Communication on Progress UNGC

Human rights
Principle 1: Support and respect the protection of internationally proclaimed human rights in the company’s own area of influence		When hiring employees and determining their assignment in the company, Geberit attaches great importance to qualifications appropriate to the task description. In accordance with their qualifications, the majority of Geberit employees at the production sites and sales companies are paid well above the minimum wage range. This considerably reduces the risk of human rights violations. See GRI 202-1 In its Code of Conduct, Geberit undertakes to be an exemplary, reliable and fair business partner and employer at all times. As a fair partner, Geberit recognises all laws, directives and internationally recognised standards as well as the UN Guiding Principles on Business and Human Rights, and complies with them in full. All new employees at Geberit are trained on the Code of Conduct as part of the Welcome events. See Code of Conduct for Employees, GRI 102-16, GRI 412-2 Compliance with the Code of Conduct is monitored Group-wide as part of an annual survey and supplemented by internal audits on site. There were no breaches related to human rights in 2021. See GRI 412, GRI 419 The Geberit Integrity Line gives all employees the opportunity to report irregularities anonymously. Two cases related to management behaviour were recorded by the Integrity Line for employees in 2021. Both cases are being investigated.
Principle 2: Make sure the company is not complicit in human rights abuses		With respect to human rights abuses, the greatest risk for Geberit lies with suppliers, who can be influenced only indirectly. Geberit does all it can to minimise this risk and requires that business partners and suppliers comply with comprehensive standards. See Sustainability strategy, Management Approach Procurement The Code of Conduct for Suppliers is intended to ensure that Geberit’s suppliers act in accordance with internal and external guidelines, such as the UN Guiding Principles on Business and Human Rights and the ILO core labour standards. As of the end of 2021, a total of 2,568 direct and indirect suppliers had signed the Code of Conduct. This equates to over 90% of the total procurement value. In 2021, 171 existing suppliers were identified in the highest risk category as defined by Geberit, which corresponds to around 8% of the procurement value of Geberit. A systematic planning and performance of audits is conducted for these suppliers. See Code of Conduct for Suppliers, Management Approach Procurement In 2021, five third-party audits were carried out at suppliers in China. The results showed that the majority of obligations set out in the Code of Conduct for Suppliers were complied with. Appropriate corrective measures were agreed in cases of non-compliance. See GRI 308-2, GRI 414-2

Labour practices
Principle 3: Uphold the freedom of association and the effective recognition of the right to collective bargaining		No rights with respect to exercising the freedom of association or collective bargaining as defined in the ILO core labour standards are subject to restriction at the Geberit Group. This is verified annually as part of a Group-wide survey. No restrictions were in effect in 2021. See GRI 407 There are currently 10,090 employees (corresponding to 83% of the workforce) who are covered by collective agreements (e.g. collective labour agreements, wage agreements). In Germany, Austria, Switzerland, France, Italy, Finland, Sweden, Poland and Ukraine, over 90% of employees are subject to a collective labour or wage agreement. There are no collective agreements with employees in place in the USA and China. See GRI 102-41
Principle 4: Uphold the elimination of all forms of forced and compulsory labour Principle 5: Uphold the effective abolition of child labour		Geberit’s exposure with respect to forced and child labour is considered low because of its industry, business model, the countries in which business activities are carried out, as well as its high level of vertical integration and high quality requirements. See GRI 408, GRI 409 Geberit categorically rejects all forms of forced and child labour. According to the annual Group-wide survey, no cases of forced and compulsory or child labour were discovered in 2021, nor were any cases revealed during the course of the audits performed among the suppliers. The basic principles established in the Code of Conduct for Suppliers expressly include compliance with the ILO core labour standards for the exclusion of forced and child labour. See GRI 408, GRI 409
Principle 6: Uphold the elimination of discrimination in respect of employment and occupation		The Geberit Code of Conduct clearly specifies how employees are to behave and how Geberit assumes responsibility as an employer in order to counteract discrimination in adherence with the ILO core labour standards. According to the annual Group-wide survey, there was one case of bullying in 2021, with two people accused. Both the accused people have left the company and the case is closed. See GRI 406-1 Geberit’s personnel policy and recruitment practices do not differentiate between members of the local community and other applicants or employees. See GRI 202, GRI 406 Protection of the principles of equality is anchored in the Geberit Code of Conduct. This includes the prohibition of discrimination against any employee on the basis of gender. Fair and equal pay for men and women is a matter of course at Geberit, as was verified and documented in 2021 as part of the annual Group-wide survey. The certified auditors PwC checked and confirmed that the analysis was carried out correctly. The proportion of female employees at the end of 2021 was 24%; in management this figure was 11%. See GRI 405, Geberit Code of Conduct

Environmental protection
Principle 7: Support a precautionary approach to environmental challenges		Since 1990, Geberit has followed a long-term environmental strategy, plus a sustainability strategy that was developed later. It has been committed to environmentally friendly, resource-efficient production as well as to the development of water-saving and sustainable products. This is also defined as a management principle in the Geberit Compass. Environmental criteria are considered in all decision-making processes. A demonstrably high standard is achieved in this regard, one which often exceeds statutory requirements. See Geberit Compass, Environmental policy A core element of the new CO₂ strategy is its integration into all relevant business processes. In addition to improved transparency brought about by a comprehensive monthly CO₂ report, a focus is being placed on the measurability and direct responsibility of management and employees by means of short-term and medium-term goals. The annual achievement of objectives regarding CO₂ reduction is now relevant to bonuses with a weighting of 20% for Group management as well as employees in Switzerland (a total of 1,500 employees). In order to integrate the CO₂-reducing activities into the business processes in the best possible manner, an internal CO₂ pricing has now been introduced. Once a year, the Group Executive Board defines an internal CO₂ reference price as part of the budget. This price serves as a basis for deciding on investments in measures to reduce the amount of energy used or CO₂ emissions. In 2021, CO₂ emissions (Scopes 1 and 2) amounted to 217,009 tonnes, corresponding to an increase of 5.1%. The improvement in CO₂ intensity (CO₂ emissions in relation to currency-adjusted net sales) was 8.4%, thus exceeding the target of 5% per year. See GRI 305-2 Since the acquisition of the energy-intensive ceramics business in 2015, Geberit has been able to reduce CO₂ intensity by 38%. In addition, absolute CO₂ emissions were able to be reduced to 217,009 tonnes and are therefore under the target value of 240,000 tonnes. These results mean that between 2015 and 2021 Geberit overfulfilled the target specified in the Science Based Targets Initiative (SBTi) of limiting global warming to “well below 2°C” above pre-industrial levels. Geberit would like to continue down and further expand on this successful path. The goal in the future is to continue to reduce CO₂ intensity by an average of at least 5% per year. See GRI 305
Principle 8: Undertake initiatives to promote greater environmental responsibility		The Geberit Group has a Group certificate in accordance with ISO 9001 (quality), ISO 14001 (environment) and ISO 45001 (occupational health and safety) that is valid until 2024. The annual preparation of a corporate eco-balance has been an established part of Geberit’s environmental management since 1991. The absolute environmental impact rose by 4.0% in 2021. Eco-efficiency (environmental impact per currency-adjusted net sales) improved by 9.3%, meaning that Geberit clearly exceeded its target of 5% per year. See ISO certificate, Chapter 9 Planet, Sustainability strategy Central levers of energy management and the CO₂ strategy are measures for saving energy, increasing efficiency and procuring energy in the plants. The corresponding measures are implemented using an energy master plan and a rolling CO₂ forecasting of the significant plants. The proportion of renewable energies is being further increased throughout the company, always taking the internal CO₂ reference price and the economic efficiency of the planned projects into consideration. See GRI 302 Beginning with the development process, the most environmentally friendly materials and functional principles are used, risks are minimised and high resource efficiency is pursued. Eco-design has been an integral part of the development processes since 2007 and has already been adopted in more than 170 development projects. Eco-design is also implemented in product modifications and technology projects. Every new product is to be better than its predecessor with respect to environmental aspects. See Chapter 10.1 Products and innovation
Principle 9: Encourage the development and diffusion of environmentally friendly technologies		The water footprint throughout the Geberit value chain shows that nearly 100% of the water consumption is attributable to the use of Geberit products by customers. Water-saving solutions can therefore exert a major impact: all dual-flush and flush-stop cisterns produced since 1998 have saved around 3,590 million m³ of water in 2021 alone. See SDG Reporting Geberit supports the economical use of water in the sanitary industry and made a significant contribution to the establishment of the European Bathroom Forum (EBF). One of the first tasks was the launch of a new European water label as a voluntary and flexible instrument to support customers in the selection of resource-efficient products. See Chapter 10.1 Products and innovation Sustainable building is a market of the future experiencing strong growth throughout the world. As a leading system provider of sanitary solutions, Geberit is already offering suitable products for this purpose.

Anti-corruption
Principle 10: Work against corruption in all its forms, including extortion and bribery		As a long-term member of Transparency International Switzerland, Geberit is committed to high standards in combating corruption. In addition to the Code of Conduct, there are additional guidelines on prevention and employees receive training in this area. See GRI 205 In 2021, the Internal Audit Department audited a total of 20 companies and did not discover any cases of corruption. Since 2017, an Integrity Line has been available to suppliers for anonymously reporting irregularities in the procurement process. No cases were reported in the reporting year. See GRI 102-17 As a rule, Geberit does not make donations to parties or politicians. All donations are neutral from a party political point of view. This was verified and documented as part of the annual Group-wide survey.

Human rights
Principle 1: Support and respect the protection of internationally proclaimed human rights in the company’s own area of influence		When hiring employees and determining their assignment in the company, Geberit attaches great importance to qualifications appropriate to the task description. In accordance with their qualifications, the majority of Geberit employees at the production sites and sales companies are paid well above the minimum wage range. This considerably reduces the risk of human rights violations. See GRI 202-1 In its Code of Conduct, Geberit undertakes to be an exemplary, reliable and fair business partner and employer at all times. As a fair partner, Geberit recognises all laws, directives and internationally recognised standards as well as the UN Guiding Principles on Business and Human Rights, and complies with them in full. All new employees at Geberit are trained on the Code of Conduct as part of the Welcome events. See Code of Conduct for Employees, GRI 102-16, GRI 412-2 Compliance with the Code of Conduct is monitored Group-wide as part of an annual survey and supplemented by internal audits on site. There were no breaches related to human rights in 2021. See GRI 412, GRI 419 The Geberit Integrity Line gives all employees the opportunity to report irregularities anonymously. Two cases related to management behaviour were recorded by the Integrity Line for employees in 2021. Both cases are being investigated.
Principle 2: Make sure the company is not complicit in human rights abuses		With respect to human rights abuses, the greatest risk for Geberit lies with suppliers, who can be influenced only indirectly. Geberit does all it can to minimise this risk and requires that business partners and suppliers comply with comprehensive standards. See Sustainability strategy, Management Approach Procurement The Code of Conduct for Suppliers is intended to ensure that Geberit’s suppliers act in accordance with internal and external guidelines, such as the UN Guiding Principles on Business and Human Rights and the ILO core labour standards. As of the end of 2021, a total of 2,568 direct and indirect suppliers had signed the Code of Conduct. This equates to over 90% of the total procurement value. In 2021, 171 existing suppliers were identified in the highest risk category as defined by Geberit, which corresponds to around 8% of the procurement value of Geberit. A systematic planning and performance of audits is conducted for these suppliers. See Code of Conduct for Suppliers, Management Approach Procurement In 2021, five third-party audits were carried out at suppliers in China. The results showed that the majority of obligations set out in the Code of Conduct for Suppliers were complied with. Appropriate corrective measures were agreed in cases of non-compliance. See GRI 308-2, GRI 414-2

Labour practices
Principle 3: Uphold the freedom of association and the effective recognition of the right to collective bargaining		No rights with respect to exercising the freedom of association or collective bargaining as defined in the ILO core labour standards are subject to restriction at the Geberit Group. This is verified annually as part of a Group-wide survey. No restrictions were in effect in 2021. See GRI 407 There are currently 10,090 employees (corresponding to 83% of the workforce) who are covered by collective agreements (e.g. collective labour agreements, wage agreements). In Germany, Austria, Switzerland, France, Italy, Finland, Sweden, Poland and Ukraine, over 90% of employees are subject to a collective labour or wage agreement. There are no collective agreements with employees in place in the USA and China. See GRI 102-41
Principle 4: Uphold the elimination of all forms of forced and compulsory labour Principle 5: Uphold the effective abolition of child labour		Geberit’s exposure with respect to forced and child labour is considered low because of its industry, business model, the countries in which business activities are carried out, as well as its high level of vertical integration and high quality requirements. See GRI 408, GRI 409 Geberit categorically rejects all forms of forced and child labour. According to the annual Group-wide survey, no cases of forced and compulsory or child labour were discovered in 2021, nor were any cases revealed during the course of the audits performed among the suppliers. The basic principles established in the Code of Conduct for Suppliers expressly include compliance with the ILO core labour standards for the exclusion of forced and child labour. See GRI 408, GRI 409
Principle 6: Uphold the elimination of discrimination in respect of employment and occupation		The Geberit Code of Conduct clearly specifies how employees are to behave and how Geberit assumes responsibility as an employer in order to counteract discrimination in adherence with the ILO core labour standards. According to the annual Group-wide survey, there was one case of bullying in 2021, with two people accused. Both the accused people have left the company and the case is closed. See GRI 406-1 Geberit’s personnel policy and recruitment practices do not differentiate between members of the local community and other applicants or employees. See GRI 202, GRI 406 Protection of the principles of equality is anchored in the Geberit Code of Conduct. This includes the prohibition of discrimination against any employee on the basis of gender. Fair and equal pay for men and women is a matter of course at Geberit, as was verified and documented in 2021 as part of the annual Group-wide survey. The certified auditors PwC checked and confirmed that the analysis was carried out correctly. The proportion of female employees at the end of 2021 was 24%; in management this figure was 11%. See GRI 405, Geberit Code of Conduct

Environmental protection
Principle 7: Support a precautionary approach to environmental challenges		Since 1990, Geberit has followed a long-term environmental strategy, plus a sustainability strategy that was developed later. It has been committed to environmentally friendly, resource-efficient production as well as to the development of water-saving and sustainable products. This is also defined as a management principle in the Geberit Compass. Environmental criteria are considered in all decision-making processes. A demonstrably high standard is achieved in this regard, one which often exceeds statutory requirements. See Geberit Compass, Environmental policy A core element of the new CO₂ strategy is its integration into all relevant business processes. In addition to improved transparency brought about by a comprehensive monthly CO₂ report, a focus is being placed on the measurability and direct responsibility of management and employees by means of short-term and medium-term goals. The annual achievement of objectives regarding CO₂ reduction is now relevant to bonuses with a weighting of 20% for Group management as well as employees in Switzerland (a total of 1,500 employees). In order to integrate the CO₂-reducing activities into the business processes in the best possible manner, an internal CO₂ pricing has now been introduced. Once a year, the Group Executive Board defines an internal CO₂ reference price as part of the budget. This price serves as a basis for deciding on investments in measures to reduce the amount of energy used or CO₂ emissions. In 2021, CO₂ emissions (Scopes 1 and 2) amounted to 217,009 tonnes, corresponding to an increase of 5.1%. The improvement in CO₂ intensity (CO₂ emissions in relation to currency-adjusted net sales) was 8.4%, thus exceeding the target of 5% per year. See GRI 305-2 Since the acquisition of the energy-intensive ceramics business in 2015, Geberit has been able to reduce CO₂ intensity by 38%. In addition, absolute CO₂ emissions were able to be reduced to 217,009 tonnes and are therefore under the target value of 240,000 tonnes. These results mean that between 2015 and 2021 Geberit overfulfilled the target specified in the Science Based Targets Initiative (SBTi) of limiting global warming to “well below 2°C” above pre-industrial levels. Geberit would like to continue down and further expand on this successful path. The goal in the future is to continue to reduce CO₂ intensity by an average of at least 5% per year. See GRI 305
Principle 8: Undertake initiatives to promote greater environmental responsibility		The Geberit Group has a Group certificate in accordance with ISO 9001 (quality), ISO 14001 (environment) and ISO 45001 (occupational health and safety) that is valid until 2024. The annual preparation of a corporate eco-balance has been an established part of Geberit’s environmental management since 1991. The absolute environmental impact rose by 4.0% in 2021. Eco-efficiency (environmental impact per currency-adjusted net sales) improved by 9.3%, meaning that Geberit clearly exceeded its target of 5% per year. See ISO certificate, Chapter 9 Planet, Sustainability strategy Central levers of energy management and the CO₂ strategy are measures for saving energy, increasing efficiency and procuring energy in the plants. The corresponding measures are implemented using an energy master plan and a rolling CO₂ forecasting of the significant plants. The proportion of renewable energies is being further increased throughout the company, always taking the internal CO₂ reference price and the economic efficiency of the planned projects into consideration. See GRI 302 Beginning with the development process, the most environmentally friendly materials and functional principles are used, risks are minimised and high resource efficiency is pursued. Eco-design has been an integral part of the development processes since 2007 and has already been adopted in more than 170 development projects. Eco-design is also implemented in product modifications and technology projects. Every new product is to be better than its predecessor with respect to environmental aspects. See Chapter 10.1 Products and innovation
Principle 9: Encourage the development and diffusion of environmentally friendly technologies		The water footprint throughout the Geberit value chain shows that nearly 100% of the water consumption is attributable to the use of Geberit products by customers. Water-saving solutions can therefore exert a major impact: all dual-flush and flush-stop cisterns produced since 1998 have saved around 3,590 million m³ of water in 2021 alone. See SDG Reporting Geberit supports the economical use of water in the sanitary industry and made a significant contribution to the establishment of the European Bathroom Forum (EBF). One of the first tasks was the launch of a new European water label as a voluntary and flexible instrument to support customers in the selection of resource-efficient products. See Chapter 10.1 Products and innovation Sustainable building is a market of the future experiencing strong growth throughout the world. As a leading system provider of sanitary solutions, Geberit is already offering suitable products for this purpose.

Anti-corruption
Principle 10: Work against corruption in all its forms, including extortion and bribery		As a long-term member of Transparency International Switzerland, Geberit is committed to high standards in combating corruption. In addition to the Code of Conduct, there are additional guidelines on prevention and employees receive training in this area. See GRI 205 In 2021, the Internal Audit Department audited a total of 20 companies and did not discover any cases of corruption. Since 2017, an Integrity Line has been available to suppliers for anonymously reporting irregularities in the procurement process. No cases were reported in the reporting year. See GRI 102-17 As a rule, Geberit does not make donations to parties or politicians. All donations are neutral from a party political point of view. This was verified and documented as part of the annual Group-wide survey.

Communication on Progress UNGC

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