Yelp : ESG Report

ESG Report 2024

2024 ESG Report

A Letter From Our CEO

Welcome to Yelp's 2024 ESG Report - a reflection of our journey toward creating a more sustainable, equitable, and inclusive future. We approach our goals with openness and a readiness to learn and adapt. This year, we're excited to share our progress toward our ambitious goal of achieving net zero by 2031, our efforts to foster a diverse, inclusive workplace, and our initiatives to provide unparalleled value to businesses and consumers.

Our vibrant community of consumers - people who rely on us to provide trustworthy, reliable information to make everyday spending decisions - is at the core of everything we do. Since our last report, we've launched a number of new features to enhance the experience for consumers and business owners, including improved search powered by large language models and applying artificial intelligence to increase advertising value. In addition to facilitating easier connections across our marketplace, we are also leveraging advancements in LLM technology to better detect inappropriate content at scale, helping maintain an environment where everyone feels welcome and respected.

This commitment to fostering connection extends to our workplace culture. Operating as a fully remote company has not only helped to reduce our environmental impact but also enhanced employee engagement. In 2023,

90% of respondents to our annual survey of employees reported effective collaboration remotely, and 96% felt supported by an inclusive environment promoted by both their managers and Yelp as a company.

Although remote work has proven beneficial for both our employee experience and company performance, it also presents added complexity for direct reductions in carbon emissions, since our environmental impact is distributed across thousands of households and diverse geographies. To address these challenges, we're pursuing employee education and diving deeper into understanding our suppliers' carbon emissions.

We're also working to advance our 2031 goal to achieve net zero by engaging in a five-year investment to help develop five new small-scale solar facilities in Michigan through a virtual power purchase agreement. By supporting the construction of these renewable power projects, we expect to offset approximately 1,000 pounds of CO2/ MWh once the facilities come online - for comparison, this equates to more carbon dioxide in a year than our total electricity emissions for North America in 2023. Based on our current expectations, we believe this output will offset substantially all of the electricity emissions of both our offices and our remote work employees in North America for the five-year duration of our investment. These steps mark just the beginning of our efforts to create a meaningful reduction in our carbon footprint as we navigate how to substantively reduce our impact.

Thank you for your continued support and interest in Yelp's ESG journey.

Jeremy Stoppelman

Co-Founder and Chief Executive Officer, Yelp

2024 ESG Report

Table of Contents

About Yelp	3	Environmental Commitment	23
ESG Priorities and Impact	5	Reducing Our Carbon Footprint	24
Fostering Community	7	Transparency	26
Ethics	27
Diversity, Inclusion, and Belonging	8
Corporate Governance	28
Employee Experience	11
Management Approach	30
Yelp Foundation	14
Operating Responsibly	15	About This Report	36
Forward-Looking Statements	36
Content Trust and Safety	16
Data, Privacy, and Security	19
Providing Value to Businesses
and Consumers	20

2024 ESG Report

About Yelp

Yelp Inc. was founded 20 years ago as a community-driven platform that connects people with great local businesses. As a one-stop local platform, Yelp's high-quality, trusted content gives consumers the confidence to make informed choices about everyday services and experiences.

Reflecting our values, Yelp has long been committed to being a positive force in the world, and our commitment to transparency around Environmental, Social, and Governance (ESG) reporting is an extension of these values. As we've grown, our platform has allowed us to advocate for consumer privacy, free and fair competition on the internet, and free speech. We help businesses on our platform demonstrate their commitment to sustainability, inclusivity, and diversity, and help values-minded consumers find impact-driven local businesses.

Learn more at www.yelp.com.

Our Values

Our mission today is the same as the day we started: To connect people with great local businesses. We also strive to be a place where our employees love to work. Our distinct set of values is the backbone of our corporate culture. These values aren't just words, they're guideposts for goal-settingand measuring sticks for success. They help us show up in the best way for our stakeholders, including our employees, consumers, business owners, investors, and communities.

Our core values are key to our success as a business and as an employer.

Our

Values

Be Tenacious

Battle smart and fight 'til the end. Live for the underdog moments. Turn mistakes into opportunities to learn.

Authenticity

Tell the truth. Be straightforward. Over communicate. No need to spin things.

Play Well

With Others

Treat others with respect. Value diversity in viewpoints. Bring a positive attitude to the table.

Be Unboring

Never settle for standard. Creativity over conformity. Be your remarkable self.

Protect the Source

Community and consumers come first. If we don't maintain consumer trust, we won't have anything to offer local businesses.

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2024 ESG Report

By the Numbers

4,700+

Yelp employees live in

6 countries

worldwide, including

49 U.S. states*

Key Moments

74 million	7.1 million
unique visitors on	active claimed
desktop and mobile**	local business locations***
$1.34 billion	287 million
in revenue in 2023, a 12%	cumulative reviews
	****
year-over-year increase

Since our last ESG Report, Yelp has found new ways to support our employees and broader user community.

April 2023

Yelp introduced more than a dozen new product updates, including an enhanced search experience that leverages artificial intelligence (AI), including large language models (LLMs), as well as Yelp Guaranteed, a satisfaction guarantee program that offers Request a Quote users peace of mind when hiring eligible home service professionals.

Yelp released its second ESG Report, sharing its goal to reach net zero by 2031.

June 2023

Continuing its commitment to remote work, Yelp closed offices in Phoenix, Arizona and Hamburg, Germany.

September 2023

Yelp released its 2022 Diversity Report, highlighting the company's work in cultivating an environment where employees can be their whole professional selves.

Yelp published an index ofCompensated and Suspicious Activity Consumer Alertsto further alert consumers of businesses that have engaged in deceptive behavior.

January 2024

Yelp released more than 20 new updates, including AI-powered business summaries, review recognitions, a new visual home feed, services experience updates, and a revamped business owner experience.

February 2024

Yelp delivered one of its strongest financial performances ever in 2023, reporting $1.34 billion in net revenue.

Yelp released its 2023 Trust & Safety Report, which highlighted how Yelp maintains the integrity and quality of content on its platform.

* As of December 31, 2023.

• Comscore Media Metrix®, December 2023.
• As of December 31, 2023. Active means businesses that are open, associated with an active business owner account and have claimed status.
• As of December 31, 2023. Cumulative reviews include those that are recommended, not recommended, and removed from Yelp's platform.

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2024 ESG Report

ESG Priorities and Impact

Stakeholder Insight Informs Yelp's ESG Strategy

We value stakeholder input and use it to shape our ESG strategy. In 2023 we conducted focus groups with employees, executives, and Yelp Board members, and surveyed Yelp Elite Squad members to understand whether stakeholder priorities had shifted since our comprehensive materiality* assessment in 2022.

We learned that our stakeholders remain invested in the same core issues going into 2024:

Providing value	Diversity,	Employee
to businesses	inclusion, and	experience
and consumers	belonging

Content trust	Data privacy	Carbon
and safety	and security	footprint

While our material issues remain unchanged, stakeholders emphasized the importance of reducing our carbon footprint and the commitment we made in 2023 to meet regulatory requirements and achieve net zero by 2031.

Regularly connecting with stakeholders to understand which ESG issues they believe Yelp can have the greatest impact on helps us to manage and communicate these issues consistently and clearly. We plan to periodically revisit this materiality assessment to identify and prioritize ESG issues in alignment with market trends, stakeholder expectations, and business risks and opportunities.

*Material issues are priority issues where Yelp has a unique ability to drive significant impact. It does not refer to materiality as defined under federal securities laws.

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2024 ESG Report

United Nations Sustainable Development Goals

Throughout this report, we've noted where our actions and impact align with the United Nations Sustainable Development Goals, a collaborative global effort to protect our planet and address the many inequalities that exist in our world.

While every goal is important, throughout this report we identify the goals toward which Yelp can make meaningful progress.

Employee Experience

Diversity, Inclusion, and Belonging

Yelp Foundation Spotlight

Content Trust

and Safety

Providing Value to Businesses and Consumers

Carbon Footprint

Governance and

Reporting: Corporate

Governance

1. - Reproductive rights

1. - Equal pay

1. - Equal opportunities in leadership

1. - Financial institution access for all

1. - Equal opportunity and pay equity, discriminatory laws

4.6 - Literacy

1. - Access to information

1. - Access to information

8.9 - Support local culture and products

1. - Increase renewable energy

1. - Reduce, reuse, recycle

16.7 - Equitable decision-making at all levels

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Fostering Community

2024 ESG Report

Diversity, Inclusion, and Belonging

Our culture of diversity, inclusion, and belonging is what sets Yelp apart. Our consumers and business owners are diverse, and by having a commensurately diverse workforce, we create better products and experiences for them.

Employee

Experience

Yelp puts the success and well-being of our employees at the heart of everything we do.

Yelp Foundation

The Yelp Foundation's mission is to support charitable organizations and activities addressing the needs of local communities.

View section >>

View section >>

View section >>

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2024 ESG Report

Diversity, Inclusion, and Belonging

Yelp is committed to fostering a safe and inclusive environment where employees can bring their whole professional selves to work. We believe all employees should feel a sense of belonging in the workplace, see role models who look like themselves, and have the same opportunities to succeed.

Yelp has not wavered in our commitment to diversity, inclusion, and belonging (DIB) initiatives, and we believe this work is more important than ever.

It remains our goal to champion authenticity and amplify underrepresented voices. We acknowledge that diversity represents the richness of our employees' lived experiences beyond strictly visible characteristics. We are expanding our infrastructure to enable us to act on a more robust set of demographic measures, including less visible characteristics such as caretaker status and disability, and to assess and improve our approaches to intersectional diversity.

By the close of 2023, 98% of Yelp employees had voluntarily shared information about their gender, and 96% of U.S.-based employees had voluntarily shared information about their race and/or ethnicity.

Employees recognize the importance of sharing this data, and these high response rates indicate that employees trust Yelp to use this data responsibly in service of our commitment to DIB. We plan to continue asking employees to voluntarily share demographic information about themselves in accordance with applicable laws to help us best support our workforce.

Gender Diversity*

Racial and Ethnic Diversity*

• Our 2023 racial and ethnic diversity data is based on self-reported information from our employees in the U.S. only. Our 2023 gender data is based on self- reported information from our global employee base. In 2023, we improved our data collection processes and revised our human capital data reporting for consistency and alignment with external standards, including by incorporating employees who declined to provide information regarding their ethnic identity. Please note that we have revised our previously reported gender and diversity data for 2021 and 2022 to conform to this updated presentation, as reflected in the Performance Data Tables at the end of this Report. The figures may not add up to 100% due to rounding. Approximately 4% of U.S. employees declined to disclose the race or ethnic groups with which they identify.
  1 The underrepresented minority grouping includes Black, Latinx, Native American, and Native Hawaiian and other Pacific Islander employees.

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2024 ESG Report

Promoting Inclusivity in a Remote Workplace

We believe our commitment to remote work gives us the opportunity to grow and cultivate an employee community enriched by a wide variety of backgrounds, talents, and perspectives.

Yelp is committed to inclusive hiring practices and pay equity. We employ a Diverse Slateapproach to promote inclusive hiring practices and guide our Talent Acquisition teams to intentionally counter affinity bias (a tendency to hire candidates similar to ourselves) and status quo bias (a tendency to hire someone similar

to the last person in the role). Yelp also partners with a variety of diverse organizations to further cultivate a robust, qualified candidate pool.

We look in part to our Diversity Task Forces, which we established in 2019, to help determine ways we can promote our DIB values within our existing employee base, with a strong focus on working toward closing racial and gender leadership gaps. We still have work to do, but we saw strong evidence through our 2023 employee survey that employees recognize Yelp as an inclusive remote workplace.*

96% of respondents feel that Yelp promotes an inclusive environment regardless of sexual orientation, race, age, nationality, or disability status*

96% of respondents

feel their manager promotes an inclusive environment regardless of sexual orientation, race, age, nationality, or disability status

95% of respondents feel their manager is considerate of them

as a person

• 95% of underrepresented racial minority respondents
• 95% of women respondents

• 96% of underrepresented	• 95% of underrepresented
racial minority respondents	racial minority respondents
• 96% of women respondents	• 94% of women respondents

Employee Resource Groups at Yelp

Belonging starts with community. Many of our employees find their communities through one or more of our 20+ voluntary, employee-led Yelp Employee Resource Groups (YERGs). These groups give employees with shared social identities, characteristics, life experiences, or interests the chance to network, learn, and grow together, independent of their professional roles.

In 2023, Yelp hosted its third YERG Summit. Yelp's Culture team coordinates this annual event, which brings YERG leaders together virtually to connect, learn, and collaborate. At this year's Summit, YERG leaders participated in a round table discussion with employee resource group leaders from across the tech industry and learned about topics like intersectionality and intentionality from a guest speaker.

• Data sourced from Yelp's 2023 People Experience Survey. The survey was sent to all employees globally, excluding contractors, interns, individuals on leave, and employees who were employed for fewer than 30 days at the time of survey launch.

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