Cardinal Health today published its Fiscal 2024 Environmental, Social and Governance (ESG) Report, summarizing the company’s progress in key priority areas. “At Cardinal Health, our ESG priorities are aligned with our business strategy,” said Cardinal Health CEO Jason Hollar. “We believe our ESG work helps drive our business success, and is central to our mission of delivering the products and solutions that improve lives every day.”
Highlights of the new Report, which describes work during the fiscal year ending on June 30, 2024, include:
- Reducing environmental impact: Cardinal Health received approval from the Science Based Targets initiative (SBTi) for its near-term science-based climate targets for Scopes 1, 2 and 3 GHG emissions that:
- Reduce absolute Scopes 1 and 2 GHG emissions 50% by fiscal 2030 from a fiscal 2019 base year;
- Ensure that 75% of the company’s suppliers by spend, covering purchased goods and services and upstream transportation and distribution, will have science-based targets by fiscal 2028.
Since fiscal 2019, the company has reduced its Scopes 1 and 2 emissions by 17%, not only reducing environmental impact, but also generating savings across its businesses and responding to changing customer expectations. Cardinal Health also has begun working more closely with suppliers to achieve the second of its science-based targets.
- Increasing equitable access to healthcare: The Cardinal Health Foundation piloted its signature Equity Rx program in Ohio, which helps get prescription medicines to those who would not otherwise be able to afford them. Through the pilot, free and charitable clinics filled more than 22,000 prescriptions, representing $2.6 million in retail value. The Foundation has now begun expanding Equity Rx nationally.
- Improving employee safety: To further its priority of ensuring the safety of its employees as they efficiently deliver products to customers, the company implemented a safety improvement plan that resulted in a 29% reduction in work-related injuries in its distribution centers.
- Expanding supply chain due diligence: The company expanded its supply chain due diligence to include suppliers across its enterprise, which provides insight into suppliers across businesses and helps determine how to collaborate with suppliers to mitigate risks and comply with evolving regulations.
- Building an inclusive work culture that works for all: The company continued to focus on building an inclusive work culture that enables the attraction and retention of top talent. In addition, the company continued to take action to support employees’ mental health through innovative benefits and initiatives.
Cardinal Health's Fiscal 2024 ESG Report was prepared using three foundational reporting frameworks: the Global Reporting Initiative (GRI) for comprehensive sustainability reporting, the Sustainability Accounting Standards Board (SASB) for industry-specific disclosures, and the Task Force on Climate-related Financial Disclosures (TCFD) for climate-related risk disclosures.
You can view the full report here.
