Download data

Powerbroker for

Select an assessment year:

  • Overall approach
    5/12
    • Overarching commitment on deforestation
      3/4
      Zero deforestation/Deforestation-free commitment or, for timber, pulp & paper companies only, commitment to well implemented harvest and no deforestation of HCV & HCS areas
      3/4
      [Translation] “As part of its commitment to sustainable development SHARING BEAUTY WITH ALL, L’ORÉAL is committed to ensuring that all of its renewable raw materials come from sources responsible by 2020 and confirms its ambition to achieve "zero deforestation".”
    • Signatory to an initiative tackling deforestation
      1/1
      Yes
      1/1
      Which initiatives?: Cerrado Manifesto Statement of Support; Palm Oil Innovation Group; UN Global Compact
      “In 2016, the Group also joined the Palm Oil Innovation Group (POIG) composed by leading NGOs as well as progressive palm oil producers and users, to contribute creating and promoting innovations in the palm sector.” “L’Oréal is a signatory of the United Nations Global Compact since 2003.” [...] "Company is a signatory to the Cerrado Manifesto"
    • Awareness of the value of forests
      1/1
      Yes
      1/1
      [Translation] “L'ORÉAL is committed to working with suppliers whose responsible practices are able to guarantee: [...] the maintenance and restoration of Areas with high conservation value and high carbon intensity during the extension of plantations" “HCS forests stand for areas of tropical natural forests that should be conserved (to reduce greenhouse gas emissions from deforestation), as they hold large stores of carbon in the above-ground tree biomass. Conserving High Carbon Stock forest within a Zero deforestation land use management allows delineating areas to be protected and those potentially available for plantation development. To date, the High Carbon Stock Approach methodology is the leading methodology for putting no deforestation into practice.”
    • Deforestation as a business risk
      0/1
    • High-level management of deforestion
      0/1
    • Executive compensation linked to deforestation
    • Target to reduce emissions from land-use change
      0/2
    • Reporting on emissions from land-use change
      0/2
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
      Yes
      0/0
      How many hectares of reforestation or restoration are being or have been conducted or facilitated by the company?: 1786 ha
      "In 2017, L’Oréal launched a four-year peatland restoration project in Borneo, Indonesia, with one of its palm oil derivative suppliers. For many years, Indonesian peatlands have been illegally drained and burned, in order to be converted into agricultural land. This phenomenon has two major consequences - it unleashes large quantities of greenhouse gases and encourages the spreading of fires in the dry season. To eliminate this issue, the project plans to train local village communities on sustainable farming practices in dedicated fields. The initiative will also re-wet 2,000 hectares of land, in order to regenerate local biodiversity. To date, 356 hectares of peat swamp forests have been replanted, and 1,430 hectares have benefited from natural assisted regeneration. In 2018, this project contributed to preventing the emission of more than 30,464 tonnes of CO2 equivalent. By 2020, L’Oréal will continue to support ecosystems protection and restoration, notably in Sumatra (Indonesia)."
    • Target to reduce emissions in scope 1/2
      Yes
      0/0
      Type of climate target: Other or unclear

      What is the target date for the company to achieve their climate target?: 2030
      "Our overarching climate change objective for 2030 is to align our greenhouse gas emissions to the +1.5°C scenario, meaning we will reduce by 50% per finished product all our greenhouse gas emissions (scopes 1, 2 and 3). To achieve this, we have set numerical targets for every aspect of our activities to include not only our production and distribution facilities but also the raw material supply chain and the indirect impacts associated with the use of our products by their final consumers."
  • Commodity score
    42/88
    • Palm oil
      65/88
      • Commitment Strength
        17/20
        • Commitment to protect priority forests
          6/8
          • Commitment details
            Zero-gross deforestation
            4/6
            Commitment to protect priority forests
            Zero-gross deforestation
            4/6
            Which certification schemes are used?: RSPO
            “100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.”[...]"By 2020 the latest: 100% of palm supply will be free from deforestation. "
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            “100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.”[...]"By 2020 the latest: 100% of palm supply will be free from deforestation. "
          • Target date
            Current/achieved
            0.7/0.7
            Target date
            Current/achieved
            0.7/0.7
            “100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.”[...]"By 2020 the latest: 100% of palm supply will be free from deforestation. "
          • Interim target date
            NA (target date current or achieved or 2022)
            0.3/0.3
            Interim target date
            NA (target date current or achieved or 2022)
            0.3/0.3
            “100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.”[...]"By 2020 the latest: 100% of palm supply will be free from deforestation. "
        • Commitment to protect High Carbon Stock areas and/or peatlands
          5/5
          • Commitment details
            Yes
            3/3
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            3/3
            Type of commitment: HCS; Peat
            "100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.” "L’ORÉAL commits to ultimately work with suppliers whose responsible practices can guarantee: [...] The conservation and restoration of High Conservation Value and High Carbon stocks Areas when expanding palm plantations [and] The renouncement to peat clearance for new plantations and the adoption of a responsible maintenance system of peatlands in existing plantation."
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.” "L’ORÉAL commits to ultimately work with suppliers whose responsible practices can guarantee: [...] The conservation and restoration of High Conservation Value and High Carbon stocks Areas when expanding palm plantations [and] The renouncement to peat clearance for new plantations and the adoption of a responsible maintenance system of peatlands in existing plantation."
          • Target date
            Current/achieved
            0.7/0.7
            Target date
            Current/achieved
            0.7/0.7
            "100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.” "L’ORÉAL commits to ultimately work with suppliers whose responsible practices can guarantee: [...] The conservation and restoration of High Conservation Value and High Carbon stocks Areas when expanding palm plantations [and] The renouncement to peat clearance for new plantations and the adoption of a responsible maintenance system of peatlands in existing plantation."
          • Interim target date
            NA (target date current or achieved or 2022)
            0.3/0.3
            Interim target date
            NA (target date current or achieved or 2022)
            0.3/0.3
            "100% of our supplies of palm oil, palm oil derivatives and palm kernel oil derivatives have been certified sustainable in line with RSPO criteria since 2012.” "L’ORÉAL commits to ultimately work with suppliers whose responsible practices can guarantee: [...] The conservation and restoration of High Conservation Value and High Carbon stocks Areas when expanding palm plantations [and] The renouncement to peat clearance for new plantations and the adoption of a responsible maintenance system of peatlands in existing plantation."
        • Commitment to a traceable supply chain
          5/6
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            "L’ORÉAL has decided to go one step further and to work with its suppliers on new and more ambitious solutions to achieve its “Zero deforestation” ambition while taking into account local communities. L’ORÉAL will require from its suppliers that all supplies are traceable back through the supply chain to each of the company plantation or to suppliers’ fields or mills."
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "L’ORÉAL has decided to go one step further and to work with its suppliers on new and more ambitious solutions to achieve its “Zero deforestation” ambition while taking into account local communities. L’ORÉAL will require from its suppliers that all supplies are traceable back through the supply chain to each of the company plantation or to suppliers’ fields or mills."
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
      • Social Considerations
        16/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: ILO; UNGP; UN Declaration for HR; Discrimination; Forced labour; Child labour; Freedom of association
          “Our approach is based on internationally recognised standards and namely the Universal Declaration of Human Rights, the United Nations Guiding Principles on Business and Human Rights and the ILO Core Conventions that address child labour, forced labour, nondiscrimination and the right to freedom of association and collective bargaining. [...] Our expectation is that all suppliers and subcontractors act in accordance with internationally recognised human rights. Because we have identified the working conditions of their workers as a salient human rights issue, respect of all ILO Core Conventions is included in our Purchasing contracts and we encourage them to cascade this requirement throughout their own supply chain. We also ask them to ensure transparency, remedy any non-compliance and drive continuous improvement. We are committed to carrying out regular independent audits to monitor respect of our human rights commitments in our supply chain and to engage with our suppliers to ensure remedy for people who experienced harm.”
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          What is the nature of that support?: Education and training; Economic

          How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: 12,500
          In 2018, in partnership with the NGO SNV (Netherlands Development Organization), L'Oréal set up a sustainable sourcing project for palm oil derivatives in the Berbak region in Jambi, on the island of Sumatra. The project, in which all local stakeholders are involved, from the mill to the manufacturer, aims to support 12,500 small farmers over a period of five years in improving their palm oil production practices. It has a double objective: to avoid any deforestation and to improve the standard of living of farmers (increase and security of their income). By the end of 2019, 7,169 small producers had benefited from SNV training programs.
        • Gender equality in the supply chain
          Commitment to address the inclusion of women in commodity supply chains
          2/4
          Gender equality in the supply chain
          Commitment to address the inclusion of women in commodity supply chains
          2/4
          “Taking an inclusive approach based on solidarity sourcing The Solidarity Sourcing program was established by L’Oréal on a worldwide basis in 2010. It focuses on social inclusion and is deployed for every type of purchase (raw materials, packaging, sub-contracting, promotional items and indirect distribution) in every country where our Group operates. It steers a portion of our purchases towards suppliers who provide opportunities for disadvantaged people – who are usually excluded from the jobs market -- to find work and living wage.In 2018, 234 projects were supported by the program, benefiting 56,842 people – notably women, people with disabilities, and disadvantaged communities.Meanwhile, we also encourage our suppliers to deploy similar programs within their own ecosystems – and 13% of our suppliers did so in 2018. Our aim is to increase this figure to 20% by the end of 2020.”
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          Type of harm covered: Social harm
          "REMEDIAL ACTION When a case of child labour is found, the supplier/subcontractor is obliged to ensure that the child returns to school. This includes, if necessary, providing his/her family with an additional income and includes making an offer of reemployment to the child when he/she reaches the permissible age. The Group Purchasing Director and the Group Director of Ethics shall immediately be informed of any case of child labour." Specific to L'Oréal UK Ltd: "In addition to the Code of Ethics, the Group has several ethics-related polices and processes. This policy architecture supports the work to identify, mitigate and remediate situations of modern slavery. A foundational process is the social audit programme, which provides a way of assessing and tracking risk. However, we know that while social audits can give us a helpful insight and snapshot of the risks, they are only part of the solution."
        • Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
           [Translation] “L'ORÉAL is committed to working with suppliers whose responsible practices are able to guarantee: [...] an official and free prior informed consent without reservation of the indigenous populations and local communities who could be affected by the development of new plantations”
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        32/50
        • Reporting against commitments
          2/2
          • Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            2020 ACOP reports that L'Oreal continues to source 100% RSPO-certified palm oil, as it has done since 2012.
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, for all commodity exposure
            1.7/1.7
            Progress reported on within their 2019 ACOP report
          • Commitment to a traceable supply chain
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to a traceable supply chain
            Yes, for all commodity exposure
            1.7/1.7
            "Furthermore, in 2014, the Group began tracing derivatives all the way back to their source. To date, its research has made it possible to trace 98% of its derivative volumes back to refineries, 92% back to mills and 27% back to plantations"
        • Reporting is independently verified
          1/1
          • Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Which processes or groups does the company use for third party verification?: RSPO

            Which tools, approaches, third-party verification, including certification, schemes are used?: RSPO
            2020 ACOP reports that L'Oreal continues to source 100% RSPO-certified palm oil, as it has done since 2012.
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Progress reported on within their 2019 ACOP report
          • Commitment to a traceable supply chain
            No
            0/1
        • Suppliers aligned with deforestation commitments across supply chain
          Yes, required
          2/2
          Suppliers aligned with deforestation commitments across supply chain
          Yes, required
          2/2
          "Within the scope of its Zero Deforestation policy, L’Oréal commits to ultimately work with suppliers enforcing responsible practices along palm oil and palm kernel oil supply chains."
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What initiatives does the company participate in?: SPOTS Project

          What is the nature of that participation?: Providing support/advice/experience/expertise
          In 2015, L’Oréal launched the “SPOTS” Project”, a first pilot project targeting to support 500 smallholders by end of 2020, in the Beluran district in Malaysia. This project involves L’Oréal’s direct supplier Clariant, in collaboration with the intermediary supplier Global Amines, the upstream producer Wilmar and the Malaysian social enterprise Wild Asia. The aim of the project is:• to ensure traceability of supplies,• to promote RSPO certification,• to support the adoption of sustainableproduction practices,• to improve the living conditions of smallscale producers."
        • Risk assessments for forest risk
          Yes
          2/2
          Risk assessments for forest risk
          Yes
          2/2
          How frequently are assessments conducted?: Not specified 
          “The identification of the provenance of its sources provides L’Oréal with the basis for a preliminary risk assessment, field-level verification and suppliers engagement. In total in 2018, more than 98% of the volumes of palm derivatives sourced by L’Oréal originate from Indonesia and Malaysia. A non-significant proportion is also coming from Thailand, Papua New Guinea and Cambodia. In Indonesia and Malaysia, the Top 5 provinces where the palm oil/palm kernel oil feedstocks entering palm derivatives supply chain have been produced are: Riau (15%), Central Kalimantan (11%), North Sumatra (11%), Sabah (9%), East Kalimantan (6%). Based on the data collected in 2018, 37% of the mills identified as indirectly connected to L’Oréal’s supply chains are located in low risk areas according to the Global Forest Watch Pro platform. In high-risk profile areas in terms of deforestation, illegal production, greenhouse gas emissions, fires or impacts on water, L’Oréal proactively deploys, alongside with its upstream indirect suppliers, local investigations and independent due diligences in order to confirm the compliance of the refineries and crushers identified, including their supply base (local mills and plantations), to its Zero deforestation policy."
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "L’ORÉAL commits to ultimately work with suppliers whose responsible practices can guarantee: Full compliance with the laws in the country where they operate, and especially anticorruption legislations and land tenure rights." "L’Oréal proactively deploys, alongside with its upstream indirect suppliers, local investigations and independent due diligences in order to confirm the compliance of the refineries and crushers identified, including their supply base (local mills and plantations), to its Zero deforestation policy. In 2019 such verification work will be extended to mills in L’Oréal’s supply chain via the use of the No Deforestation, No Peat, No Exploitation(NPDE) Implementation framework."
        • Accessible grievance mechanism
          No
          0/4
        • Report volumes of commodity
          Reporting total volume
          2/2
          Report volumes of commodity
          Reporting total volume
          2/2
          Total/partial volume reported: 83,383 tonnes
          2020 ACOP reports that L'Oreal used 83383 tonnes of palm oil and derivative products that year, 100% of which was RSPO-certified
        • Report verified volumes of commodity
          100%
          6/6
          Report verified volumes of commodity
          100%
          6/6
          For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 100%

          What is the certified volume?: 83,383 tonnes
          020 ACOP reports that L'Oreal used 83383 tonnes of palm oil and derivative products that year, 100% of which was RSPO-certified
        • Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          "We will assess on an on-going basis the human rights impacts of all our operations and in our value chain and review relevant policies, processes and management systems. We will continue to provide grievance reporting mechanisms that allow our employees and others affected by our operations to report suspected incidents of human rights abuse and to strengthen these mechanisms when necessary. Such incidents will immediately be escalated to the Chief Ethics Officer, investigated and action will be taken when necessary. This includes working to prevent these issues recurring and supporting remedy for any individuals who have been harmed. In the most serious cases, we will reserve the right to break off commercial relations or not approve a new business partner."
        • Downstream: Publishing supplier lists
          Yes, report direct suppliers
          2/4
          Downstream: Publishing supplier lists
          Yes, report direct suppliers
          2/4
          There's a link where it shows the names of the direct suppliers but they don't specify the location 
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          How frequently is compliance assessed?: Not specified 

          Details of monitoring: Using a jurisdictional monitoring mechanism; Using internal monitoring and verification systems
          "L’Oréal proactively deploys, alongside with its upstreamindirect suppliers, local investigations andindependent due diligences in order to confirmthe compliance of the refineries and crushersidentified, including their supply base (local millsand plantations), to its Zero deforestation policy.In 2019 such verification work will be extendedto mills in L’Oréal’s supply chain via the use ofthe No Deforestation, No Peat, No Exploitation(NPDE) Implementation framework." "“In 2016, L’Oréal upgraded its evaluation scorecard for suppliers of palm oil and palm kernel oil derivatives, by creating a Sustainable Palm Index, a yearly scorecard aimed at measuring the specific commitment, progress and achievements of its palm derivatives suppliers regarding compliance with L’Oréal’s expectations on NDPE/Zero Deforestation|...] To go further in assessing and controlling compliance of indirect suppliers, especially crushers and refiners, L’Oréal supports Zoological Society of London and Transitions in the development of a new add-on of the SPOTT platform so as to identify a positive list of compliant upstream players, at group level, notably refiners and crushers, who are in line with L’Oréal’s requirements for NDPE/ZD.”
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          Engage with suppliers with a time-bound threat of exclusion
          2/2
          Downstream: Engagement with non-compliant suppliers
          Engage with suppliers with a time-bound threat of exclusion
          2/2
          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: Yes

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: Not specified 
          “According to its Palm Alert procedure in place, as soon as informed about a potential breach to its Zero Deforestation policy, L’Oréal immediately cascades information to its direct and indirect suppliers so as to mobilize them to investigate further along their supply chains, set up clear, timebound milestones to bring their concessions into compliance with No Deforestation, No Peat, No Exploitation principles and take appropriate business decision, going up to business disengagement if progress are not met within a maximum period of 6 months. For L’Oréal, supplier disengagement is a last resort. The Group remains convinced that engaging with suppliers, while staying demanding, is the most efficient lever for sector transformation.”
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
    • Pulp & Paper
      18/88
      • Commitment Strength
        4/20
        • Commitment to protect priority forests
          4/8
          • Commitment details
            Credible certification scheme
            2/6
            Commitment to protect priority forests
            Credible certification scheme
            2/6
            Which certification schemes are used?: FSC; PEFC
            "Among the materials used by L’Oréal for its packaging, 100% of paper used for product instructions and 100% of cardboard for product boxes come from sustainably managed forests (certified according to FSC or PEFC standards). 99,4% of the paper and cardboard used in POS materials is also certified. L’Oréal also uses other wood-based ingredients, such as cellulose derivatives and certain perfumery ingredients. A 2017 study conducted together with the NGO Rainforest Alliance enabled L’Oréal to lift the risk of deforestation from its principle supplies."
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "Among the materials used by L’Oréal for its packaging, 100% of paper used for product instructions and 100% of cardboard for product boxes come from sustainably managed forests (certified according to FSC or PEFC standards). 99,4% of the paper and cardboard used in POS materials is also certified. L’Oréal also uses other wood-based ingredients, such as cellulose derivatives and certain perfumery ingredients. A 2017 study conducted together with the NGO Rainforest Alliance enabled L’Oréal to lift the risk of deforestation from its principle supplies."
          • Target date
            Current/achieved
            0.7/0.7
            Target date
            Current/achieved
            0.7/0.7
            "Among the materials used by L’Oréal for its packaging, 100% of paper used for product instructions and 100% of cardboard for product boxes come from sustainably managed forests (certified according to FSC or PEFC standards). 99,4% of the paper and cardboard used in POS materials is also certified. L’Oréal also uses other wood-based ingredients, such as cellulose derivatives and certain perfumery ingredients. A 2017 study conducted together with the NGO Rainforest Alliance enabled L’Oréal to lift the risk of deforestation from its principle supplies."
          • Interim target date
            NA (target date current or achieved or 2022)
            0.3/0.3
            Interim target date
            NA (target date current or achieved or 2022)
            0.3/0.3
        • Commitment to reduce use of virgin wood fibre
          0/5
          • Commitment details
            No
            0/3
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
        • Commitment to a traceable supply chain
          0/6
          • Commitment details
            No traceability commitment
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
      • Social Considerations
        8/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: ILO; UNGP; UN Declaration for HR; Discrimination; Forced labour; Child labour; Freedom of association
          “Our approach is based on internationally recognised standards and namely the Universal Declaration of Human Rights, the United Nations Guiding Principles on Business and Human Rights and the ILO Core Conventions that address child labour, forced labour, nondiscrimination and the right to freedom of association and collective bargaining. [...] Our expectation is that all suppliers and subcontractors act in accordance with internationally recognised human rights. Because we have identified the working conditions of their workers as a salient human rights issue, respect of all ILO Core Conventions is included in our Purchasing contracts and we encourage them to cascade this requirement throughout their own supply chain. We also ask them to ensure transparency, remedy any non-compliance and drive continuous improvement. We are committed to carrying out regular independent audits to monitor respect of our human rights commitments in our supply chain and to engage with our suppliers to ensure remedy for people who experienced harm.”
        • Inclusion of small-scale farmers
          No
          0/4
        • Gender equality in the supply chain
          Commitment to address the inclusion of women in commodity supply chains
          2/4
          Gender equality in the supply chain
          Commitment to address the inclusion of women in commodity supply chains
          2/4
          “Taking an inclusive approach based on solidarity sourcing The Solidarity Sourcing program was established by L’Oréal on a worldwide basis in 2010. It focuses on social inclusion and is deployed for every type of purchase (raw materials, packaging, sub-contracting, promotional items and indirect distribution) in every country where our Group operates. It steers a portion of our purchases towards suppliers who provide opportunities for disadvantaged people – who are usually excluded from the jobs market -- to find work and living wage.In 2018, 234 projects were supported by the program, benefiting 56,842 people – notably women, people with disabilities, and disadvantaged communities.Meanwhile, we also encourage our suppliers to deploy similar programs within their own ecosystems – and 13% of our suppliers did so in 2018. Our aim is to increase this figure to 20% by the end of 2020.”
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          Type of harm covered: Social harm
          "REMEDIAL ACTION When a case of child labour is found, the supplier/subcontractor is obliged to ensure that the child returns to school. This includes, if necessary, providing his/her family with an additional income and includes making an offer of reemployment to the child when he/she reaches the permissible age. The Group Purchasing Director and the Group Director of Ethics shall immediately be informed of any case of child labour." Specific to L'Oréal UK Ltd: "In addition to the Code of Ethics, the Group has several ethics-related polices and processes. This policy architecture supports the work to identify, mitigate and remediate situations of modern slavery. A foundational process is the social audit programme, which provides a way of assessing and tracking risk. However, we know that while social audits can give us a helpful insight and snapshot of the risks, they are only part of the solution."
        • Commitment to ensure Free, Prior and Informed Consent
          No
          0/4
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        6/50
        • Reporting against commitments
          0/2
          • Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            "Among the materials used by L’Oréal for its packaging, 100% of paper used for product instructions and 100% of cardboard for product boxes come from sustainably managed forests (certified according to FSC or PEFC standards). 99,4% of the paper and cardboard used in POS materials is also certified. L’Oréal also uses other wood-based ingredients, such as cellulose derivatives and certain perfumery ingredients. "
          • Commitment to reduce use of virgin wood fibre
            No
            0/1.7
          • Commitment to a traceable supply chain
            No
            0/1.7
        • Reporting is independently verified
          0/1
          • Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Which tools, approaches, third-party verification, including certification, schemes are used?: FSC, PEFC 

            Which processes or groups does the company use for third party verification?: FSC, PEFC 
            "Among the materials used by L’Oréal for its packaging, 100% of paper used for product instructions and 100% of cardboard for product boxes come from sustainably managed forests (certified according to FSC or PEFC standards). 99,4% of the paper and cardboard used in POS materials is also certified. L’Oréal also uses other wood-based ingredients, such as cellulose derivatives and certain perfumery ingredients. "
          • Commitment to reduce use of virgin wood fibre
            No
            0/1
          • Commitment to a traceable supply chain
            No
            0/1
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/2
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          No
          0/2
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          No
          0/2
        • Accessible grievance mechanism
          No
          0/4
        • Report volumes of commodity
          No reporting
          0/2
        • Report verified volumes of commodity
          Some disclosure of compliant commodity/unclear % of volume/no verification of reporting
          1/6
          Report verified volumes of commodity
          Some disclosure of compliant commodity/unclear % of volume/no verification of reporting
          1/6
          Not all products have reporting: "Among the materials used by L'Oreal for its packaging, 100% of paper used for product instructions and 100% of cardboard for product boxes come from sustainably managed forests (certified according to FSC or PEFC standards). 99,4% of the paper and cardboard used in POS materials is also certified. L'Oreal also uses other wood-based ingredients, such as cellulose derivatives and certain perfumery ingredients. " 
        • Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          "We will assess on an on-going basis the human rights impacts of all our operations and in our value chain and review relevant policies, processes and management systems. We will continue to provide grievance reporting mechanisms that allow our employees and others affected by our operations to report suspected incidents of human rights abuse and to strengthen these mechanisms when necessary. Such incidents will immediately be escalated to the Chief Ethics Officer, investigated and action will be taken when necessary. This includes working to prevent these issues recurring and supporting remedy for any individuals who have been harmed. In the most serious cases, we will reserve the right to break off commercial relations or not approve a new business partner."
        • Downstream: Publishing supplier lists
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          No
          0/4
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          No engagement or exclusion
          0/2
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
    • Soy *
      46/88
      • Commitment Strength
        15/20
        • Commitment to protect priority forests
          9/11
          • Commitment details
            Zero-gross deforestation
            5.3/8
            Commitment to protect priority forests
            Zero-gross deforestation
            5.3/8
            Other certification scheme: Community Fair Trade programme 

            (For downstream soy companies only) Does the company commitment also explicitly apply to hidden/indirect soy?: No

            Which certification schemes are used?: Other certification
            "With regard to soy procurement, L’ORÉAL does not use outside certification but implements its own internal Community Fair Trade programme which enables it to purchase its major reference from small soy oil producers in Brazil [...] From second semester 2013, 100% of this major reference of soybean oil procurements were certified as sustainable: produced by organic farming not contributing to deforestation and obtained from fair trade sources." "In 2019, 100% of soya oil used by L’Oréal and sourced from Latin America (270 tonnes per year, less than 0.001% of global production) was certified as sustainable (organic or Identity Preserved (IP)). The soya oil derivatives used by the Group are largely sourced from zones classified as posing no risk of deforestation." "By end of 2017, 92% of the soybean oil used by L'Oréal and originating from Brazil (state of Parana, municipality of Capanema), was fully traceable, certified organic, and in the process of being RTRS and Fair Trade certified. The objective is to source 100% of our soybean oil from this sustainable source byend 2019."
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "With regard to soy procurement, L’ORÉAL does not use outside certification but implements its own internal Community Fair Trade programme which enables it to purchase its major reference from small soy oil producers in Brazil [...] From second semester 2013, 100% of this major reference of soybean oil procurements were certified as sustainable: produced by organic farming not contributing to deforestation and obtained from fair trade sources." "In 2019, 100% of soya oil used by L’Oréal and sourced from Latin America (270 tonnes per year, less than 0.001% of global production) was certified as sustainable (organic or Identity Preserved (IP)). The soya oil derivatives used by the Group are largely sourced from zones classified as posing no risk of deforestation." "By end of 2017, 92% of the soybean oil used by L'Oréal and originating from Brazil (state of Parana, municipality of Capanema), was fully traceable, certified organic, and in the process of being RTRS and Fair Trade certified. The objective is to source 100% of our soybean oil from this sustainable source byend 2019."
          • Target date
            Current/achieved
            1/1
            Target date
            Current/achieved
            1/1
            "With regard to soy procurement, L’ORÉAL does not use outside certification but implements its own internal Community Fair Trade programme which enables it to purchase its major reference from small soy oil producers in Brazil [...] From second semester 2013, 100% of this major reference of soybean oil procurements were certified as sustainable: produced by organic farming not contributing to deforestation and obtained from fair trade sources." "In 2019, 100% of soya oil used by L’Oréal and sourced from Latin America (270 tonnes per year, less than 0.001% of global production) was certified as sustainable (organic or Identity Preserved (IP)). The soya oil derivatives used by the Group are largely sourced from zones classified as posing no risk of deforestation." "By end of 2017, 92% of the soybean oil used by L'Oréal and originating from Brazil (state of Parana, municipality of Capanema), was fully traceable, certified organic, and in the process of being RTRS and Fair Trade certified. The objective is to source 100% of our soybean oil from this sustainable source byend 2019."
          • Interim target date
            NA (target date current or achieved or 2022)
            0.5/0.5
            Interim target date
            NA (target date current or achieved or 2022)
            0.5/0.5
        • Commitment to a traceable supply chain
          9/9
          • Commitment details
            Traces to Point of production
            5.3/5.3
            Commitment to a traceable supply chain
            Traces to Point of production
            5.3/5.3
            "The goal is now to use 100% of soya oil from sustainable sourcing and to work actively with suppliers to improve traceability to point of origin, to address sustainability of soy-based derivatives so that 100% are sustainably sourced by 2020."
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "The goal is now to use 100% of soya oil from sustainable sourcing and to work actively with suppliers to improve traceability to point of origin, to address sustainability of soy-based derivatives so that 100% are sustainably sourced by 2020."
          • Target date
            Current/achieved
            1/1
            Target date
            Current/achieved
            1/1
            "The goal is now to use 100% of soya oil from sustainable sourcing and to work actively with suppliers to improve traceability to point of origin, to address sustainability of soy-based derivatives so that 100% are sustainably sourced by 2020."
          • Interim target date
            NA (target date current or achieved or 2022)
            0.5/0.5
            Interim target date
            NA (target date current or achieved or 2022)
            0.5/0.5
      • Social Considerations
        12/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: ILO; UNGP; UN Declaration for HR; Discrimination; Forced labour; Child labour; Freedom of association
          “Our approach is based on internationally recognised standards and namely the Universal Declaration of Human Rights, the United Nations Guiding Principles on Business and Human Rights and the ILO Core Conventions that address child labour, forced labour, nondiscrimination and the right to freedom of association and collective bargaining. [...] Our expectation is that all suppliers and subcontractors act in accordance with internationally recognised human rights. Because we have identified the working conditions of their workers as a salient human rights issue, respect of all ILO Core Conventions is included in our Purchasing contracts and we encourage them to cascade this requirement throughout their own supply chain. We also ask them to ensure transparency, remedy any non-compliance and drive continuous improvement. We are committed to carrying out regular independent audits to monitor respect of our human rights commitments in our supply chain and to engage with our suppliers to ensure remedy for people who experienced harm.”
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          What is the nature of that support?: Technical assistance/support; Economic
          "With regard to soy procurement, L’ORÉAL does not use outside certification but implements its own internal Community Fair Trade programme which enables it to purchase its major reference from small soy oil producers in Brazil.The Group obtains this organic soy from agricultural producers in Capanema in Brazil, who use traditional and ancestral multi-crop methods to plant, cultivate and harvest the soybeans, which are thus organic. By virtue of this Community Fair Trade programme, Capanema farmers obtain just and fair income from their soybeans and can therefore maintain their traditional lifestyle. From second semester 2013, 100% of this major reference of soybean oil procurements were certified as sustainable: produced by organic farming not contributing to deforestation and obtained from fair trade sources."
        • Gender equality in the supply chain
          Commitment to address the inclusion of women in commodity supply chains
          2/4
          Gender equality in the supply chain
          Commitment to address the inclusion of women in commodity supply chains
          2/4
          “Taking an inclusive approach based on solidarity sourcing The Solidarity Sourcing program was established by L’Oréal on a worldwide basis in 2010. It focuses on social inclusion and is deployed for every type of purchase (raw materials, packaging, sub-contracting, promotional items and indirect distribution) in every country where our Group operates. It steers a portion of our purchases towards suppliers who provide opportunities for disadvantaged people – who are usually excluded from the jobs market -- to find work and living wage.In 2018, 234 projects were supported by the program, benefiting 56,842 people – notably women, people with disabilities, and disadvantaged communities.Meanwhile, we also encourage our suppliers to deploy similar programs within their own ecosystems – and 13% of our suppliers did so in 2018. Our aim is to increase this figure to 20% by the end of 2020.”
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          Type of harm covered: Social harm
          "REMEDIAL ACTION When a case of child labour is found, the supplier/subcontractor is obliged to ensure that the child returns to school. This includes, if necessary, providing his/her family with an additional income and includes making an offer of reemployment to the child when he/she reaches the permissible age. The Group Purchasing Director and the Group Director of Ethics shall immediately be informed of any case of child labour." Specific to L'Oréal UK Ltd: "In addition to the Code of Ethics, the Group has several ethics-related polices and processes. This policy architecture supports the work to identify, mitigate and remediate situations of modern slavery. A foundational process is the social audit programme, which provides a way of assessing and tracking risk. However, we know that while social audits can give us a helpful insight and snapshot of the risks, they are only part of the solution."
        • Commitment to ensure Free, Prior and Informed Consent
          No
          0/4
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        17/50
        • Reporting against commitments
          3/3
          • Commitment to protect priority forests
            Yes, for all commodity exposure
            2.5/2.5
            Commitment to protect priority forests
            Yes, for all commodity exposure
            2.5/2.5
             "In 2019, 100% of soya oil used by L’Oréal and sourced from Latin America (270 tonnes per year, less than 0.001% of global production) was certified as sustainable (organic or Identity Preserved (IP)). The soya oil derivatives used by the Group are largely sourced from zones classified as posing no risk of deforestation."
          • Commitment to a traceable supply chain
            Yes, for all commodity exposure
            2.5/2.5
            Commitment to a traceable supply chain
            Yes, for all commodity exposure
            2.5/2.5
            "In 2020, L’Oréal consumed 266 tonnes of soybean extract and 48 tonnes of soybean extract derivatives 100% of soybean used by L’Oréal and sourced from Latin America (266 tonnes per year, less than 0.001% of global production). 100% of the soybean extract used by L’Oréal and coming from Latin America is from a land project certified RTRS, Bio and Fair For Life, aimed at supporting 36 small soybean producers in Brazil and Paraguay, or from certified sources (IP – Identity Preserved Proterra)."
        • Reporting is independently verified
          1/2
          • Commitment to protect priority forests
            Yes, using an internal verification system.
            0.8/1.5
            Commitment to protect priority forests
            Yes, using an internal verification system.
            0.8/1.5
            Which tools, approaches, third-party verification, including certification, schemes are used?:  Own internal Community Fair Trade programme
            "With regard to soy procurement, L’ORÉAL does not use outside certification but implements its own internal Community Fair Trade programme which enables it to purchase its major reference from small soy oil producers in Brazil [...] From second semester 2013, 100% of this major reference of soybean oil procurements were certified as sustainable: produced by organic farming not contributing to deforestation and obtained from fair trade sources. The goal is now to use 100% of soya oil from sustainable sourcing and to work actively with suppliers to improve traceability to point of origin, to address sustainability of soy-based derivatives so that 100% are sustainably sourced by 2020." "In 2019, 100% of soya oil used by L’Oréal and sourced from Latin America (270 tonnes per year, less than 0.001% of global production) was certified as sustainable (organic or Identity Preserved (IP)). The soya oil derivatives used by the Group are largely sourced from zones classified as posing no risk of deforestation."
          • Commitment to a traceable supply chain
            Yes, using an internal verification system.
            0.8/1.5
            Commitment to a traceable supply chain
            Yes, using an internal verification system.
            0.8/1.5
            Which processes or groups does the company use for third party verification?: Own internal Community Fair Trade programme

            Which tools, approaches, third-party verification, including certification, schemes are used?: Own internal Community Fair Trade programme
            "In 2020, L’Oréal consumed 266 tonnes of soybean extract and 48 tonnes of soybean extract derivatives 100% of soybean used by L’Oréal and sourced from Latin America (266 tonnes per year, less than 0.001% of global production). 100% of the soybean extract used by L’Oréal and coming from Latin America is from a land project certified RTRS, Bio and Fair For Life, aimed at supporting 36 small soybean producers in Brazil and Paraguay, or from certified sources (IP – Identity Preserved Proterra)."
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/2
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          No
          0/2
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          No
          0/2
        • Accessible grievance mechanism
          No
          0/4
        • Report volumes of commodity
          Reporting total volume
          2/2
          Report volumes of commodity
          Reporting total volume
          2/2
          Total/partial volume reported: 266 tonnes 
          "In 2020, L’Oréal consumed 266 tonnes of soybean extract and 48 tonnes of soybean extract derivatives 100% of soybean used by L’Oréal and sourced from Latin America (266 tonnes per year, less than 0.001% of global production). 100% of the soybean extract used by L’Oréal and coming from Latin America is from a land project certified RTRS, Bio and Fair For Life, aimed at supporting 36 small soybean producers in Brazil and Paraguay, or from certified sources (IP – Identity Preserved Proterra)." 
        • Report verified volumes of commodity
          100%
          6/6
          Report verified volumes of commodity
          100%
          6/6
          For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 100%

          What is the certified volume?: 100%
          "In 2020, L’Oréal consumed 266 tonnes of soybean extract and 48 tonnes of soybean extract derivatives 100% of soybean used by L’Oréal and sourced from Latin America (266 tonnes per year, less than 0.001% of global production). 100% of the soybean extract used by L’Oréal and coming from Latin America is from a land project certified RTRS, Bio and Fair For Life, aimed at supporting 36 small soybean producers in Brazil and Paraguay, or from certified sources (IP – Identity Preserved Proterra)." 
        • Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          "We will assess on an on-going basis the human rights impacts of all our operations and in our value chain and review relevant policies, processes and management systems. We will continue to provide grievance reporting mechanisms that allow our employees and others affected by our operations to report suspected incidents of human rights abuse and to strengthen these mechanisms when necessary. Such incidents will immediately be escalated to the Chief Ethics Officer, investigated and action will be taken when necessary. This includes working to prevent these issues recurring and supporting remedy for any individuals who have been harmed. In the most serious cases, we will reserve the right to break off commercial relations or not approve a new business partner."
        • Downstream: Publishing supplier lists
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          No
          0/4
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          No engagement or exclusion
          0/2
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
  • * commodity scores for which a company is not a powerbroker are given half the weighting of other commodities in total scores

  • Commitment strength
    12/20
    Avg. score
  • Reporting and Implementation
    18/50
    Avg. score
  • Social considerations
    12/18
    Avg. score

Profile

The L’Oréal Group is a French cosmetics company present in 140 countries. It is active in all branches of cosmetics, such as make-up, skin care, hair care and perfume, and its major brands include Garnier, Maybelline New York and Ralph Lauren. The group is one of the largest manufacturers of beauty and personal care products globally and is high up the list in many other categories. The group is especially prominent in Western Europe, China, Hong Kong, India, Indonesia, and Brazil. L'Oreal S.A. is selected as a powerbroker for palm oil and paper packaging and is also assessed for its exposure to soy.

Sector
Industry sector 
Cosmetics, Personal care
Segments
Manufacturer
HQ
HQ 
France
Company Type
Company type 
Public listed
Collective Commitments
Consumer Goods Forum member
New York Declaration on Forests signatory

Top Brands

Cerave, Elvive, Garnier, Garnier Body, Garnier Pure Active, Giorgio Armani, Yves Saint Laurent, Biotherm, Ralph Lauren, Diesel, Guy Laroche, House 99, Kerastase, Matrix, Vichy, La roche-posay, Loreal, Maybelline, Mixa, Roger and Galley, Vichy

How we assess the Forest 500

To ensure deforestation free supply chains, companies need to adopt and implement timebound and measurable policies for forest risk commodities.

All assessments use policies published on company websites, some links may have changed or been removed since the time of assessment.

Disclaimer

This assessment has been carried out following the methodology developed for the Forest 500 project, available here. Please see our disclaimer applicable to all information contained within this site and our terms and conditions for use of data presented on this site.

All assessments use policies published on company and financial institution websites, and while we endeavor to keep them updated some links may have changed or been removed since the time of assessment.

Please contact us with any concerns or feedback about this or other assessments included in the Forest 500.