LONDON - Wickes Group PLC (LSE:LON:WIX), a prominent home improvement retailer, has confirmed the environmental, social, and governance (ESG) targets tied to its Long-Term Incentive Plans (LTIPs) for 2023 and 2024. The company, which has previously committed to establishing clear ESG benchmarks, made the announcement earlier today.
The ESG targets for the 2023 LTIP, which carry a 10% weighting, remain unchanged from the previous year, as detailed on page 110 of the 2022 Annual Report and Accounts. These targets were upheld following a comprehensive review and rebaselining of the company's Science Based Targets outlined on page 48 of the 2023 Annual Report and Accounts.
For the 2024 LTIP, also with a 10% weighting, Wickes has shifted its performance assessment strategy. The company has decided to measure executive performance based on absolute carbon emissions rather than relative performance to a baseline. This move reflects an evolving approach to carbon accounting and ongoing changes within the business.
The 2024 LTIP ESG target is specifically focused on the reduction of greenhouse gas emissions from scope 1 and scope 2 activities, which are areas where the company believes it has the most control and influence. The target for financial year 2026 is set at a threshold of 15,879 tonnes of carbon dioxide equivalent (tCO2e) for a 20% vesting, and a maximum vesting at 15,257 tCO2e.
Wickes' revised approach to forecasting emissions supports this decarbonisation plan, reflecting a commitment to more accurately track and reduce its environmental footprint. Further details on the rebaselining process and its implications will be provided in the 2024 Annual Report.
This confirmation of ESG targets demonstrates Wickes' dedication to integrating sustainability into its core business strategy and executive compensation. It aligns with a broader corporate trend of accountability for environmental impact, as companies worldwide face increasing pressure to act on climate change.
The information is based on a press release statement from Wickes Group PLC.
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