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Munters ties sustainability goals to remuneration program

may. 12, 2020

Munters has decided to tie sustainability goals to its long-term incentive program (LTIP), which is a remuneration program for executive managers and other key employees.

Previously, the program focused solely on performance in terms of EBITA and net sales. Now the company will also evaluate how well managers are helping to increase the company's share of renewable energy in its factories, female leaders and suppliers who follow its code of conduct.

Healthier planet=healthier Munters

“Last year we reviewed our strategy and concluded that sustainability issues should be given even higher priority in the future,” says Klas Forsström, CEO at Munters. “Climate change will have a significant impact on our and our customers’ operations. We want to run our business in a sustainable way and help our customers do the same. We are convinced that the sustainability goals of the LTIP program will push the sustainability agenda in the right direction, which will help us achieve our and our customers’ long-term ambitions.”

Munters has an ambitious sustainability agenda that affects all parts of its business. All in all, it focuses on eight areas ranging from offering sustainable products and solutions to creating a safe and fair workplace.

More women and greener factories

The company has a goal that all its production facilities must use at least 50 per cent renewable energy by 2021*:

Another priority for Munters is to increase the number of female leaders in the workplace to 30 per cent by 2025. Today, the proportion of women in the company is 21 per cent. In management, the figure is 25 per cent.

The company also places high demand on itself and its suppliers to act ethically, honestly and in accordance with the law. By the end of the year, all suppliers must have signed its code of conduct, which ensures that they do not use child labor and buy materials from unsustainable sources. If a supplier does not meet all the requirements, Munters will stop doing business with them.

You can read all about Munters’ sustainability agenda here.

*The LTIP target for 2022 is 60 per cent.

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