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Published
Feb 2, 2020
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Kering registers 36% decrease in its CO2 emissions over 3 years

Published
Feb 2, 2020

The luxury brand has made advancements in regard to its ambitious “Fashion Pact.” Released last August, this non-binding text brings together different textile and clothing brands under the shared purpose of making fashion more sustainable.


The group traces 88 % of its "key raw materials" - Kering


The owner of Gucci, Saint Laurent and Balenciaga initially launched its plan of action for 2012-2016, based on the results from EP&L (Environmental Profit and Loss). Since then, Kering has decided to widen the scope of its environmental impact. In January of 2017, the company published a new strategy that now includes an additional social dimension.

The following objectives were set for 2025: to reduce its environmental impact by 40% and cut its CO2 emissions in half, compared to results from 2015. All of this is to be achieved with entirely traceable raw materials and on the same timetable.

Three years later, how is it doing? In the progress report released this Thursday, the company led by François-Henri Pinault announced “significant and encouraging progress.” From 2015 to 2018, it reduced its “environmental global impact” by 14% and its greenhouse gas emissions by 36%. Across the same period, the greenhouse gas emissions related to its stores and other worldwide placements were reduced by 77%.

The group has announced it will use renewable energy sources for 67% of its operations. A rate that has reached 100% in seven countries and is at 78% in Europe. In 2018, the company became carbon neutral across its entire business and supply chain, including through forest protection programs.

Moreover, Kering has put in place new standards for raw materials and manufacturing processes. This has formalized the best procedures in terms of environmental protection, social compliance, traceability, the use of chemicals and the wellbeing of animals. These measures have already been implemented across 68% of the group’s suppliers.

Less than a third of the cotton is organic



Kering has announced a 100% “responsible” supply of gold for its watches and jewelry. Yet this number drops to 30% for organic cotton.

The French luxury giant counts more than 35,000 employees worldwide and earned 13.7 billion euros in revenue for 2018. It also happens to be one of the most women-friendly companies, according to the CAC 40. Women represent 55% of the managers in 2019, 63% of the total workforce, 33% of the members of the executive committee and 60% of the board of directors.

“The progress report on sustainable development that we share today reflects very encouraging achievements in line with the Kering roadmap to 2025. Even if we know that there is still a long way to go,” commented Marie-Claire Daveu, the director of sustainable development and international corporate affairs.

In the latest “2020 Predictions Report: decoding the next decade of change,” there is an emphasis on the growing awareness of the climate emergency and the progress made so far, Positive Luxury found. The latter promotes ethical and sustainable practices across businesses that offer consumer goods.

According to the report, environmental concerns effectively define the fashion agenda. Across different cities, fashion weeks and designers have made efforts to reduce their carbon footprint. The initiatives by Kering and LVMH, the two fashion industry giants, are heading in the same direction.
 

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