Introduction | Becoming People & Planet Positive | Stakeholder engagement | Sustainability governance | SDG index Sustainability governance Sustainability is an integrated part of our business Ethics and integrity • Read more about the Inter IKEA Group Raise a The IKEA Sustainability Report and the Climate Report and is led from a holistic perspective with an aligned The IKEA way of doing business is strongly rooted in Concern environment. summarise the combined performance of companies overall direction. Each part of the IKEA business operating within the IKEA franchise system and/ contributes to the total IKEA sustainability agenda. the IKEA values and culture – which is re昀氀ected in our In FY23, 129 concerns related to Inter IKEA Group were or in the IKEA value chain. These reports do not actions, decisions and behaviours. This behavioural reported. The majority of the concerns address any formal reporting requirement that may part is re昀氀ected in how we do business and how were reported in the supply operations, which have be applicable to companies covered in the report. we interact with each other, our business partners Strategic Sustainability Council and customers. The IKEA business requirements the most co-workers. Most cases reported concerned Inter IKEA Group will report under the EU Corporate The total IKEA sustainability direction (ambitions and cover a wide range of topics, including business either HR or business ethics related topics (e.g., Sustainability Reporting Directive when applicable in commitments) is set by the Strategic Sustainability ethics. Important documents covering business harassment, discrimination, leadership behaviour, FY26, for which preparations are ongoing. Council, hosted and led by Inter IKEA Systems requirements are: con昀氀ict of interest and bribery). 82% of the concerns raised were found to be (partly) substantiated, B.V., chaired by the CEO of Inter IKEA Group. It's • Code of conduct: for Inter IKEA Group co-workers leading to di昀昀erent disciplinary actions and process Read more comprised of representatives from Inter IKEA Group • IConduct: for IKEA franchisees and the franchisees to ensure alignment across improvements. For tax and 昀椀nancial compliance-related reporting, the IKEA franchise system while respecting their • IWAY: for IKEA suppliers and service providers please refer to company-speci昀椀c reports. Inter IKEA independence. Inter IKEA Group is committed to operating a Group publishes its reports on Inter.IKEA.com. Sustainability working groups, with experts from The Inter IKEA Group Code of Conduct, introduced in sustainable business with respect for human rights IKEA franchisees often issue their own reports, Inter IKEA Group and franchisees, discuss and align 2016, is undergoing a revision and is expected to and ensuring fair and safe working conditions in which may include both the IKEA business and other strategic initiatives to ful昀椀l the IKEA sustainability launch in FY24. It will be accompanied by wider our value chain. Our supplier code of conduct, IWAY, businesses. Please refer to these reports for more strategy. communication on ethics. The objective is to foster explains our expectations towards our business detailed information about each franchisee. an ethical workplace and to stimulate dialogue on partners thereon. One of the requirements in IWAY is ethical dilemmas. that our business partners should have a grievance Inter IKEA Group sustainability management mechanism in place for their workers. Inter IKEA Group sustainability management Raising a concern In FY23, Inter IKEA Group continued exploring the is responsible for aligning and developing The IKEA business promotes a culture of possibilities for setting up a grievance mechanism sustainability ambitions and commitments and inclusiveness, and everyone is encouraged and for the IKEA value chain so that workers can also reporting on performance. The group also provides should feel empowered to come forward and raise reach out to the IKEA business to raise a concern recommendations on strategic business decisions as last resort. We aim to ful昀椀l our commitments to with environmental and social impacts and prepares any concerns they might have. Inter IKEA Group o昀昀ers engage stakeholders and provide the means by which content and decisions for the Strategic Sustainability di昀昀erent options to raise concerns via our feedback culture, either by addressing the situation to the people can bring serious non-compliance issues with Council. person directly, with a manager or a People & Culture IWAY to our attention. A pilot is expected to start in colleague, or through the Raise a Concern FY24 in three selected markets to study how to best platform. communicate and operate the grievance mechanism. 58 - IKEA SUSTAINABILITY REPORT FY23