Our sustainability strategy is underpinned by the regular collection of data that we use to generate our sustainability KPIs and for submission to sustainability benchmarking indices. 


Melrose Sustainability Data Sheet



Greenhouse gas emissions

Total Melrose Group GHG emissions for the period 1 January 2021 – 31 December 2021 (tonnes CO2e(1) unless stated) 

 

2021(2)

2020(3,4)

2019(5)

Change

(2021/2020)

Scope 1: Direct GHG emissions

 

 

 

 

Combustion of fuel and operation of facilities(6)

168,315

185,210

223,847

-9%

Scope 2: Indirect GHG emissions

       

UK electricity

15,313

17,614

26,909

-13%

Overseas electricity

539,513

631,471

774,569

-15%

Total purchased electricity

554,825

649,085

801,478

-15%

Other purchased energy

220

2,045

3,165

-89%

Total Scope 2(7)

555,045

651,130

804,643

-15%

Total Scope 1 and Scope 2 emissions

723,360

836,340

1,028,490

-14%

 

 

 

 

 

Company’s chosen intensity measurement:

Emissions reported above normalised tonnes per £1,000 turnover (8)

0.105

0.096

0.092

9%

Scope 3: Indirect GHG emissions in the value chain

       

Business travel(9)

6,873

-

-

-

Other(10)

71,961

-

-

-

Total Scope 3 emissions

78,835

-

-

-

Notes

(1) CO2e – carbon dioxide equivalent, this figure includes GHGs in addition to carbon dioxide, as set out in Table 2 below.
(2) The 2021 emissions data does not include Nortek Air Management, Brush or Nortek Control, as they were sold part way through the year. The emissions from these businesses fall below our materiality threshold.
(3) Our 2020 Scope 2 emissions data has been restated.
(4) The 2020 emissions data does not include GKN Wheels & Structures as it was sold part way through that year. The emissions from this business fell below our materiality threshold.
(5) The 2019 emissions data does not include the Walterscheid Powertrain Group as it was sold part way through that year. 2019 was chosen as the base year for the purposes of reporting Group emissions data in this report as it was the first full reporting year that GKN Aerospace, GKN Automotive and GKN Powder Metallurgy were reported as part of the Group.
(6) Our Scope 1 figures include emissions from fuel used on premises, transport emissions from owned or controlled vehicles, losses of refrigerant, and process and fugitive emission.
(7) Our Scope 2 figures include emissions from electricity and heat purchased by the Group’s businesses. Scope 2 emissions, and total GHG emissions, are calculated using the location-based method.
(8) The turnover figure used to calculate the intensity ratio does not include any share of revenues from entities in which the Group holds an interest of 50% or less. For 2021, the turnover figure includes continuing businesses only.
(9) Inclusive of business travel and business travel well-to-tank. Rail and vehicle travel was collected from 17% (by revenue) of the Group and air travel was collected from 54% (by revenue) of the Group.
(10) Includes emissions from fuel-related well-to-tank, electricity transmission and distribution losses, and water supply

Melrose Group GHG emissions by type (CO2e) for the period 1 January 2021 – 31 December 2021 (tonnes CO2e(1) unless stated)

 

2021

2020

 

 

UK

Global
(excl UK)

Total

UK

Global
(excl UK)

Total

Change in Total
(2021/2020)

Scope 1(1)

 

 

 

 

 

 

 

CO2

9.375

158,051

167,427

9,700

172,178

182,878

-8%

CH4

13

210

222

13

227

240

-7%

N2O

6

135

141

6

137

143

-2%

SF6

0

0

0

2,075

741

2,816

-100%

R134a

0

0

0

0

59

59

-100%

Total Scope 1 CO2e

9,394

158,921

168,315

11,794

173,677

185,471

-9%

Scope 2(2)

 

 

 

 

 

 

 

CO2

15,156

537,980

553,136

17,455

630,886

648,341

-15%

CH4

58

281

339

54

451

505

-33%

N2O

99

1,471

1,570

104

2,180

2,284

-31%

Total Scope 2 CO2e

15,313

539,732

555,045

17,614

633,516

651,130

-15%

Notes

(1) CO2e – carbon dioxide equivalent, this figure includes GHGs in addition to carbon dioxide.
(2) Our 2020 Scope 2 emissions data has been restated.
(3) Our Scope 1 figures include emissions from fuel used on premises, transport emissions from owned or controlled vehicles, losses of refrigerant, and process and fugitive emission.
(4) Our Scope 2 figures include emissions from electricity and heat purchased by the Group’s businesses. Scope 2 emissions, and total GHG emissions, are calculated using the location-based method.

 

Total Melrose Group GHG emissions outside of Scopes 1, 2 and 3 for the period 1 January 2021 – 31 December 2021 (tonnes CO2)

 

2021

2020

Change
(2021/2020)

Wood Pellets

12,131

7,857

60%

Melrose Group energy consumption by type for the period 1 January 2021 – 31 December 2021 (MWh unless stated)

  2021 2020  
Energy type    

UK

Global
(excl UK)

Total

UK

Global
(excl UK)

Total

Change
(Total)

Natural gas

50,903 787,088 837,991

52,132

809,336

861,468

-3%

LPG

76 37,748 37,824

317

37,716

38,033

-1%

Gas oil

0 4,894 4,894

0

5,669

5,669

-14%

Fuel oil

0 8,998 8,998

0

9,189

9,189

-2%

Diesel

202 8,467 8,669

261

6,809

7,070

23%

Petrol (gasoline)

28 1,594 1,622

13

667

680

139%

Steam

0 15,150 15,150

0

18,819 

18,819​

-19%

Wood pellets

0 34,719 34,719

0

21,713

21,713

60%

Total non-renewable fuels consumption

3251,7 898,658 949,867

52,723

909,918

962,641

-1%

Total renewable electricity consumption

327 25,743 26,070

0

8,052

8,052

224%

Total non-renewable electricity consumption

72,118 1,684,384 1,756,502

75,549

1,864,732

1,940,281

-9%

Total electricity consumption

72,445 1,710,127 1,782,572

75,549

1,872,784

1,948,333

-9%

Total operational energy consumption

123,654 2,608,785 2,732,439

128,272

2,782,702

2,910,974

-6%

 

     

 

 

 

 

Company’s chosen intensity measurement:

MWh per £1,000 turnover(1)

0.018 0.379 0.397

0.015

0.318

0.332

19%

Notes

(1) The turnover figure used does not include any share of revenues from entities in which the Group holds an interest of 50% or less. For 2021, the turnover figure includes continuing businesses only.

Water withdrawal

Melrose Group water withdrawal(1) data for the period 1 January 2021 – 31 December 2021(1)

 

2021(2)

2020(3)

Change

Freshwater water consumption in operation (m3)

3,596,002

3,880,393

-7%

Company’s chosen intensity ratio:

m3 per £1,000 turnover(4)

 

 0.519

 

0.443

 

17%

Notes
(1) For these purposes, water withdrawal is defined as the sum of all water drawn into the boundaries of the organisation (or facility) from all sources for any use over the course of the reporting period.
(2) Water withdrawal data was collected from 100% of sites across the Group in 2021.
(3) Water withdrawal data was collected from 147 sites (93%) across the Group’s businesses in 2020. Although a small number of sites did not record their water withdrawal, to give an indication as to size, these sites accounted for less than 3% of the Group’s total GHG emissions in 2020, and so these omissions are not material.
(4) The turnover figure used to calculate the intensity ratio does not include any share of revenues from entities in which the Group holds an interest of 50% or less. For 2021, the turnover figure includes continuing businesses only.

Waste generation

Melrose Group waste generation data for the period 1 January 2020 – 31 December 2021

2021(1)

2020(2)

Change

Weight of total non-hazardous waste (tonnes)

151,900

139,388

16%

Weight of total hazardous waste (tonnes)

10,436

11,087

-6%

Total waste generated (tonnes)

162,336

150,475

8%

Breakdown:

 

 

 

- Total recycled (tonnes)

141,947

121,912

16%

- Total incineration (tonnes)

5,850

9,103

-36%

- Total landfill (tonnes)

9,175

15,601

-41%

- Hazardous waste disposed through legally approved treatment routes (tonnes)(3)

5,394

3,859

 40%

Notes

(1) Waste generation data was collected from 100% of sites across the Group in 2021.
(2) Waste generation data was collected from 136 sites (86%) across the Group in 2020. Although a small number of sites did not record their waste generation, to give an indication as to size, these sites accounted for less than 3% of the Group’s total GHG emissions in 2020, and so these omissions are not material.​
(3) This figure was calculated on the basis of the guidance published by the EU (see source: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:02000D0532-20150601), which includes waste from physical and chemical processing of metals that are hazardous to humans and wildlife, oil spills and waste materials containing oil, wastes containing mercury and heavy metals, waste paint, varnish and coatings containing organic solvents and other hazardous substances.

Major accident frequency rate

Records the average number of lost time accidents that have resulted in more than three days off work (defined as ‘major’ accidents), per 200,000 hours worked.

2021 2020 2019 2018 2017
0.04 0.19 0.28 0.22 0.38

Accident frequency rate

Records the average number of lost time accidents, both major and minor, per 200,000 hours worked.

2021 2020 2019 2018 2017
0.06 0.30 0.43 0.47 0.70

Accident severity rate

​Records the average number of days an employee takes off work following an accident at work.

2021 2020 2019 2018 2017
30.17 20.39 19.15 20.89 14.15

Reward and recognition

 

2021

2020

2019

2018

2017

Open positions filled by internal candidates

20%

25%

31%

15%

20%

Overall voluntary attrition

9%

10%

10%

25%

21%

Notes

(1) Data was collected from 82% (by headcount) of the Group in 2017, 96% (by headcount) in 2018, 66% (by headcount) in 2019, 66% (by headcount) in 2020 and 100% (by headcount) in 2021.
(2) Data was collected from 97% (by headcount) of the Group in 2019 and in 2020.
(3) Data was collected from 82% (by headcount) of the Group in 2017, 97% (by headcount) in 2018, 98% (by headcount) in 2019, 98% (by headcount) in 2020 and 100% (by headcount) in 2021.

Diversity

Melrose Board Gender Diversity at 31 December 2021

At 31 December 2021

At 31 December 2020

At 31 December 2019

 

Male

Female

Male

Female Male Female

Board

7 (58%)

5 (42%)

7 (70%) 5 (30%) 7 (70%) 3 (30%)

Total Group employee gender diversity at 31 December 2021


Male


Female


Total

Male
(%)

Female
(%)

Total Group employees

32,204

7,842

40,046

80%

20%

Talent and careers management

Training and development

2021

2020

2019

2018

2017 2016

Average training time per employee (hours)(1)

23

13 15 3

9

-

Average training spend per employee (£)(2)

209

166 222 128 142 152

Total number of training hours(3)

929,878

338,406 410,638 39,823 37,951 -

Total annual spend on workforce training (£)(4)

8,384,837

8,591,293

12,182,473

1,200,461

1,377,247

300,025

Notes

(1) Data was collected from 38% (by headcount) of the Group in 2017, 21% (by headcount) in 2018, 25% (by headcount) in 2019, 39% (by headcount) in 2020 and 100% (by headcount) in 2021. Data was not available in 2016.
(2) Data was collected from 99% (by headcount) of the Group.
(3) Data was collected from 38% (by headcount) of the Group in 2017, 21% (by headcount) in 2018, 25% (by headcount) in 2019, 39% (by headcount) in 2020 and 100% (by headcount) in 2021. Data was not available in 2016.
(4) Data was collected from 99% (by headcount) of the Group.

Our sustainability strategy is underpinned by the regular collection of data that we use to generate our sustainability KPIs and for submission to sustainability benchmarking indices. 

Code of Ethics

The Code of Ethics includes policies covering best practice with respect to anti-bribery and corruption, anti-money laundering, anti-facilitation of tax evasion, competition, conflict minerals, trade compliance, data privacy, whistleblowing, treasury and financial controls, anti-slavery and human trafficking, document retention, joint ventures, diversity and inclusion, environmental and human rights.

A copy of Melrose’s Code of Ethics can be found here.

All business must be conducted in an open, honest and ethical manner as required by the Anti-Bribery and Corruption Policy. Bribes are against the law, no matter what “local custom” may be. Any breach of this policy may lead to disciplinary action being taken by the Company up to and including termination of employment.

A copy of Melrose’s Anti-Bribery and Corruption Policy is available here.

No Melrose business may engage in money laundering. Although the Group does not undertake regulated activities for the purposes of anti-money laundering legislation, we are committed to best practice in this area as set out in the Anti-Money Laundering Policy.

One of the fundamental principles of the Group is to conduct all of its business in an open, honest and ethical manner. We take a zero tolerance approach to acts which enable tax evasion to take place and such principle is embedded in Melrose’s Preventing the Facilitation of Tax Evasion Policy.

Employees are responsible for acquiring a sufficient understanding of applicable competition laws and refrain from engaging in practices that violate such laws so that we compete fairly, as set out in Melrose’s Competition Policy.

We act ethically and with integrity and expect our suppliers to do the same. Where applicable, we have strict procedures in place to seek to identify whether 3TG minerals are sourced responsibly and from conflict-free regions of the world.

A copy of Melrose’s Conflict Minerals Policy can be found here.

In conducting business across borders, employees must be aware of, and follow, all applicable laws and comply with the Group’s Trade Compliance Policy. Compliance failures can result in fines, criminal penalties, adverse publicity and suspension or revocation of the Group’s import or export privileges.

Employees must always safeguard personal information and only use it for valid business purposes. The Data Protection Policy is designed to assist in ensuring we manage the data protection risks arising out of our activities.

Employees are encouraged to raise promptly any actual or suspected breach of Melrose policies and any other matter of concern. Further details are contained in the Whistleblowing Policy.

A copy of Melrose’s Whistleblowing Policy is available here.

Employees must ensure that all records and documents are adequately protected and maintained in accordance with Melrose's Document Retention Policy.

Melrose has a zero-tolerance approach to modern slavery and we are committed to implementing and enforcing effective systems and controls to ensure modern slavery is not taking place anywhere in our own business or in any of our supply chains. Further details are contained in the Anti-slavery and Human Trafficking Policy.

The Joint Venture Policy must be complied with both before entering into a JV arrangement and during the course of a JV partnership.

At a Board level, the Board together with the Nomination Committee places great emphasis on ensuring that its membership and pipeline for succession planning reflects diversity.  Melrose also understands the importance of diversity and inclusivity in its workforce to its long-term success.

Further details are contained in our Board of Directors Diversity Policy and our Diversity and Inclusion Policy.

We are committed to upholding and protecting human rights according to international standards.

A copy of Melrose’s Human Rights Policy is available here.