Approach

At PepsiCo, our Global Environment, Health, and Safety (EHS) function strives to achieve a ‘Beyond Zero’ vision which, supported by our EHS strategy, aims to realize an injury-free workplace and a culture of positive impact on the health and well-being of our employees and the environment.

Our EHS Strategy is defined and supported by the Global EHS team, with sector EHS teams executing the strategy to reduce risk and drive continuous improvements.

PepsiCo’s system of risk management is designed to reduce environmental incidents and occupational injuries and illnesses. Our EHS Policy formally establishes our focus on environmental protection and occupational health and safety at every level.

Health and Safety Management

A key component of the overall risk management strategy is the implementation of a robust Global EHS Management System (GEHSMS), a thorough set of management and technical standards for key EHS risk areas across our business. To ensure best practice health and safety practices, we are working toward certifying all company-owned sites to the ISO 45001 Occupational Health and Safety Standard.

To help protect our employees from injuries, we identify high risk areas and invest in a wide range of technological solutions and awareness-raising initiatives. We leverage fleet telematics and distracted driving technology with an aim to reduce road traffic accidents. For machine safety, we use virtual design reviews and augmented reality to conduct technical risk assessments to ensure all physical and safety awareness measures are installed. We also invested in ergonomic wearables to address posture behaviors to help reduce ergonomic risk for our associates. Additionally, we utilize hands-free remote collaboration tools to conduct virtual audits and inspections.

Environmental Management

In addition to our internal program, we are pursuing the ISO 14001 Environmental Management Systems Standard for all company-owned sites.

We proactively monitor current and emerging environmental protection legislation and other areas of concerns across our value chain, and follow a risk-based approach leveraging our GEHSMS and focusing on the following key areas:

Prevention and control of spills: Our goal is to prevent all spills and associated environmental releases. In the event that spills occur, locations respond in accordance with internal standards and applicable state, federal or provincial regulations. Sites develop and implement a Spill Prevention and Response Plan (SPRP), which includes best management practices to help prevent, respond to, and minimize the risks associated with spills of chemicals, hazardous substances (which can include ingredients), oils, and petroleum products.

Elimination and management of waste: We are striving to achieve virtually zero waste to landfill in our direct operations^[1]. Our goal is a global one, but we approach each site with a tailored approach that takes into account local infrastructure and the greatest opportunities for improvement.

Reduction and control of air emissions: PepsiCo has established a GEHSMS Air Quality Management Standard to define minimum requirements and best management practices to ensure that each applicable PepsiCo facility and selling operation complies with applicable air regulations and applies risk management practices to reduce impacts on human health and the environment.

Minimization, control, and reuse of wastewater discharges: Within PepsiCo's GEHSMS, our Discharge of Process Wastewater technical standard is aligned with the World Bank’s International Finance Council and Business for Social Responsibility’s Sustainable Water Group. Our global wastewater standard formalizes the expectation that wastewater discharged from company-owned and operated facilities will:

• Meet applicable regulatory requirements;
• Be conducted in an efficient, safe and responsible manner; and
• Maintain an effluent quality that does not cause degradation of local water quality.

Access to safe sanitation and hygiene (WASH): Our business depends on the thousands of dedicated employees in our manufacturing sites who ensure the safety and quality of our products, and we in turn are committed to ensuring safe conditions for them. Critical to this is the provision of employees’ access to safe water, sanitation, and hygiene (WASH). This is aligned with our participation in the World Business Council for Sustainable Development’s (WBCSD) WASH in the workplace pledge, which PepsiCo signed in 2015.

Safe chemical use, storage, and disposal: PepsiCo defines the compliance obligations for safe use, storage and disposal in our GEHSMS policies. Our goal is to protect our workforce from injury and prevent accidental releases related to the storage, use, and management of chemicals. This includes chemical selection, approval, use, handling, storage, transportation, employee training, and hazard communication.

Understanding and managing emerging environmental legislation and aspects: Compliance with applicable legislation is an expectation of PepsiCo stakeholders, a core part of the PepsiCo EHS Policy, and a fundamental element of our GEHSMS.

Progress

Health and Safety

We aim to achieve world-class health and safety performance and at the end of 2020, 79 percent of company-owned sites had achieved ISO 45001 certification. In 2020, PepsiCo had more than 12 percent fewer lost time incidents (LTI) across the business, compared to 2019, reducing our lost time incident rate (LTIR) to 1.99 per million hours worked.

Throughout 2020 we focused on keeping our employees safe by developing and implementing consistent COVID-19 protocols, based on the guidance of our Scientific Advisory Committee. For more on our pandemic response, see PepsiCo’s dedicated COVID-19 page, here.

Environmental Protection

As of the end of 2020, 79 percent of our sites had achieved ISO 14001 certification. Our performance against our key focus areas was as follows:

Prevention and control of spills: In 2020, we continued to strive for prevention of all spills, and if they occur, our  program ensures adherence to applicable laws and regulations and best management practices for responding to, and minimizing the associated risks of spills. PepsiCo’s spill program also includes requirements for site-level spill risk analysis, operator training, communicating all reportable incidents to PepsiCo and the relevant agencies, and completing follow-up actions.

Elimination and management of waste: PepsiCo strives to send virtually zero waste to landfill as a result of its manufacturing operations. For more on our efforts and performance on operational waste reduction, see Waste.

Reduction and control of air emissions: In 2020, PepsiCo developed and launched a computer-based employee training module to help associates in our plants understand how they can help to minimize air emissions from manufacturing operations.

Minimization, control, and reuse of wastewater discharges: Responsible wastewater discharge from our manufacturing operations is a critical element of achieving positive water impact. For PepsiCo, adhering to this goal is vital to the continuity of our manufacturing operations, as it helps ensure that we maintain our license to operate in local communities. In 2020, nearly 99% of the wastewater from our manufacturing operations met PepsiCo and regulatory discharge standards.

Access to safe sanitation and hygiene (WASH): By the end of 2020, our manufacturing facilities' WASH conformance was at 99 percent, up from 97 percent in 2019.

Safe chemical use, storage, and disposal: In 2020, our efforts continued to ensure that chemicals are safety used, stored, and properly disposed of in all relevant aspects of our operations.

Understanding and managing emerging environmental legislation and aspects: As environmental legislation emerges and evolves, we continue to work closely with internal and external partners around the world to stay abreast of all developments and compliant with all applicable regulations.

Strategic Partnerships

PepsiCo continues to collaborate with industry leading multi-national corporations to align private sector goals with the United Nations’ Decade of Action for Road Safety to improve road safety through our membership with Together for Safer Roads (TSR) Coalition.

To follow through on our commitment to water stewardship, we have partnered with the Business for Social Responsibility (BSR) Sustainable Water Group. Further, we collaborate with WASH in the workplace – an organization focused on bringing water access to communities.

What's Next?

As COVID-19 continues to impact our lives, we are taking proactive steps grounded in science to protect the safety of our products, care for more than 280,000 employees and their families, and support our communities around the world.

We are practicing social distancing at all our facilities around the world and have asked all PepsiCo associates who have the option, to work from home, and those who do not are adhering to social distancing guidelines from local and federal governments.

Global health agencies have made clear the most effective thing we can do to fight COVID-19 is to practice good hygiene, and we are taking this advice very seriously. We have increased cleaning frequency at all facilities globally and re-emphasized the importance of proper handwashing. Additionally, we are expanding the availability of hand sanitizer in our facilities, separating workstations, and providing masks for all of our frontline employees.

With safe and highly effective vaccines now available across the U.S., we have a clear path to ending the pandemic. The only way we will cross the finish line is if enough people get vaccinated. That’s why PepsiCo launched its internal #BecauseICare campaign and urging all eligible associates to get vaccinated. #BecauseICare is about continuing to do all we can to keep each other safe. By washing our hands, practicing social distancing, wearing a mask and now getting vaccinated, we are making the world around us safer and showing that we care.

For more on our pandemic response, see PepsiCo’s dedicated COVID-19 page, here.

^{1Virtually zero waste to landfill means that an organization achieved a landfill diversion rate of 98% or greater. PepsiCo aims to reach a 99% diversion rate by 2025 in its direct operations.}