Environment

Score: ✔️✔️✔️✔️ (4/5)

Overview: Kmart Australia has initiated several environmental sustainability measures, focusing on energy efficiency, sustainable materials, and waste reduction. However, there is room for improvement in transparency and comprehensive reporting.

Energy Efficiency

• Replaced all metal halide lights in stores with LED alternatives, reducing energy consumption by 50% [Source].
• Developed an energy-efficient roadmap outlining initiatives for implementation or trials [Source].

Sustainable Materials

• Participates in the Better Cotton Initiative since 2017, promoting sustainable cotton farming practices [Source].
• Working towards phasing out mulesed wool by July 2024, aiming to source from Responsible Wool Standard certified farms or recycled wool materials [Source].

Waste Reduction

• Transitioning towards sustainable packaging to minimize environmental impact [Source].

Areas for Improvement

• Lack of publicly available data on carbon emissions and specific reduction targets [Source].
• Need for more comprehensive reporting on environmental initiatives and progress.

Human Rights

Score: ✔️✔️✔️✔️✔️ (5/5)

Overview: Kmart Australia demonstrates a strong commitment to human rights through its ethical sourcing program, focus on modern slavery prevention, and initiatives promoting gender equality and living wages.

Ethical Sourcing

• Adheres to an Ethical Sourcing Code based on International Labour Organization standards and the UN Universal Declaration of Human Rights [Source].
• Conducts risk assessments and due diligence activities to identify and address human rights risks in the supply chain [Source].

Modern Slavery Prevention

• Assessed the risk of modern slavery in operations as low due to robust HR policies and grievance mechanisms [Source].
• Recognizes the complexity of supply chains and works to mitigate risks in sourcing countries.

Gender Equality and Living Wages

• Identified gender equality and women's empowerment as priority human rights topics [Source].
• Launched a research project in 2015 to understand challenges associated with achieving a living wage for factory workers [Source].

Areas for Improvement

• Enhance transparency by publishing detailed reports on human rights initiatives and progress.
• Implement measurable targets for improving labor conditions and wages across the supply chain.

Animal Welfare

Score: ✔️✔️✔️✔️ (4/5)

Overview: Kmart Australia has established an Animal Welfare Policy aligned with the Five Freedoms, applying to its own brand products. While steps have been taken to improve animal welfare, further actions are needed to enhance transparency and traceability.

Policy and Commitments

• Animal Welfare Policy applies to suppliers of Kmart Australia and Target Australia own brand products, encouraging other suppliers to adopt similar standards [Source].
• Compliance with the Animal Welfare Policy is a mandatory requirement under the Kmart Group Ethical Sourcing Code [Source].

Product Sourcing

• Does not use fur, angora, or exotic animal skins; uses wool, leather, and exotic animal hair in small amounts [Source].
• Committed to phasing out mulesed wool by July 2024, aiming to source from certified non-mulesed or recycled wool materials [Source].

Areas for Improvement

• Lack of evidence tracing animal products to the first stage of production [Source].
• Need for greater transparency and reporting on animal welfare practices and supplier compliance.