- ESG / Sustainability
Recruit Holdings' Near-Term GHG Target Validated by the SBTi
Jun 2, 2023 | Recruit Holdings Co., Ltd.
Recruit Holding's near-term greenhouse gas (GHG) reduction target has been validated by the Science Based Targets initiative (SBTi), confirming that it is in line with the goal of limiting global warming to 1.5°C*1 .
About the SBTi
The Science Based Targets initiative (SBTi) was founded in 2015 and is a partnership between CDP, the United Nations Global Compact (UNGC), World Resources Institute (WRI), and the World Wide Fund for Nature (WWF). The initiative uses science-based criteria to verify and validate whether GHG reduction targets set by companies align with the Paris Agreement's goals to limit global warming to 1.5°C above pre-industrial levels.
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Validated GHG reduction targets
Scope 1+2*2 : Reduce GHG emissions by 46.2% by FY2030*3 (base year: FY2019)
Scope 3*2: Reduce GHG emissions by 30% by FY2030 (base year: FY 2019)
About Recruit Group’s Initiatives for Climate Action
We believe that the viability of all corporate activities hinges upon the health of the global environment — the fundamental basis for all existence. To this end, we are striving to reduce greenhouse gas emissions to combat climate change. By promoting energy conservation in offices and switching to renewable energy power plans, we anticipate achieving carbon neutrality throughout our business activities in both FY2021 and FY2022. These are part of our efforts to realize our short-term goals of reducing GHG emissions.
To reduce GHG emissions*2 throughout the value chain, we are encouraging remote working to reduce emissions from commuting, and we are also collaborating with partner companies to develop visual emission-related data. In recognition of our collaborative efforts to reduce Scope 3 emissions, which account for more than 90% of our group's GHG emissions, we were rated as a top company on CDP's*4 Supplier Engagement Rating (SER) in both 2021 and 2022.
We have also set a three-year GHG reduction target*5, linking the achievement of these targets to a portion of the long-term incentive compensation*6 for the executive directors and corporate officers in charge of promoting and realizing these ESG goals.
*1 This is a short-term target defined by the Science Based Targets initiative (SBTi) and established in line with the science-based GHG emission reduction levels required to limit global warming to 1.5°C above pre-industrial levels.
*2 Greenhouse gas (GHG) emissions throughout our business activities are the sum of direct emissions from the use of fuels in owned or controlled sources and are referred to as Scope 1. Indirect emissions from the use of purchased electricity, heat, or steam in owned or controlled sources are referred to as Scope 2. GHG emissions from the value chain are referred to as Scope 3, and comprise indirect emissions other than Scope 1 and 2. The entire value chain represents the sum of Scopes 1, 2 and 3 GHG emissions.
*3 In this press release, the term “FY” refers to Recruit Holdings’ fiscal year, and references to “FY” are to 12-month periods commencing in each case on April 1 of the year indicated and ending on March 31 of the following year.
*4 CDP is a British charity-controlled non-governmental organization (NGO) established in 2000. It owns one of the world's largest environmental databases, working with large global financial institutions to disclose the environmental impact of companies.
*5 GHG emission reduction targets for actual emissions from FY2022 to FY2024. For Scope 2, we consider the actual emissions before applying the Energy Attribute Certification procured by our company. Energy Attribute Certificates indicate the environmental value of renewable energy and are reflected in Scope 2 in accordance with the Greenhouse Gas Protocol, which establishes global standards to measure and manage emissions.
*6 Compensation based on ESG target achievements is set as a part of board incentive plan (BIP) trust (stock) compensation. Eligibility to receive this compensation and the payout amount will depend on whether or not the three-year target is achieved.
About Recruit Group
Recruit Group is a global technology company transforming the world of work. We do so by simplifying hiring, helping businesses work smarter, and delivering sustainable growth while creating equitable social impact that enables everyone to prosper together. Operating in more than 60 countries, with key subsidiaries including Indeed, Glassdoor, and its worldwide staffing business, Recruit Group offers talent matching and hiring platforms that drive meaningful connections between job seekers and employers. In Japan, Recruit Group is also focused on streamlining business essentials from sourcing to marketing through its cloud-based smart solutions including matching platforms and SaaS.
Founded in 1960 in Tokyo, Japan, Recruit Group’s mission is to create opportunities for life. We are focused on continued innovation that better matches individuals and businesses around the world in a faster, simpler, and more human way.