Schnitzer is committed to transparent and timely disclosure of its environmental, social, and governance (ESG) impacts and policies.
In 2018, we conducted a Sustainability Materiality Assessment (SMA) to identify, analyze, and act on environmental, social, and economic dimensions that may have significant impacts on Schnitzer and its stakeholders. Our key stakeholder groups include current and future employees, shareholders, regulators, local communities, customers, suppliers, and relevant non-profit associations. Combining surveys, meetings, a review of publicly available information regarding our industry sector, and internal stakeholder interviews, we assessed the importance to Schnitzer and importance to stakeholders of various sustainability-related issues.
Results were averaged and plotted to identify the relative importance of each issue. The insights gained from our SMA help guide our sustainability strategy and communications, including this Sustainability Report, and our sustainability goals.
Our top issues are:
Diversity, inclusion, and equal opportunity
Occupational health and safety
Supporting and engaging local communities
Career development and job security
Compliance with competition laws
Energy consumption and reduction
About This Report
This is Schnitzer’s sixth Sustainability Report, covering Fiscal Year 2019, which ended August 31, 2019. It includes relevant updates and metrics within our two operating and reportable segments: the Auto and Metals Recycling (AMR) and the Cascade Steel and Scrap (CSS) businesses.
Since 2014, we have engaged Trucost (part of S&P Global) to provide assurance of selected environmental data, including greenhouse gas emissions, water withdrawal, and waste generated. Trucost undertook this assurance in accordance with AA1000AS (2008) Type 2 moderate-level assurance.
Circumstances may arise in which restatement of data from previous sustainability reports is appropriate. For example, this may be due to, among other things, reconciliation of source data, updates in conversion factors, internal methodology changes, or changes in overall reporting scope. Restatements promote the transparency of our reporting and enable a more accurate assessment of Schnitzer’s progress on its key performance indicators. Even though the restatements do not significantly impact our historic sustainability performance, by retrospectively updating previous figures, we expect that our year-over-year data will remain more consistent over time. Throughout our report, any restatements of previous-year data will be noted.
Other non-financial disclosures
As a participant in the Carbon Disclosure Project (CDP) over the past three years, Schnitzer is committed to voluntary disclosures of relevant climate change and water security-related information on our governance, risks and opportunities, business strategy, targets and performance, GHG emissions, energy use, water consumption, and stakeholder engagement.
As of 2019, Schnitzer Steel Industries received an MSCI ESG Rating of AA, putting us in the top 10 percent within our industry. The evaluation noted Schnitzer’s less carbon-intensive business lines relative to peers, carbon intensity 96% lower than industry average, low toxic emissions and waste intensities, and less water-intensive operations relative to peers, as well as our representation of women on our Board of Directors. And highest overall ESG rating among our industry peers.
Additionally, in 2019, Schnitzer began reporting on relevant disclosures of the Sustainability Accounting Standards Board (SASB) framework for our Primary SICS Sector (Extractives & Minerals Processing) and Primary SICS Industry (Iron & Steel Producers).