Arconic

No leading practices were identified in the governance and strategy area.

Water
The company does not operate in water-stressed areas based on 2015 assessment using the World Business Council for Sustainable Development (WBCSD) Global Water Tool. The company also has a commitment to respect the right to water.

Solid and air pollution
The company discloses the proportion of hazardous waste treated to reduce pollution compared to total waste, the hazardous waste diverted from disposal and the waste directed to disposal.

No leading practices were identified in the social inclusion and community impact area.

Sustainability strategy and accountability
With the goal of launching Arconic’s sustainability journey and establishing a formal ESG strategy, in 2021, the company conducted a Materiality Assessment with the help of a third-party consulting firm. However, the company does not disclose group-wide targets on key sustainability topics for the most material parts of its value chain. The company does not report consistently against all its targets. The company does not disclose having individuals, teams or committees within the company responsible for the implementation of its sustainability strategy. The company does not report whether it assigns decision-making and oversight responsibility for its sustainability strategy to the highest governance body. No evidence was found that the company links performance criteria in senior executives’ remuneration policies to targets and objectives which cover nature, including biodiversity, and social issues. The company does not disclose whether its highest governance body has expertise regarding nature-related topics.

Stakeholder engagement
The company does not disclose how it engages with stakeholders, nor the issues it raises during such activities.

Lobbying
While the company discloses some trade associations of which it is a member, this is not a complete list covering all geographies. The company does not disclose a clear and detailed framework for assessing alignment of its trade associations with nature-positive policies. The company does not report (potential) misalignment between the lobbying activities of its trade associations and nature-positive policies.

Impact and dependencies assessment
The company has not holistically assessed its impacts or how it depends on nature, including biodiversity. It has an opportunity to start such an assessment across its value chains, focused on quantification of its impacts or dependencies.

Key areas and species
The company does not disclose key species or areas important for biodiversity affected by its operations or suppliers. It has an opportunity to increase its transparency.

Ecosystem conversion and restoration
The company does not have a commitment to ensure zero conversion. The company discloses some activities to achieve conversion-free supply chains. The company does not have time-bound targets to achieve conversion-free supply chains. The company does not disclose a commitment to minimise ecosystem conversion. The company does not disclose activities to minimise ecosystem conversion. The company is not committed to restoring ecosystems. The company discloses details and outcomes of ecosystem restoration projects in areas affected by its own operations or by its suppliers.

Resource exploitation and circularity
No evidence was found regarding the company’s efforts to work towards a circular economy or which organisms it exploits. The company has an opportunity to develop a strategy and publicly report on specific, time-bound targets. The company does not disclose efforts to improve soil health.

Water
No quantitative evidence was found of reductions in water withdrawal across the company’s own operations. The company does not disclose a time-bound target to reduce water withdrawal across its own operations. The company reports how much water is withdrawn for its own operations in water-stressed areas. The company does not engage with suppliers to reduce water withdrawal. The company does not report a decrease in water pollution. The company discloses its processes for managing and monitoring discharge water quality. The company does not regularly report on water pollution. The company does not disclose targets to reduce water pollution. The company does not disclose its processes for implementing preventive and corrective action plans for identified specific risks to the right to water and sanitation in its own operations.

Solid and air pollution
The company is not reducing the production of hazardous waste. The company is not reducing plastic use and waste in its own operations. The company does not report on the amount of plastic waste generated and proportions directed from or to disposal. The company reports annually on air emissions including Volatile Organic Compounds, Nitrogen Oxides, Carbon Monoxide, Particulate Matter, Hazardous Air Pollutants and Sulfur Oxides.. The company does not report time-bound targets to reduce air pollutants across the most material parts of its value chain.

GHG emissions
The company does not disclose any greenhouse gas emissions, nor has it set a time-bound reduction target. The company must immediately set a reduction target aligned with the Paris Agreement’s 1.5-degree trajectory.

Invasive species
The company has not identified any activities that could lead to the introduction of invasive species in its own operations.

Safe, clean, healthy and sustainable environment
The company does not show if it is committed to respecting local communities’ right to a safe, clean, healthy and sustainable environment or to zero tolerance for acts of violence, threats, intimidation or judicial harassment committed against land and environmental rights defenders.

Indigenous Peoples’ and land rights
The company does not show if it is committed to respecting Indigenous Peoples’ rights or Land rights of local communities.

While the company discloses that it conducts due diligence in general, it has an opportunity to specify that it conducts human rights due diligence that includes a process for identifying human rights risks and impacts through its business relationships. The company has an opportunity to describe a process for assessing the human rights risks it has identified and to disclose what it considers to be its salient human rights issues. A description of this process would include how relevant factors are considered, such as geographical, economic and social factors. No evidence was found that the company has a global system to act on its salient human rights issues. While the company discloses the categories of stakeholders it engages with generally on sustainability issues, it is not clear if these stakeholders are those whose human rights have been or may be affected by its activities. While the company provides general examples of engagement with stakeholders, it has an opportunity to clarify if these stakeholders are those whose human rights have been or may be affected by its activities.

The company has a publicly available policy statement which shows it is committed to respecting the health and safety of workers. The company has a publicly available policy statement which shows it expects its suppliers to commit to respecting the health and safety of their workers. The company discloses a time-bound target for paying all workers a living wage/ that it has achieved paying all workers a living wage. There is no evidence that the company describes how it determines a living wage for the regions where it operates. While the company states that it expects its suppliers to pay wages that are sufficient for workers and their families to fulfil their basic needs, it has an opportunity to disclose how it works to support the payment of a living wage by its suppliers. The company has an opportunity to disclose the coverage of collective bargaining agreements. The company has an opportunity to describe how it works to support the practices of its suppliers in relation to freedom of association and collective bargaining.

The company discloses a tax strategy, but it is not applicable to all its operations. The company has an opportunity to disclose a policy on bribery and corruption and its processes for identifying and addressing bribery and corruption. The company does not disclose its approach to lobbying and political engagement in a public policy document.