Household & Personal Product Industry’s Response to COVID-19 – Strong Display of Corporate Citizenship by the House & Personal Products Industry
Posted on April 6, 2020 by Hank Boerner – Chair & Chief Strategist
#Business & Society #Community Investing #Corporate Citizenship #Corporate Governance #Corporate Purpose #Corporate Responsibility #Corporate Sustainability #Sustainability ProfessionalsG&A Institute Team Note: We continue to bring you news of private (corporate and business), public and social sector developments as organizations in the three societal sectors adjust to the emergency. This is post #11 in the series, “Excellence in Corporate Citizenship on Display in the Coronavirus Crisis. #WeRise2FightCOVID-19 “Corporate Purpose – Virus Crisis” – April 6 2020
By Kelly Mumford – Sustainability Reporting Analyst Intern – G&A Institute
The current reality around the world has shifted dramatically since the outbreak of COVID-19 a few months ago. As the number of confirmed cases and deaths continue to rise across countries like Italy, Spain, and the U.S., there have been many reactions across industries to help out.
As of today, more than 10,000 people have died in the US, and unemployment rates are now at the highest ever as I write this.
Overall, the economy is struggling and our healthcare system is overwhelmed. However, during this time, the corporate response has also been overwhelming.
Many companies and corporations across sectors are feeling the effects of this pandemic on their operations and at the same time acting to help those who need it the most during this time.
There have been some significant, well-publicized responses from U.S. tech giants Microsoft, Apple, and Amazon. These companies have donated millions to various response efforts across the country.
Many other corporations are also doing what they can to continue paying employees during this time. Amazon is hiring tens of thousands of employees to help their delivery efforts.
Needless to say, corporate actions have been indicative of a commitment to corporate social responsibility during the coronavirus crisis.
This is a recap of recent actions by companies in the Household and Personal Products Industry.
In the Beauty Field: Estée Lauder Companies
The household and personal product industry is no different. Estée Lauder especially has been leading a strong example. Last week, Estée Lauder Companies announced it will being shifting production to hand sanitizer to help relieve the shortage that has severely affected those in the healthcare industry.
They are re-opening a temporarily-closed facility in suburban Long Island, New York to produce hand sanitizer and volunteer employees will be compensated. However, their efforts don’t stop there.
Estée Lauder is also donating US$2 million to Doctors Without Borders — the organization that is greatly helping countries around the world with less medical support fight the coronavirus.
Also, Estée Lauder made a $75 million dollar grant to support the establishment of The NYC COVID-19 Response & Impact Fund. This fund unites many philanthropies and will go to support many vital community organizations and social services.
Estée Lauder Companies awarded $800,000 to relief efforts in China such as the Red Cross Society of China, the Shanghai Charity Foundation, and Give2Asia with an additional $1.4 million of donations to the China Women’s Development Foundation to support front line medical staff.
It is easy to see with these actions the Estée Lauder Companies’ strong values and family commitment to corporate social responsibility is admirable. Their actions are a promising example of the good that can arise during crisis.
SC Johnson Steps Up to Help
Another huge name in the industry — SC Johnson, another large company with deeply embedded family values — is furthering their efforts against COVID-19 with a $5 million donation. The company will put that money towards the needs of the healthcare workers on the front lines.
They will be delivering care packages to police, fire and medical personnel including cleaning and disinfectant products made by SC Johnson. This donation comes in addition to the $2 million and $1 million they have already donated to the CDC Foundation’s Emergency Response Fund and to other efforts in China, Italy and the U.K.
The company said it was continually assessing the most urgent needs of people around the world, and acting accordingly. They have supported many healthcare needs across Europe, Asia, and Latin America to protect families from spreading the virus.
This support has come in the form of cash, product donations, and educational programs. As their headquarters in located in Racine, Wisconsin they have also made a special donation to the town to help support school children in the area and first responders.
Local focus: The donation will be provided through a partnership with the Racine School District, the Racine YMCA, and Ascension All Saints Hospital.
Lastly, as a way to support the most vulnerable groups during this time the company has also made multiple $25,000 donations to food pantries and homeless assistance organizations to help ease the pressure on these already strained groups.
SC Johnson’s donations and efforts during this pandemic demonstrate a strong commitment to their corporate social responsibility efforts but more important, their assessment of placing aid to some of the most vulnerable groups reveals a targeted and strategic approach to CSR.
The Company is not just throwing money “anywhere” — but rather being strategic in their assessment, and loyal to the community of their headquarters..
Procter & Gamble – Relief Funds and Continued Production
Procter & Gamble, another one of the largest enterprises in the industry, has set up a special relief fund for COVID-19.
P&G has a long running record of CSR reporting and supporting communities so it’s not surprising that they have been working with their partner organizations to provide support and relief to people during this time.
They have created a donation portal for receiving donations — which they will match all donations up to $500,000 and give donations to support the healthcare providers around the world.
The largest P&G factory in Pennsylvania will start production of face masks during the pandemic. Employees will have regular temperature checks, will be socially-distanced, and there will be constant sanitization of all areas.
Their factories are still open during this time, recognizing that the wide range of their products are necessary for many households, in normal times and during the crisis.
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Kelly Mumford is a GRI Report Analyst Intern at G&A Institute. She is a recent graduate of the Development Planning Unit at the University College London. She holds an M.S. in Environment and Sustainable Development (with merit). Kelly led a group during their research on the water and sanitation practices of a coastal city community in Freetown, Sierra Leone. She now plans to pursue a career in sustainability, focusing on ESG and leveraging her research experience and the knowledge gained of sustainability reporting during her internship with G&A Institute.
Sources For Your Reference
- https://www.nytimes.com/2020/03/26/world/coronavirus-news.html
- https://www.allure.com/story/estee-lauder-companies-hand-sanitizer-production-coronavirus
- https://ga-institute.com/Sustainability-Update/estee-lauder-companies-actions-in-the-crisis/
- https://www.elcompanies.com/en/news-and-media/newsroom/company-features/2020/covid-19-efforts?utm_source=linkedin&utm_medium=elc-linkedin&utm_campaign=covid-nyc
- https://www.globalreporting.org/information/news-and-press-center/Pages/sustainable-news.aspx?mid=279336&pgno=2&fdpgno=1
- https://www.walb.com/2020/03/20/procter-gamble-employees-still-working-during-coronavirus-pandemic/
G&A Institute Team Note
We continue to bring you news of private (corporate and business), public and social sector developments as organizations in the three societal sectors adjust to the emergency.
The new items will be posted at the top of the blog post and the items today will move down the queue.
We created the tag “Corporate Purpose – Virus Crisis” for this continuing series – and the hashtag #WeRise2FightCOVID19 for our Twitter posts. Do join the conversation and contribute your views and news.
Do send us news about your organization – info@ga-institute.com so we can share. Stay safe – be well — keep in touch!