ESG governance

Thanks to our recyclable and reusable glass packaging, we promote sustainable consumption and production patterns that accord with the circular economy and the United Nations' SDG 12. In addition, our Strategy 2030+ sets out how we integrate sustainability into our day-to-day business. This is inherently linked to entrenched responsibility for sustainability aspects throughout the company.

Responsibility at various levels of the hierarchy

The Board of Directors of the Vetropack Group approves the company’s strategic orientation as part of our strategy, and it monitors annual progress. The Board may delegate those duties which are not reserved for it by Article 716a of the Swiss Code of Obligations (CO) to the Management Board. In this context, the Management Board acts within the scope of the guidelines issued by the Board of Directors, and is responsible for the operational management of the Vetropack Group.

Likewise, the Board of Directors delegates operational implementation of the sustainability strategy to the CEO, who fulfils his responsibility for issues relevant to ESG as a member of the Sustainability Steering Committee. In addition to the CEO and the Group Sustainability Manager, this committee comprises the following management functions: Director Corporate Development and Integrated Management Systems, Chief Commercial Officer, Chief Technology Officer, Chief Supply Chain Officer, and Chief Human Resources Officer. The committee meets three times each year.

The Sustainability Steering Committee defines Vetropack’s overarching sustainability ambitions, and develops the action plans to realise them. Its remit also includes monitoring progress with target attainment.

The Group Sustainability Manager is responsible for proposing the sustainability targets and for developing specific measures. He reports to the Director Corporate Development and Integrated Management Systems. On behalf of the Sustainability Committee, the Group Sustainability Manager briefs the Board of Directors at least once each year on progress with implementing the sustainability initiatives. In accordance with the law, the Board of Directors approves the non-financial reporting and also, therefore, our sustainability targets. In the year under review, moreover, we submitted the material topics to the Board of Directors for approval; these topics were determined according to the requirements of the Corporate Sustainability Reporting Directive (CSRD). Also see Material topics and SDGs.

In 2024, we implemented the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) and expanded our governance structures in respect of climate-related concerns. The relevant information can be consulted in the TCFD reporting section.

Sustainability as an element of performance assessment

The Board of Directors and the Management Board pursue a long-term strategy that is geared to sustainable business success. Sustainability aspects are not currently incorporated into the assessment of the Board of Directors’ performance.

On the other hand, the performance of the Extended Management Board is not measured solely on the basis of key financial indicators. In addition to the financial and individual components, the variable remuneration of its members is also dependent on a non-financial component which integrates various sustainability aspects. As at the end of 2024, these included:

• 60 percent share of recycled content in our products
• Validation of climate targets by the Science Based Targets initiative (SBTi)
• Employee engagement: definition of focus areas and implementation of measures based on the employee survey
• Occupational health and safety: TRIR value of 2.2 (Total Recordable Incident Rate, or accident frequency rate)