Amyris, Inc Communication on Progress
- Participant
- Published
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- 18-Oct-2021
- Time period
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- October 2020 – October 2021
- Format
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- Stand alone document – Basic COP Template
- Differentiation Level
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- This COP qualifies for the Global Compact Active level
- Self-assessment
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- Includes a CEO statement of continued support for the UN Global Compact and its ten principles
- Description of actions or relevant policies related to Human Rights
- Description of actions or relevant policies related to Labour
- Description of actions or relevant policies related to Environment
- Description of actions or relevant policies related to Anti-Corruption
- Includes a measurement of outcomes
- Statement of continued support by the Chief Executive Officer
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Statement of the company's chief executive (CEO or equivalent) expressing continued support for the Global Compact and renewing the company's ongoing commitment to the initiative and its principles.
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October 15, 2021
To our stakeholders:
I am pleased to confirm that Amyris reaffirms its support of the Ten Principles of the United Nations Global Compact in the areas of Human Rights, Labor, Environment and Anti-Corruption.
In this annual Communication on Progress, we describe our actions to continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to share this information with our stakeholders using our primary channels of communication.
Sincerely yours,
John Melo
President and Chief Executive Officer
- Human Rights
- Assessment, policy and goals
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Description of the relevance of human rights for the company (i.e. human rights risk-assessment). Description of policies, public commitments and company goals on Human Rights.
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Amyris is committed to respecting human rights in our business operations, including the fair treatment of workers throughout our supply chain. We comply with all applicable laws and regulations governing the prohibition of child labor, modern slavery and human trafficking.
- Implementation
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Description of concrete actions to implement Human Rights policies, address Human Rights risks and respond to Human Rights violations.
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Amyris fully supports the California Transparency in Supply Chains Act of 2010 and conducts our business activities accordingly. This law requires certain large retailers and manufacturers doing business in the State of California to publicly disclose their efforts to eradicate slavery and human trafficking from their direct supply chain and to ensure that the goods they sell are not produced by workers who are enslaved, coerced into service or have been victims of human trafficking.
Amyris also abides by the Social Accountability International SA8000 international labor standards for the fair treatment of workers, including the Universal Declaration of Human Rights, International Labor Organization conventions and applicable national laws.Amyris requires our contract manufacturers and other suppliers to operate in compliance with all applicable human rights laws and regulations in the countries in which they do business. These include laws and regulations regarding forced labor, underage labor, modern slavery, human trafficking, minimum wage and working hours.
Suppliers are also required to comply with the SA8000 international labor standards and, if applicable, the California Transparency in Supply Chains Act of 2010. Our suppliers must ensure that the products they make for Amyris, including any materials sourced in connection with production of the product, are not manufactured, assembled or packaged by forced, prison or child labor.
In 2020, Amyris received Bonsucro Chain of Custody Certification ensuring that sustainability claims along our sugarcane supply chain in Brazil are traceable from farmer to end user. Bonsucro is a global organization with more than 500 members who commit to a Code of Conduct supporting fair-trade and labor practices, including working with ethical supply chains. Bonsucro is part of the UN Global Compact and aligns its member Code of Conduct with the UN Guiding Principles on Business and Human Rights and with multiple UN Sustainable Development Goals including Responsible Consumption and Production (#12) and Climate Action (#13). The Bonsucro Code of Conduct also supports the Organisation for Economic Co-operation and Development (OECD) Guidelines for Multinational Enterprises and draws on the OECD-Food and Agriculture Organization (FAO) Guidance for Responsible Agricultural Supply Chains.
- Measurement of outcomes
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Description of how the company monitors and evaluates performance.
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As part of our compliance process, we conduct vendor diligence and third-party verification of all our suppliers. In addition, under our Supplier Code of Conduct, which is incorporated in our standard manufacturing agreement, we reserve the right to provide periodic assessments and engage in audits of our suppliers and will consider measures such as auditing, directly or by a third party, of any suppliers we determine to present a legitimate risk of violating our Supplier Code of Conduct. If a non-compliance issue is not resolved in a timely manner, then Amyris will re-evaluate its business relationship with the supplier, including potential termination of the business relationship.
- Labour
- Assessment, policy and goals
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Description of the relevance of labour rights for the company (i.e. labour rights-related risks and opportunities). Description of written policies, public commitments and company goals on labour rights.
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As a purpose-driven organization, Amyris recognizes the importance of engaged employees and we are committed to developing a qualified and motivated workforce to power our continued innovation and growth. We offer competitive compensation and benefits packages, including coverages and programs that provide protection for the health, wellness and financial security of our employees. We offer programs to support the personal development of our employees to help them achieve their career goals. Amyris also works to instill a culture of workplace safety through employee training, recognition, risk assessment, incident reporting and facility inspections.
We are committed to providing equal employment opportunities and promoting a work environment and culture that welcomes diversity, equity and inclusion. Amyris has strong employment and non-discrimination policies, which include our Code of Business Conduct and Ethics and our Non-Harassment, Non-Discrimination and Non-Retaliation Policy.
- Implementation
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Description of concrete actions taken by the company to implement labour policies, address labour risks and respond to labour violations.
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Amyris conducts an annual Employee Engagement Survey using a third-party firm to gather data and feedback on employee satisfaction and a wide range of topics. The 2020 survey had a participation rate of 85.7% despite disruptions caused by the pandemic. The survey includes questions on collaboration and work processes, career development and employee recognition, inclusion and company culture. Survey results are shared with all employees and we utilize this data and feedback to identify issues of importance, refine programs to improve overall engagement and promote our company culture and values.
In 2020, our comprehensive benefits packages included 90% employer-paid medical, dental and vision insurance premiums for employees and their dependents. Employees are able to choose from various providers depending on their location. We provide Flexible Spending Accounts (FSAs) including medical FSAs and dependent care spending accounts for childcare and elder care expenses. Amyris also provides all employees with life insurance, short-term and long-term disability insurance, accident and critical illness insurance and access to an Employee Assistance Program.
One of the core values of Amyris is safety and we are dedicated to ensuring that we maintain safe work environments at our offices, laboratories and manufacturing plants. We follow all applicable government regulations in the U.S. as governed by the Occupational Health and Safety Administration (OSHA). Our operations in Brazil also voluntarily follow OSHA procedures including quarterly inspections, tracking and reporting of incidents and the establishment of a safety committee, comprised of full-time employees from a wide cross- section of different levels and functions within the company.
The Injury and Illness Prevention Program (IIPP) includes an Emergency Response Plan to prepare for emergency situations, and all employees receive mandatory annual refresher training for certain elements including the Emergency Action/Fire Prevention Program. Refresher training is also given for Biological, Chemical, Hazardous Waste, Electrical, Noise and Ergonomic Safety programs as needed. In addition to training, Amyris actively promotes our culture of workplace safety through monthly and quarterly departmental meetings or company-wide meetings, as well as promotional materials, safety intranet sites and our Safety Stars program, which recognizes employees for excellent safety performance. We also encourage employees to bring up questions and suggestions concerning workplace health and safety matters. Employees are encouraged to report unsafe conditions or practices to their immediate supervisor, Safety Committee member or Safety Program Administrator, in confidence if desired. All employees are covered by Amyris’ non-retaliation and non-discrimination policy when it comes to reporting any accidents or workplace hazards.
In 2020, Amyris introduced a new learning series for all employees to help increase understanding of issues such as unconscious bias, micro-aggressions, social identities and privilege and effective allyship. The learning series was initiated first with senior leadership and then expanded to all employees and has received high levels of engagement throughout the company. The learning series will continue as a regular part of employee training at Amyris to help strengthen our culture of diversity, equity and inclusion.
Amyris sponsors several employee-led affinity groups, where empowered colleagues self- organize around shared interests, backgrounds or experiences. Examples are: Out@Amyris (LGBTQ+), BIPOC (Black, Indigenous & People of Color), and WEE (Women Empowering Each Other). The employee-led affinity groups provide mentoring and support, as well as a spirit of community to their members while promoting our overall goal of ensuring an inclusive work environment at Amyris.
- Measurement of outcomes
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Description of how the company monitors and evaluates performance.
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Employee performance reviews are conducted quarterly on a company-wide basis. In addition, we encourage ongoing discussions to provide the opportunity for managers and employees to assess progress toward achieving job objectives, give meaningful feedback to all employees, recognize and reward contributions and base promotion decisions on clearly defined criteria. We monitor employee retention rates, employee promotions and other data to help ensure that we are focused on giving employees opportunities to advance within the company.
Amyris has in place emergency management plans to manage the impact of a crisis or other emergency. In early 2020, we began closely monitoring the global COVID-19 pandemic and its impact on all aspects of our business, including our employees, partners, supply chain and distribution network. As an essential business, we developed a comprehensive COVID-19 response strategy including the establishment of a cross-functional COVID-19 task force and implementation of safety protocols to ensure continuity of our essential operations. Our safety protocols were focused on strategies to prevent the spread of COVID-19 using science-based recommendations from state and federal public health experts, with the highest priority being the health and welfare of our employees and community.
We initiated procedures including additional sanitation and cleaning protocols in our laboratories and other facilities, on-site COVID-19 testing, temperature and symptom confirmations, implementation of social distancing and staggered work schedules for our employees who were required to work on-site. For employees who were able to work remotely, we rolled out new technologies and collaboration tools as well as financial support for ergonomic workstations at home.
Amyris successfully managed to sustain ongoing laboratory work, product development and distribution, including no employee layoffs or furloughs, while staying in compliance with public health orders. Our plans to reopen our sites and enable a broad return to work in our offices, laboratories and production facilities will continue to follow applicable public health guidance and orders.
Amyris has over 600 employees in the U.S., Brazil and Portugal. Women make up 50% of our total workforce, including 45% of our Executive Leadership Team and 44% of U.S. employees in management roles. We make a dedicated effort to continuously improve our gender representation and support increased participation of women in STEM fields, including recruiting top talent via the international non- profit organization Women Who Code. Amyris is committed to gender pay equality, and in 2020 our gender pay ratio was 1.04 to 1, male to female, compared to 1.05 to 1 in 2019.
Our commitment to diversity, equity and inclusion starts at the top with the Company’s Board of Directors. Our education programs for directors include diversity training, and our Board meets the requirements of California’s new law mandating board diversity for public companies based in California by 2023. The Board renamed one of its committees in 2020 as the Leadership, Development, Inclusion and Compensation Committee, and restated the committee’s charter to include oversight responsibility for the Company’s diversity, equity and inclusion policies and practices. This oversight includes periodic reviews of the composition of the Company’s workforce in terms of diversity, trends in compensation equity related to diverse populations, and initiatives designed to achieve the Company’s diversity goals.
We pledged in June 2020 to increase Black representation in our workforce by 50% over the next 18 months. By the end of 2020, we increased our percentage of Black employees by approximately 33% and currently have exceeded our original goal, increasing representation 100%. Amyris also pledged to hire a third of our interns from Historically Black Colleges and Universities (HBCUs). In summer 2020, half of our student interns were Black, representing either an HBCU or a local university.
We also engaged the Unconscious Bias Project to independently conduct a company-wide Diversity, Equity and Inclusion (DE&I) Climate Survey. Feedback from the survey helps inform our leadership to better understand the strengths and challenges of Amyris and to shape our DE&I strategic plan towards the ultimate goal of creating a more welcoming, inclusive and equitable organization.
- Environment
- Assessment, policy and goals
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Description of the relevance of environmental protection for the company (i.e. environmental risks and opportunities). Description of policies, public commitments and company goals on environmental protection.
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Everything we do at Amyris focuses on supporting the health of our planet. We promote a culture of environmental responsibility and awareness among our employees and implement programs to enhance efficient use of natural resources. We look at ways to reduce our emissions, effluents and waste, and continue to use metrics to identify and monitor risks and drive improvements throughout our processes and facilities. As part of our sustainability mission, we are committed to regular reporting on this topic and ensuring that our products and operations comply with relevant environmental legislation and regulations.
In addition, we partner with key stakeholders on environmental issues, including logistics and contract manufacturers, as well as our customers and investors. As part of our mission to bring sustainable ingredients into the mainstream, our Board is led by individuals with impressive business and industry credentials, several of whom hold significant ownership stakes in Amyris directly or via their companies or affiliated entities.
- Implementation
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Description of concrete actions to implement environmental policies, address environmental risks and respond to environmental incidents.
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Amyris is committed to mitigating the environmental impact of our business by taking action to lower the carbon footprint of our operations and reduce our requirements for energy and natural resources. This includes our offices, and laboratory and manufacturing facility operations, as well as sourcing of raw materials and packaging and shipping of our consumer products.
Amyris’ corporate headquarters in Emeryville, California is located in EmeryStation East, a LEED Silver-certified building that includes four on-site co-generation power units. The power produced by these units, relative to the amount of power from the local utility, is equivalent to taking 719 cars off the road annually. In addition, we have building automation systems that reduce the use of energy for lighting and cooling in our office space.
Our laboratory in Emeryville is a Platinum Level Certified Lab through My Green Lab, a platform recognized for outstanding work in reducing the environmental impact of lab operations. We have implemented programs to reduce the electricity used in our lab operations, including energy assessments on our equipment, replacing older freezers with newer EnergyStar rated models and adjusting processes to reduce energy through raising feasible temperatures for storage.
The primary raw material we use to develop our ingredients is sugarcane, a rapidly renewable crop. We partner with Raízen, one of the world’s largest sugarcane producers, to provide the sugarcane feedstock used in our fermentation process. In 2020, Amyris became a member of Bonsucro and received their Chain of Custody Certification. Bonsucro is a global organization that promotes sustainable sugarcane production, which ensures that the Brazilian sugarcane we use is sustainably and ethically produced and processed. To achieve certification, Amyris met stringent guidelines in social responsibility and sustainable practices. For the sugarcane producer, the certification process involves meeting strict standards for GHG emissions per ton of sugarcane harvested and per ton of sugar output, as well as ensuring worker rights.
Amyris has broken ground on a new production plant that is located next to Raízen’s sugar mill at Barra Bonita, Brazil. The focus of this new plant will be the manufacture of several molecules, including Reb M zero-calorie sweetener. This partnership with Raízen will utilize sustainable production practices, including the use of co-generation systems to supply energy. Bagasse, a by-product of converting sugarcane into sugar, is used by Raízen in their co-generation systems at Barra Bonita to produce energy to power the plant during sugarcane growing season. By building our production plant next to Raízen’s sugar mill, we will also reduce carbon emissions by eliminating the need for any transport of the feedstock by truck.
We also have a joint venture with Nikkol Group called Aprinnova with global distribution capability for our sugarcane-derived squalane ingredient that we make at our Leland, North Carolina manufacturing facility for our own clean beauty brands and for other top global beauty brands. The Leland facility has implemented process improvements to increase our energy efficiency, including consolidating production steps and retrofitting equipment, such as replacing older glass-lined vessels with stainless steel. This plant is considered a small quantity emitter and in spite of productivity increases, emissions have remained very low.
Amyris is committed to reducing the environmental impact of our product distribution. Our Supply Chain has taken action to shorten transit routes and reduce cold storage transport. In addition, all of our direct-to-consumer order shipments for our Biossance, Pipette and Purecane brands are carbon neutral. In 2020, we partnered with Carbonfund, a non-profit organization, to purchase carbon credits, offsetting approximately 30 metric tons of carbon emissions from 147,403 customer orders traveling an average of 180,763,095 air and ground miles. Our purchase of carbon offset credits supports forest conservation initiatives.
- Measurement of outcomes
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Description of how the company monitors and evaluates environmental performance.
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Our laboratory facilities in Emeryville, California and our Aprinnova manufacturing plant in Leland, North Carolina have implemented programs to sort non-hazardous waste streams and promote employee awareness of recycling streams. In Emeryville, we seek to recycle all plastic lab disposable equipment that is free from hazardous chemicals. Over 90% of the hazardous waste produced in our Emeryville laboratory facilities is recycled or burned to produce energy, meeting our 2020 goal of diverting more than 90% of lab waste from landfill. All non-hazardous lab solid waste is burned to produce energy, and hazardous liquid waste is recycled or burned for energy. Any liquid waste from our fermentation process is repurposed for dust control at our waste management partner in Albuquerque.
We are also evaluating the potential repurposing of heavy oil residues from distillation for use in our boilers during off season. Overall, our manufacturing process generates very low amounts of other waste, hazardous or non-hazardous.At our Leland plant in 2020, we recycled over 300 metric tons of isopropyl alcohol (IPA), a by- product of our squalane manufacturing process, and shipped an additional 60 metric tons of IPA to companies that reuse the chemical in products such as window cleaner. The heavy and light residues from production are also reprocessed to obtain additional product and any remaining residual is burned for energy. Catalysts used in the process are then sent for reclamation.
- Anti-Corruption
- Assessment, policy and goals
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Description of the relevance of anti-corruption for the company (i.e. anti-corruption risk-assessment). Description of policies, public commitments and company goals on anti-corruption.
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Integrity is one of the core values of Amyris and we hold ourselves accountable while delivering on our commitments. The Amyris Code of Business Conduct and Ethics reflects our underlying dedication to promote high standards of ethical business conduct and compliance with applicable laws, rules and regulations.
- Implementation
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Description of concrete actions to implement anti-corruption policies, address anti-corruption risks and respond to incidents.
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Amyris is dedicated to ensuring open competition in the marketplace by complying with all applicable laws governing antitrust and fair competition. Our Code of Business Conduct and Ethics prohibits employees and all Amyris representatives covered by the Code from engaging in unethical activities such as price fixing arrangements, or other agreements with competitors or customers to share nonpublic information or otherwise influence market conditions through anticompetitive conduct. All Amyris employees are required to undergo training on the Code of Business Conduct and Ethics and related policies, both as new hires and every two years thereafter.
Our Whistleblower and Complaint Policy provides employees with clear procedures for reporting known and suspected violations of laws, government regulations or Amyris policies. These procedures include a toll-free compliance hotline and online reporting, available 24/7 and with the option to remain anonymous, both of which are managed by a third-party. Our policy reflects a deep commitment from Amyris to protect the confidentiality of an employee within the confines of applicable law and to prohibit any form of retaliation.
- Measurement of outcomes
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Description of how the company monitors and evaluates anti-corruption performance.
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Our commitment to ethics and compliance starts at the top, with the Board’s Audit Committee providing oversight and receiving quarterly reports on the whistleblower complaint hotline or any other compliance events occurring within the quarter from our Compliance Officer. Our Compliance Program is led by our Compliance Officer, who, among other responsibilities, has a primary role in fielding questions about legal compliance policies and overseeing the protocols of all of our Compliance policies and processes, including our Whistleblower and Complaint Policy.