G3 Content Index - Financial Services Sector Supplement

Transcription

1 G3 Content Index - Financial Services Sector Supplement Application Level Assured by STANDARD DISCLOSURES PART I: Profile s Profile 1. Strategy and Analysis Explanation for the reason for 1.1 Statement from the most senior decision-maker of the organization. 1.2 Description of key impacts, risks, and opportunities. Profile Organizational Profile Explanation for the reason for 2.1 Name of the organization. Kommunal Landspensjonskasse (KLP) 2.2 Primary brands, products, and/or services Nature of ownership and legal form. Markets served (including geographic breakdown, sectors served, and types of 2.7 customers/beneficiaries) Scale of the organization. See page 11, 37 and 53 in our annual report See also: Significant changes during the period regarding size, structure, or ownership. None 2.10 Awards received in the period. None of relevance Basis for on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities that can significantly affect comparability from period to period and/or between organizations. Data measurement techniques and the bases of calculations, including assumptions and techniques underlying estimations applied to the compilation of the Indicators and other information in the report. Explain any decisions not to apply, or to substantially diverge from, the GRI Indicator Protocols. Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement (e.g.,mergers/acquisitions, change of base years/periods, nature of business, measurement methods). None Significant changes from previous periods in the scope, boundary, or measurement methods applied in the report. 3. Report Parameters The is based on GRI, calculations are explained when relevant 2.3 Operational structure of the organization, including main divisions, operating companies, subsidiaries, and joint ventures Location of organization's headquarters. Oslo, Norway 2.5 Number of countries where the organization operates, and names of countries with either major operations or that are specifically relevant to the sustainability issues covered in the report. Norway, Denmark, Sweden Profile 3.1 Reporting period (e.g., fiscal/calendar year) for information provided May 2012 for the fiscal year !/menu/standard/fil 3.2 Date of most recent previous report (if any). e/klp_aarsrapport_2011_web.pdf 3.3 Reporting cycle (annual, biennial, etc.) Annual klp/samfunnsansvar/kontakt-oss- 3.4 Contact point for questions regarding the report or its contents see also our section on stakeholder engagement and transparency: As described in our web-: 3.5 Process for defining report content. Process for defining report content: Boundary of the report (e.g., countries, divisions, subsidiaries, leased facilities, joint klp/samfunnsansvar/brekraftsrapportering 3.6 ventures, suppliers). See GRI Boundary Protocol for further guidance. State any specific limitations on the scope or boundary of the report (see completeness 3.7 principle for explanation of scope). None Explanation for the reason for 3.12 Table identifying the location of the Standard s in the report Policy and current practice with regard to seeking external assurance for the report. Profile 4.1 The non-financial content of our annual report has been verified by PwC. Please see page 117 of our 2012 annual report for the assurance statement. Governance structure of the organization, including committees under the highest governance body responsible for specific tasks, such as setting strategy or organizational oversight Indicate whether the Chair of the highest governance body is also an executive officer. For organizations that have a unitary board structure, state the number of members of the 4.3 highest governance body that are independent and/or non-executive members Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body. Linkage between compensation for members of the highest governance body, senior managers, and executives (including departure arrangements), and the organization's performance (including social and environmental performance). The chair of the board is not an executive officer. See page 1 and 187 in our annual report 2012 Processes in place for the highest governance body to ensure conflicts of interest are avoided. See page 44 annual report 2012 Process for determining the qualifications and expertise of the members of the highest governance body for guiding the organization's strategy on economic, environmental, and social topics. Page annual report 2012 Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social performance and the status of their implementation. Procedures of the highest governance body for overseeing the organization's identification and management of economic, environmental, and social performance, including relevant risks and opportunities, and adherence or compliance with internationally agreed standards, codes of conduct, and principles. Processes for evaluating the highest governance body's own performance, particularly with respect to economic, environmental, and social performance. 4. Governance, Commitments, and Engagement Employees have two representatives on the board, KLP has no shareholders. Page 28 annual report See also: Corporate responsibility is not part of the evalutation. Explanation for the reason for

2 Explanation of whether and how the precautionary approach or principle is addressed by the organization. Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses. Memberships in associations (such as industry associations) and/or national/international advocacy organizations in which the organization: * Has positions in governance bodies; * Participates in projects or committees; * Provides substantive funding beyond routine membership dues; or * Views membership as strategic List of stakeholder groups engaged by the organization Basis for identification and selection of stakeholders with whom to engage FSSS DMAs DMA PS Aspects DMA EC Aspects Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group. Key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its. Product Portfolio FS1 Policies with specific environmental and social components applied to business lines. FS2 Procedures for assessing and screening environmental and social risks in business lines. None FS3 Processes for monitoring clients' implementation of and compliance with environmental and social requirements included in agreements or transactions. None FS4 Process(es) for improving staff competency to implement the environmental and social policies and procedures as applied to business lines. None FS5 on Management Approach PS Interactions with clients/investees/business partners regarding environmental and social risks and opportunities. STANDARD DISCLOSURES PART II: s on Management Approach (DMAs) see also: The policy on active ownership forms part of the mandate given to KLP Kapitalforvaltning (asset management) from KLP (asset owner), and is includet in rewies and autits. In addition you can find the aplication of the policy at our web. Audits Please find our policy, approved by senior management group, on active ownership: Active Ownership on Management Approach EC Economic Performance COMM Annual report 2012 page Explanation for the reason for To be reported in Market presence Not Not applicable Not relevant for financial institutions in Norway, our market presence is limited to Norway. DMA EN Aspects Indirect economic impacts on Management Approach EN Materials KLP does not plan to invest in projects related to developments of infrastructure, investments and services primarily for public benefit through commercial, inkind or pro-bono engangement. EC9 Not applicable Not relevant for financial institutions in Norway, small value chain with offices only in Norway. Sourcing mainly in Norway and other developed countries. Our investments are primarely done in Norway, nordic countries, Europe and to some degree in other western countries. We still report fully on all our investments, in realestate, stocks etc. Energy See also our climate accounts for 2012: !/menu/standard/fil e/energi- %20og%20klimaregnskap_KLP_20 12.pdf EN7 Not applicable We have very limited emissions and waste since we are a financial institution. Water Not Not applicable Biodiversity Not Not applicable Annual report 2012 page 113 Norway where water and water usage is not a scarcety or a source for sustainability issue. KLP has no production and do not have impacts as such on biodiversity. Emissions, effluents and waste EN 19, 20, 21, 23 & 25 Not applicable Covered where relevant. Products and services EN 27 Not applicable Compliance Page 28 annual annual report 2012 Covered where relevant. Very little of our business have environmental implications since we are a financial institution.

3 DMA LA Aspects Transport Overall Not See KLP's G3 Content Index Not applicable on Management Approach LA Employment Page 44 annual report 2012 Labor/management relations Not possible due to many small investments as part of running operations. Investments as such is reported according to laws and regulations for financial institutions in Norway. Occupational health and safety COMM Training and education LA 11 Not applicable We report on all the offers KLP employees as of development and training, and procedures in place to assure lifelong development. But we do not find it feasable to track numbers of hours spent on training. Numbers of hours is not a goal, the opportunity and process of continous development is. DMA HR Aspects Diversity and equal opportunity on Management Approach HR Investment and procurement practices Programs covering serious illness for workers and their families Not applicable Included as far as relevant. institution which operates in Norway. Programs covering serious illness of workers and their families is not of relevance since everyone are covered by health care free of charge in Norway. Annual report 2012 page 44, see also: Non-discrimination Freedom of association and collective bargaining Child labor Forced and compulsory labor see also: see also: Security practices Not Not applicable institution with offices only in Norway. Violations by security personnelll is not considered material. All security personnell are trained in ethics and handling of difficult events. No complaints and no cases registered DMA SO Aspects Indigenous rights on Management Approach SO Community see also: see also: Annual report 2012 page 23, see also: Corruption see also: Public policy Anti-competitive behavior Compliance Annual report 2012 page 29

4 DMA PR Aspects on Management Approach PR Customer health and safety Not Not applicable institution without products that inflict customer health and safety. Product and service labelling FS15 PR 3, PR 4 Not applicable laws and regulation MIFID. institution based in Norway and we do not have product and services applicable to labelling. Our products does not have direct sustainability impacts. There has been no number of incidents of non-compliance. MiFID refers to the Markets in Financial Instruments Directive is the EU's investment services directive. MiFID referred to as the Norwegian securities market directive. Directive is implemented in Norway through the Norwegian Securities Trading Act that came into force on The rules governing such banks and investment firms investment services. Statutory provisions are supplemented significantly by securities regulations, which came into force simultaneously with the Law. According to the Securities Trading Act, a license is required in order to provide investment services. Firms with license (investment firms, including banks with securities licenses) are regulated by the Financial Services Authority. Indicator Product portfolio FS6 FS7 FS8 Audit Policies for the fair design and sale of financial products and services. Marketing communications Unlike previously, the investment advisory services, ie personal recommendations to invest in certain financial instruments, a licensable service. The same Customer privacy Compliance Annual report 2012 page 29 STANDARD DISCLOSURES PART III: Performance Indicators Product and Service Impact Percentage of the portfolio for business lines by specific region, size (e.g. micro/sme/large) and by sector. /fundquickrank/default.aspx Monetary value of products and services designed to deliver a specific social benefit for each business line broken down by purpose. None Monetary value of products and services designed to deliver a specific environmental benefit for each business line broken down by purpose. None Bi-annual, please find the information in the SRI and our updated web-. Please see our web on SRI: Implementation is assessed through publick of the SRI policy, updated with excluded companies, the reason for exclusion, documentation etc.. Coverage in the broadest sence, since the implementaiton can be audited by everyone with access to the internet. Explanation for the reason for To be reported in FS9 Active ownership Coverage and frequency of audits to assess implementation of environmental and social policies and risk assessment procedures. PwC has performed an assurance on our non-financial accounts for 2012 FS10 Percentage and number of companies held in the institution's portfolio with which the organization has interacted on environmental or social issues. FS11 Percentage of assets subject to positive and negative environmental or social screening. See also the quarterly reports page 30 for the total number: 100% We only report the number of companies with which we have interacted on environmental or social issues Not available We do not report percentage since we are unsure as to percentage of what? Of companies that through screening might violate our SRI policie? That would be 100%. Of companies actually violiting our SRI policy? Answer unknown. Of total number of companies in our portfolio: constantly changing FS12 Indicator Voting polic(ies) applied to environmental or social issues for shares over which the organization holds the right to vote shares or advises on voting. Description Economic performance EC1 COMM Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payments to capital providers and governments. Economic See also annual report 2012 page Total employee compensation: NOK Explanation for the reason for To be reported in

5 Annual report 2012 page Market presence Range of ratios of standard entry level wage compared to local minimum wage at EC5 significant locations of operation. Not Not applicable Policy, practices, and proportion of spending on locally-based suppliers at significant EC6 locations of operation. Not Not applicable Procedures for local hiring and proportion of senior management hired from the local EC7 community at significant locations of operation. Not Not applicable Indirect economic impacts Development and impact of infrastructure investments and services provided primarily for EC8 public benefit through commercial, in-kind, or pro bono engagement. None EC9 Indicator Materials Understanding and describing significant indirect economic impacts, including the extent of impacts. Not Not applicable Environmental Not relevant for å financial institution in Norway Not relevant for å financial institution in Norway Not relevant for å financial institution in Norway institution in Norway and does not have as a role as a participant or agent in socio-economic change, none in developing economies. Explanation for the reason for To be reported in Energy Our direct energy consuption is only petrol and deisel to our company cars: Renewable energy: 0 GJ Non-renemable energy: Diesel (B5): 937,44 GJ Petrol: 500,4 GJ See also: EC2 Financial implications and other risks and opportunities for the organization's activities due to climate change. klp/samfunnsansvar/samfunn-og- milj/milj# EC3 Coverage of the organization's defined benefit plan obligations. Annual report 2012 page 183 KLP does not receive financial EC4 Significant financial assistance received from government. assistance from government EN1 Materials used by weight or volume. EN2 Percentage of materials used that are recycled input materials. None substantial EN3 Direct energy consumption by primary energy source. see also our climate accounts for 2012: !/menu/standard/fil e/energi- %20og%20klimaregnskap_KLP_20 12.pdf Indirect energy in giga joules (GJ): District cooling: 3173,04 GJ Remote heating: 4362,84 (GJ) Electricity: 9336,24 (GJ) Added information about source (renewable). EN4 Indirect energy consumption by primary source. EN5 Energy saved due to conservation and efficiency improvements. EN6 Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives. See also our climate accounts for 2012: !/menu/standard/fil e/energi- %20og%20klimaregnskap_KLP_20 12.pdf see also our climate accounts for 2012: EN7 Initiatives to reduce indirect energy consumption and reductions achieved. Not Not applicable Water EN8 Total water withdrawal by source. Not Not applicable EN9 Water sources significantly affected by withdrawal of water. Not Not applicable EN10 Percentage and total volume of water recycled and reused. Not Not applicable Biodiversity EN11 Location and size of land owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas. Not Not applicable KLP does not use energy required to produce and deliver purchased electricity and any other intermediate energy products (such as district heat) that involve significant energy consumption upstream from the organization s boundary Norway where waterand water usage is not a scarcety or a source for sustainability issue. Norway where waterand water usage is not a scarcety or a source for sustainability issue. Norway where waterand water usage is not a scarcety or a source for sustainability issue. business inflicting on biodiversity

6 EN12 Description of significant impacts of activities, products, and services on biodiversity in protected areas and areas of high biodiversity value outside protected areas. Not Not applicable EN13 Habitats protected or restored. Not Not applicable EN14 Strategies, current actions, and future plans for managing impacts on biodiversity. Not Not applicable EN15 Number of IUCN Red List species and national conservation list species with habitats in areas affected by operations, by level of extinction risk. Not Not applicable Emissions, effluents and waste EN16 COMM Total direct and indirect greenhouse gas emissions by weight. EN17 Other relevant indirect greenhouse gas emissions by weight. EN18 Initiatives to reduce greenhouse gas emissions and reductions achieved. See our climate accounts for 2012: EN19 Emissions of ozone-depleting substances by weight. Not Not material EN20 NOx, SOx, and other significant air emissions by type and weight. Not Not material See our climate accounts for 2012: see also: EN21 Total water discharge by quality and destination. Not Not material EN22 COMM Total weight of waste by type and disposal method. EN23 Total number and volume of significant spills. None business inflicting on biodiversity business inflicting on biodiversity business inflicting on biodiversity business inflicting on biodiversity business with substantial emissions and discharges business with substantial emissions and discharges Norway where water and water usage is not a scarcety or a source for sustainability issue. EN24 Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention Annex I, II, III, and VIII, and percentage of transported waste shipped internationally. Not applicable business with substantial emissions and discharges, but one of our daughter companies report on disposal of toxic waste linked to relestate operated by KLP Eiendom EN25 Products and services Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected by the organization's discharges of water and runoff. Not Not applicable business with substantial emissions and discharges EN26 Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation. institution with offices in Norway and does not have business with substantial environmental impacts, but we report on one of our doughter companies include impact migation: KLP Eiendom. For KLP Eiendom we report waste, emission, toxic waste and energy usage and saving after initiating various energy saving actions to reduse mitigation from the business. We do not report on other products since they are financial products without environmental impacts. Not applicable EN27 Percentage of products sold and their packaging materials that are reclaimed by category. Not Not applicable Compliance EN28 Transport EN29 Overall Monetary value of significant fines and total number of non-monetary sanctions for noncompliance with environmental laws and regulations. None Significant environmental impacts of transporting products and other goods and materials used for the organization's operations, and transporting members of the workforce. EN30 Total environmental protection expenditures and investments by type. Not See KLP's G3 Content Index Not applicable Indicator Employment LA1 Total workforce by employment type, employment contract, and region. LA2 Total number and rate of employee turnover by age group, gender, and region. Benefits provided to full-time employees that are not provided to temporary or part-time LA3 employees, by major operations. Labor/management relations LA4 Percentage of employees covered by collective bargaining agreements. LA5 Minimum notice period(s) regarding significant operational changes, including whether it is specified in collective agreements. Social: Labor Practices and Decent Work klp/samfunnsansvar/samfunn-ogmilj/milj# None (except for salary and pension benefits) business with substantial environmental impacts, but our daughter company, KLP eiendom, reports on initiatives related to mitigation institution without packaged products Not possible to calculate due to many small investments as part of running operations. Explanation for the reason for To be reported in

7 Occupational health and safety Percentage of total workforce represented in formal joint management-worker health and safety committees that help monitor and advise on occupational health and safety LA6 programs. LA7 Rates of injury, occupational diseases, lost days, and absenteeism, and number of workrelated fatalities by region. We report injury, lost days and absenteeism, work related fatalities, but not per region and gender as that would be stigmatising due to the small share of women at some of our regional offices. Not applicable We report injury, lost days and absenteeism, work related fatalities, but not per region and gender as that would be stigmatising due to the small share of women at some of our regional offices. Training and education LA8 Education, training, counseling, prevention, and risk-control programs in place to assist workforce members, their families, or community members regarding serious diseases. Not Not applicable LA9 Health and safety topics covered in formal agreements with trade unions. LA10 Average hours of training per year per employee by employee category. Not Not applicable Programs for skills management and lifelong learning that support the continued klp/samfunnsansvar/samfunn-og- LA11 employability of employees and assist them in managing career endings. milj/arbeidsforhold# LA12 reviews. All Diversity and equal opportunity No minority representatives are registered in governance bodies Included as far as relevant. institutions which operates in Norway. Programs covering serious illness of workers and their families is not of relevance since everyone are covered by health care free of charge in Norway. We report on all the offers KLP employees as of development and training, and procedures in place to assure lifelong development. But we do not find it feasable to track numbers of hours spent on training. Numbers of hours is not a goal, the opportunity and prcess of continous development is. LA13 Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity. LA14 Ratio of basic salary of men to women by employee category. Indicator HR1 COMM Investment and procurement practices Percentage and total number of significant investment agreements that include human rights clauses or that have undergone human rights screening. Social: Human Rights Explanation for the reason for To be reported in HR2 Percentage of significant suppliers and contractors that have undergone screening on human rights and actions taken. Not The information is not available due to the fact that we report on this parameter through other indicators than percantage. We report on process, criteria against which the suppliers are screened, and number of large suppliers. Our screening criteria include human rights issues. We also describe how we screen all companies in our investment portfolio, and most of our suppliers are included. We report on the actions taken through our responsible investments - dialogue, corrective actions etc., but we do not report whether or not these also are our suppliers. Not available reported, but in principle all are screened through our responsible investments Total hours of employee training on policies and procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained. HR3 Non-discrimination HR4 Total number of incidents of discrimination and actions taken. None Freedom of association and collective bargaining Operations identified in which the right to exercise freedom of association and collective HR5 bargaining may be at significant risk, and actions taken to support these rights. None Child labor HR6 Operations identified as having significant risk for incidents of child labor, and measures taken to contribute to the elimination of child labor. None Forced and compulsory labor Operations identified as having significant risk for incidents of forced or compulsory labor, HR7 and measures to contribute to the elimination of forced or compulsory labor. None Security practices This is an integral part of mandatory employee introduction training HR8 Percentage of security personnel trained in the organization's policies or procedures concerning aspects of human rights that are relevant to operations. Not Not applicable Indigenous rights Total number of incidents of violations involving rights of indigenous people and actions HR9 taken. None Indicator Corruption SO2 Percentage and total number of business units analyzed for risks related to corruption. Social: Society Community SO1 Nature, scope, and effectiveness of any programs and practices that assess and manage the impacts of operations on communities, including entering, operating, and exiting. milj/ansvarlig- forretningsdrift# FS13 Access points in low-populated or economically disadvantaged areas by type. 0 FS14 Initiatives to improve access to financial services for disadvantaged people. KLP is financial institution in Norway and our security personnell have never been in a situatuion where violatin of human rights may occure Explanation for the reason for To be reported in SO3 Percentage of employees trained in organization's anti-corruption policies and procedures. This is part of mandatory induction training for all new employees

8 SO4 Actions taken in response to incidents of corruption. No incidents. See also: Public policy SO5 Public policy positions and participation in public policy development and lobbying. see also: SO6 Total value of financial and in-kind contributions to political parties, politicians, and related institutions by country. 0 Anti-competitive behavior SO7 Compliance SO8 Indicator PR1 PR2 Total number of legal actions for anti-competitive behavior, anti-trust, and monopoly practices and their outcomes. 0 Monetary value of significant fines and total number of non-monetary sanctions for noncompliance with laws and regulations. 0 Customer health and safety Life cycle stages in which health and safety impacts of products and services are assessed for improvement, and percentage of significant products and services categories subject to such procedures. Not Not applicable Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services during their life cycle, by type of outcomes. 0 Product and service labelling Type of product and service information required by procedures, and percentage of PR3 significant products and services subject to such information requirements. 0 PR4 Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes. 0 PR5 Practices related to customer satisfaction, including results of surveys measuring customer satisfaction. FS16 Initiatives to enhance financial literacy by type of beneficiary. None Marketing communications Social: Product Responsibility Explanation for the reason for institution in norway, we do not have products and services inflicting on customers health and safety in this aspect. To be reported in PR6 PR7 No programmes, bur general values for customer communication. Programs for adherence to laws, standards, and voluntary codes related to marketing communications, including advertising, promotion, and sponsorship. klp/samfunnsansvar/samfunn-og- milj/kunder-og-produkter# Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship by type of outcomes. 0 Customer privacy Total number of substantiated complaints regarding breaches of customer privacy and PR8 losses of customer data. 0 Compliance PR9 Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services. 0

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