Sustainability
Recognizing that the impact of its operations extends beyond financial results, Grupo Gigante takes on the responsibility of managing natural resources responsibly, minimizing its environmental footprint, and, through Fundación Gigante, A.C., positively contributing to the social development of the communities where its various business units operate.
Sustainability not only reflects a strong business ethic but also responds to the growing expectations of consumers and other stakeholders who seek to support companies committed to sustainable business practices. In this context, the implementation of sustainable strategies not only strengthens Grupo Gigante’s reputation but also contributes to the long-term resilience of the business by adapting to a business environment that values social, environmental, and governance responsibility.
The importance of sustainability for Grupo Gigante, S.A.B. de C.V., lies in its “commitment to the long-term well-being of society and the environment in which it operates.”
General Sustainability Principles for Grupo Gigante S.A.B. of C.V.
Grupo Gigante is a signatory of the United Nations Global Compact, with the commitment to align its businesses and strategies with the ten principles and goals of sustainable development (SDG), in particular the principles related to human rights, labor standards, the environment and anti-corruption.
In terms of human rights, the Company is firmly committed to actively protecting and promoting the fundamental rights of all individuals involved in the value chain (employees, suppliers, and customers) of its various business units; constantly striving to create an environment where the dignity, equality, and freedom of every individual are respected, always in accordance with the applicable legislation of each country where it operates.
Therefore, in terms of (a) labor practices and (b) social and community practices, the Company:
(a.i) Rejects forced or compulsory labor, ensuring that the general conditions of employment for its employees are voluntary and that its business partners do not allow the use of forced labor, whether in the form of prison labor, unpaid labor, servitude, or any other type;
(a.ii) Respects children’s rights and rejects the use of child labor, promoting the defense and protection of children from any type of activity or work that may be dangerous or hinder their education;
(a.iii) Provides equal opportunities and treatment to eliminate discrimination and respect diversity;
(a.iv) Does not tolerate any form of discrimination based on race, color, gender, sexual orientation, gender identity, religion, political opinion, nationality, social origin, disability, age, or any other condition of individuals. It is determined to defend the human rights of every person, understanding that ignorance and inaction are not excuses for discrimination;
(a.v) Seeks to maintain a safe work environment, adhering to the highest standards of health and well-being and taking the necessary precautions to prevent injuries, occupational illnesses, and environmental incidents, in compliance with current regulations;
(a.vi) Advocates for fair and favorable working conditions, eliminating inhumane, degrading, or harassing treatment. It ensures that the remuneration of its employees meets basic needs and seeks to do business with suppliers who comply equally with these conditions;
(a.vii) Explicitly rejects any form of corporal punishment, threats of violence, or other forms of mental or physical coercion, considering any form of harassment or abuse a serious offense. It defines harassment as any offensive act, comment, or display that humiliates, insults, or causes embarrassment;
(a.viii) Has communication channels enabled to report any violations related to sustainability and/or the Code of Ethics and Conduct and/or the Supplier Code of Ethics and Conduct of the organization.
(b.i) Promotes activities to recognize and respect the importance of the culture, heritage, and traditional rights of indigenous peoples and vulnerable communities;
(b.ii) Ensures that all institutional and commercial communications are respectful and non-discriminatory; and
(b.iii) Promotes activities that help maintain a healthy, safe, and suitable environment for human development, understanding that environmental damage interferes with the enjoyment of human rights and that protecting the environment and promoting sustainable development contribute to those rights.
In terms of the environment, , Grupo Gigante fights against climate change and promotes respect for the environment and environmental responsibility among its employees, suppliers, and customers.
It also seeks to contribute to the development of the communities where its various business units carry out their operations and projects.
Grupo Gigante continuously seeks to improve the environmental performance of all activities, products, and services of its various business units, fostering synergies among them and promoting environmental responsibility and management.
Grupo Gigante’s Main Environmental Commitments Include:
(a) Contributing to the protection and care of the environment through preventive management of the environmental risks of its projects and operations, complying with current regulations;
(b) Complying with current legislation, international agreements, and commitments voluntarily subscribed to by the Company;
(c) Implementing management systems that include programs to ensure continuous commitment and improvement in environmental matters;
(d) Maintaining environmental certifications (when applicable);
(e) Efficient use of energy, water, and waste resources;
(f) Generating actions aimed at responsible and efficient management of energy and water consumption;
(g) Minimizing, as far as possible, the generation of waste, ensuring its proper disposal;
(h) Managing waste by promoting recycling and reuse;
(i) Maintaining established emission reduction targets;
(j) Continuously maintaining and reducing carbon emissions;
(k) Promoting the implementation of systems to improve the efficiency of facilities and reduce emissions in processes, developing initiatives, technologies, and efforts to help mitigate global warming and move towards a low-emission industry. It seeks to do business with suppliers who pursue these goals;
(l) Conducting risk analyses in terms of climate change;
(m) Developing training programs for the Company’s employees; and
(n) Developing internal campaigns involving the Company’s employees.
(o) Disclosing environmental initiatives through various platforms.
(p) Promoting circular economy strategies based on optimizing resource use, raw material consumption, and waste reduction and valorization;
(q) Encouraging efficient use of natural resources, seeking to improve and diversify towards greener and more environmentally friendly alternatives.
(r) Promoting the progressive increase of efficiency in the use of water and energy resources used in the Company’s business operations;
(s) Driving the implementation of energy management systems as a tool for continuous improvement in energy performance and promoting the acquisition of products, services, and raw materials that incorporate energy efficiency; and
(t) Applying innovation and new technologies in its management and seeking new sources.
(u) Promoting and encouraging the Company’s various business units to implement good biodiversity and ecosystem protection practices in their operations, in accordance with their nature, the impact of their activities, and applicable regulations;
(v) Protecting biodiversity, promoting the protection and conservation of endemic ecosystems; and
(x) Encouraging the sustainable management of forests and contributing to the protection of wooded areas against deforestation and illegal logging. It does not deforest or degrade forests and native vegetation, fostering their conservation.
Regarding anti-corruption, Grupo Gigante is convinced that, as explained in various presentations of the United Nations Global Compact, corruption is one of the greatest global challenges and one of the most significant obstacles to sustainable development due to its impact on poor communities and the structure of society in general. It hinders economic growth, distorts competitiveness, and generates significant legal and reputational risks.
For Grupo Gigante, compliance with anti-corruption regulations is one of its most important pillars governing the operations and projects of its various business units. Grupo Gigante has implemented Corporate Integrity Policies (anti-corruption), which are constantly disseminated and communicated to its employees through training courses and communication campaigns.
In terms of diversity, equity, and inclusion, Grupo Gigante recognizes the importance of inclusive and diverse participation of its governing entities and employees for optimal decision-making that helps develop and execute a strategy that promotes the success of the company for the benefit of its shareholders and other stakeholders. Is essential that its projects and operations include a mix of diverse skills, professional and industry backgrounds, geographic experience, gender, seniority, ethnic origin, and diversity of thought.
Valuing inclusion and diversity is one of the fundamental principles for Grupo Gigante, which applies to all its employees and suppliers, being an integral part of the organization’s Code of Ethics and Conduct.
Sustainability in Grupo Gigante’s corporate governance is supervised at the highest level by the Board of Directors of Grupo Gigante, S.A.B. de C.V., which plays an active role in integrating the management of material ESG risks and opportunities into the core business strategy, in line with the company’s vision and values.
The management team of the Company’s various business units is responsible for implementing the sustainability strategy and managing ESG risks and periodically updating the Board of Directors of Grupo Gigante, S.A.B. de C.V., on these issues. The Company’s Sustainability Committee was created in 2023 and is made of representatives from its various business units. The Committee meets quarterly.
The key points of the Sustainability Committee’s agenda during 2023 included: (i) reaffirming the sustainability vision and priorities for the organization, (ii) monitoring and evaluating the progress of the different sustainable initiatives and programs implemented; (iii) identifying opportunities for improvement in ESG, (iv) promoting a culture of sustainability; and (v) seeking external collaborations and partnerships in ESG.
At Grupo Gigante, sustainability is a strategic pillar of business management, and the actions of the Company’s employees must be guided by the sustainability principles described here, as well as the values established in the organization’s Code of Ethics and Conduct.
