Lego ties staff bonuses to reducing emissions

Lego employees will be financially rewarded when the toy maker hits its green targets as a percentage of its salaried employees’ annual bonuses are being linked to emissions reduction goals.

The Danish firm believes the move will help its staff “play their part” in aiming to achieve the company’s goals of cutting greenhouse gas emissions 37% by 2032 and reaching net zero by 2050.

Lego, which announced the move on social media, has looked to lead from the front on environmental matters. 

In 2020, it became the first major toy firm to announce a science-based emissions reduction target in alignment with the Science Based Targets initiative. 

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“We have an ambitious target to reduce our emissions by 37% by 2032 and net zero by 2050,” Stuart Jefford, head of climate, The Lego Group, said.

“To help embed this across our business, I’m proud to say that we’ve now tied a percentage of colleague bonuses to our annual carbon emissions. There’s lots still to do, but this will help everyone to play their part.”

Lego hopes that by being financially incentivised, its staff will be keen to play their part in cutting emissions across its factories, stores, and offices.

The new KPI is a trackable carbon intensity measure which compares Scope 1 and 2 emissions and one Scope 3 emission category (business travel) with how many bricks have been manufactured over the same period.

percent of the company’s salaried employees’ bonus payments will be tied to this KPI from 2024, which will expand to include wider Scope 3 emissions as the company progresses. Scope 3 emissions currently account for around 98% of Lego’s annual carbon footprint.

Earlier this year, Lego launched a take-back service Replay in the UK to stop its iconic bricks from becoming waste.

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