Daimler Truck

No leading practices were identified for this company.

No leading practices were identified for this company.

No leading practices were identified for this company.

No leading practices were identified for this company.

Daimler Truck has set a target to reduce its scope 1 and 2 emissions by 42% by 2030 compared to 2021. Additionally, the company aims to achieve a 100% reduction in scope 1 and 2 emissions by 2039, but this target relies on unquantified carbon offsets and could not be assessed. Daimler targets zero upstream scope 3 emissions in Japan, Europe and the US by 2039 and aims for carbon neutrality across its value chain by 2050. However, these targets could also not be assessed due to a lack of scope 3 emissions disclosure. Moreover, the company’s projected scope 1 and 2 emissions are expected to increase, leading the company off track from its 1.5°C pathway.

Daimler Truck has developed a low-carbon transition plan outlining short- and long-term actions. However, the plan lacks financial details and does not incorporate an internal carbon price. The company has also not conducted a climate scenario analysis to inform its transition plan and ensure its ambition aligns with a 1.5°C pathway. While Daimler is expanding its low-carbon business models, such as electric heavy-duty vehicles (HDVs) and bus manufacturing, it has an opportunity to accelerate these models to at least double the size within the next five years and to strengthen its commitment to phasing out high-carbon business models.

Daimler Truck does not disclose financial information on its CapEx and R&D dedicated to low-carbon technologies with the potential to mitigate climate change. Furthermore, revenue from low-carbon vehicles constitutes less than 10% of the company’s total revenue.

Although Daimler Truck has implemented a supplier engagement strategy covering the majority of its suppliers, it does not specifically include quantified and science-based greenhouse gas (GHG) emissions reduction requirements. Creating quantified targets will provide clearer direction to the company’s whole supply chain. In contrast to its supplier engagement strategy, the company does not detail how it works with its clients to reduce emissions. The company can improve by creating a client engagement strategy, governed by a clear policy and integrated into business decision-making.

The company publicly discloses a commitment to engaging in social dialogue with workers and unions. However, no relevant disclosure was found regarding the categories of stakeholders it engages with on a just transition. Nor was there any evidence to show the company’s ongoing social dialogue and meaningful engagement with affected stakeholders.  No evidence was found of the company undertaking low-carbon transition planning to mitigate the social impacts of the transition on workers, affected stakeholders and its business relationships. Additionally, no evidence was found to demonstrate the company’s engagement in social dialogue and with stakeholders in its just transition planning.

No public commitment by the company was found stating its intention to create and support access to green and decent jobs as part of the low-carbon transition. Moreover, no evidence was found of the company’s actions to promote these jobs in a way that ensures gender balance and inclusion of vulnerable groups. Additionally, no relevant disclosure was found of the company’s assessment of employment dislocation risks. No public commitment by the company was found stating its intention to reskill and upskill workers displaced by the transition to a low-carbon economy. Yet, the company’s process for identifying skills gaps for workers and affected stakeholders involves a methodological approach that combines quantitative data collection through an online tool and qualitative analysis to compare current skills with future requirements, helping to forecast staffing and training needs. The company discloses the actions it takes to provide reskilling and upskilling opportunities for workers and affected stakeholders. For instance, it offers Daimler Truck Academic Programs for employees to pursue extra-occupational study with financial support, Daimler Truck Trainee Programs, which include tailored tracks for leadership and expert roles, and a Green Mobility Trainee Program focused on sustainable industry skills. However, no relevant disclosure was found of the company embedding equality of opportunity for women and vulnerable groups in these actions.

No relevant disclosure was found to show if the company identifies impacts of the low-carbon transition on social protection for workers and affected stakeholders, nor how it contributes to social protection. Additionally, no evidence was found that the company expects its business relationships to contribute to the social protection of their workers and affected stakeholders.  No relevant disclosure was found to show how the company identifies any misalignment of its lobbying activities with policies and regulations that support the just transition, nor of the measures it takes to address misalignment. Furthermore, no evidence was found that the company lobbies for policies and regulations for green and decent job creation; retention, education and reskilling; and social protection for workers.

The company commits to respecting human rights and the ILO fundamental rights at work, and it expects its business relationships to respect the ILO fundamental rights at work. However, no evidence was found of the company’s process to identify, assess and mitigate salient human rights risks in its own operations and its supply chain. Moreover, no evidence was found of the company disclosing the stakeholders whose human rights have been affected by its activities. The company does, however, have a grievance mechanism available to workers and external stakeholders.

The company commits to ensuring worker health and safety and gender equality, and it discloses some information on collective bargaining and workforce diversity fundamentals. However, the company can strengthen its disclosure on these subjects, as well as on its living wage and working hours practices.

The company commits to personal data protection, and it has policies for prohibiting bribery and corruption, and ensuring responsible tax practices and responsible lobbying and political engagement. However, the company can strengthen its disclosure on these subjects.