Our Broader
Value
2022 CORPORATE
SOCIAL
RESPONSIBILITY
REPORT
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
Welcome
Overview | 2 | Supply Chain | 35 | |||
2022 Milestones | 3 | Supplier Risk Management | 36 | |||
Reflections on the Year | 4 | Human Rights | 38 | |||
Burlington: Serving Communities for 50 Years | 5 | Product Quality and Safety | 39 | |||
CSR Approach | 7 | Governance & Ethics | ||||
40 | ||||||
Associates | 10 | |||||
Governance and Accountability | 41 | |||||
Diversity, Equity, & Inclusion | 11 | Ethical Conduct | 43 | |||
Great Place to Work | 16 | Risk Management | 45 | |||
Growing with Burlington | 18 | Data & Disclosures | ||||
46 | ||||||
Safety and Wellbeing | 20 | |||||
Relevant ESG Topic Definitions | 47 | |||||
Communities | ||||||
23 | ||||||
ESG Data Tables | 49 | |||||
Customer Giving | 24 | GRI Index | 57 | |||
The Burlington Stores Foundation | 25 | SASB Index | 61 | |||
Corporate Giving | 27 | TCFD Index | 63 | |||
Environment | Forward-Looking and Cautionary Statements | 64 | ||||
28 | ||||||
Sustainability 2.0 | 29 | |||||
Energy and Climate | 30 | |||||
Waste and Product End-of-Life | 33 | |||||
About This Report
This report highlights our Corporate Social Responsibility (CSR) efforts and focuses on the Environmental, Social, and Governance (ESG) issues of greatest importance to our stakeholders. It has been prepared with reference to the Global Reporting Initiative (GRI) Standards. It also aligns with several broader frameworks, including the Sustainability Accounting Standards Board (SASB), CDP Climate Change, the Task Force on Climate-related Financial Disclosures (TCFD), and the United Nations Sustainable Development Goals (SDGs).
We incorporate feedback from stakeholders, including investors, into our CSR report, and the report is reviewed by our ESG/CSR Executive Committee and presented to our Board of Directors prior to release. Information in this report principally covers our 2022 fiscal year (FY 2022), which ended on January 28, 2023. Where "2022" is referred to, it means FY 2022, and all data refers to FY 2022 unless otherwise stated. Environmental data points, including greenhouse gas (GHG) emissions, are based on activity between February 1, 2022 and January 31, 2023. "Associates" refers to corporate, store, distribution center/warehouse, and field employees of the Company, and "sustainability" refers to environmental sustainability. If you would like further information or to provide any feedback, email us at Info@BurlingtonInvestors.com.
- JUMP TO DATA & DISCLOSURES
2
2022 CORPORATE SOCIAL | GOVERNANCE | DATA & | |||||
RESPONSIBILITY REPORT | OVERVIEW | ASSOCIATES | COMMUNITIES | ENVIRONMENT | SUPPLY CHAIN | ||
& ETHICS | DISCLOSURES | ||||||
2022 Milestones
Associates | Communities | Environment | Supply Chain | Governance & Ethics |
Increased | $4m+ | 45% | New |
DIVERSITY OF MANAGEMENT | IN CUSTOMER GIVING | REDUCTION IN SCOPE 1&2 | ENVIRONMENTAL |
AND SENIOR MANAGEMENT | GHG EMISSIONS1 | SUPPLIER SCREENING |
95% | $1.6m+ | 9% | New |
OF ASSOCIATES BELIEVE THEIR | IN BURLINGTON STORES | RENEWABLE ENERGY | PARTNERSHIP WITH THE |
MANAGER TREATS THEM FAIRLY, | FOUNDATION GRANTS | CONSUMPTION2 | NATIONAL MINORITY SUPPLIER |
REGARDLESS OF THEIR IDENTITY, | AND DONATIONS | DEVELOPMENT COUNCIL | |
PER 2022 PULSE SURVEY |
385k+ | 60k+ | 63% | Released |
HOURS OF ECOURSES | ITEMS OF MERCHANDISE | OF WASTE DIVERTED | CHEMICAL MANAGEMENT |
COMPLETED | DONATED TO COMMUNITIES | FROM LANDFILLS | STATEMENT AND PROGRAM |
- Square foot intensity compared to 2016 baseline.
- Percentage of total RECs compared to total electricity consumption.
30%
OF BOARD MEMBERS
WERE FEMALE
Board oversight
OF ESG MATTERS
Benchmarked
AGAINST NATIONAL INSTITUTE OF
STANDARDS AND TECHNOLOGY
CYBERSECURITY FRAMEWORK
3
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
Reflections
ON THE Year
87
NET NEW STORES OPENED IN 2022
Michael
O'Sullivan
CHIEF EXECUTIVE
OFFICER
2022 marked our 50th anniversary as an off-price retailer. From our origins as a single retail store in Burlington, New Jersey to operating over 900 brick and mortar stores nationwide, in this report we consider the broader value we can create for the communities where we work and live.
Whether it's the more than one million Associates who have worked for Burlington, the tens of millions of customers who have shopped in our stores, or the enormous variety of vendor partners and investors we work with, we can be proud of the trusted reputation we continue to hold in our communities. The hard-earned loyalty of customers was tested in FY 2022 as we faced strong economic headwinds, notably inflation affecting the lower income shopper.
The theme of this report, Our Broader Value, highlights the value that our ever-evolving Corporate Social Responsibility (CSR) program - and the Burlington Full Potential strategy - brings to our Associates, customers, communities, and investors.
CSR is fundamental across our organization
- not only because it's the right thing to do and aligns with our values, but because it makes solid business sense. In fact, the way we approached CSR in 2022 is reflected in how we created broader value across our business.
Whether it was opening 87 net new stores and creating opportunities for diverse talent; celebrating our customers for donating over $4 million through store checkout campaigns for non-profit organizations that support our communities; upholding human rights in our supply chains; or focusing on energy-saving projects that help to reduce emissions in our communities while making substantial savings to our bottom line - we can be proud of the CSR progress made, despite difficult economic circumstances.
As we look ahead, I am committed to ensuring that Burlington continues to define success in part by how effectively we pair our growth with adding broader value to the communities and customers we serve.
Thank you for your interest in Burlington.
Michael O'Sullivan
CHIEF EXECUTIVE OFFICER
4
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
Burlington: Serving Communities for 50 Years
Since 1972 we've been serving customers with high quality, branded merchandise at everyday low prices. Today, as a Fortune 500 company, those same
2022 NATIONAL STORE FOOTPRINT
values are evident in our CSR approach and in how we plan for a profitable yet sustainable future.
At Burlington, we know that some of our customers "want" a deal but we believe that most of our shoppers "need" a deal. We meet that need by offering everyday low prices,
at up to 60% off other retailers' prices,
on an extensive assortment of brand name merchandise for the entire family and home. We ended FY 2022 with 927 stores and net sales of $8.7 billion.
With 87 net new stores opened during the year, we have further solidified our position in the off-price retail market. We expect to open an additional 70 to 80 net new stores in 2023, and an additional 500 to 600 net new stores over the following five years.
129
WEST STORES
WA
16
MT | ||
OR | ||
7 | ||
ID | ||
3 | ||
WY | ||
NV | ||
13 | ||
UT | ||
CA | 9 | CO |
101 | 14 | |
AZ | NM | |
20 | ||
5 |
AK
2
169
SOUTHWEST
STORES
ND
1
SD
1
NE
4
KS
5
OK
8
TX
100
172
MIDWEST
STORES
13 | NY | ME | MA | 193 | ||
3 | ||||||
NH | ||||||
MN | VT | 4 | ||||
WI | 57 | 20 | NORTHEAST | |||
STORES | ||||||
10 | MI | RI | ||||
IA | 25 | PA | 6 | |||
CT | ||||||
4 | OH | 41 | NJ | 15 | ||
IL | IN | |||||
30 | 44 | |||||
42 | 18 | WV | VA | DE | ||
MO | 1 | 26 | 3 | |||
11 | KY 8 | NC | MD | |||
21 | ||||||
TN 15 | 26 | |||||
AR | SC | |||||
6 | 12 | 264 | ||||
7 | AL | GA | ||||
MS | 10 | 30 | ||||
2 |
LA
SOUTHEAST
STORES
FL 93
PR
15
5
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
Burlington: Serving Communities for 50 Years continued
Unlocking our Full Potential Burlington 2.0 is our strategy to unlock our full potential as an off-price retailer through innovation, agility, and efficiency. The strategy drives us to:
1. Chase the Sales Trend
- Hold and tightly control liquidity
- Fuel the trend with opportunistic buys
2. Operate with Leaner Inventories
- Drive faster turns, lower markdowns
- Flow fresh receipts to support the sales trend
3. Invest in Buying & Planning
- Merchant and planning head count
- Improved training, tools, and reporting
4. More Operational Flexibility
- Faster, more responsive supply chain
- More flexible store staffing model
5. Smaller Store Prototype
- More productive retail locations
- Lower occupancy & operating expenses
6. Challenge Expenses
- All areas of the business
TEAM BURLINGTON
Our diverse, talented team of 61,000+3 Associates is supported and motivated by a culture of respect, inclusion, and equity. This is fundamental to how we deliver on our value proposition:
The underlying strategy behind our plans is to drive sales by taking advantage of the terrific off-price buying environment for branded merchandise, and passing along these compelling values to our shoppers. We are excited about our longer-term prospects. We believe that the next few years could present significant opportunities to drive improved results. We are pushing ahead with the transformation of Burlington into a stronger off-price retailer, so we can take advantage of these opportunities."
MICHAEL O'SULLIVAN, CEO
- We Are an Off-Price Retailer
- We Live by Our Core Values:
- Drive Results
- Trust and Respect Each Other
- Build Teams and Partnerships
- We Believe Everyone Matters
- We Win Together
- We Are a Caring Company
- JUMP TO ASSOCIATES
3. 61,166 as of FY 2022 end.
6
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
CSR Approach
In a fast-moving retail sector, our approach seeks to address evolving CSR and ESG disclosure trends and deliver broader value to our Associates, customers, and the communities where we live, work, and operate. In turn, we strive to mitigate risk to Burlington, attract diverse new talent, and realize efficiency savings that are fundamental to the off-price model.
Our approach spans five strategic pillars, which form the foundation of this report:
Communities
As a caring company, we are proud of our tradition of giving back to the communities where we work and live nationwide. We believe that our heritage of corporate responsibility furthers Associate engagement and deepens brand loyalty with our customers.
Supply Chain
ESG risk management extends beyond our stores, distribution centers (DCs), and offices, and into our supply chain. We uphold human rights, safety, and quality through rigorous due diligence, monitoring and management. Our approach is critical to mitigating risks to our business continuity and reputation.
Associates
Attracting, developing, and retaining top talent is key to our growth. Our success is dependent on an engaged and motivated workforce, and we work to create a welcoming, diverse, and inclusive environment where Associates can build careers.
Environment
Being a successful company means also being a responsible steward of the natural environment. Through our Sustainability 2.0 strategy, we're doing our part to tackle environmental challenges - from energy and climate change, to chemical management and waste - while realizing benefits to our bottom line.
Governance
& Ethics
Transparent governance, robust risk management, and systematic stakeholder engagement are fundamentals of corporate responsibility. We are continually monitoring and refining our responsible business practices.
7
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
CSR Approach continued
Creating Broader Value
With transparent disclosure, meaningful stakeholder dialogue and good governance, we're continually improving and doing our part to support the United Nations Sustainable Development Goals(SDGs). This year we worked with a third-party to further align our 21 ESG Focus topics with our value chain and the SDGs that most align with our business (see table and explanation on the next page). We conducted information gathering sessions and workshops with key internal stakeholders helping us to better understand our impact and influence in these areas. We look forward to sharing more about these results in the future.
PRIORITY SDGS
Stakeholder Engagement Alongside formal SDG prioritization workshops, we engage with stakeholders in a number of ways throughout the year - examples of which are shown throughout this report. Ongoing dialogue helps us to better understand stakeholder expectations and address feedback. Investor engagement continued to be a focus area over the last year, with introducing an outreach program to gain insights and feedback on corporate governance, executive compensation,
and ESG topics that may impact our business or reputation. These engagements involve leaders from our Investor Relations (IR), Legal, and CSR/ESG departments, and feedback
is shared with the Board and leaders from our committees as appropriate.
- LEARN MORE IN OUR PROXY STATEMENT
KEY STAKEHOLDERS
Internal: Corporate Associates; Store Associates; DC/Warehouse Associates; Field Leadership; Executive Leadership; Board of Directors
External: Potential Stakeholders; Communities where we operate; Suppliers; Customers; Investors; Regulators; Trade Organizations
8
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
CSR Approach continued
Strategic CSR/ESG Priorities
We prioritize the ESG topics of greatest concern to our stakeholders. These are identified through a series of questionnaires and meetings with individuals throughout our value chain, including: internal executive leadership, Associates, customers, investors, suppliers, and the Board. We completed this process in early 20224, which resulted in 21 ESG Focus topics (nine identified as strategic priorities - shown as
- P in the table to the right and throughout the report). The table to the right shows how these 21 ESG Focus topics could impact our value chain, as well as how our six mapped SDGs contribute to these topics. To further align these ESG topics, we have also arranged them within our five pillars on page seven. We feel that this alignment will better help us to identify risks and opportunities, allowing us to enhance the strategies you will read throughout the report. We remain committed to formally reviewing ESG topics of relevance to our business every two to three years.
- JUMP TO RELEVANT ESG TOPICS DEFINITIONS
- JUMP TO ESG DATA TABLES
Key:
Strategic Priorities
4. Please visit our 2021 CSR Reportto understand more about our assessment methodology and process.
Associates and
Communities
Environment
Supply
Chain
Governance
& Ethics
ESG FOCUS TOPICS | OUR VALUE CHAIN | PRIORITY SDGS | ||||||||
UPSTREAM | VENDORS / | INBOUND | COMPANY | DISTRIBUTION | MARKETING AND | USE AND | ||||
SUPPLY CHAIN | SUPPLIERS | LOGISTICS | OPERATIONS | IN-STORE SALES | END-OF-LIFE | |||||
Associate engagement & wellbeing | • | • | • | |||||||
Attracting, developing & retaining talent | • | • | • | |||||||
Community giving & charitable impact | • | |||||||||
Diversity, equity, & inclusion | P | • | • | • | • | |||||
Health & safety | • | • | • | • | • | • | • | |||
Labor rights (Associates) P | • | • | • | |||||||
Animal welfare | • | • | ||||||||
Chemical management | • | • | ||||||||
Climate change P | • | • | • | • | • | • | • | |||
Energy management P | • | • | • | • | • | |||||
Sustainable packaging | • | • | • | • | ||||||
Waste management & product end-of-life | P | • | • | • | • | • | ||||
Water use | • | • | ||||||||
Product supply chains P | • | • | ||||||||
Product quality & safety P | • | • | ||||||||
Human rights (supply chains) | P | • | • | • | ||||||
Supplier diversity | • | • | ||||||||
Data privacy & protection P | • | • | ||||||||
Corporate governance | • | |||||||||
Ethics & compliance | • | |||||||||
Responsible & transparent marketing | • | |||||||||
9
2022 CORPORATE SOCIAL RESPONSIBILITY REPORT
OVERVIEW
ASSOCIATES
COMMUNITIES
ENVIRONMENT
SUPPLY CHAIN
GOVERNANCE & ETHICS
DATA &
DISCLOSURES
Associates
74%
OF ALL ASSOCIATES
ARE FEMALE
Attracting, developing, and retaining top talent is key to our growth. Our success is dependent on an engaged and motivated workforce, and we work to create a welcoming, diverse, and inclusive environment where Associates can build careers.
IN THIS SECTION:
Diversity, Equity, & Inclusion 11
Great Place to Work 16
Growing with Burlington 18
Safety and Wellbeing 20
10
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Burlington Stores Inc. published this content on 22 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 22 May 2024 14:38:05 UTC.