidents. Regarding specific groups, our global policies are applicable to all Ørsted employees globally, unless the nature of the policy constitutes a limited eligibility scope, such as e.g. our global parental leave applicable for parents or local variances in policies to reflect local legislation or local market practice.
Report Date: 4Q2024Relevance: 85%
- Provide a detailed account of any significant changes to the policies adopted during the reporting year, particularly in relation to the undertaking's own workforce. This should include any new expectations for foreign subsidiaries, additional approaches to due diligence and remedy, and any policies or commitments aimed at preventing or mitigating risks and negative impacts on the workforce due to efforts in reducing carbon emissions and transitioning to greener operations. Additionally, outline any opportunities created for the workforce, such as job creation and upskilling, and include explicit commitments to a 'just transition.'
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Question Id: S1-1_02
In 2024, Ørsted navigated a rapidly evolving industry landscape, necessitating organisational adjustments, including redundancies, to maintain our competitive edge. While both satisfaction and motivation levels as well as voluntary turnover remain healthy compared to industry benchmarks, the changes have had a noticeable impact on employee satisfaction and motivation and our voluntary turnover trend. This poses a short-term risk of increased voluntary turnover and lower morale, satisfaction, and heightened stress. To address these challenges, we are focused on our internal communication and change management, strengthening our focus on good leadership and mental health and reaffirming our commitment to transparency and the well-being of our workforce. Our commitment to upholding human rights is outlined in our 'Sustainability commitment', 'Global human rights policy', 'Global labour and employment rights policy', 'Stakeholder engagement policy', and 'Just transition policy'.
Report Date: 4Q2024Relevance: 60%
- Provide a detailed account of your organization's human rights policy commitments as they pertain to your own workforce. This should include an explanation of the processes and mechanisms in place to ensure adherence to the UN Guiding Principles on Business and Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, and the OECD Guidelines for Multinational Enterprises. Emphasize the aspects that are materially significant and outline your general approach to these commitments.
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Question Id: S1-1_03
We see human rights as fundamental principles for protecting people’s dignity and ensuring freedom and respect both in our own operations, in the companies with whom we work, and in the communities where we operate. Our commitment to upholding human rights is outlined in our 'Sustainability commitment', 'Global human rights policy', 'Global labour and employment rights policy', 'Stakeholder engagement policy', and 'Just transition policy'. Our 'Global human rights policy' aligns with the UN Guiding Principles on Business & Human Rights (UNGPs), the OECD Guidelines for Multinational Enterprises, the International Bill of Human Rights, and the International Labour Organisation’s (ILO) Declaration on Fundamental Principles & Rights at Work. The policy explicitly highlights our dedication to ensuring freedom of association, the right to collective bargaining, the elimination of forced, trafficked, or compulsory labour, the effective abolition of child labour, and the elimination of discrimination in employment and occupation, among other critical issues.
Report Date: 4Q2024Relevance: 85%
- Provide a detailed description of your company's human rights policy commitments relevant to your own workforce. Include information on the processes and mechanisms in place to ensure compliance with the UN Guiding Principles on Business and Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, and the OECD Guidelines for Multinational Enterprises. Focus on material matters and outline your general approach to respecting the human rights, including labor rights, of individuals within your workforce.
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Question Id: S1-1_04
We see human rights as fundamental principles for protecting people’s dignity and ensuring freedom and respect both in our own operations, in the companies with whom we work, and in the communities where we operate. Our commitment to upholding human rights is outlined in our 'Sustainability commitment', 'Global human rights policy', 'Global labour and employment rights policy', 'Stakeholder engagement policy', and 'Just transition policy'. Our 'Global human rights policy' aligns with the UN Guiding Principles on Business & Human Rights (UNGPs), the OECD Guidelines for Multinational Enterprises, the International Bill of Human Rights, and the International Labour Organisation’s (ILO) Declaration on Fundamental Principles & Rights at Work. The policy explicitly highlights our dedication to ensuring freedom of association, the right to collective bargaining, the elimination of forced, trafficked, or compulsory labour, the effective abolition of child labour, and the elimination of discrimination in employment and occupation, among other critical issues.
Report Date: 4Q2024Relevance: 85%
- Provide a detailed description of your organization's human rights policy commitments that pertain to your own workforce. Include an explanation of the processes and mechanisms in place to ensure compliance with the UN Guiding Principles on Business and Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, and the OECD Guidelines for Multinational Enterprises. Emphasize the material aspects and your general approach to engaging with individuals within your workforce.
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Question Id: S1-1_05
We see human rights as fundamental principles for protecting people’s dignity and ensuring freedom and respect both in our own operations, in the companies with whom we work, and in the communities where we operate. Our commitment to upholding human rights is outlined in our 'Sustainability commitment', 'Global human rights policy', 'Global labour and employment rights policy', 'Stakeholder engagement policy', and 'Just transition policy'. Our 'Global human rights policy' aligns with the UN Guiding Principles on Business & Human Rights (UNGPs), the OECD Guidelines for Multinational Enterprises, the International Bill of Human Rights, and the International Labour Organisation’s (ILO) Declaration on Fundamental Principles & Rights at Work. The policy explicitly highlights our dedication to ensuring freedom of association, the right to collective bargaining, the elimination of forced, trafficked, or compulsory labour, the effective abolition of child labour, and the elimination of discrimination in employment and occupation, among other critical issues.
Report Date: 4Q2024Relevance: 85%
- Provide a detailed description of your company's human rights policy commitments relevant to your own workforce. Include an explanation of the processes and mechanisms in place to ensure compliance with the UN Guiding Principles on Business and Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, and the OECD Guidelines for Multinational Enterprises. Focus specifically on material matters and outline your general approach to implementing measures that provide and/or enable remedy for human rights impacts.
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Question Id: S1-1_06
We firmly believe that these principles are integral to fostering a just transition to renewable energy. Therefore, it is our priority to ensure that adequate management systems are in place to identify, prevent, mitigate, and remedy any potential adverse human rights impacts. In cases where we identify potential adverse human rights impacts, we are committed to promptly and effectively providing and enabling remedies. Our grievance and remediation approach includes addressing any adverse human rights impacts on individuals, workers, and communities that we have caused or contributed to.
Report Date: 4Q2024Relevance: 65%
- Disclose whether and how your company's policies concerning its own workforce align with relevant internationally recognized instruments, including the UN Guiding Principles on Business and Human Rights.
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Question Id: S1-1_07
Our 'Global human rights policy' aligns with the UN Guiding Principles on Business & Human Rights (UNGPs), the OECD Guidelines for Multinational Enterprises, the International Bill of Human Rights, and the International Labour Organisation’s (ILO) Declaration on Fundamental Principles & Rights at Work.
Report Date: 4Q2024Relevance: 95%
- Does the undertaking's policy concerning its own workforce explicitly address issues related to trafficking in human beings, forced labour or compulsory labour, and child labour?
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Question Id: S1-1_08
The policy explicitly highlights our dedication to ensuring freedom of association, the right to collective bargaining, the elimination of forced, trafficked, or compulsory labour, the effective abolition of child labour, and the elimination of discrimination in employment and occupation, among other critical issues.
Report Date: 4Q2024Relevance: 95%
- Does the undertaking have a workplace accident prevention policy or management system in place?
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Question Id: S1-1_09
At Ørsted, we prioritise and protect the physical, social, and psychological safety of everyone in the workplace. Through our robust health and safety management system, which is fundamental to our operations and to secure a safe system of work, we foster a culture that promotes our employees’ health and safety. All (100 %) of our employees are covered by our health and safety management system. We have established a 'Global policy for quality, health, safety, and environment (QHSE)', setting the standards for how we protect and ensure the well-being of our employees and the sustainability of our operations. The policy covers all our employees and facilities, with accountability resting with our Head of QHSE. We aim to incorporate equality, health, safety, and environment in all our decisions and actions, and we have implemented workplace accident prevention procedures to ensure the safety and well-being of our employees.
Report Date: 4Q2024Relevance: 95%
- Does the undertaking have specific policies aimed at the elimination of discrimination, including harassment, promoting equal opportunities, and other methods to advance diversity and inclusion?
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Question Id: S1-1_10
Equity, diversity, and inclusion are integral to our culture and the way we do business. To support this, we have adopted two policies, an internal guide to leaders and an internal guide to employees, aimed at the elimination of discrimination and at promoting equal opportunities and a culture of inclusion. Accountability for these policies rests with our Chief HR Officer. We have adopted a 'Global diversity and inclusion policy' which emphasises equal opportunities for all employees at Ørsted. We specifically call out identities such as ethnic background, race, religion, age, gender, disability, sexual orientation, outlook, or social status because these groups have been historically marginalised or disadvantaged (protected characteristics). By embedding these principles in the way we do business, we promote an environment where all employees can thrive and contribute to our collective success.
Report Date: 4Q2024Relevance: 95%