Introduction | Becoming People & Planet Positive | Stakeholder engagement | Sustainability governance | SDG index Healthy & sustainable living - Our circularity agenda - Our climate agenda - Regenerating resources - Fair & equal - IWAY Commitments and goals FY23 summary of progress Being a responsible business and contributing to everyone in the IKEA value chain. Securing a just During FY23, our focus has been to create The responsible recruitment of migrant workers resilient societies transition to a net-zero and circular economy with a clarity and connections between our continues to be a particularly critical area of focus. • Respecting human rights and children’s rights by focus on enabling decent work through, for example, overall goals and commitments, and During FY23, the IKEA business collaborated with the operationalising the UN Guiding Principles on Business upskilling and reskilling to meet future demands. develop the actions needed to get us International Organization for Migration (IOM) on and Human Rights and the Children’s Rights and • Providing and promoting that everyone in the IKEA there. a project concerning the human rights of migrant Business Principles, ensuring we address the most value chain is empowered to play an active role in their workers (page 51). critical human rights risks and impacts across our value work. Everyone is free to join or form associations of IKEA touches the lives of millions around the world and chain. We also commit to promoting human rights and their choice (or to refrain from doing so) and bargain has long promised to stand by the side of the many We also continued our work around responsible wage children’s rights in society. collectively. people. In FY23, building on more than 20 years of IWAY, practices, by introducing our methodology to all parts • Ensuring ethical business practices, including • Providing and promoting that everyone in the IKEA our supplier code of conduct (page 55), we worked on of the business, including IKEA franchisees. We are now combating corruption, securing ethical handing of data value chain is recruited in a responsible way and free to developing an additional performance framework to assessing and identifying gaps related to responsible and digital technologies, complying with corporate tax enter into and terminate employment. strengthen our impact and support the implementation wage practices and will develop a roadmap to close policies, and being transparent about taxes paid. Read of our updated Fair & equal commitments. The them (page 50). more in our Inter IKEA Group Tax Report FY23. framework re昀氀ects our strategic goals and aligns In FY23, we launched an updated People Strategy, • Securing a strong approach in relation to climate, Being an equal, diverse and inclusive business with the newly adopted Corporate Sustainability Due strengthening the equality, diversity and inclusion health, political and social justice crises to secure the • Embracing all dimensions of human diversity and Diligence Directive (CSDDD), which requires companies (ED&I) direction and ambition across all IKEA to undertake due diligence on global operations safety, livelihoods and resilience of our co-workers and striving to re昀氀ect the demographics of the societies businesses. With "An Inclusive IKEA" as one of three partners across our value chain. in which we operate. Actively working to prevent regarding human rights, labour laws and environmental commitments (page 49). focus areas, we're developing ED&I competences and • Engaging with communities building on our role as a discrimination and ensuring equality in opportunity creating the preconditions for ED&I topics to drive our home furnishing business and leader in life at home to and treatment. people processes. create a positive social impact. • Promoting accessible and inclusive workplaces, both in Through internal and external interviews, research structure and culture, where people can be themselves on good practices, relevant standards and processes, and their voices are heard. partnerships, strategic goals, KPIs and impact Providing and supporting decent and meaningful work measurement, we have been exploring priority topics to across the IKEA value chain • Being a child-friendly business, securing child incorporate into the framework. safeguarding, family-friendly practices, and inclusion • Providing living wages and income in IKEA operations and empowerment of children and youth. We are committed to providing and supporting decent and supporting the same among our business partners • Securing a more inclusive and diverse IKEA value chain and meaningful work for all workers across our and in the wider sectors of which we are a part. by integrating social businesses, minority-owned value chain. We have taken many actions to better • Providing and supporting safe and healthy work, enterprises and small and medium-sized enterprises. understand the needs of drivers and seafarers, and labour rights, and social protection and striving have identi昀椀ed multiple opportunities to improve towards securing stable and predictable work for working conditions in the coming years (page 49). 47 - IKEA SUSTAINABILITY REPORT FY23