Topic-Specific Standards
Economic
201: Economic Performance
202: Market Presence
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
202-1 |
Ratios of standard entry level wage by gender compared to local minimum wage |
|
The indicator is not industry-relevant. As an employer in the chemical industry, BASF typically recruits highly qualified employees. Their compensation is based on objective criteria worldwide, especially the employee’s position, their individual performance and BASF's success. |
6 |
1, 5, 8 |
202-2 |
Proportion of senior management hired from the local community |
|
The internationalization of its senior executives is an important factor for BASF as a global company, which is why we recruit across different countries and sites. |
6 |
8 |
203: Indirect Economic Impacts
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
203-1 |
Infrastructure investments and services supported |
Our Strategy: Our Strategic Action Areas |
Graphic: Value added 2021 |
|
2, 5, 7, 9, 11 |
203-2 |
Significant indirect economic impacts |
Our Sustainability Concept: Our strategic approach |
|
|
1, 2, 3, 8, |
204: Procurement Practices
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
204-1 |
Proportion of spending on local suppliers |
BASF does not have any specific guidelines for local procurement: In order to ensure local supply security, raw materials must be purchased where they are available around the globe. Local providers of technical goods and services often have competitive advantages due to their location. |
|
12 |
|
205: Anti-corruption
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
205-1 |
Operations assessed for risks related to corruption |
Compliance: Monitoring adherence to our compliance principles |
Due to BASF's matrix structure, the number of the audited business sites is not a steering-relevant indicator. Group companies, which include several sites and business areas, are audited as part of compliance audits. Cross-business topics are also audited (e.g. donations and sponsorship). Our corporate audits focus on compliance issues. 30% of all audits performed under the risk-based annual audit plan are compliance audits. In addition, ad hoc audits are performed if there are grounds for suspicion. This regular auditing is an essential part of ensuring compliance worldwide in our business processes and identifying weaknesses or non-compliant behavior to derive appropriate measures. Various compliance risks, e.g. risks related to corruption, are audited as part of our compliance audits. Which compliance risks are the focus of an audit is determined based on materiality, which can also be derived from the risk assessments of each country and business area. Consequently, BASF does not report on the number of audits solely related to corruption. |
10 |
16 |
205-2 |
Communication and training about anti-corruption policies and procedures |
Compliance: Compliance Program and Code of Conduct |
All employees receive training on our Code of Conduct upon joining the company. They are obligated to attend refresher training every three years. Target group-specific training is also offered. For instance, all newly appointed senior executives receive scenario-based training on various relevant compliance risks. In addition, all leaders and employees not covered by collective agreements confirm their adherence to our Code of Conduct every year. Governance body members are familiar with our Code of Conduct. The entire Board of Executive Directors of BASF SE is contractually obligated to adhere to our Code of Conduct. Contractors of BASF are also informed about our requirements. All important business partners, especially our suppliers and sales partners, are informed about our compliance principles and must adhere to these. Based on the global guideline "Business Partner Due Diligence" introduced in 2015, all of our sales partners are audited for potential compliance risks. |
10 |
16 |
205-3 |
Confirmed incidents of corruption and actions taken |
Compliance: Monitoring adherence to our compliance principles |
Compliance and responsible, forward-looking conduct are of central significance for BASF. According to our risk-based evaluation, we do not consider corruption a significant compliance risk. If individual cases of corruption are uncovered, these generally relate to passive corruption to the detriment of our company. Consequently, BASF does not report on cases of corruption unless they are considered material. There were no material cases of corruption in 2021. |
10 |
16 |
206: Anti-competitive Behavior
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
206-1 |
Legal actions for anti-competitive behavior, anti-trust, and monopoly practices |
Consolidated Financial Statements: Notes: Risks from litigation and claims |
Any risks from litigation or claims are disclosed in the Notes to the Consolidated Financial Statements. |
|
16 |
Environmental
301: Materials
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
BASF Group: Sites and Verbund |
|
|
|
103-2 |
Management Approach: The management approach and its components |
BASF Group: Sites and Verbund |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
BASF Group: Sites and Verbund |
|
|
|
301-1 |
Materials used by weight or volume |
Due to the heterogeneity of our procurement portfolio, such an indicator (weight or volume) does not represent steering-relevant information. |
7, 8 |
8, 12 |
|
301-2 |
Recycled input materials used |
Sustainability Along the Value Chain: Circular economy |
We rely on our Verbund concept to make the most efficient use of raw materials in our own processes: Intelligently linking and steering our plants enables by-products from one facility to be used as feedstocks elsewhere and recirculated. This saves raw materials and energy. At the same time, the Verbund offers many opportunities to use renewable and recycled raw materials. We want to better leverage this potential and make it more measurable going forward. We have set ourselves two targets in our circular economy program: BASF has committed to converting 250,000 metric tons of recycled and waste-based raw materials to new products annually from 2025. By 2030, we want to increase our sales of solutions for the circular economy to €17 billion – double the 2020 figure. We plan to release a first update on our long-term goals in the next one to two years. |
8 |
8, 12 |
301-3 |
Reclaimed products and their packaging materials |
|
This indicator is not relevant to BASF’s product portfolio since most products are sold in bulk. The relevant legal regulations apply to the packaging used. In addition to the dual system for returning packaging for domestic goods, in Germany, for example, we organize the return and recycling of individual components of industrial and commercial packaging (plastics, steel, etc.) by recycling companies. We aim to offer our customers efficient disposal methods that are carried out professionally and responsibly for all packaging used. This is why we provide information about e.g. the companies that are available for returning and recycling industrial packaging. |
|
8, 12 |
302: Energy
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
302-1 |
Energy consumption within the organization |
Each site worldwide reports on environmental protection, safety, security and health protection in accordance with the reporting requirements defined in the Responsible Care Management System. The use of fuels from renewable sources (biomass) does not currently represent a material share of total fuel consumption and is therefore not disclosed separately. However, the resulting CO2 emissions are reported separately in the greenhouse gas footprint. Cooling consumption is not presented separately. This is largely generated internally. The required energy demand is included in the figures for the Group. Cooling water demand is taken into account in water use. Energy sold is included in the energy balance. We do not consider a separate disclosure to be necessary. |
7, 8 |
7, 12, 13 |
|
302-2 |
Energy consumption outside of the organization |
Energy and Climate Protection: Global targets and measures |
Scope 3 is described on the basis of the carbon footprint, which covers total energy consumption. |
8 |
7, 8, 12, 13 |
302-3 |
Energy intensity |
|
8 |
12, 13 |
|
302-4 |
Reduction of energy consumption |
Energy and Climate Protection: Global targets and measures |
|
8, 9 |
8, 12, 13 |
302-5 |
Reductions in energy requirements of products and services |
Energy and Climate Protection: Global targets and measures |
|
8, 9 |
8, 12, 13 |
303: Water and Effluents 2018
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
103-2 |
Management Approach: The management approach and its components |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
303-1 2018 |
Interactions with water as a shared resource |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
303-2 2018 |
Management of water discharge-related impacts |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
303-3 2018 |
Water withdrawal |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. The breakdown of water abstraction by quality is based on the following assumptions: drinking water contains ≤1,000 mg/L TDS, treated wastewater and produced water contain >1,000 mg/L TDS. Water abstraction in water stress areas represents a small percentage of the BASF Group’s entire water abstraction (approx. 1%); consequently, a detailed breakdown by source and quality is not considered necessary. |
|
|
|
303-4 2018 |
Water discharge |
Graphic: Water in the BASF Group 2021 |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. In the breakdown of wastewater by quality, we distinguish between wastewater from cooling processes with no product contact and wastewater from production. This breakdown better reflects wastewater types in the chemical industry than a breakdown by TDS content. Our wastewater can contain different substances from site to site, depending on the type of production. Requirements for individual substances are defined by local authorities. If discharge limits are exceeded, this is documented locally. We have defined heavy metals, nutrients and COD as substances of concern at global level and report on emissions of these. |
|
|
303-5 2018 |
Water consumption |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System and in the methodology paper. |
|
|
304: Biodiversity
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
7 |
14,15 |
|
103-2 |
Management Approach: The management approach and its components |
|
7 |
14,15 |
|
103-3 |
Management Approach: Evaluation of the management approach |
|
7 |
14,15 |
|
304-1 |
Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas |
|
|
||
304-2 |
Significant impacts of activities, products, and services on biodiversity |
|
|
|
|
304-3 |
Habitats protected or restored |
Raw Materials: Renewable resources |
|
8 |
6, 14, 15 |
304-4 |
IUCN Red List species and national conservation list species with habitats in areas affected by operations |
|
In the case of changes to the site portfolio due e.g. to investments or acquisitions, we review the potential impacts as part of the standardized evaluation process. BASF also undertakes projects to protect individual species (skylark, monarch butterfly) |
|
|
305: Emissions
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Our Management Systems: Responsible Care Management System |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Our Management Systems: Responsible Care Management System |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Our Management Systems: Responsible Care Management System |
|
|
|
305-1 |
Direct (Scope 1) GHG emissions |
About This Report |
|
7, 8 |
3, 12, 13, |
305-2 |
Energy indirect (Scope 2) GHG emissions |
About This Report |
|
7, 8 |
3, 12, 13, |
305-3 |
Other indirect (Scope 3) GHG emissions |
Energy and Climate Protection: Graphic: Scope 3 emissions along the BASF value chain in 2021 |
|
7, 8 |
3, 12, 13, |
305-4 |
GHG emissions intensity |
|
8 |
3, 12, 13, |
|
305-5 |
Reduction of GHG emissions |
Energy and Climate Protection: Graphic: Development of the BASF Group’s greenhouse gas emissions |
|
8, 9 |
3, 12, 13, |
305-6 |
Emissions of ozone-depleting substances (ODS) |
Calculation based on the substances described in the reporting requirements (based on the Montreal Protocol). |
7, 8 |
3, 12, 13 |
|
305-7 |
NOX, SOX and other significant emissions to air |
Emissions to Air, Waste and Remediation: Table: Emissions to air |
Calculation based on the methods described in the reporting requirements and includes CO, NOX, SOX, NMVOCs, PM, NH3and other inorganic substances. HAPs are a category of chemical compounds used in the United States as the basis for reporting requirements to monitoring agencies. Since BASF is always guided by individual national reporting requirements, the individual substances on the HAP list are not recorded globally in a standardized manner. As organic compounds, HAPs are included in NMVOCs. BASF does not emit POPs. |
7, 8 |
3, 12, 13 |
306: Effluents and Waste 2020
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
103-2 |
Management Approach: The management approach and its components |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Our Management Systems: Responsible Care Management System |
Standards, methods and assumptions are defined in the reporting requirements in the Responsible Care Management System. |
|
|
306-1 |
Waste generation and significant waste-related impacts |
Expanded reporting in line with GRI 306 2020 |
8, 9 |
3, 12, |
|
306-2 |
Management of significant waste-related impacts |
Expanded reporting in line with GRI 306 2020 |
8, 9 |
3, 12, |
|
306-3 |
Waste generated |
Emissions to Air, Waste and Remediation: Waste |
Formerly GRI 306-2 (from 2021 reporting according to GRI 306 2020) |
8, 9 |
3, 12, |
306-4 |
Waste diverted from disposal |
Emissions to Air, Waste and Remediation: Waste |
Formerly GRI 306-2 (from 2021 reporting according to GRI 306 2020) |
8, 9 |
3, 12, |
306-5 |
Waste directed to disposal |
Emissions to Air, Waste and Remediation: Waste |
New waste indicator (GRI 306 2020), previously reported under GRI 306-2 |
8, 9 |
3, 12, |
307: Environmental Compliance
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Our Management Systems: Responsible Care Management System |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Our Management Systems: Responsible Care Management System |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Our Management Systems: Responsible Care Management System |
|
|
|
307-1 |
Non-compliance with environmental laws and regulations |
Consolidated Financial Statements: Notes: Risks from litigation and claims |
Any risks from litigation or claims are disclosed in the Notes to the Consolidated Financial Statements. |
8 |
16 |
308: Supplier Environmental Assessment
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
308-1 |
New suppliers that were screened using environmental criteria |
Supplier management: What we expect from our suppliers |
The requirements for our suppliers are defined in our Supplier Code of Conduct. Our suppliers must commit to complying with these requirements in the areas of environmental protection, human rights, labor and social standards, as well as fighting discrimination and corruption. In 2021, approximately 5,900 suppliers of raw materials, technical goods, services and investment goods committed to these values in our newly launched registration portal and were thus accepted as new suppliers. |
|
|
308-2 |
Negative environmental impacts in the supply chain and actions taken |
Supplier management: What we expect from our suppliers |
Three business relationships with suppliers were terminated due to severe deficiencies in the areas of environmental protection, safety, security and health protection, and social matters. 386 suppliers were asked for improvements in the areas of environmental protection, safety and security, and health protection, representing approximately 49% of all suppliers audited in 2021. |
|
|
Social
401: Employment
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
401-1 |
New employee hires and employee turnover |
Employees: Competition for talent |
We report the total number of new hires and the early turnover rate (within the first three years), both by region since these are our internal steering-relevant indicators. New employees are hired based on qualification and suitability; age is irrelevant. |
6 |
5, 8 |
401-2 |
Benefits provided to full-time employees that are not provided to temporary or part-time employees |
We hire few temporary employees worldwide. All types of benefits that we provide in Germany are available to both full-time and part-time employees. |
|
8 |
|
401-3 |
Parental leave |
We provide a wide range of offerings to help employees balance personal and professional life (e.g. flexible working hours, part-time employment, "LuMit" and childcare), especially at our Verbund site in Ludwigshafen, Germany. These are important measures to promote the family role of women and men. We also create the conditions for employees to make use of their legal entitlement to parental leave. To protect the health of expectant and nursing mothers and prevent harm to them and their babies, BASF has defined a Group-wide standard for maternity protection. This includes at least 14 weeks of maternity leave (not less than 6 weeks after delivery). Compliance with the internal maternity leave policy is evaluated as part of a global management process. Due to a risk-based approach to the management process implemented in 2021, reporting of data will be established in the next 1-2 years. BASF does not tolerate any discrimination or disadvantage based on parental status, pregnancy or maternity leave. |
6 |
5, 8 |
|
402: Labor/Management Relations
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
402-1 |
Minimum notice periods regarding operational changes |
Compliance with national laws is a cornerstone of our business; in many cases, we exceed statutory requirements. We also adhere to the applicable notice periods based on national laws or local collective agreements. |
3 |
8 |
|
403: Occupational Health and Safety
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Our Management Systems: Responsible Care Management System |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Our Management Systems: Responsible Care Management System |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Our Management Systems: Responsible Care Management System |
|
|
|
403-1 |
Occupational health and safety management system |
Our Responsible Care Management System contains occupational safety and health protection elements, which covers all employees and temporary employees of BASF and its contractors. Furthermore, 54% of all employees (BASF, temporary, contractors) at our production sites are additionally covered by a local management system audited in accordance with ISO 45001/OHSAS 18001. |
|
3, 8 |
|
403-2 2018 |
Hazard identification, risk assessment, and incident investigation |
We encourage and promote a culture of safety where everyone is mindful of hazards and helps to resolve and avoid them by doing the right thing. A systematic process has been established for all routine tasks and workplaces to identify and assess potential hazards, to derive appropriate safety measures, and to ensure that these are implemented and effective. Separate hazard assessments are used to manage non-routine tasks as part of a separate approval process. Incidents are investigated according to a risk-based approach, which is likewise uniformly regulated internally. Designated officers within the organization ensure that all causes are identified and that measures are implemented in full and in a timely manner. Significant incidents are shared globally by Corporate EHS to prevent them from happening again. All processes are reviewed according to statutory requirements on a regular and ad hoc basis. Our policies and requirements are continuously updated. They apply to our employees and third parties with whom we interact at our sites. |
|
3, 8 |
|
403-3 2018 |
Occupational health services |
We offer our employees a comprehensive range of medical services, from preventive occupational medicine and emergency care to health promotion. We do not offer this service to our contractors. BASF’s corporate health management has been established for all Group companies worldwide and serves to improve and promote the health and productivity of our employees. Worldwide standards for occupational health are specified in a binding Group-wide directive that is implemented by a global network of experts. We regularly review our performance, for example with occupational health audits. In addition, we have established an expanded indicator for our global health management: the Health Performance Index (HPI). |
|
3, 8 |
|
403-4 2018 |
Worker participation, consultation, and communication on occupational health and safety |
We offer our employees around the world a large amount of information on various health topics in German and English. At all sites, employees can consult medical professionals as needed on health matters in the workplace. Appropriate committees on health and safety topics are established at the local level. BASF’s and leasing staff at all sites are involved in developing task-related risk assessments and establishing operating procedures. Contractors are involved in work authorization procedures to reduce interaction risks. |
|
3, 8 |
|
403-5 2018 |
Worker training on occupational health and safety |
In addition to the legally required briefings, BASF requires new employees and contractors to complete additional compulsory health and safety training, as well as regular training on the safe handling of chemicals and the correct use of personal protective equipment for employees at our production sites. We train BASF employees and the employees of contractors/local partners as first aiders. First aid is one of five core elements of the Health Performance Index (HPI), which BASF uses to measure its performance in occupational medicine and health protection every year. All employees receive training before starting work and at regular intervals, and are tested to ensure that this training was understood. Training needs are based on an employee’s individual field of work and tasks, as well as the statutory requirements. |
|
3, 8 |
|
403-6 2018 |
Promotion of worker health |
BASF employees and managers have access to various offerings to maintain or improve their health through the global health promotion program. The program comprises three elements:
Health promotion is one of five core elements of the Health Performance Index (HPI), which BASF uses to measure its performance in occupational medicine and health protection every year. The program applies only to direct BASF employees. |
|
3, 8 |
|
403-7 2018 |
Prevention and mitigation of occupational health and safety impacts directly linked by business relationships |
Supplier management |
In general, BASF takes a preventative approach to occupational health and safety risks. This approach is based on the elements of the Responsible Care Management System and is likewise used by our contract manufacturers, and regularly audited by us. The safety and environmental performance of suppliers and contractors are considered during the procurement process. |
|
3, 8 |
403-8 2018 |
Workers covered by an occupational health and safety management system |
The occupational health and safety elements of our Responsible Care Management System cover all BASF, temporary and contractors’ employees. The coverage by certified health and safety management system is explained in GRI 403-1. |
|
3, 8 |
|
403-9 2018 |
Work-related injuries |
Our aim is to avoid lost-time injuries. We investigate all incidents with major accident potential worldwide to determine the main causes, independent of the outcome of the actual incident. Using a wide range of data enables us to better identify necessary measures for continuous improvement and to assess their implementation/effectiveness. In general, BASF does not differentiate between employees (BASF, leasing or contractors), as there is no differentiation in our company health and safety management system. Further details of most events occurring are not considered relevant. For BASF, chemical-related incidents are considered most specific to our own operations and are therefore communicated in our report. |
|
3, 8 |
|
403-10 2018 |
Work-related ill health |
Our aim is to avoid work-related illness completely through appropriate prevention. Regular site inspections or workplace visits are the basis for the overall occupational health assessment. Qualified risk assessments are the basis for evaluations and improvements to be derived. Occupational medical expertise is already incorporated into the planning of technical and organizational innovations in the company. The results of occupational medical examinations regarding possible health hazards from the workplace are analyzed. Relevant findings from examinations and site inspections are taken into account when revising the health risk assessment. Chemical, biological and physical hazards (including noise, vibration, radiation, exposure to heat and cold at the workplace), ergonomics and psychosocial hazards are assessed and controlled in regular operations. According to the hierarchy of control, the following measures are part of our health risk management:
In the 2021 reporting year, 36 (2020: 26) work-related diseases were documented as recognized occupational diseases among our direct employees (excluding contractors and temporary employees) worldwide. Deaths from work-related recognized diseases are not reported to BASF Group. The main work-related recognized diseases are occupational asthma, hearing loss, skin disease, musculoskeletal disease and cancer. |
|
3, 8 |
|
404: Training and Education
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
404-1 |
Average hours of training per year per employee |
|
In 2021, each employee spent an average of 2.1 days on further training. The relevant indicators are further training days, not hours. Training needs are determined as part of individual employee development, independent of age or gender. The uniform BASF Group-wide system for further development applies to all employees. |
6 |
4, 5, 8 |
404-2 |
Programs for upgrading employee skills and transition assistance programs |
Employees: What we expect from our leaders |
|
|
8 |
404-3 |
Percentage of employees receiving regular performance and career development reviews |
The BASF Group has a uniform system in place for conducting employee dialogs that applies to all employees, regardless of gender and employee type. |
6 |
5, 8 |
|
405: Diversity and Equal Opportunity
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
405-1 |
Diversity of governance bodies and employees |
Employees: Graphic: BASF Group employee age structure |
We live inclusion of diversity, so that all employees are part of our team. Therefore, a different indicator for minorities is not a steering-relevant parameter for us. |
6 |
5, 8 |
405-2 |
Ratio of basic salary and remuneration of women to men |
|
Representative evaluations for BASF SE have shown that there are no systematic differences between compensation of female and male employees in comparable roles and with comparable qualifications. A worldwide evaluation does not take place. |
6 |
5, 8, 10 |
406: Non-discrimination
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
406-1 |
Incidents of discrimination and corrective actions taken |
Sustainability Along the Value Chain: Responsibility for Human Rights |
Number of complaints and tip-offs received in 2021 on human rights: 206 (of which resolved in the reporting period: 165) Of these, pertaining to discrimination: 62 (of which resolved in the reporting period: 47) In all substantiated cases, countermeasures were taken on a case-by-case basis in line with the applicable legal and internal standards. |
6 |
5, 8, 16 |
407: Freedom of Association and Collective Bargaining
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
407-1 |
Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk |
Supplier management: What we expect from our suppliers |
We identified deficiencies in the areas of freedom of association and collective bargaining at one of the suppliers audited in 2021. For employees, see the description of the management process under “Employees: International labor and social standards.” |
3 |
8 |
408: Child Labor
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
408-1 |
Operations and suppliers at significant risk for incidents of child labor |
Supplier management: Audit results |
|
5 |
8, 16 |
409: Forced or Compulsory Labor
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
409-1 |
Operations and suppliers at significant risk for incidents of forced or compulsory labor |
Supplier management: Audit results |
|
4 |
8 |
410: Security Practices
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Our Management Systems: Responsible Care Management System |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Our Management Systems: Responsible Care Management System |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Our Management Systems: Responsible Care Management System |
|
|
|
410-1 |
Security personnel trained in human rights policies or procedures |
Health and Safety, Emergency Response: Emergency response, corporate security and cybersecurity |
|
1 |
16 |
411: Rights of Indigenous Peoples
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Sustainability Along the Value Chain: Responsibility for Human Rights |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Sustainability Along the Value Chain: Responsibility for Human Rights |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Sustainability Along the Value Chain: Responsibility for Human Rights |
|
|
|
411-1 |
Incidents of violations involving rights of indigenous peoples |
|
Our internal grievance mechanisms have identified no (potential) violation of rights of indigenous communities. We operate in countries with indigenous peoples, both in our supply chain and in our own operations. We take this into account in our investment activities. |
1 |
2 |
412: Human Rights Assessment
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Sustainability Along the Value Chain: Responsibility for Human Rights |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Sustainability Along the Value Chain: Responsibility for Human Rights |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Sustainability Along the Value Chain: Responsibility for Human Rights |
|
|
|
412-1 |
Operations that have been subject to human rights reviews or impact assessments |
Our Sustainability Concept: Our strategic approach |
|
1 |
|
412-2 |
Employee training on human rights policies or procedures |
Sustainability Along the Value Chain: Responsibility for Human Rights |
All employees receive training on our Code of Conduct upon joining the company. They are obligated to attend refresher training every three years. The relevant human rights topics are addressed in this training. |
1 |
|
412-3 |
Significant investment agreements and contracts that include human rights clauses or that underwent human rights screening |
Our Sustainability Concept: Our strategic approach |
The consideration of all three dimensions of sustainability is integrated into our standard processes for evaluating investment decisions in property, plant and equipment as well as in financial assets. Therefore, human rights aspects are also reviewed for all significant investment decisions. |
2 |
|
413: Local Communities
414: Supplier Social Assessment
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
414-1 |
New suppliers that were screened using social criteria |
Supplier management: What we expect from our suppliers |
The requirements for our suppliers are defined in our Supplier Code of Conduct. Our suppliers must commit to complying with these requirements in the areas of environmental protection, human rights, labor and social standards, as well as fighting discrimination and corruption. In 2021, approximately 5,900 suppliers of raw materials, technical goods, services and investment goods committed to these values in our newly launched registration portal and were thus accepted as new suppliers. |
|
|
414-2 |
Negative social impacts in the supply chain and actions taken |
Supplier management: What we expect from our suppliers, selection and evaluation of our suppliers, audit results |
Three business relationships with suppliers were terminated due to severe deficiencies in the areas of environmental protection, safety, security and health protection, and social matters. 386 suppliers were asked for improvements in the areas of environmental protection, safety and security, and health protection, representing around 49% of all suppliers audited in 2021. We identified one case of deficiencies in the areas of freedom of association and collective bargaining at our suppliers. 292 suppliers were asked for improvements regarding social topics representing around 37% of all suppliers audited in 2021. |
|
|
415: Public Policy
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
415-1 |
Political contributions |
Focus areas of political campaigning and lobbying: https://www.basf.com/global/en/who-we-are/politics.html |
10 |
16 |
|
416: Customer Health and Safety
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Product Safety |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Product Safety |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Product Safety |
|
|
|
416-1 |
Assessment of the health and safety impacts of product and service categories |
Our Sustainability Concept: Measuring sustainable value added |
As a producing company, we focus on the evaluation of our products (98.7% of the relevant portfolio has been evaluated here). Services are not relevant for a producing company. |
7 |
|
416-2 |
Incidents of non-compliance concerning the health and safety impacts of products and services |
Consolidated Financial Statements: Notes: Risks from litigation and claims |
Any risks from litigation or claims are disclosed in the Notes to the Consolidated Financial Statements. |
|
16 |
417: Marketing and Labeling
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Product Safety |
|
|
|
103-2 |
Management Approach: The management approach and its components |
Product Safety |
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Product Safety |
|
|
|
417-1 |
Requirements for product and service information and labeling |
Sustainability Along the Value Chain: Steering Our Product Portfolio |
|
7 |
12, 16 |
417-2 |
Incidents of non-compliance concerning product and service information and labeling |
Consolidated Financial Statements: Notes: Risks from litigation and claims |
Any risks from litigation or claims are disclosed in the Notes to the Consolidated Financial Statements. |
|
16 |
417-3 |
Incidents of non-compliance concerning marketing communications |
|
Not a key indicator as BASF mainly operates in the B2B sector. Any risks from litigation or claims are disclosed in the Notes to the Consolidated Financial Statements. |
|
|
418: Customer Privacy
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
Health and Safety, Emergency Response: Emergency response, corporate security and cybersecurity |
BASF systematically records and processes customer complaints using a nonconformance management system. |
|
|
103-2 |
Management Approach: The management approach and its components |
Health and Safety, Emergency Response: Emergency response, corporate security and cybersecurity |
BASF systematically records and processes customer complaints using a nonconformance management system. |
|
|
103-3 |
Management Approach: Evaluation of the management approach |
Health and Safety, Emergency Response: Emergency response, corporate security and cybersecurity |
BASF systematically records and processes customer complaints using a nonconformance management system. |
|
|
418-1 |
Substantiated complaints concerning breaches of customer privacy and losses of customer data |
Health and Safety, Emergency Response: Emergency response, corporate security and cybersecurity |
As part of the implementation of its corporate strategy, BASF established a central governance, risk management and compliance unit at the beginning of 2020, which is responsible for topics such as cybersecurity. At an implementation level, BASF has an ISO/IEC 27001-certified information security management system (ISMS) steered by the Chief Information Security Officer (CISO), who is operationally responsible for cybersecurity Group-wide. With respect to theft and loss of customer data: BASF has established risk management processes in place, combined with physical security and the implementation of technical and organizational controls on end devices and applications (e.g. encryption, data leakage prevention). No incidents within the meaning of GRI 418-1 were identified in 2021. |
|
16 |
419: Socioeconomic Compliance
Topic-specific Standards |
Link |
Comment |
Global Compact Principles |
SDG |
|
103-1 |
Management Approach: Explanation of the material topic and its Boundary |
|
|
|
|
103-2 |
Management Approach: The management approach and its components |
|
|
|
|
103-3 |
Management Approach: Evaluation of the management approach |
|
|
|
|
419-1 |
Non-compliance with laws and regulations in the social and economic area |
Consolidated Financial Statements: Notes: Risks from litigation and claims |
Any risks from litigation or claims are disclosed in the Notes to the Consolidated Financial Statements. |
|
16 |