Arla Foods Consolidated Annual Report 2021 slide image

Arla Foods Consolidated Annual Report 2021

133 Arla Foods Consolidated Annual Report 2021 / Environmental, social and governance (ESG) data / Notes Social figures 2.5 FOOD SAFETY - NUMBER OF PRODUCT RECALLS ZERO PRODUCT RECALLS IN 2021 As a global food company, food safety is key to Arla. A core responsibility for Arla is to ensure that products are safe for consumers to eat and drink, and that the content of the product is clearly and appropriately labelled on the packaging. Food safety is also one of the most important indicators towards consumers, signalling that Arla's products are produced and labelled according to the highest quality standards. In 2021, no product recalls occurred, while last year there was one. Arla is dedicated to ensuring that its products are safe to consume and works continuously across the value chain, including with suppliers, to reduce the number of recalls to as close to zero as possible. All product incidents must be dealt with in a timely manner to ensure the safety of our consumers as well as the legality and quality of products (Arla or private label). The handling of all public recall incidents follows a detailed and standardised process. Product incident management is also tested annually. FEEDBACK LOOP TO REDUCE ACCIDENTS ESG Table 2.5 Recalls Number of recalls 2021 2020 2019 2018 2017 0 1 4 2 10 Accounting policies In accordance with ESG reporting standards, product recalls are defined as public recalls. A public recall is the action taken when products pose a material food safety, legal or brand integrity risk. Public recall is only relevant if products are available to the consumers in the marketplace. Public recalls are reported as soon as they happen, and an incident report must be completed about each incident within two weekdays from the first notice of the problem. The total number of public recalls is reported externally on an annual basis. Accidents, near misses and observation registered Number of accidents reduced Safety improvement Contents Data shared across organisation initiatives implemented III ESG Table 2.6 Accidents 2021 2020 2019 2018 2017 (per 1 million working hours) Accident frequency 4.3 5.2 6.0 7.9 9.3 2.6 ACCIDENTS ACCIDENTS REMAINS KEY PRIORITY Arla has a comprehensive and long value chain and offers a large variety of jobs across geographies. Our employees are key to the success of Arla, and it is our ambition to provide all employees with safe and healthy working conditions. Arla is committed to preventing accidents, injuries and work-related illnesses. A systematic approach to target-setting and tracking is applied to mitigate risks and reduce problems in an ongoing close collaboration with employees across the organisation. Accidents resulting in injuries can be lost-time accidents (LTAS) as well as non-lost-time accidents (minor). The number of LTAs per 1 million working hours decreased to 4.3 compared to 5.2 last year. The decrease is seen across both logistic and production especially in Denmark, Sweden and Finland, but also at international sites. The development is a result of continued focus on safety awareness through cornerstone. Accounting policies An LTA is a workplace injury sustained by an employee while completing work activities that result in the loss of one or more days off from work on scheduled working days/shifts. An accident is considered a lost-time acci- dent only when the employee is unable to perform the regular duties of the job, takes time off for recovery, or is assigned modified work duties for the recovery period. All employees - both Arla employees and agency workers undertaking an Arla job - sustaining injury or illness related to the workplace are required to report it to their team leader or manager as soon as reasonably practical, regardless of severity. Most site employees have access to a mobile application where they can quickly and easily report any accidents. Notification must be done prior to the injured party leaving work. Accidents reported after the end of the injured party's working day may not be accepted as a workplace accident. The number of accidents is reported monthly to the Board of Directors and Executive Management Team.
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