Kempinski’s 2023 ESG Report Showcases Three Years Of Sustainability Commitment

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Kempinski has released its third Environmental, Social, and Governance (ESG) Report for 2023, following the reports from 2021 and 2022.

Since establishing the Sustainability Committee in 2021, Kempinski has been committed to implementing a comprehensive sustainability policy across all its subsidiaries. This involves mapping internal and external stakeholders, defining metrics to evaluate ESG performance over time, enhancing existing data collection processes, and introducing new processes to report on material ESG impacts.

Kempinski’s latest ESG Report highlights the progress made over the past three years and identifies future opportunities. The report adheres to the Global Reporting Initiative (GRI) Standards and aligns with the UN Global Compact’s Ten Principles on human rights, labor, environment, and anti-corruption.

Key highlights from Kempinski’s 2023 ESG Report include:

• Anti-Corruption Efforts: Kempinski fosters a culture of integrity and zero tolerance for corruption. The company has an anti-corruption policy that sets clear standards for ethical business practices, ensuring both internal and external stakeholders adhere. In 2023, no incidents of corruption or bribery were reported, and twenty-eight operations were assessed for corruption risk. Anti-corruption training was provided to all new employees.
• Child and Forced Labour: In 2023, Kempinski formalized its commitment to eradicating child and forced labor by issuing a companywide policy. Thirty-seven whistleblowing cases were reported and successfully resolved.
• Diversity and Inclusion: Kempinski’s workforce includes employees from 124 nationalities, with 84.3% being local nationals. Of the 19,200 employees in 2023, 38.7% were female, with this ratio consistent across job levels.
• Training: In 2023, Kempinski delivered over 175,000 hours of training, averaging 9.2 hours per employee per month.
• Climate Change: Kempinski focuses on reducing energy use and carbon emissions through sustainable buildings and energy efficiency. In 2023, seventy-seven hotels and residences (94%) reported energy and emission data, an increase from 82% in 2022. Energy use per guest night was 25.1% lower than in 2022, and emission intensity was reduced by 19% to 43.1 kg CO2-e per guest night.
• Waste Management: Kempinski aims to minimize waste through efficient resource use, emphasizing reuse and recycling to divert waste from landfills. In 2023, total waste and waste intensity per guest night declined by 20% and 19%, respectively. The elimination of plastic key cards at all hotels by 2026 is expected to save three tonnes of plastic. As of 2023, over half of Kempinski’s hotels have switched to wooden key cards, with a central policy to be issued in 2024 to formalize this transition.
• Water Conservation: Kempinski implements water-efficient technologies and practices, resulting in a 17% decline in water use intensity, marking the second consecutive annual decline.
• Biodiversity: Recognizing the interconnectedness of ecosystems, Kempinski has initiatives around protected areas and habitats with high biodiversity, such as coral reefs, mangroves, seagrass, and turtle nesting beaches in Seychelles and Mexico.

“As a global luxury hotel operator, Kempinski places sustainability at its heart, carefully  considering our impact on the communities in which we operate”, says Barbara Muckermann, Chief Executive Officer Kempinski Group. “While there is a guest expectation and a business responsibility to report our findings through our latest ESG Report, we are also driven by moral and ethical imperatives to look after our people and our planet. The progress made over the last three years since the inception of Kempinski’s Sustainability Committee is tremendous, however we recognize there is still much work to be done. We will continue to embed sustainability into every area of our company and drive positive change for all properties across the globe and throughout the hospitality industry at large.”