Globe has achieved a historic milestone in its commitment to sustainability, as it achieved a ratings upgrade to AA from MSCI, marking the highest rating among companies and within the telco industry in the Philippines to date.
MSCI ESG Research provides MSCI ESG Ratings on global public and a few private companies on a scale of AAA (leader) to CCC (laggard), according to exposure to industry-specific ESG risks and the ability to manage those risks relative to peers. These evaluations are based on governance structures, policies, targets, quantitative performance metrics, and any relevant controversies, a press release from Globe said.
The firm’s ESG Research aims to provide investors with insights into the ESG risks and opportunities of companies worldwide. With Globe’s upgrade from BBB to A in 2020, and now to AA, it is recognized as an ESG leader, effectively managing its exposures to ESG risks.
“This MSCI AA rating is a testament to Globe’s steadfast commitment to sustainability practices, and a historic feat for the Philippines in itself. As we put our sustainability ambitions into action and embed its principles in the way we do business, we are proud to set the benchmark for ESG practices in the industry and the country,” said Yoly Crisanto, Globe Group Chief Sustainability and Corporate Communications Officer.
Globe’s rating reflects wins in several aspects, the press release said.
On the environmental front, Globe has shown exemplary leadership in climate action. As the first publicly-listed company in the country to commit to set science-based targets through the Science-Based Target initiative (SBTi), Globe aims to halve greenhouse gas emissions by 2030 and achieve Net Zero emissions by 2050. In 2022, Globe surpassed its target by reducing 4.42% of its carbon emissions, as a result of shifting towards renewable energy, investing in energy-efficient technologies, and deploying green solutions across its network.
In terms of social aspects, Globe has been unwavering in its commitment to privacy and data security. The company conducts regular vulnerability assessments, patch management, and security threat detection to ensure the protection of its assets. Globe also emphasizes the importance of data privacy and information security training for all its employees. In the area of labor, Globe’s “Alagang Globe” Program showcases the company’s dedication to employee well-being. Beyond compliance with the minimum wage law, Globe ensures competitive pay and was recognized multiple times in 2022 for its outstanding workplace practices.
Governance at Globe has also made headway. In the Annual Stockholders Meeting held in April 2023, Globe welcomed four new directors in its Board including two female directors with a vision to continue studying and revisiting its diversity and female composition in the Board. Pursuant to its campaign for good corporate governance, the Board is now composed of four independent directors and two female member directors. The company also continues to adopt ESG-linked policies, ensuring that high sustainability and exemplary corporate governance standards are upheld. Globe’s Code of Conduct embeds universal principles on human rights, labor, environment, and anti-corruption into the company’s daily operations.