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Estee Lauder

OVERALL

Owned
USA
Rating
Boycott

Personal care product manufacturer

Founded in 1946, today their products are available in over 135 countries. The founding Lauder family owns 87% of the company stock.

Estee Lauder Companies Inc.   USA     website   email   facebook   twitter

> About the Ratings

Company Assessment

PRAISE CRITICISM INFORMATION
Estee Lauder Companies Inc.
Environment Palm oil scorecard - WWF
This company received a score of 9 out of a possible total of 9 in the WWF Palm Oil Buyers' Scorecard 2016, which rates companies on what they are - and aren't - doing to prevent the negative environmental and social impacts of palm oil production.
[Source 2016][More on Palm Oil]
Environment CDP Climate Change Score of B
In 2018, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change Score of B.
[Source 2018][More on Climate Change]
Social 100% on Corporate Equality Index
This company is listed as having best practice on a report card on lesbian, gay, bisexual and transgender equality in corporate America.
[Source 2019][More on Workers Rights]
Business Ethics 61.9% in Newsweek Green Ranking 2017
This company received a score of 61.9/100 in the Newsweek Green Ranking 2017, which ranks the world's largest publicly traded companies on eight indicators covering energy, greenhouse gases, water, waste, fines and penalties, linking executive pay to sustainability targets, board-level committee oversight of environmental issues and third-party audits. Ranking methodology by Corporate Knights and HIP Investor.
[Source 2017][More on Sustainability Reporting]
Environment Microbeads scorecard
In 2016 Greenpeace East Asia ranked the world's 30 biggest personal care companies on their commitment to eliminating microbeads from their personal care products. The scorecard was based on four main criteria: commitment & transparency, definition, deadline and global application. This company was one of the lowest ranked. Microbeads are not retained by wastewater treatment and end up in the ocean where they are a threat to the marine environment.
[Source 2016][More on Oceans]
Environment Palm oil scorecard - RFUK
Ethical Consumer has ranked companies' practices and policies in relation to their palm oil sourcing for the Rainforest Foundation/Ethical Consumer palm oil campaign. This company received a 'red' rating.
[Source 2016][More on Palm Oil]
Social Conflict minerals rating
As You Sow's 2018 report, Mining the Disclosures, is a deep analysis of 206 companies' human rights performance in relation to sourcing conflict minerals from the Democratic Republic of the Congo (DRC). This company's score was below 40% (Weak).
[Source 2018][More on Human Rights]
Animals Animal Testing
This company appears on PETA's (People for the Ethical Treatment of Animals, USA) 'Companies That Do Test On Animals' list, signifying that they manufacture products that are tested on animals at some stage of development.
[Source 2018][More on Animal Testing]
Business Ethics 'E' rating at rankabrand.org
Rank a Brand searches the websites of brands for the answers to carefully targeted questions. From this they calculate sustainability scores based on the themes of environment, climate, labor issues, and transparency. Brands owned by this company received an 'E', the lowest possible score.
[Source 2017][More on Sustainability Reporting]
Environment Palm oil scorecard - UCS
The Union of Concerned Scientists' 2015 Palm Oil Scorecard scores America's top brands on their commitments to use deforestation-free palm oil. This company received a score of 28.3/100, signifying little commitment.
[Source 2015][More on Palm Oil]
Social Nanoparticles in cosmetics
Testing commissioned by Friends of the Earth Australia found nanoparticles in foundations and concealers sold by Estee Lauder.
[Source 2009][More on Product Safety]
Business Ethics Price fixing in Greece
In 2017 Greece's competition watchdog fined six leading cosmetics firms, including Christian Dior, Estee Lauder and L'Oreal 19 million euros for distorting competition. This company's Greek branch was fined 5.4 million euros.
[Source 2017][More on Governance]
Business Ethics Excessive CEO pay
As You Sow's 2018 report, 'The 100 Most Overpaid CEOs', reveals the 100 most overpaid CEOs from USA's 500 largest public companies (as determined by the S&P 500 list). This company's CEO, Fabrizio Freda came in at number 17 on the list, having been paid US$48,369,401 in 2017. According to the report, "Most CEOs have come to be grossly overpaid, and that overpayment is harmful to the companies, the shareholders, the customers, the other employees, the economy, and society as a whole."
[Source 2018][More on Finance]
Business Ethics Tax avoidance
This company scores Ethical Consumer's worst rating for the likely use of tax avoidance strategies, and has at least two high risk subsidiaries in tax havens.
[Source 2018][More on Finance]
Business Ethics 23/100 SAM Rank
This company received a SAM Rank of 23/100 in the Personal Products category of the 2018 SAM Corporate Sustainability Assessment. The index is based on an analysis of corporate economic, environmental and social performance, assessing issues such as corporate governance, risk management, environmental reporting, climate strategy, human rights and labour practices.
[Source 2018][More on Sustainability Reporting]
Environment Use of plastic microbeads
This company uses microbeads in some of its personal care products. These particles are not retained by wastewater treatment so end up in the ocean. While microbeads aren't thought to be a health hazard to consumers, they are a threat to the marine environment.
[Source 2014][More on Oceans]
Business Ethics Price fixing
In 2005, Estee Lauder and other major cosmetics manufacturers and retailers announced they would give away $175 million in products to settle a class-action lawsuit accusing the companies of price fixing. [Listed under information due to age of court date]
[Source 2005][More on Governance]
Business Ethics Price fixing in France
In Jan 2012 a Paris appeals court upheld a 40 million euro fine imposed in 2006 by the French competition watchdog, which said the companies involved had reached illicit agreements on price fixing, enforced by procedures to monitor prices in outlets and backed up by commercial threats for non-compliance. Thirteen leading perfume and luxury goods companies were fined.
[Source 2012][More on Governance]
Environment Climate action commitments
As listed on the We Mean Business website, this company has committed to the following climate action initiatives: commit to 100% renewable power.
[Source 2017][More on Climate Change]
Social Action on mica mining in India
This company claims to source less than 10 per cent of its mica from India, but was working with a local community organisation to eliminate child labour. Estee Lauder has partnered with Indian NGO Bachpan Bachao Andolan (BBA) since 2006, to promote access to education as an approach to work towards the elimination of child labour in mica-sourcing communities.
[Source 2014][More on Workers Rights]
Social Gender equality
This company was included in Bloomberg's 2019 Gender-Equality Index, a list of 230 companies committed to transparency in gender reporting and advancing women's equality in the workplace.
[Source 2019][More on Human Rights]
Business Ethics Sustainable Brands member
This company is a Bronze Member of the Sustainable Brands Network, the leading peer to peer, learning and networking group designed to support brands in meeting their sustainability goals and ultimately become those leaders of the next sustainable economy.
[Source 2018][More on Multi-Stakeholder Initiatives]
Business Ethics Circular Economy 100 member
This company is a member of the Circular Economy 100 (CE100) Network, a multi-stakeholder platform run by the Ellen MacArthur Foundation. The CE100 is the world's leading circular economy network, and facilitates market making by providing collaborative and pre-competitive opportunities which bring together business, innovators, cities and governments, universities, and thought leaders.
[Source 2019][More on Multi-Stakeholder Initiatives]
Business Ethics GC3 member (Green Chemistry)
This company is a member of the Green Chemistry and Commerce Council (GC3), a business-to-business forum that advances the application of green chemistry and design for environment across supply chains. It provides an open forum for cross-sectoral collaboration to share information and experiences about the challenges to and opportunities for safer chemicals and products.
[Source 2019][More on Multi-Stakeholder Initiatives]
Business Ethics Responsible Mica Initiative member
This company is a member of the Responsible Mica Initiative, a Do-Tank which aims to eradicate child labour and unacceptable working conditions in the Indian mica supply chain by joining forces across industries.
[Source 2017][More on Multi-Stakeholder Initiatives]
Environment Commitment to zero deforestation 3/5
The Forest 500 identifies, ranks, and tracks the governments, companies and financial institutions worldwide that together could virtually eradicate tropical deforestation. Rankings are based on their public policies and commitments and potential impacts on tropical forests in the context of forest risk commodities (palm oil, soya, beef, leather, timber, and pulp and paper). This company received a score of 3/5.
[Source 2018][More on Forests]
Social Modern Slavery statement
California, the UK and Australia have all enacted legislation requiring companies operating within their borders to disclose their efforts to eradicate modern slavery from their operations and supply chains. Follow the link to see this company's disclosure statement.
[Source 2016][More on Human Rights]
Social Skin Deep hazard scores
Skin Deep is an online safety guide to cosmetics and personal care products and their potential hazards and health concerns, with over 75,000 products rated from 1 (low hazard) to 10 (high hazard).
[Source 2019][More on Product Safety]
Business Ethics Political boycott
Call to boycott by BDS due to involvement in Israel. [This assessment has not been used in calculation of ratings].
[Source 2009][More on Politics]
Information OpenSecrets.org profile
OpenSecrets.org tracks the influence of money on U.S. politics, and how that money affects policy and citizens' lives. Follow link to see this company's record of political donations, lobbying, outside spending and more.
[Source 2014]

> About the Icons

Company Details

Company Structure Public company
Revenue US$11 billion in 2014
# Employees 42,400 in 2014
Subsidiaries Aveda Corporation
  - Aveda Pty Ltd
Estee Lauder Pty Ltd
BECCA Inc
Too Faced Cosmetics LLC
Deciem Inc (28% owned)

Contact Details

Address 767 Fifth Ave, New York, NY, USA
Website www.elcompanies.com

Products / Brands

Aveda Australia
Aveda Cosmetics
Aveda Skin Care

Estee Lauder Australia
Aramis Fragrances
Bobbi Brown Cosmetics
Clinique Cosmetics
Clinique Skin Care
DKNY Fragrances
Estee Lauder Cosmetics
Estee Lauder Fragrances
mac Cosmetics
Michael Kors Fragrances
Missoni Fragrances
Smashbox Cosmetics
Tom Ford Beauty Fragrances
Tom Ford Beauty Cosmetics
Tommy Hilfiger Fragrances

BECCA Cosmetics
Becca Cosmetics

Too Faced Cosmetics
Too Faced Cosmetics

Deciem (28% owned)
The Ordinary Skin Care


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