Spanning six continents and over 220 countries and territories, FedEx’s networks link businesses and communities through a diverse portfolio of transportation, e-commerce and business solutions. Setting a high standard for team member conduct worldwide, FedEx is committed to operating responsibly and with integrity, complying with all applicable laws and regulations.
This case study is based on the 2019 Global Citizenship Report by FedEx published on the Global Reporting Initiative Sustainability Disclosure Database that can be found at this link. Through all case studies we aim to demonstrate what CSR/ ESG/ sustainability reporting done responsibly means. Essentially, it means: a) identifying a company’s most important impacts on the environment, economy and society, and b) measuring, managing and changing.Tweet This!, providing best practices, tools and guidance, as well as communications and training through its Corporate Integrity and Compliance Department. In order to promote corporate integrity and compliance FedEx took action to:
- implement a Code of Business Conduct and Ethics
- provide best practices, tools and guidance
- fight corruption
- provide compliance training
- combat human trafficking
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With this case study you will see:
- Which are the most important impacts (material issues) FedEx has identified;
- How FedEx proceeded with stakeholder engagement, and
- What actions were taken by FedEx to promote corporate integrity and compliance
What are the material issues the company has identified?
In its 2019 Global Citizenship Report FedEx identified a range of material issues, such as data security and privacy, business preparedness, resiliency and disaster response, aircraft and surface vehicle fleet energy usage and associated greenhouse gas (GHG) emissions, driver and workplace safety. Among these, promoting corporate integrity and compliance stands out as a key material issue for FedEx.
Stakeholder engagement in accordance with the GRI Standards
The Global Reporting Initiative (GRI) defines the Principle of Stakeholder Inclusiveness when identifying material issues (or a company’s most important impacts) as follows:
Stakeholders must be consulted in the process of identifying a company’s most important impacts and their reasonable expectations and interests must be taken into account. This is an important cornerstone for CSR / sustainability reporting done responsibly.
Key stakeholder groups FedEx engages with:
How stakeholder engagement was made to identify material issues
To identify and prioritise material topics FedEx engaged with its stakeholders through phone interviews, roundtable meetings and online surveys.
In its 2019 Global Citizenship Report FedEx reports that it took the following actions for promoting corporate integrity and compliance:
- Implementing a Code of Business Conduct and Ethics
- FedEx’s Code of Business Conduct and Ethics is the foundation of its corporate integrity and compliance programme, and sets a high standard for team member conduct worldwide. New hires are trained on the Code’s provisions which cover, among others, workplace health, safety and environment; human rights; money laundering prevention; equal opportunity and anti-harassment; conflicts of interest; improper payments, gifts and entertainment. The code is being updated in 2019, to make sure it remains accessible and relevant to FedEx’s global team members.
- Providing best practices, tools and guidance
- Globally, the FedEx Corporate Integrity and Compliance department serves as a central resource to further embed the FedEx commitment to integrity, in everything FedEx does. The department, led by FedEx’s Global Chief Compliance and Governance Officer, provides best practices, tools and guidance, along with communications and training. FedEx encourages employees to report any legal or ethical violations to management, Legal, HR or the 24-hour FedEx Alert Line. In FY18, FedEx added translations to the Alert Line portal, and rolled out translated Alert Line posters around the globe.
- Fighting corruption
- FedEx is committed to complying with all anti-corruption laws, and prohibits bribes of any type. FedEx’s Global Anti-Corruption Policy and related Anti-Corruption Compliance Procedures provide detailed guidance to team members. Training at the time of onboarding and again within three years, is required for team members in relevant roles. This includes management in international operations and team members and suppliers who interact with government officials on behalf of FedEx, such as customs and border personnel. FedEx’s third-party oversight programme includes due diligence, annual certifications of compliance, training and other practices to mitigate risks.
- Providing compliance training
- Code of Conduct, anti-corruption, antitrust, conflicts of interest and other compliance training are all key components of FedEx’s corporate integrity and compliance programme. During FY18, training efforts focused on investigation and fraud reporting, to make sure designated team members have the knowledge and resources to investigate potential fraud using standard rules of practice. Another key focus is making sure FedEx’s compliance programme and expectations are embedded into the company’s communications, training and systems.
- Combating human trafficking
- FedEx shares the zero-tolerance policies adopted by the U.S. and other governments to combat slavery or the trafficking of persons for any purpose. Accordingly, FedEx prohibits trafficking-related activities and expects the same of its suppliers and contractors. Additionally, FedEx Freight has joined Truckers Against Trafficking, an organisation that trains drivers to identify potential signs of human trafficking.
Which GRI Standards and corresponding Sustainable Development Goals (SDGs) have been addressed?
The GRI Standards addressed in this case are:
Disclosure 205-2 Communication and training about anti-corruption policies and procedures corresponds to:
- Sustainable Development Goal (SDG) 16: Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels
- Business theme: Anti-corruption
Disclosure 412-2 Employee training on human rights policies or procedures does not correspond to any SDG.
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1) This case study is based on published information by FedEx, located at the link below. For the sake of readability, we did not use brackets or ellipses. However, we made sure that the extra or missing words did not change the report’s meaning. If you would like to quote these written sources from the original, please revert to the original on the Global Reporting Initiative’s Sustainability Disclosure Database at the link:
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