Global Reporting Initiative Index 2012

  • Organisational Profile
    GRI Indicator Explanation of GRI Description/Reference Fulfillment
    1 Strategy and analysis

    1.1

    Statement from the most senior decision-maker of the organization.

    CEO's statement

     

    1.2

    Description of key impacts, risks and opportunities.

    Materiality

     
    2 Organisation profile

    2.1

    Name of the organization.

    Kuoni Travel Holding Ltd.

     

    2.2

    Primary brands, products, and/or services.

    Business Areas

     

    2.3

    Operational structure of the organization, including main divisions, operating companies, subsidiaries, and joint ventures.

    Group Structure

     

    2.4

    Location of organization's headquarters.

    Zurich, Switzerland

     

    2.5

    Number of countries where the organization operates, and names of countries with either major operations or that are specifically relevant to the sustainability issues covered in the report.

    Kuoni World Map

     

    2.6

    Nature of ownership and legal form.

    Group Structure and Stakeholders

     

    2.7

    Markets served (including geographic breakdown, sectors served, and types of customers/beneficiaries).

    Business Areas

     

    2.8

    Scale of the reporting organization.

     

    2.9

    Significant changes during the reporting period regarding size, structure, or ownership.

    Changes to Group structure

    Withdrawal from several european tour operator activities

     

    2.10

    Awards received in the reporting period.

    http://www.kuoni.com/group/group-news/general-news/2012

     
    3 Report parameters

    3.1

    Reporting period (e.g., fiscal/calendar year) for information provided.

    March 22, 2011 - March 21, 2012 for all reporting, excluding environmental reporting which covers January 1, 2012 to December 31, 2012

     

    3.2

    Date of most recent previous report (if any).

    March 21, 2011

     

    3.3

    Reporting cycle (annual, biennial, etc.)

    Annual

     

    3.4

    Contact point for questions regarding the report or its contents.

    Contact form; cr@kuoni.com

     

    3.5

    Process for defining report content.

    Materiality

    Stakeholder Management

     

    3.6

    Boundary of the report (e.g., countries, divisions, subsidiaries, leased facilities, joint ventures, suppliers). See GRI Boundary Protocol for further guidance.

    The financial, human resources and social-related reporting covers the entire Kuoni Group. Environmental reporting covers Outbound Europe Division.

     

    3.12

    Table identifying the location of the Standard Disclosures in the report.

    http://www.kuoni.com/corp-responsibility/gri-index

     
    4 Governance, Commitments and Engagements

    4.1

    Governance structure of the organization, including committees under the highest governance body responsible for specific tasks, such as setting strategy or organizational oversight.

    Board of Directors

     

    4.2

    Indicate whether the Chair of the highest governance body is also an executive officer.

    None of the present Board members sat on the Group Executive Board of Kuoni Travel Holding Ltd. or on the executive board of any group subsidiary of Kuoni Travel Holding Ltd. within the last three years. Similarly, none of the present Board members maintains material business relationships with Kuoni Travel Holding Ltd. or with any group subsidiary of Kuoni Travel Holding Ltd.

     

    4.5

    Linkage between compensation for members of the highest governance body, senior managers, and executives (including departure arrangements), and the organization's performance (including social and environmental performance).

    Compensation Report

     

    4.6

    Processes in place for the highest governance body to ensure conflicts of interest are avoided

    Organizational Regulation (Page 11)

     

    4.8

    Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social performance and the status of their implementation.

    Code of Conduct & Anti-corruption

    Vision & Mission

     

    4.9

    Procedures of the highest governance body for overseeing the organization's identification and management of economic, environmental, and social performance, including relevant risks and opportunities, and adherence or compliance with internationally agreed standards, codes of conduct, and principles.

    Board of Directors

     

    4.12

    Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses.

    Partnerships

    Reporting

     

    4.13

    Memberships in associations (such as industry associations) and/or national/international advocacy organizations in which the organization: * Has positions in governance bodies; * Participates in projects or committees; * Provides substantive funding beyond routine membership dues; or * Views membership as strategic.

    The Code of Conduct for the Protection of Children from Sexual Exploitation in Travel and Tourism, Tour Operator Initiative, Travelife Sustainability System, Association of British Travel Agents, Swiss Import Promotion Programme, fairunterwegs

     

    4.14

    List of stakeholder groups engaged by the organization.

    Stakeholder Management

     

    4.15

    Basis for identification and selection of stakeholders with whom to engage.

    Stakeholder Management

     

    4.16

    Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group.

    Stakeholder Management

     

    4.17

    Key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its reporting.

    Advisory panel

     
  • Economic performance
    Disclosure on Management Approach

    Economic performance

    Kuoni has integrated a value-based management approach based on the Kuoni Economic Profit or KEP performance indicator into its entire management process to keep top management aligned as closely as possible to creating long-term added value on behalf of the Group’s owners.

    To this end, planning and budgeting, performance measurement, internal and external communications and the long-term variable-compensation models applicable to senior management positions have all been consistently adapted to the sustainable value-creation philosophy. 

    Market presence

    The Kuoni group has branch operations in more than 80 countries on 5 continents with more than 700 offices.

    A new group structure was launched in October 2011 with three divisions: Outbound Europe, Global Travel Services and Emerging Markets & Specialists. These cover five main areas of business: the traditional tour operating business (36% of annualised turnover), destination management travel services (41%), specialist travel businesses (16%), tour operating in the emerging markets (4%), and the visa services of VFS Global (3%). 

    The traditional tour operating business includes activities in the following European markets: Scandinavia (including Finland), United Kingdom, Benelux (Netherlands and Belgium), Switzerland, France, Italy and Spain. Kuoni’s destination management travel services make up a global business sector that is particularly well positioned in Asia, Europe, Middle East and North America. The Emerging Markets & Specialists Division includes Kuoni’s tour operator activities in India, China/Hong Kong and Russia. The independent specialist travel brands in the division include the European tour operators (outbound specialists) in Switzerland, the United Kingdom and the Netherlands/Belgium, as well as our dedicated local specialist companies based in the holiday destinations themselves (inbound specialists) in Asia, Australia, Africa, the Middle East, India and North America.

     

    Indirect impact

    Kuoni Group operations have both direct and indirect impacts on various stakeholders around the world. Three major stakeholder groups are defined as follows: 

    1. Individual and institutional customers 

    2. Kuoni employees

    3. Suppliers – Kuoni’s suppliers include hotels, cruise ships, airlines, excursion and other service providers at destinations

    Impacts are assessed on an ongoing basis through supply chain management and monitoring. For further information please visit http://www.kuoni.com/corp-responsibility/sustainable-supply-chain

    GRI Indicator Explanation of GRI Description/Reference Fulfillment
    Economic Performance

    EC1

    Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payments to capital providers and governments.

    For 2012 information regarding economic performance, see the Annual Results at Key Economic Figures.

     

    EC2

    Financial implications and other risks and opportunities for the organization's activities due to climate change.

    Kuoni recognises that climate change poses risks and opportunities to our company, to the tourism industry and holiday destinations, and to society as a whole.  The company has made a long-term commitment to taking action to mitigate and adapt to the phenomenon. This includes measuring and reducing the carbon footprint of our operations, building adaptive capacity in the destinations and encouraging our customers to reduce their climate impact by offsetting their flight emissions. Further information can be found here (http://www.kuoni.com/corp-responsibility/natural-resources/climate-change).

     
    Indirect economic impact

    EC8

    Development and impact of infrastructure investments and services provided primarily for public benefit through commercial, in-kind, or pro bono engagement.

    Through Kuoni's sustainable supply chain management, we regularly monitor the sustainability performance of our core hotel partners, which includes assessing the development and impact of hotels infrastructure investments on local communities. Investments mainly relate to infrastructure for environmental and resource management (for example solid and liquid waste management, water quality and supply).

     
  • Environment
    Disclosure on Management Approach

    Kuoni is fully aware that it is dependent upon the rich natural resources and unique landscapes at the destinations and thus has the responsibility to minimise the negative impacts of its business on the environment, while at the same time enhancing its positive actions towards life in general. 

    The Kuoni Corporate Responsibility (CR) Department, which is the internal coordination and control centre for the concrete implementation of Kuoni’s CR principles in the company’s day-to-day business, is responsible for driving and monitoring environmental performance group-wide. It focuses on concrete actions and pilot projects related to climate change, coral reef protection, water protection and biodiversity as well as facilitating the transfer of knowledge on environmental management to our hotel partners.

    As of 2012 Kuoni is using a centralized, web based sustainability data management system CR reporting software to gather, analyse and communicate company-wide environmental data. A main goal is reporting the impact of all business flights, paper consumption, catalogue production and energy use across the Kuoni Group, in order to communicate on our carbon footprint and set reduction targets.

    Goals and performance

    For 2012 achievements and future objectives, see the goals and performance reviews at http://www.kuoni.com/corp-responsibility/goals-and-performance.

    Materials

    Material use is collated via the data management system for the reporting year from the period of January to December on an annual basis. In 2012 business units in Hong Kong, France, India, Italy, Scandinavia, Spain, Switzerland and UK, which account for approximately 33% of all Kuoni facilities worldwide, reported environmental data on electricity, paper and catalogue consumption. The volume of recycled paper and renewable energy has been reported as well.

    Energy

    Kuoni aims to reduce its absolute and relative greenhouse gas emissions due to its operations as much as possible. To reach that goal, energy efficiency is one of the key climate strategies which comprises:

    - Raising awareness of the importance of using energy-efficient products 

    - Reducing energy use in the supply chain and in Kuoni offices

    The Group’s most relevant energy efficiency-related issue is the energy needed by Kuoni hotel partners at the destination. Therefore to help partner hotels play their part in protecting environmental resources, Kuoni has been conducting a series of workshops in collaboration with local partners. Moreover, Kuoni continuously monitors the sustainability performance of its core hotel partners according to the sustainability certification scheme Travelife. The monitoring process includes criteria related to energy efficient lighting, low consumption equipment, renewable energy and air conditioning control systems. 

    Kuoni also focuses on environmental employee engagement in its offices. To this end, contests have been carried out to encourage and reward employee suggestions for environmental improvements. Actions that were carried out included amongst others information posters supporting the sustainable usage of office supply and innovative project ideas in the fields of solar energy.

    By means of the sustainability data management system, Kuoni gathered energy consumption data from its largest business units in 2012 and communicates the aggregate results in its Annual Report 2012.

    Transportation

    Passenger transport is one of the main causes of CO2 emissions in the tourism industry. Kuoni reduces its own direct emissions and emissions in its value chain, including those of its customers. Best-practices in transport carbon reduction relate to measuring and monitoring Kuoni’s carbon footprint and compensating the latter with carbon offset projects. To this end Kuoni collaborates with the carbon offsetting organisations myclimate and Green Seat to offer clients with high-quality offsets for their flight emissions and compensate its own carbon emissions generated through its business travels. This compensation is made possible by supporting, for example, waste management projects which produce compost in Bali or efficient stove dissemination projects in Kenya.

    Moreover, Kuoni owns the charter airline Novair, which is a key advisor in major international projects in cooperation with different bodies in the European Union. Novair was, for example, the only Swedish carrier to participate in the AIRE (Atlantic Interoperability Initiative to Reduce Emissions) project, funded by the EU and which aimed to find ways to reduce carbon emissions and noise. Through the project, an advanced navigation system was used to avoid flying over populated areas and featured highly accurate wind information uplinked to the aircraft, which was integrated in the curved approach to reduce drag and fuel consumption. During the project period 6% of Novair’s carbon emissions were reduced. 

    Water

    Kuoni’s aim is to ensure adequate access to precious water resources for all people at water-scarce destinations where conflicts arise between the requirements of the tourist sector and the needs of the local population. 

    Water scarcity was the focus of the Kuoni Stakeholder Dialogue in 2010, a formalised dialogue process with approximately 30 representatives and experts from external organisations meeting to suggest concrete opportunities for action. As a result of the Stakeholder Dialogue, four key areas for approaching the topic of freshwater management have been identified, namely promoting technical solutions and operational improvements in hotels, creating standards in the supply chain, investment in community projects to minimise adverse impacts of water competition and communication to customers. 

    Actions based on these working streams have been first implemented in the pilot destination Kenya, where a Water Management Project (WMP) has been carried out in 2012/2013 together with the local NGO GreenWater to develop and implement an efficient water management system in Kenya’s coastal hotels, while promoting technical solutions and operational improvements in selected Kuoni partner hotels.

    Moreover Kuoni has supported a water preservation project in Kenya initiated by the NGO Baobab Trust. The project involved the building of nine dams in the Vikwatani area, adjacent to Mombasa’s finest beaches, which both capture the area’s rainwater and slow down the local soil erosion. 

    In addition, Kuoni conducts intensive training sessions with its partner hotels on how to save and treat water by means of water efficient products and how waste water can be cleaned.

    Biodiversity

    In an effort to support conservation organisations to develop sustainable tourism, Kuoni, the International Union for Conservation of Nature (IUCN) and the Swiss Federal Office for the Environment (FOEN) have recently embarked on a joint project. The focus of the project is to provide conservation organisations, which have little knowledge of the tourism market, with the business skills necessary to design successful ecotourism products. By targeting natural World Heritage Sites, community-based organisations and ecotourism businesses, the project will raise awareness on the need for effective and responsible tourism management near protected areas. To this end, an Ecotourism textbook has been developed to help conservation organisations, community-based organisations and protected area managers plan and run effective ecotourism businesses. Three training workshops have been held in Kenya, Laos and South Korea with a total of 85 participants. 

    Emissions, effluents and waste

    Waste is managed in accordance to local regulations and suppliers, and employees are regularly trained and informed on appropriate waste disposal practices, for example recycling. 

    Products and services

    Kuoni in collaboration with the Institute of Tourism at the Lucerne University of Applied Sciences and Arts conducted a broad study regarding customer demand of sustainable travel packages in 2011. It was established that 22% of customers consider sustainability as one of the top three deciding factors when booking travel packages. Particular attention is paid to customers who have expressed wishes for sustainable travel packages. Kuoni strives to continually increase the sustainability of its products and offer a wide range of sustainable products to its customers. 

    Firstly, Kuoni collaborates closely with its most important hotel partners to improve the sustainability of hotels according to the standards set by the sustainability certification scheme Travelife. Secondly, Kuoni works with NGO and industry partners to develop new sustainable products. Kuoni’s sustainable product line ananea stands for unique travel experiences while at the same time creating value for the local population and the environment. Thirdly, to counter the effects of travel on climate change, customers are offered compensation tickets for their flight emissions. In Switzerland, sales of carbon offsets to our customers has increased 465% since 2009.

    GRI Indicator Explanation of GRI Description/Reference Fulfillment
    Material

    EN1

    Materials used by weight or volume

    Office paper consumption (excluding catalogues) amounted to 164.61 tonnes in 2012. More information under http://www.kuoni.com/corp-responsibility/goals-and-performance/performance-2012

     

    EN2

    Percentage of materials used that are recycled input materials

    13.4% of paper consumption (excluding catalogue production) stemmed from recycled material. http://www.kuoni.com/corp-responsibility/goals-and-performance/performance-2012

     
    Energy

    EN3

    Direct energy consumption by primary energy source.

    The company does not produce its own energy.

     

    EN4

    Indirect energy consumption by primary source.

    Total energy consumption for operations from Outbound Europe Division amounted to 43,190 GJ. For a geographic breakdown , please visit http://www.kuoni.com/corp-responsibility/goals-and-performance/performance-2012

     
    Biodiversity

    EN12

    Description of significant impacts of activities, products, and services on biodiversity in protected areas and areas of high biodiversity value outside protected areas.

    http://www.kuoni.com/corp-responsibility/natural-resources/coral-reef-protection

     

    EN13

    Habitats protected or restored.

    The focus of Kuoni's biodiversity strategy is to provide conservation organisations, which have little knowledge of the tourism market, with the business skills necessary to design successful ecotourism products. By targeting natural World Heritage Sites, community-based organisations and ecotourism businesses, the project will raise awareness on the need for effective and responsible tourism management near protected areas. Participants of the ecotourism development project in 2012 included representatives from the Indawgy Wildlife Sanctuary, Thandwe reserve forest, Myeik Archipelago in Myanmar,  Ban Kiet Ngong, Nam Kading, Nam Boun River, Phongsaly Province, Hin Nam No National Protected Area and Xe Pian in Laos, amongst others.

     

    EN14

    Strategies, current actions, and future plans for managing impacts on biodiversity.

    http://www.kuoni.com/corp-responsibility/natural-resources/biodiversity

     
    Emissions, effluents and waste

    EN16

    Total direct and indirect greenhouse gas emissions by type and weight

    Total carbon footprint for Outbound Europe Division was 317,986.2 tonnes CO2, including 312,300 tonnes of which stem from flights from our charter airline Novair. For a breakdown of emissions from operations, see www.kuoni.com/corp-responsibility/goals-and-performance/performance-2012

     

    EN18

    Initiatives to reduce greenhouse gas emissions  and reductions achieved

    http://www.kuoni.com/corp-responsibility/natural-resources/climate-change

     
    Products and services

    EN26

    Initiatives to mitigate environmental impacts of products  and services, and extent of impact mitigation

    Offering carbon offsets through Kuoni-dedicated projects via myclimate has resulted in 12.7 thousand metric tonnes of carbon dioxide being offset from customers' flights in Swizterland. Project overviews can be seen here: http://www.kuoni.com/corp-responsibility/natural-resources/climate-change

     
  • Labor practices and decent work
    Disclosure on Management Approach

    Behind Kuoni’s long tradition and remarkable success as a leader in the travel industry lies a strong working force: people who enjoy their job and who embody the Kuoni brand values of "Reliability", "Authenticity" and "Passion". More than 12,000 people in over 80 countries on all five continents share the spirit and energy to continuously learn more about their destinations, their business partners and clients.

    Kuoni managers and employees base their decisions on the solid foundations laid by the Kuoni Code of Conduct and strong Corporate Governance rules. Furthermore, internal guidelines for transfer, performance management and recognition serve as a framework to ensure equal opportunity for all.

    The Code of Conduct which has been approved by the Board of Directors and is fully endorsed by the Group Executive Board is supplemented by more detailed internal regulations and guidelines which are applicable to specific geographic areas and/or fields of activities of Kuoni. The Code of Conduct is an integral part of Kuoni’s corporate culture and is binding upon Kuoni’s Board of Directors, Group Executive Board and all employees of the Kuoni Group. The Code of Conduct is available for download here http://www.kuoni.com/corporate-governance1/code-of-conduct-anti-corruption-and-bribery

    The company encourages employees to share their opinions and give it the opportunity to improve the way it manages the business. Kuoni’s global employee survey called EMPOWER confirms that work environments, day-to-day work tasks, team spirit and support by managers are the most valued aspects of working at Kuoni. Read more about EMPOWER online at http://www.kuoni.com/people/developing-people/empowerAll sustainability-related policies and procedures affirm the Group’s support of the UN Global Compact principles on human rights, labor, the environment and anti-corruption. 

    Employment

    Kuoni ensures that its vision, values and strategy are reflected in a strong people-centred culture through group-wide systems for training and development and the global application of business ethics that are based on legal compliance, corporate social responsibility and good business practice. 

    The leitmotif for sourcing, assessing and developing talents starting from the job interview through to annual appraisals are the 16 Kuoni Business Competencies, clustered in 4 categories: Leadership, Business Development, Passion and Performance.

    Recognition of people ranks amongst the most important instruments of leadership. The “Recognition Toolkit” helps managers find the right measures and the right moments to give feedback and reward good performance.

    Kuoni is dedicated to engage employees in sustainability related issues and therefore implements several initiatives that range from small personal contributions such as the calculation of their personal CO2 footprint and a bike-to-work scheme through to the organisation of a global annual Corporate Responsibility Day where entities across the world organise activities to learn about different sustainability issues.

    Labour & management relations

    Kuoni acknowledges that it is the creativity, diversity and dedication of our employees that leads us down the path of success. Therefore, dialogues and interaction between management and employees are considered of utmost importance. This is reflected through regular travels by the Group CEO and members of the Executive Board to business units worldwide.  The global intranet (K-Net) is available to all Kuoni employees and provides extensive information regarding corporate initiatives while also ensuring that all the company’s personnel has adequate access to the latest company facts. 

    Our annual employee satisfaction survey EMPOWER gives employees the opportunity to provide anonymous feedback and rate their direct managers. Survey results serve to improve our employee services and work environments both on global and local scales. The EMPOWER survey is as much a communication channel between employees on all levels as they are a compass helping people managers to stay on course.

    Training and education

    Leadership and individual capabilities are leveraged by means of the Kuoni Corporate Academy, which serves as a virtual platform and grants access to all development and training programs available to all employees including classroom trainings, eLearning modules and self-learning templates. The range of training modules reaches from self-management through communication and sales specific courses up to leadership and strategic management.

    Kuoni managers are expected to meet the highest expectations in terms of strategic and operative leadership and to leverage manpower for success. To meet this target Kuoni trains managers on guiding principles to support them in leading and developing their teams. Amongst these are a competency based skill management and the setting and monitoring of clear and achievable targets on all levels. 

    The Kuoni CR team and further members of the Kuoni Group’s CR network also conduct regular training sessions with employees to promote a dialogue and an exchange of views and ideas. The activities here include introducing new employees to the company’s CR activities on their first day at work and holding employee workshops on specific topics. Moreover we actively support vocational training for future tourist-sector specialists. For example, Kuoni supports a centre for vocational training in Yangon, Myanmar which has developed a three-year “Hotel & Gastronomy Assistant” course to train young people in a wide range of professional skills. 

    Diversity and equal opportunity

    Kuoni is a progressive global employer offering a diverse and innovative culture. Tailored training and development programs guarantee fair and transparent career development in both management and professional fields. Global standards in all countries for performance reviews, feedback and recognition ensure equal opportunities.

    GRI Indicator Explanation of GRI Description/Reference Fulfillment
    Employment

    LA1

    Total workforce by employment type, employment contract, and region, broken down by gender.

    http://www.kuoni.com/corp-responsibility/goals-and-performance/performance-2012

     
    Training and education

    LA10

    Average hours of training per year per employee by gender, and by employee category.

    http://www.kuoni.com/people/developing-people/corporate-academy

    Approximately 300 advanced training modules were completed at the Kuoni Corporate Academy, 75% of which were for professional development with the remaining modules related to leadership training.

     
    Diversity and equal opportunity

    LA13

    Composition of governance bodies and breakdown of employees per employee category according to gender, age group, minority group membership, and other indicators of diversity.

    http://www.kuoni.com/corp-responsibility/goals-and-performance/performance-2012

    http://2012.kuoni-annualreport.com/en/corporate-governance/board-of-directors/1

    60% of our employees are under the age of 35

    40% of management positions are held by women

     
  • Human Rights
    Disclosure on Management Approach

    The Kuoni Group is committed to respect human rights and seeks to avoid direct responsibility for and complicity in human rights abuses. Kuoni has outlined this as follows in the Kuoni Code of Conduct: “We aim to respect and proactively foster internationally-recognised human rights within our sphere of influence, especially the rights of the most vulnerable of our society. We seek to avoid complicity in human rights abuses and to further develop appropriate response mechanisms.” 

    Moreover, in March 2012 Kuoni published its Statement of Commitment on Human Rights, which is endorsed by the Group Executive Board. In addition, a “Human Rights Impact Assessment – Pilot Project in Kenya”, which represents a first assessment of the human rights risks and impacts arising from Kuoni’s operations and business relationships, was also published in 2012.

    Kuoni does not attribute more importance to one human right over another. However, it strives to prioritise its implementation efforts in aspects of operations over which it has greater degrees of control and influence, which are

    - respect for labour rights

    - respect and promotion of the rights of the child

    - due diligence in regards to human rights and its business in selected sensitive destinations 

    Through the course of Kuoni’s regular audits, the Group Internal Audit reviews and reports on the conditions of human rights within its operations. Kuoni is dedicated to monitor its progress in regards to human rights in an appropriate way.

    Investment and procurement practices

    Kuoni acknowledges that fostering sustainability in the supply chain is one of the most effective ways for it to promote the values underpinning its Corporate Responsibility strategy in the long term. The approach to sustainable supply chains involves a wide range of stakeholders, including its internal procurement & production departments, certification schemes for sustainable tourism, hotel and other industry partners, NGOs and international organisations.

    Human and labour rights standards are embedded into the Supplier Code of Conduct. These contractual provisions commit our suppliers (e.g. hotel partners, cruise ships, excursion providers) to respecting local employment law and international human rights, to not tolerating any discrimination on the basis of sex or religion, to offering a safe and hygienic workplace and to paying at least the minimum wage for the work done. The application of Kuoni’s sustainability criteria is assessed and verified. We also strive to help our partners meet these requirements over the longer term, and to ensure due and appropriate acknowledgement of their achievements in this regard. 

    Non-discrimination

    In accordance with the Code of Conduct, Kuoni does not discriminate based on personal characteristics or beliefs such as, for example, sex, ethnic group or religion. 

    Moreover, Kuoni does not tolerate harassment in any form, including physical abuse or punishment or threat of physical abuse or punishment and any kind of sexual intimidation. The Supplier Code of Conduct stipulates that suppliers need to provide an effective complaints procedure through which employees may raise grievances (including those about harassment) and seek redress.

    Child labour

    Kuoni respects and promotes the rights of the child, including protection from sexual exploitation of children and adolescents in tourism, protection from child labour and trafficking, as described in the company’s Supplier Code of Conduct and the Statement of Commitment on 

    Human Rights. 

    In this regard, the company adheres to accepted international laws and practices as set out by:

    - the Universal Declaration of Human Rights (UDHR)  

    - the International Labour Organisation’s Declaration on Fundamental Principles and Rights at Work (‘ILO Core Conventions’)

    - the UN Guiding Principles on Business and Human Rights 

    - the UN Global Compact Ten Principles

    - the UN Tourism Organisations (UNWTO) Global Code of Ethics

    - the UN Children’s Rights and Business Principles

    - and the OECD Guidelines for Multinational Enterprises.

    Kuoni also expects suppliers to commit to these same high standards, as monitored during sustainability audits conducted on a frequent basis. The supplier shall not employ children younger than 15 years of age unless local minimum age law stipulates a higher age for work or mandatory schooling, in which case the higher age shall apply. If however, local minimum age law is set at 14 years of age in accordance with developing country exceptions under ILO Convention No. 138, the lower will apply. If the supplier employs young people between the age of 14 and 18, the supplier must treat them with particular consideration, for example by restricting their working hours.
    Forced and compulsory labour

    As in accordance with the ILO Declaration on Fundamental Principles and Rights at Work, forced or involuntary labour is not tolerated in any form. During sustainability audits and monitoring processes, Kuoni makes sure that all employees are covered by an employment contract, and employees are free to enter their employment through their own choice. The audits also check that working hours comply with national or international laws.

    GRI Indicator Explanation of GRI Description/Reference Fulfillment
    Investment and procurement procedures

    HR2

    Percentage of significant suppliers, contractors and other business partners that have undergone human rights screening, and actions taken.

    Kuoni has defined its minimal requirements towards its suppliers in the Kuoni Supplier Code of Conduct, a policy document which requires our suppliers to adhere to human and  labour rights, compliance with local law and environmental standards, non-discrimination, anti-corruption, work place safety and hygiene and child protection. By 2012, the Supplier Code of Conduct was implemented in over 90% of hotel contracts of Kuoni’s Outbound Europe division. Read more about actions taken here (http://www.kuoni.com/corp-responsibility/sustainable-supply-chain).

     
    Child labor

    HR6

    Operations and significant suppliers identified as having significant risk for incidents of child labor, and measures taken to contribute to the effective abolition of child labor.

    Child protection is part of our Supplier Code of Conduct, which is being introduced to all our contractual agreements with our hotel partners and other suppliers. Since 2006, Kuoni has been an active member of the Child Protection Code and is represented on its board. As part of this commitment, Kuoni informs its customers about the issue, contractually obliges its partners to adopt the same ethical approach and shows its partner hotels and their employees what they should do in cases of sexual exploitation of children. (http://www.kuoni.com/corp-responsibility/human-and-labour-rights/child-protection)

     
    Assessment

    HR10

    Percentage and total number of operations that have been subject to human rights reviews and/or impact assessments.

    In 2012 Kuoni Group completed a pilot assessment on human rights impacts in Kenya, where Kuoni operates through its fully-owned destination management company Private Safaris East Africa Limited, to provide the company with a more precise understanding of the human rights context of its operations and business relationships in Kenya. The pilot resulted in 15 commitments and follow-up actions by Kuoni on labour issues, distribution of economic benefits, children’s rights and community impacts.  (http://www.kuoni.com/docs/assessing_human_rights_impacts_0.pdf)

     
  • Society
    Disclosure on Management Approach

    In all its actions and activities, Kuoni strives to serve as a good corporate citizen who pays due and full regard to the current and the future economic, social and environmental impact of its business operations. In doing so, Kuoni is accountable to many stakeholders, which include NGOs, the media, our suppliers, our employees, our investors, our customers and our industry partners.

    The various approaches, views and perspectives that our stakeholders offer us illustrate new possibilities and opportunities which should be utilised to the full. We then work with our stakeholders to jointly find new and innovative solutions and ensure that all our decision-making is as broad-based as possible in the areas concerned.

    Local communities

    At Kuoni, community initiatives are coordinated by the Corporate Responsibility department and carried out in collaboration with local NGOs, consultancies as well as international and development organisations.

    The company’s commitment to local communities is reflected in a joint project with the International Union for Conservation of Nature (IUCN) to promote business skills in community-based ecotourism organisations and in pioneering water projects in Kenya in which nine dams have been built to provide surrounding villages with their own water supplies. In 2013 more projects are to be developed in this area to ensure adequate access to water for communities in water-scarce destinations.

    Moreover, Kuoni financially supports two partner organisations in Kenya and India which are dedicated to improving the awareness of children’s rights and protecting them from all forms of exploitation, including commercial sexual exploitation. During the last six years Kuoni has been engaging with local non-governmental organisations and business partners in building awareness regarding the vulnerability of children to sexual exploitation due to tourism. To this end, Kuoni has been an active member of the The Code of Conduct for the Protection of Children from Sexual Exploitation in Travel and Tourism since 2006 and is represented on its board. As part of this commitment, Kuoni informs its customers about the issue, contractually obliges its partners to adopt the same ethical approach and shows its partner hotels and their employees what they should do if they come across any cases of sexual exploitation of children in the course of their work. 

    Corruption

    Kuoni is committed to doing business ethically and believes that bribery and other corrupt practices are wrong and unacceptable. To underline this commitment, Kuoni’s Board of Directors has issued the Group Anti-Corruption Regulation which is based on the Kuoni Code of Conduct and is fully endorsed by the Group Executive Board.

    The Group Anti-Corruption Regulation which applies to Kuoni’s Board of Directors, the Group Executive Board and all employees and associated persons and their directors, officers and employees makes it clear that they shall not offer, provide, authorize, request or receive a bribe or anything that may be construed as a bribe.

    GRI Indicator Explanation of GRI Description/Reference Fulfillment
    Local communities

    SO9

    Operations with significant potential or actual negative impacts on local communities.

    In 2012 Kuoni completed  its “Human Rights Impact Assessment – Pilot Project in Kenya”, which represents a first assessment of the human rights risks and impacts arising from Kuoni’s operations and business relationships and resulted in 15 commitments and follow-up actions by Kuoni on labour issues, distribution of economic benefits, children’s rights and community impacts. For more information about community impacts see the Human Rights Impact Assessment, Chapter 3.5: http://www.kuoni.com/docs/assessing_human_rights_impacts_0.pdf.

     

    SO10

    Prevention and mitigation measures implemented in operations with significant potential or actual negative impacts on local communities.

    Prevention and mitigation measures in Kuoni's operations in Kenya are presented in the Human Rights Impact Assessment, chapter 3.5: http://www.kuoni.com/docs/assessing_human_rights_impacts_0.pdf .

     
    Corruption

    SO4

    Actions taken in response to incidents of corruption

    As stipulated in the Group's Anti-Corruption Regulation, the violation of anti-bribery and anti-corruption laws may result in individuals or Kuoni receiving civil and/or criminal fines and punishment. Individuals may also be subject to imprisonment and/or fines for bribery and corruption offences. Kuoni may also be disbarred from bidding for contracts with government and other public organisations in certain jurisdictions if it is convicted. Kuoni considers a breach of this Regulation as a serious offence. Any violation will result indisciplinary action, up to and including dismissal of an individual in appropriate circumstances.

     
  • Product Responsibility
    Disclosure on Management Approach

    Kuoni aims to provide its customers with an excellent service product with the aim of creating “Perfect Moments” for our clients through the outstanding enthusiasm, commitment, professionalism and integrity of our personnel. To this end, Kuoni develops and continually expands the range and offer of its sustainable products and commits to strongly engage with its customers in their promotion. 

    Product and service labeling

    Kuoni in collaboration with the Institute of Tourism at the Lucerne University of Applied Sciences and Art conducted a broad study regarding customer demand of sustainable travel packages in 2011. It was established that 22% of customers consider sustainability as one of the top three deciding factors when booking travel packages.

    Kuoni strives to continually increase the sustainability of its products by using internationally recognised labelling and certification schemes:

    Firstly, Kuoni collaborates closely with its most important hotel partners to improve the sustainability of hotels. Working with the internationally recognised certification scheme Travelife allows Kuoni not only to monitor its core hotels but provides a means of communicating a hotel’s sustainability performance to customers and gives them the choice to spend their vacation in a sustainably managed hotel. Hotels demonstrating excellent sustainability performance are awarded the Travelife Gold, Silver or Bronze label. Currently Kuoni offers 133 Travelife-awarded hotels.

    Secondly, Kuoni works with NGO and industry partners to develop new sustainable products. With the sustainable product line ananea, Kuoni has set the benchmark for a new way of travel and offers its customers in Switzerland and UK the world’s first-ever Fair Trade Travel (FTT) certified package.

    Thirdly, to counter the effects of travel on climate change, customers are offered carbon compensation  for their flight emissions. Thereby, Kuoni collaborates with two exemplary carbon offsetting organisations, myclimate and Green Seat, to offer its clients with high-quality offsets for their flight emissions.

    Marketing communications

    Kuoni is continuously investing in market research and has recently conducted a Touchpoint analysis to further study the impact of our marketing and communication strategy in the Swiss market. 79 points of contact between the brand and a (potential) customer – both online and offline – have been identified and quantitatively evaluated on their reach and potential strength during a consumer’s holiday decision-making. The study included analysis of all different customer profiles as well as benchmarks of our competitors, which revealed a lot about our marketing strengths and weaknesses. The study has thereby helped to define further improvements of our marketing mix.

    GRI Indicator Explanation of GRI Description/Reference Fulfillment
    Product and service labelling

    PR3

    Type of product and service information required by procedures, and percentage of significant products and services subject to such information requirements.

    We offer 133 sustainability-awarded hotels through various marketing channels. Read more: Sustainable Products