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1、Delivering Sustainable LegaciesOur 2024 Sustainability ReportTable of Contents1Letter from the CEO12Achieving Net Zero3AECOM at a Glance28Improving Social Outcomes6Sustainable Legacies39Enhancing Governance9Q&A with President Lara Poloni44Embedding Sustainable Development and Resilience Across Our W
2、ork11AECOMs Approach to Sustainability-Related Reporting50SASB and TCFD TablesThis year,we took our initiatives a step further by improving the diversity of our workforce and achieving our near-term goal of women comprising at least 20%of our leadership.We continue to make further progress against o
3、ur 35%near-term target of women company-wide while also advancing our nongender diversity targets within each region of our business.In addition,we have implemented required unconscious bias training and set specific targets within each of our regions.We also strengthened our professional developmen
4、t programs to help our employees build meaningful careers and foster talent.I am pleased to report that these actions are receiving positive feedback.In our latest employee survey,a record number of employees recommended AECOM as a great place to work.In addition,our employee retention midway throug
5、h fiscal 2024 is well ahead of pre-pandemic levels.We extended these practices focused on social impact by launching our AECOM relief campaign in collaboration with the American Red Crosss Hawaii Wildfires Relief Fund.As we reflect on our achievements and progress made over the past year,I am proud
6、of our teams unwavering commitment and the progress to our purpose of delivering a better world.Our Sustainability Report highlights our ongoing commitment to embedding leading sustainability,resilience and governance practices in everything that we do.Embracing sustainability in our culture Our emp
7、loyees are our greatest asset,and we have taken several steps to create the best workplace in our industry,with sustainability and resilience at the center.Last year,this included implementing required sustainability and related training programs to help our employees work safely,sustainably,and eth
8、ically.We have achieved strong employee engagement and training compliance due to our efforts for the fourth consecutive year,reflecting our commitment to our workforce and training initiatives.As part of this process our teams are trained on our global sustainability risk framework that aligns with
9、 our Sustainable Legacies strategy and is critical in continually assessing project and environmental risks in every decision we make.Letter from the CEOLetter from the CEOTroy RuddChief Executive OfficerSince adopting our Think and Act Globally strategy,sustainability and resiliency have remained p
10、aramount in our business decisions,forming the core of our current strategy.Reflecting this commitment,we developed our Sustainable Legacies strategy that ensures we take action across our organization.Over the past year,weve made significant progress on these initiatives,placing us at the forefront
11、 of sustainable practices.This has not only extended our competitive advantage as industry leaders but also enabled us to lead more comprehensively,delivering for both clients and the communities we serve.Ultimately,our aim is to create a lasting impact on the planet for future generations.1|AECOM 2
12、024 SUSTAINABILITY REPORTBy engaging with our clients earlier and longer,we have created a competitive advantage in our offering.Our global scale and experience are proving to be key differentiators as we are winning work at an all-time sustained high.As part of this,we are winning the work that mat
13、ters by focusing our environmental technical expertise on the largest and most profitable markets.Critical pursuits such as the UK Network Rail,California High-Speed Rail,and NEOM International Airport highlight the breadth of our advisory and program management services that,when coupled with our t
14、echnical expertise,are setting new standards for complex,sustainable infrastructure.Our progress was no more apparent than in our leading industry recognitions that were announced by the Engineering-News Record in April 2024.In these rankings,we were named the number-one Water design firm,displacing
15、 two of our closest competitors,while our number one rankings in Transportation and Facilities design were also reaffirmed.Moreover,our recent acknowledgment from USA Today as one of Americas Climate Leaders for 2024 underscores our progress on our environmental commitments.With these recognitions,w
16、e are now the top ranked firm across each of our major end markets,further reflecting the tremendous value we bring to clients every day.Driving sustainable infrastructure Our commitment to sustainability drives us forward with the latest technology,particularly in our role leading the Sustainable M
17、arkets Initiative task force on measurement and transparency.This work has led us to build the innovative and collaborative SMI Nature Risk Tool.Developed in partnership with stakeholders and industry experts,weve created a solution designed to guide early-stage infrastructure decisions.This tool em
18、powers users to assess and address the impact of projects on nature,mitigating risk,and maximizing value.Leveraging global data sets and frameworks,it offers comprehensive insights into biodiversity and ecosystem dependencies.User friendly visualizations simplify complex data,enabling informed decis
19、ion making from site selection to risk identification.As we embark on pilot projects,our aim is to democratize access to this transformative tool,advancing sustainable and resilient infrastructure worldwide.Our work on this tool underscores the type of impact we can have as a company to promote and
20、enhance nature and biodiversity.Looking aheadWe are leading across our markets at a time when sustainability factors have become increasingly important for clients around the globe.This is due to the changing effects of climate change and environmental issues,including evolving regulatory frameworks
21、 following continued multi-decade investments in areas such as sustainability and the energy transition.Our clients are increasingly turning to us to navigate these evolving priorities.We are beginning to witness a surge in momentum in our pipeline from the Infrastructure Investment and Jobs Act(IIJ
22、A)and other substantial infrastructure funding initiatives around the world,and we expect substantial growth opportunities on the horizon.We are best positioned to advise and execute on these priorities with our multiple decades of experience and the digital delivery capabilities required to navigat
23、e in this changing landscape.I am incredibly proud of the impact we are making through our sustainability efforts.These are complex challenges that cannot be solved in a day,and,through our Sustainable Legacies strategy,we are committed to continuously improve our capabilities to create infrastructu
24、re opportunities for all.I would like to extend a thank you to our employees,clients,and stakeholders for supporting us on this sustainability journey.Together,we will continue to build a better and more equitable future.Troy RuddChief Executive OfficerAECOM has a long and proud history of deliverin
25、g for clients and communities across Hawaii,and through this campaign we have made a corporate donation combined with offering a global matching program to collectively raise$300,000 to aid in the challenging recovery.On a global scale,we partnered with the Government of Ukraine to provide program m
26、anagement and advisory services that will aid in the reconstruction of Ukraine.These are notable examples of the type of initiatives that unify our teams across the world and deliver sustainable legacies for generations to come.Within AECOM,we have established a culture centered on flexibility,trust
27、,and collaboration.For the tenth consecutive year,we have been recognized as a Fortune Worlds Most Admired Company,a testament to our continued excellence in our field.Sustaining our recognition is only possible because of the strength of our employees52,000 talented professionals who are dedicated
28、to our clients and our purpose of delivering a better world.To ensure we continue fostering a culture focused on impact and providing greater opportunities for our professionals,we continue to invest in professional and technical development programs.In 2023,we also celebrated the value and success
29、of these programs that led to TIME magazine naming us one of the Best Companies for Future Leaders,complementing our status as one of the Worlds Most Ethical Companies for the eighth year,as recognized by Ethisphere.Winning with our technical expertise Over the last year,our ESG Advisory practice,wh
30、ich provides our clients with leading sustainability and resilience-related consulting services,grew a double-digit pace and have made key senior hires in nature-based solutions and the energy transition.Serving as a complement to our world-class program management and advisory services,we have expa
31、nded our addressable market to support our clients more holistically across the lifecycle of their investmentsfrom assessing risk and developing a strategy to the detailed design and execution of the project.Letter from the CEO2|AECOM 2024 SUSTAINABILITY REPORTAECOM at a GlanceAECOM at a GlanceStren
32、gthened financial profile with transformed balance sheet and returning capital to shareholders.Capitalizing on market leading positions,substantial backlog and ongoing continuous improvement initiatives to drive long-term profitable growth.Focused on our core higher-returning and lower-risk business
33、es.Leading in key transportation,water and environment markets and ideally positioned to advise clients on their sustainability and resilience priorities.71%U.S.4%Canada5%U.K.and Ireland3%Europe5%Middle East4%Hong Kong5%Australia-New Zealand3%OtherGeographies by Revenue Key strategic priorities3|AEC
34、OM 2024 SUSTAINABILITY REPORTDeep Technical ExpertiseLower-Risk Business Model 16%Program Managers 12%Consultants/Planners 10%Scientists 20%Design,Digital&Other 38%Fixed-Price Design 8%Construction Management Attractive Exposure to Key End MarketsDiverse Funding Sources 38%Transportation 28%Faciliti
35、es 10%Environment/New Energy 29%Non-U.S.Governments 8%Federal U.S.Government 39%PrivateAll figures presented as a percentage of FY23 NSRAs a Professional Services business,AECOM is poised to thriveAECOM at a Glance24%Water42%Engineers24%State&Local U.S.Government54%Cost-Plus Design4|AECOM 2024 SUSTA
36、INABILITY REPORTSustainable LegaciesA leader in helping our clients deliver their most challenging projectsEngineering News-RecordTransportation Design FirmEnvironmental Consulting FirmFacilities Design FirmEnvironmental Engineering FirmChemical RemediationMass TransitAirports HighwaysDams and Reser
37、voirsWater Design FirmEnvironmental FirmWater Treatment Lines and AqueductsWastewater Treatment PlantsEducationGreen Design FirmMarine and PortsWater Treatment and DesalinationClean Air ComplianceSite Assessment and ComplianceGreen ContractorHazardous WasteProgram ManagementSewer and WasteWind Power
38、#1#2#3#4Source:2023/2024 ENR Rankings,reflecting global revenue3%SDG 3:Good Health and Well Being8%SDG 6:Clean Water and Sanitation3%SDG 9:Industry,Innovation and Infrastructure4%SDG 13:Climate Change9%SDG 16:Peace,Justice,and Strong InstitutionsPercentage of FY23 Gross Revenue Aligned with the Sust
39、ainable Development Goals(SDGs)3%SDG 4:QualityEducation3%SDG 7:Affordable and Clean Energy40%SDG 11:Sustainable Cities and Communities1%SDG 15:Life On Land72%Percentage of FY23 gross revenue aligned with the SDGs5|AECOM 2024 SUSTAINABILITY REPORTSustainable LegaciesSustainable Legacies is AECOMs str
40、ategy for reaching ambitious objectives across four key pillars:embed sustainable development and resilience across the companys work,improve social outcomes for communities,achieve net-zero carbon emissions,and enhance governance.AECOM is committed to publicly reporting on its Sustainable Legacies
41、pillars as we work to enhance performance in the most responsible manner possible.Our strategic approach not only helps us manage and measure our progress,but also helps us to engage with key stakeholders from around the world.Sustainable Legacies6|AECOM 2024 SUSTAINABILITY REPORTDelivering Sustaina
42、ble LegaciesEmbedding Sustainable Development&Resilience Across Our WorkEnhancing GovernanceSustainable LegaciesOur strategy in detail To solve for carbon using ScopeX,our AECOM platform is designed to reach our aspiration of reducing at least 50%of carbon on major projects To align with our clients
43、 ambitions,increasing the depth and breadth of our sustainability and biodiversity services each year To work with clients and partners to drive innovation in climate change,sustainable design,social value,and governance To embed net zero,resilience and social value targets into our client account m
44、anagement program and the work we bid for To measure key impacts and the work for which we bid such as carbon emissions,climate resilience,and social value on client projectsImproving Social Outcomes To deliver social value through our business,empowering staff and delivering projects that proactive
45、ly improve social value outcomes to individuals,communities,and society in general To ensure our teams reflect the diversity of the clients and communities we serve in order to maximize employee engagement and satisfaction,meet client expectations and maximize community impact by:To guarantee a mini
46、mum representation of women at 20%of senior leadership roles and at least 35%of the overall workforce in the near term To promote social equity,diversity,and inclusion in our supply chain and communities through partnerships with small and minority-owned businesses To make strategic community invest
47、ments that positively impact clients and society,including through employee-driven community investment opportunities To ensure women comprise at least 20%of senior leadership roles and at least 35%of the overall workforce in the near term Achieving specific and culturally relevant diversity goals i
48、mplemented within each region of our business based on local community demographics,while investing in underrepresented groups within the regions of our business Achieving Net-Zero Carbon Emissions Following our achievement of operational net zero in 2022,maintain operational net zero status includi
49、ng through ongoing emissions reductions Reflecting our more ambitious emissions reduction targets approved by the Science-Based Targets initiative in April 2022,reach science-based net zero by 2040 by:Achieving a near-term 60%reduction in Scope 1 and 2 emissions by 2030 Achieving a near-term 50%redu
50、ction in Scope 3 emissions by 2030 Achieving a long-term 90%reduction in total emissions by 2040 Developing carbon reduction targets in partnership with our supply chain Decarbonizing fleet vehicles and increasing renewable energy use Participating in nature-based solution projects To leverage our e
51、nterprise framework to continually assess environmental and social risk in potential projects and evaluate the framework to ensure ongoing alignment with best practices To drive leadership accountability and advocacy through ongoing specific Sustainable Legacies objectives/metrics in annual goals To
52、 ensure strong employee engagement through 100%compliance of required ethics,compliance,safety,and Sustainable Legacies specific training programs To track and report on sustainability performance targets in line with leading industry benchmarks(i.e.,Sustainability Accounting Standards Board SASB an
53、d Task Force on Climate-related Financial Disclosures TCFD)7|AECOM 2024 SUSTAINABILITY REPORTzzzEnhancegovernanceOUR TARGETSOUR PROGRESSEmbed sustainable development and resilience across our work Advancing ScopeXTM to design out at least 50%of carbon on major projects Increase the depth and breadth
54、 of our sustainability services each year Embed net zero,resilience and social value targets into our client account management program and the work we bid for Measure key sustainability impacts through our operations and projects Ensure our project teams reflect the diversity of the clients and com
55、munities we serve Ensure women comprise at least 20%of senior leadership roles and at least 35%of the overall workforce in the near term Achieve regionally-specific near-and long-term diversity goals Make strategic investments that positively impact clients,communities,and society Ensure we remain o
56、perationally net zero Reach science-based net zero by 2040,including a 90%reduction in total emissions Implement a 50%reduction in business travel Partner with our supply chain to develop their own carbon reduction targets Investigate creation of our own nature-based solution projects Leverage our e
57、nterprise framework to continually assess sustainability and social risk in potential projects Drive accountability through ongoing specific ESG goals/metrics in leadership annual goals and employee-wide required training programs Report on sustainability performance in line with the SASB and TCFD f
58、rameworksLeveraging Sustainable Legacies to create competitive advantages to win key pursuits Growing our ESG advisory practice at a double-digit pace and added key senior hires in nature-based solutions and energy transitionDriving substantial engagement with internal ScopeXTM portal to aggregate p
59、roject-specific case studies and decarbonization data Leading Sustainable Markets Initiative task force on measurement and transparencyProgressing on our near-term gender diversity targets;now exceed senior leadership diversity target with continued diversity gains across the company Continue to imp
60、lement diversity-specific KPIs and associated near-and long-term targets in each region within our business in FY24 Employee-matched donation campaign to support Maui recovery efforts concluded with nearly$300,000 raisedSet net-zero emissions targets approved by SBTi,among the first companies global
61、ly Kicked off innovative supplier engagement program,engaging approximately 500 of our most emitting suppliers Achieved operational net zero for FY23 and already positioned to maintain operational net zero for the next several yearsImplemented quarterly sustainability dashboards for each region incl
62、uding regional travel emissions reduction goalsAwarded Terra Carta Seal by SMI in FY23Incorporated sustainability-related KPIs in CEO and executive officer compensation aligned with sustainability-linked financing amendment Implemented an enterprise-wide risk framework to ensure work aligns with our
63、 Sustainable Legacies strategy and ensures alignment with climate science Achieved 100%training compliance in FY23,including completion of Sustainable Legacies training;implemented further enhanced Sustainable Legacies training curriculum for FY24 program Improve social outcomesAchieve net-zerocarbo
64、n emissionsProgress Against Our Sustainable Legacies Strategy Sustainable Legacies8|AECOM 2024 SUSTAINABILITY REPORTIn this Q&A,President Lara Poloni shares her expertise and the considerable progress we have made in advancing our Sustainable Legacies initiatives over the past year.Q:Reflecting on t
65、he past year,what notable achievements do you find most significant?A:The importance and urgency of our work has been underlined throughout a year marked by destructive natural disasters and weather events.Amid this backdrop,it is encouraging to see sustained progress across all four pillars of our
66、Sustainable Legacies strategy.What truly stands out is the increasing depth and scope of our capabilities,along with the consequential impact we can make.Our growing ESG Advisory business,for instance,assists clients in achieving their own ambitious net zero and sustainability agendas.Our perspectiv
67、es and approaches,built upon our extensive experience in the Environmental space,distinctly differentiates AECOMand our clients are actively engaging and responding.As part of our ESG Advisory services,our new global ScopeX internal portal aggregates project-specific case studies and gathers decarbo
68、nization data from current and ongoing projects.Simultaneously,we have established a carbon technical practice group focused on enhancing carbon knowledge and training throughout the organization.Further progressing on our net zero ambitions,we conducted an internal audit of carbon emissions reporti
69、ng and processes to identify opportunities for further operational emission reductions.We have made significant strides in achieving our short-term gender diversity goals,particularly in promoting women representation across all levels at AECOM.And as part of enhancing governance,we achieved strong
70、employee engagement with a 100%completion rate on compliance and Sustainable Legacies-specific training programs.These initiatives extended our leadership position in sustainability and resilience.We were honored with the Terra Carta Seal by the Sustainable Market Initiative,underscoring our promine
71、nt role among private sector firms working toward a more sustainable future.In addition,as ranked by the Engineering-News Record,we were recognized as the top water,transportation and facilities design firm in April 2024.When combined with our existing number one positions in environmental engineeri
72、ng and environmental science,we have established ourselves as the leading firm across each of our end markets.Q&A with President Lara PoloniLara PoloniPresident9|AECOM 2024 SUSTAINABILITY REPORTLara Poloni on Our ProgressQ:How is AECOM pioneering innovation to enhance biodiversity outcomes?A:Innovat
73、ion is key to addressing complex sustainability challenges around the world,including the increasing impacts of land-use changes.In response to the increasing demands from our clients requirements to report and improve biodiversity,we have introduced our new digital platform,EcoUplift,a capital acco
74、unting digital platform specifically tailored for the biodiversity in the UK.The innovative nature technology helps policymakers,landowners,and developers in the UK make informed and sustainable land-use decisions to enhance restorative biodiversity outcomes.The tool connects with our PlanEngage sta
75、keholder engagement platform,which was streamed on Microsofts Azure marketplace to generate highly visual,interactive natural capital accounts that bring our clients natural assets and reporting to life.Additionally,we recognize that our focus on the environment cannot just be limited to carbon emis
76、sionswe must be evaluating the impact of our operations and our client work on biodiversity and nature more holistically.That is why,during fiscal 2023,we formalized a biodiversity statement that has been signed by our CEO,Troy Rudd,and includes commitments to support the Global Biodiversity Framewo
77、rk of reversing nature loss by 2030.Furthermore,reflecting our commitment to sustainability and leadership in advancing environmental stewardship industrywide,we were awarded the Terra Carta Seal by the Sustainable Markets Initiative in fiscal 2023.Q:Could you provide an update on the progress of yo
78、ur ambitious ScopeX initiative?A:We believe ScopeX can be our biggest contribution in addressing climate emergencies.It involves comprehending our clients carbon reduction commitments,challenges,and aspirations and utilizing that knowledge to guide our own decarbonization work.As such,most recently
79、we implemented our ScopeX decarbonization policy,which aims to emphasize the importance of our principles,ensuring early engagement and alignment with project scope to maximize carbon reduction impact.ScopeX is a way of systemizing the methods,workflows and technologies needed to decarbonize the pro
80、jects we deliver,and our recent ScopeX decarbonization policy formalizes how we can embed decarbonization principles into everything we do.Critical to achieving our aspirations with this program is ensuring all our technical experts have the resources and training available to bring decarbonization
81、strategies to their projects around the world.As such,the ScopeX portal is a key enablera central,global hub for our technical professionals to access and share emissions data,Life Cycle Analysis tools and existing project decarbonization work and data.The portal,as a knowledge management platform,i
82、s helping build the skills of our global teams to deliver low-carbon planning,design,and engineering solutions.Q:With the increasing global focus on hazardous chemicals,how is AECOM uniquely positioned to tackle these complex issues?A:AECOM has been working with clients and industry partners to bett
83、er understand and address forever chemicals for decades,with PFAS at the center.It is estimated that the total liability for public and private organizations worldwide is over$200 billion and possibly as much as$1 trillion.With robust sustainability investment around the world and with increasing re
84、gulatory focus on these issues,such as recent action taken by the U.S.Environmental Protection Agency,we expect there to be substantial demand over the coming years,and we are well positioned to capitalize through our strong capabilities,proven track record and valuable industry relationships.Our cu
85、rrent work to provide environmental services addressing PFAS for the U.S.Navys CLEAN program in the Atlantic and Pacific regions is a good example of the deep,technical knowledge,and experience we can deliver at scale for our clients.It also demonstrates the benefits of bringing together the full po
86、wer of our company and resources to lead two of the worlds largest environmental programs,which address the most critical restoration challenges of our time.Q:In the realm of greenfield infrastructure,what proactive measures can ensure the integration of long-term resilience and adaptability right f
87、rom the outset?A:The focus on social equity,community building and engagement;social value is stronger than before and,in many places,it is the one key consideration in an infrastructure project,city planning,or regeneration.The supporting supply chain is also more mature,but we have to continue to
88、be more deliberate about how we drive the engagement at the planning stage.Resilience and adaptation should be primary considerations rather than afterthoughts.Leveraging data and nature-based solutions alongside the fostering of government and private sector partnerships can ensure long-term resili
89、ence and community support.Affordable housing,disaster preparedness,accessible healthcare and education,and the preservation of green spaces are priorities requiring policies that promote social inclusion,as well as continuous investment,technological innovation,stable long-term policy frameworks,an
90、d community engagement.10|AECOM 2024 SUSTAINABILITY REPORTLara Poloni on Our ProgressWritten in alignment with the Sustainability Accounting Standards Board disclosure for the Engineering&Construction Services,the UN Sustainable Development Goals,and the Task Force on Climate-Related Financial stand
91、ard,this report focuses on the following topics deemed most meaningful to our long-term performance:Achieving Net Zeroincluding our environmental management program,climate change initiatives,our pledge to net zero,and our environmental responsibility.Within these sections,we provide an overview of
92、our environmental impacts of project development(SASB IF-EN-160a),structural integrity&safety(SASB IF-EN-250a),lifecycle impacts of buildings&infrastructure(SASB IF-EN-410a),and climate impacts of our business mix(SASB IF-EN-410b).We also discuss the governance,strategy,risk management,and metrics r
93、elated to our climate change endeavors(TCFD).1234Improving Social Outcomesincluding diversity initiatives,LGBTQ+reducing equity,employee turnover,programs for people with disabilities,STEAM education,veteran support,health&safety,and our local community initiatives.Within these sections,we provide a
94、n overview of our Workforce Health&Safety(IF-EN-320a)and related activity metrics(SASB IF-EN-000).Enhancing Governanceincluding oversight of our corporate governance program,ethics and integrity,risk management,and responsible supply chain management.Within these sections,we provide an overview of b
95、usiness ethics(SASB IF-EN-510a)and governance of our climate change program(TCFD;SASB IF-EN-160a.2).Embedding Sustainable Development and Resilience Across Our Workincluding how we are partnering with clients to advise on their own increasingly ambitious sustainability initiatives,such as through ou
96、r ScopeX process that aims to reduce the embodied carbon in our designs by at least 50%(SASB IF-EN-410a).We believe that investing in environmental leadership,social impact,and a culture of governance will drive long-term value for AECOM.Our priorities center on these four elements,and we look forwa
97、rd to providing more information on the pages that follow.AECOMs Approach to Sustainability-Related ReportingAECOMs Approach to Sustainability-Related Reporting11|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroWhy we are committed to net zero Emissions dataWhat we are committed toHow were reducin
98、g emissionsHow we communicate,report,and externally engage on net zeroClimate change oversightClimate change risk managementConstruction managementClimate change risks and opportunitiesEnvironmental managementAchieving Net Zero12|AECOM 2024 SUSTAINABILITY REPORTThis is echoed by the goals of the Par
99、is Agreement that aspires to achieve net zero emissions ahead of 2050 to avoid the worst impacts of climate change.Therefore,a key aspect of our Sustainable Legacies strategy is following the science in our climate change response.This is to safeguard the planet and the communities we serve,especial
100、ly people who live in vulnerable areas and will be disproportionately affected.We also have a duty and opportunity as a leading global firm as part of the built environment sector to reduce our impact and support our clients and suppliers in this journey.Our net zero targets align with this climate
101、science.These are to achieve:Science-Based Net Zero by 2040 to achieve the following:at least 50%reduction by 2030 and 90%reduction by 2040 of total emissions before neutralizing the remainder,compared with 2018 Operational Net Zero every year from 2021(reducing Scope 1 and 2 emissions in line with
102、1.5C reduction and offsetting the remainder annually)Our Science-Based Net Zero target is validated by the Science-Based Targets initiative,making AECOM one of the first companies globally to achieve this validation.A Science-Based Net Zero target commits a company to decarbonize across its value ch
103、ain(in line with the Paris Agreement)and then neutralizing any remaining emissions through carbon offsetting.In addition,we continue to maintain our commitment to being operationally net zero,which allows us to contribute more climate impact and be ready for our science-based net zero target.Why We
104、Are Committed to Net ZeroThe 2018 Intergovernmental Panel on Climate Change Report showed we need to limit global warming to 1.5 degrees to avoid the worst effects of climate change,requiring significant changes globally,including from companies.Achieving Net ZeroScience-Based Net Zero by2040Operati
105、onal Net Zero Every Year from202113|AECOM 2024 SUSTAINABILITY REPORTAchieving Net Zero60%reduction in Scope 1 and 2 emissions by 2030,compared with 201850%reduction in Scope 3 emissions by 2030,compared with 201890%reduction in total emissions by 2040,compared with 2018 10%of emissions from 2040 can
106、 be mitigated by offsetting the remaining maximumAs part of our Science-Based Net Zero by 2040 commitment we are targeting:To retain our annual Operational Net Zero commitment(first achieved in 2021)we:MaintainMaintain our annual reduction required to achieve 60%reduction in Scope 1 and 2 emissions
107、by 2030OffsetOffset the remainder of Scope 1 and 2 emissions annually12What We Are Committed toScope 1:Direct Emissions Scope 2:Purchased EnergyScope 3:Business TravelScope 3:Supply Chain Emissions OffsetsOur commitment to 1.5C-aligned Science-Based Net Zero by 20402018202420302036202120272033203920
108、19202520312037202220282034204020202026203220382023202920352041Illustrative Graph:Not to Scale or intended to accurately reflect actual emissions or reductions2018 BASELINEOperational Net ZeroFully Aligned Science-Based Net ZeroEmissionsNeutralizationScope 3:50%Reduction by 2030Scope 1,2,&3:90%Reduct
109、ion before offsettingScope 1&2:60%Reduction by 2030Scenario:60%reduction in Scope 1 and 2,50%reduction in Scope 3 by 2030,90%of all scopes by 2040.The offset operational began in 2021 and will continue until 2040,when it reaches full offset.The new net zero year signifies less offsetting compared to
110、 the current approach,while maintaining the same level of reductions.14|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroOur emissions data has been verified in accordance with ISO 14064-3:2019 against the requirements of the WRI GHG ProtocolCorporate Accounting Standard and The Greenhouse Gas Prot
111、ocolCorporate Value Chain(Scope 3)Standard.Note that other Scope 3 categories are screened regularly but not reported publicly due to lack of materiality.Scope 1,2,and 3 Emissions for FY18 and FY23GHG Inventory61%Reduction in Scope 1 and 2 emissions vs base year,currently surpassing our Science-Base
112、d Targets22%Reduction in Scope 3 emissions vs base year,meaning we are on track with required reductions for our Science-Based Target24%Reduction in total emissions vs base year,meaning we are on track with required reductions for our Science-Based TargetCategoryFY18 Baseline Emissions FY23 Emission
113、s%Change from BaselineSBTi Target ProgressScope 1Fleet Vehicles (Mobile Combustion)33,71823,721-29.6%On trackFugitive Emissions024N.A.On trackScope 1 Total33,71823,745-29.6%On trackScope 2Purchased Electricity(Location-Based)75,31516,768-77.7%On trackPurchased Heat28,99213,345-54.0%On trackScope 2 T
114、otal(Location-Based)104,30730,113-71.1%On trackScope 3Supply Chain(Purchased Goods&Services,Capital Goods)2,740,4822,214,243-19.2%On trackBusiness Travel158,18256,032-64.6%On trackScope 3 Total2,898,6642,270,275-21.7%On trackProgress Against Science-Based TargetsScope 1 and 2138,02553,858-61.0%Targe
115、t metScope 32,898,6642,270,275-21.7%On trackScopes 1,2&33,036,6892,324,133-23.5%On trackCarbon Credits Retired053,859Net Carbon Impact3,036,6892,270,274-25.2%(Emissions in MtCO2e)15|AECOM 2024 SUSTAINABILITY REPORTWe track carbon reduction performance against our baseline carbon inventory 2018.Our I
116、nventory Management Plan articulates the basis and context for any recalculations of base year emissions.This includes a significance threshold of 10%for scope 1,2,business travel and upstream scope 3 emissions.Triggers for re-calculating baseline emissions are aligned to the recommendations of the
117、Greenhouse Gas Protocol and apply equally to GHG emission increases and decreases.Changes to baseline year numbers will be disclosed as part of our annual disclosures where appropriate.As we continue to enhance calculation methodologies and improve accuracy of emissions factors and activity data,we
118、will likely meet the 10%significance threshold for re-baselining across multiple categories.Data improvementAchieving Net ZeroThe majority of AECOMs emissions are in the supply chain,hence why significant amount of focus has been in this area.FY23 Emissions BreakdownFY23 Emissions Breakdown 0%Scope
119、1:Fugitive Emissions 1%Scope 1:Fleet Vehicles 1%Scope 2:Purchased Heat&Electricity 3%Scope 3:Business Travel95%Scope 3:Supply Chain16|AECOM 2024 SUSTAINABILITY REPORTHow We Are Reducing EmissionsOur Scope 3 emissions from the supply chain make up 95%of our total footprint,and as a result,our Corpora
120、te Net Zero(CNZ)team has developed and initiated its Supplier Engagement Program.The goal of this program is to actively work with our top-emitting suppliers to reduce their carbon emissions and get them on a science-based trajectory in line with 1.5C.As a large organization with dedicated resources
121、 to addressing our climate change impact,we see our role as leaders in this space,with a responsibility to share our experience with members of our value chain and to push them to improve.Over the last year,in particular,we have put in place key personnel to support supplier engagement on net zero.O
122、ur Supplier Engagement Program covers the top 80%of our supply chain emissions,which is about 1,000 suppliers around the world.This coverage includes companies of all sizes and a variety of capabilities to address their carbon emissions.We are especially focused on supporting small-and medium-sized
123、enterprises(SMEs)that may not be able to justify allocating significant resources to decarbonization,Scope 3 data reporting.Greenhouse gas(GHG)accounting can be challenging to learn and even more challenging to properly execute.Rather than leaving them behind,we are transparent about our ambitions a
124、nd expectations,offering dedicated support to help them move forward with us.Our approach includes hosting group briefing sessions to allow a base understanding of the importance of sustainability considerations and net zero,as well as AECOMs own net zero strategy and what we require from them to ac
125、hieve it.We are also facilitating one-to-one conversations to better understand barriers,offer practical advice,and develop steps to support and accelerate our suppliers journey to net zero.As a result of our Supplier Engagement Program,we are improving the accuracy of our Scope 3 data and empowerin
126、g our suppliers to take on the decarbonization challenge for themselves.Supplier engagement is an ongoing process that will result in carbon reduction over the long term as we continue to connect with our supply chain on a regular basis.Through our efforts on the Supplier Engagement Program,we have
127、been recognized as a Supplier Engagement Leader by CDP.Supplier Engagement ProgramAs a Supplier Engagement Leader,were working with our suppliers to cascade environmental action across our supply chain.Collaborate Collaborate with suppliers through engagementReduce Develop strategy to reduce emissio
128、ns and achieve net zeroImprove Improve accuracy of baseline and reportingCollect Collect supplier data and forecasts(RFI)Sustained long-term continuous influence and operational improvementWe are here17|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroPartnering Throughout the Infrastructure Supply
129、 Chain to Drive ChangeWithin our Americas segment,we provide Construction Management(CM)services for large scale projects in the United States.Our core markets and building types include sports(stadiums and arenas),commercial office high rise,aviation,convention centers,hospitality,entertainment,and
130、 residential towers.As one would expect,construction is a very carbon-intense industry,and decarbonizing long-entrenched supply chains and construction practices is challenging.Within the life cycle of a construction project,there are three key sources of carbon emissionsbuilding material manufactur
131、ing,transporting materials to a job site and the on-site construction activity to build the project.The distribution of carbon emissions across these three sources is heavily weighted toward the building material manufacturing stage,with some studies attributing 80%or more to this stage.We commonly
132、refer to this as the embodied carbon of construction materials,and this is our current area of focus for decarbonization.As a construction manager,we subcontract the procurement of building materials to execute our projects.This gives CM a very different emissions profile compared to our DCS busines
133、s,particularly as it relates to Scope 3/supply chain emissions.Over this past fiscal year,we have identified steel and concrete as the two largest contributors to CMs carbon emissions.And while these are famously hard-to-abate sectors,we are undaunted and actively working to decarbonize these two tr
134、ades in the following ways:Leveraging our deep relationships to engage both sub-contractors and manufacturers on carbon,sending a clear market signal.Data improvements by engaging project teams directly for location-specific carbon emissions data for concrete and steel.In doing so,we are moving up t
135、he data accuracy hierarchy in the GHG Protocol.Embedding carbon measurement into our workflows including pre-construction engagement,bid evaluation tools,and new contract language for sub-contractors.For new,large projects,we proactively engage potential material suppliers before awarding contracts
136、to signal our commitment to sourcing low carbon materials,understand their expertise and ideas for low carbon options,and to de-risk potential cost premiums.At the other end of the supply chain,we recognize that our clients hold the ultimate decision-making authority.So,we take a proactive approach
137、by engaging them in discussions regarding carbon reduction opportunities in construction early on the project timeline.By engaging in these activities,guided by our Net Zero commitment and our Scope 3 emissions disclosures,AECOM Construction Management demonstrates its leadership among US constructi
138、on firms on carbon.18|AECOM 2024 SUSTAINABILITY REPORTAs well as engaging our suppliers on net zero,we are embedding low carbon and sustainability considerations into our procurement processes.As part of onboarding,we will require all our suppliers to provide information about their current sustaina
139、bility data and strategies.These questions will also inform which suppliers need focus for engagement,particularly those that are less mature.Over time,we intend to build these factors as a standard part of procurement across the organization and set a minimum requirement.Our Sustainable Procurement
140、 Policy also outlines how emissions reduction is a key part of our supplier onboarding and other procurement processes.AECOM is committed to improving travel performance by implementing our Travel with Purpose guidance prioritizing digital tools instead of traveling(for business and commuting),and i
141、f travel is necessary,prioritizing sustainable modes of travel(e.g.walking,cycling,public transportation and zero emissions vehicles)in conjunction with a location-specific risk assessment.This is particularly important as we have seen rebounding in travel emissions following the COVID pandemic.We a
142、re engaging with our travel service providers to identify opportunities to improve data accuracy and promote low carbon travel choices.For our vehicle fleet,we are developing a roadmap to transition to electric vehicles,including installing charging infrastructure at our owned offices.As part of the
143、 continuing initiative to move to greener offices and consolidate real estate,we will prioritize moving to leased offices that have electric vehicle chargers,where possible.support standards for quality and integrity in the voluntary carbon market.Our existing portfolio of carbon credits pre-date th
144、e publication of the CCP framework and subsequent assessment,and we will continue to monitor developments and consider our approach to procurement over time.Each credit in our existing portfolio was intended to align with the Taskforce on Scaling Voluntary Carbon Markets(TSVCM)s Core Carbon Principl
145、es available at the time.In 2023 and aligned with the previously noted criteria,we retired credits equivalent to our remaining Scope 1 and 2 emissions in fiscal 2023 sourced from an alternative energy project in the Jingyuan region of China whose vintage is 2018.We will continue to evaluate opportun
146、ities to complement our carbon offset portfolio with additional high-quality credits for use in future fiscal years.We are continuing to investigate the use of natural climate solution projects(ecosystem conservation,restoration or habitat creation,which will also support biodiversity enhancement an
147、d improve social outcomes for local communities).This would be utilizing our technical expertise gained from projects,such as the Natural Capital Laboratory,and by forming external partnerships with project development partners to scale support for climate,people,and nature.This work is partly to su
148、pport our operational net zero commitment and is also expected to contribute to offsetting for science-based net zero from 2040.AECOM is focused on reducing energy demand in offices to achieve Net Zero.AECOMs Workplace of the Future and Freedom to Grow initiatives helped increase work flexibility an
149、d allowed further real estate consolidation and travel reductions,and we continue to encourage our staff who work from home to follow our guidance documentation on how to live and work more sustainably at home.We are in the process of conducting energy audits in offices that account for 80%of our en
150、ergy footprint utilizing AECOMs OCEAN energy audit tool.OCEAN will benchmark energy performance to inform site selection,identify opportunities for energy efficiency initiatives,and on-site renewable energy generation.Our Green Lease criteria improves access to utility data and enables collaboration
151、 with landlords to implement energy efficiency and renewable energy initiatives.To further drive down emissions and ensure consistency,our sustainability guidelines require energy efficiency measures for office refurbishments.OffsettingAs part of our commitment to maintain net zero emissions in our
152、operations,we intend to retire necessary carbon credits to offset the remainder of our Scope 1 and 2 emissions.We intend to align carbon credit procurement with the Integrity Council for the Voluntary Carbon Markets(ICVCM)Core Carbon Principles(CCPs),to Procurement integrationBusiness TravelFleet ve
153、hiclesOffice EnergyOffice EnergySourceFY18(MWh)Baseline FY23 (MWh)%Change from BaselineElectricity Purchased From Grid237,73944,048-81%Renewable Energy Purchased Through Market-Based Instruments2,444N.A.Non-Renewable Fuel Consumed for Generating Heat153,92071,437-54%Total Energy Consumption391,65911
154、7,928-70%Energy Consumption(MWh)19|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroAchieving Net ZeroHow We Communicate,Report,And Externally Engage on Net-ZeroTransparency is a key part of the transition to Net Zero for AECOM and corporate sustainability in general.We are paying close attention t
155、o the convergence of sustainability reporting standards and the related emerging reporting regulations in various jurisdictions.These standards and regulations will continue to guide our reporting practices going forward as we understand the value of standardization and increase corporate transparen
156、cy.AECOM publishes its GHG data and key sustainability initiatives in the Annual report and goes into deeper detail in this annual Sustainability Report.Our Sustainability Report is aligned with the Task Force on Climate-Related Financial Disclosures(TCFD)and the Sustainability Accounting Standards
157、Board(SASB).AECOM also responds annually to CDP,which details our climate-related strategy,risks and opportunities,and granular data.As a large influential organization,we have a responsibility to engage external organizations to progress carbon reduction efforts across our industry.For example,we a
158、re members of the SBTis Buildings Expert Advisory Group that is developing science-based target setting guidance for the buildings sector.We are also co-founding members of the Pledge to Net Zero,which has been established to commit organizations from the environmental sector to take a leadership ro
159、le in the transition to a net-zero carbon economy.Reporting PracticesWe engage with or report to the following additional organizations:20|AECOM 2024 SUSTAINABILITY REPORTAECOMs CEO,Troy Rudd,leads the Executive Leadership Team,which comprises of senior executives representing all business segments
160、and retains overall responsibility for Safety,Health and Environment(SHE)and Enterprise Sustainability,including climate-related issues,policies,and strategy.Our CEO signed off on the development of the Sustainable Legacies Global Council and kickstarted our process of developing our Sustainable Leg
161、acies Strategy,which included the setting of industry leading science-based GHG emissions reduction targets.AECOMs President,Lara Poloni,and Chief Legal Officer,David Gan,both report to our CEO and are co-Chairs of our Sustainable Legacies Global Council,which was launched in September 2020 and comp
162、rises dozens of sustainability experts and business leaders across the organization to best advise on all sustainability-related matters.The membership of the Sustainable Legacies Global Council is regularly reviewed and refreshed so that the right leaders remain engaged on these matters.This Sustai
163、nable Legacies Global Council was responsible for developing our Sustainable Legacies strategy,that was originally launched in April 2021,was most recently refreshed in May 2022 to reflect progress made in the first year of implementation,and is reviewed at least annually.This includes a multitude o
164、f commitments on sustainability matters and associated targets,such as our commitment to achieving science-based,net-zero carbon by 2040.The Sustainable Legacies Global Council is also actively involved in reviewing and mitigating climate-related risks associated with our project portfolio.The respo
165、nsibility for assessing and managing climate-related risks and opportunities related to our own operations,including our greenhouse gas reduction target,also lies with the Sustainable Legacies Global Council.The President is responsible for our global operations,including the advancement of our sust
166、ainability priorities across the business.As co-leads of the Sustainable Legacies Global Council,both the President and the Chief Legal Officer are responsible for providing status updates on Sustainable Legacies program initiatives,objectives,and targets to our Board on a quarterly basis at minimum
167、.Regional leaders sit on this council,and there is a cascade to each region from the Global Council.Sustainability strategies,objectives,and initiatives are cascaded down into the business through various working groups and teams.Internal environmental issues are managed by the Corporate Net Zero te
168、am,which is comprised of technical and operational people focused on tackling our various emissions Scopes.Performance is also embedded into the business through quarterly net zero reviews with senior leadership,as well as requiring all separate elements of the business to develop their own Net Zero
169、 Roadmaps.Progress against regional Net Zero Roadmaps ultimately gets reported back to the Corporate Net Zero team,the Sustainable Legacies Global Council,and the Board.The Enterprise Risk Management(ERM)steering committee provides governance over an established continuous improvement platform that
170、actively assesses,analyzes,and works cross-functionally to identify and mitigate AECOMs inherent and strategic risk profile,including risks related to energy and climate change,concurrently empowering associated enablers.The team actively monitors AECOMs risk profile and facilitates risk-based,effic
171、ient,cross-functional solutions.The team facilitates the preparation of reports on AECOMs risk profile that are regularly shared at least quarterly with management and the AECOM Board of Directors.Risks are reported via three key risk indicators:exposure,readiness,and performance.All of the global a
172、ctivity and initiatives are cascaded,implemented,and directed through regional sustainability leadership teams that have delegated responsibility for managing climate related risks.These regional sustainability leadership teams work with local leadership as appropriate and report to regional executi
173、ves.Refer to the Governance section of this report for a detailed illustration of our governance structure.Climate Change Oversight21|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroOur ERM program identifies external and internal threats to physical assets,data,and intellectual property,as well a
174、s vulnerabilities that exist within them.Based on the enumeration of those assets and threats,we develop risk management strategies and improve resilience.The prioritization of risks is done through a collaborative process of discussing the main risk profiles with relevant stakeholders on an ongoing
175、 basis and evaluating the potential impact,the level of exposure(vulnerability)as a company to that risk,and speed of onset.Our prioritization process is based on the size(in potential revenue)of an opportunity,as well as our relationship,and competitive advantage with the client.Subsequently,AECOM
176、adapts to changing global business environments and risk conditions through its strategic resiliency practices,led by our Global Security and Resiliency(GSR)Department,which includes global oversight and coordination of disruptive event response and business continuity management.These teams focus o
177、n identifying threats across the globe before they come to fruition,while creating strong countermeasures that are designed to safeguard our data,people,projects,and communities.These teams are composed of representatives from communications,human resources,legal,facilities,and real estate to help a
178、nticipate,act on,and learn from disruptive events.In 2023,we completed a global climate risk assessment to understand the physical and transition risks and opportunities across our operating regions.We leveraged the expertise of our Sustainability and Resilience professionals responsible for providi
179、ng clients with technical climate change services to conduct quantitative and qualitative scenario analysis to identify our physical risk exposure and primary transition risk and opportunity drivers.Through this assessment,we have considered the risks and opportunities facing both our operations and
180、 the services we provide.Due to our global presence of offices and people,we understand the potential for climate-related physical risks to affect our ability to carry out our work.These physical risks,both acute and chronic,are identified through our risk assessment and evaluated through our ERM.Th
181、e results of this evaluation inform various operational functions including Real Estate,Procurement,Security and Resilience and our Corporate Net Zero team.Both reducing the risk of disruption to our operations and mitigating our own impact are key risk management strategies that drive these functio
182、ns.The identification of key transition risks will increasingly drive risk management as efforts to transition to a low-carbon economy increasingly affect our industry,including existing and emerging regulatory requirements,changes in technology,changes in our primary markets,and potential reputatio
183、nal risks associated with our work.These potential transition risks will inform how we manage our own climate change impacts through the work of our Corporate Net Zero team and will also inform the services we offer related to climate change and sustainability.Following our 2023 global climate risk
184、assessment,each of the AECOM regions will undergo their own region-specific climate risk assessments when there are triggers to do so,including regional climate risk disclosure regulations.This will enable us to systematically review the climate-related risks and opportunities we have identified as
185、part of the ERM process and therefore increase the granularity of our awareness of regional and local risks and opportunities.This will also enable us to review our businesses resilience taking into consideration different climate-related scenarios.Achieving Net ZeroClimate Change Risk Management22|
186、AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroThrough our 2023 global climate change risk assessment,AECOM recognizes numerous risks and opportunities related to climate change and the transition to net-zero carbon emissions.To identify these risks and opportunities over time and to manage the u
187、ncertainty around future changes to the climate,we have conducted scenario analysis using the Intergovernmental Panel on Climate Changes(IPCC)Shared Socio-economic Pathways(SSPs)published in the Sixth Assessment Report(AR6).More specifically,we have focused our assessment on SSP5-8.5 for physical ri
188、sk and SSP1-2.6 for transition risk.Using these scenario pathways,we have assessed risks at three timescales:Near term2030(represents the average for the 20-year period 2021 2040)“Business as Usual”Temperature Projection:2.4-5.7C“Paris Agreement Alignment”Temperature Projection:1.0-2.4CMedium term20
189、50(represents the average for the 20-year period 2041 2060)Long term2090(represents the average for the 20-year period 2081 2100)123Climate Change Risks and OpportunitiesWe have chosen these timescales to analyze risks in the near-term over more typical business planning periods while also assessing
190、 exposures to greater structural changes in the economy over the medium-and long-term.A 20-year period is used to capture different aspects of climate variability and change.Scenario SSP5-8.5:Scenario SSP1-2.6:Policy focused on free markets Effective international cooperation Reduced inequality High
191、 economic growth High consumption Low population growth Policy focused on sustainable development Effective international cooperation Reduced inequality within and across countries Low consumption Low population growth23|AECOM 2024 SUSTAINABILITY REPORTTo assess AECOMs exposure to physical risk,we u
192、sed the SSP5-8.5 pathway as it is the pathway with the highest emissions concentration that would most likely lead to increased intensity and severity of extreme weather events.It is also the pathway along which we are tracking globally,thus presenting a“business as usual”(BAU)scenario marked by ina
193、dequate policy response and increased potential for physical asset damage.As a global company,AECOM is exposed to all hazards somewhere,but the table below outlines where those hazards are of highest relative exposure.Physical risksHazardRisk DescriptionRegional Exposure Over TimeExtreme Temperature
194、sAn increase in extreme temperatures can impact employee productivity and well-being and can also put stress on building heating and cooling systems.These impacts can be even more extreme for employees working outdoors on project sites.U.S.East&LATAM,ANZ,and MEA are the most highly exposed regions i
195、n the near-term,while India,Asia and U.S.West become highly exposed in the medium-term,joined by Europe in the long-term.DroughtReduced precipitation and increased water stress can put pressure on water supply and pose risks to public health and our ability to work in certain areas.U.S.East&LATAM,AN
196、Z,and MEA are the most highly exposed regions at each timescale.Extreme Precipitation and floodingExtreme precipitation can lead to flooding and may make offices and project sites inaccessible.Canada,India,and MEA are the most highly exposed regions in the near-term with Asia and U.S.West becoming i
197、ncreasingly exposed over time.Sea level riseSea level rise can cause damage and impact employee ability to access our offices and our project sites.In the near term,the U.S.West is the most highly exposed region while other regions may see mild exposure.High exposure will spread to ANZ,Europe,and U.
198、S.East in the medium-term and to India in the long-term.WildfiresWildfires may increase in frequency and intensity with a warming climate,producing air quality issues,risks to human health,and impacts on our employees ability to travel to work and perform in offices or on project sites.ANZ,Canada,Eu
199、rope,and U.S.West are projected to be highly exposed in the near term.This high exposure spreads to all regions in the medium-and long-termHurricanes&CyclonesExtreme weather events could damage our offices and our projects,while also impacting the ability of our employees to travel to work.Our opera
200、tions in ANZ,Asia,India,and U.S.East&LATAM are projected to have high exposure in the near term.These remain the most highly exposed regions over time,but exposure increases overall across all regions.Physical risksOverall,the business is most exposed to extreme temperatures and extreme precipitatio
201、n,particularly in the U.S.West,U.S.East,MEA,and ANZ regions in the near term.Additionally,the business is most exposed to wildfires in the ANZ,Canada,Europe,and U.S.West regions and cyclones in the ANZ,Asia,India,and U.S.East regions in the near-term.In the medium-term,these exposures intensify and
202、grow to include extreme temperature exposure in Canada and India,while wildfire exposure extends to all regions and ANZ,Europe,MEA,U.S.East,and U.S.West are highly exposed to sea level rise.In the long-term,all exposures intensify with ANZ,Canada,India,MEA,U.S.East,and U.S.West being most exposed to
203、 extreme temperatures and precipitation.Sea level rise,wildfire,and cyclone exposure continue to be high in long-term as they were in the medium-term.Our response to physical risksAECOMs existing operational processes are already setup to respond to climate-related risks through several business fun
204、ctions.For example,we continually evaluate our real estate portfolio as part of normal processes to ensure our office locations are best suited to serve our client work.Through our Security and Resilience department,we have established processes to respond to disruptive events to the business and ou
205、r employees,which includes extreme weather events.Furthermore,our ERM program evaluates climate risk as a strategic risk to the company and will continue to evaluate the physical risks from climate change to respond as necessary.The results from this years climate risk assessment will be socialized
206、throughout the company to identify further opportunities for integration of climate consideration through existing business functions.24|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroTo assess transition risks and opportunities,we used the SSP1-2.6 pathway as it is the pathway that requires the
207、most accelerated and aggressive mitigation response to curb emissions,proposing increased uptake of technologies and strategies to manage energy use and intensity.It is the scenario most closely aligned to the Paris Agreement target,thus is appropriate to identify risks and opportunities in the tran
208、sition to a low carbon economy.In general,our exposure to these transition risk exists in the near-term but is projected to increase in the medium-and long-term.Our reputational risk of not meeting our net zero targets is the exception to this rule in that this risk is specifically tied to our targe
209、t dates 2030 for our interim targets and 2040 for our net zero target.Transition riskTransition risks and opportunitiesDriverRisk DescriptionOpportunity DescriptionPolicy&LegalFailure to comply with emission limits,energy efficiency requirements,waste management regulations,and other measures aimed
210、at reducing greenhouse gas emissions and mitigating climate impacts could lead to legal and financial consequences.AECOM has an opportunity to increase revenues by serving clients in complying with emerging regulations related to climate,energy,and the built environment.Mandates on and regulation of
211、 existing products and services,e.g.,projects incorporating a higher level of resilience have a cost uplift.The number of new infrastructure/projects as clients work within existing funding budgets.Changes to industry standards and regulation for buildings and construction.Increased costs on project
212、 work associated with changes in these regulations.Increased operating costs due to carbon pricing of energy,making utility and fuel costs increase.TechnologyTransitioning to lower emissions technology e.g.,procurement of renewable energy for operations,transition of fleet to EVs and the purchase of
213、 offsets.Increased costs in the near term.AECOM has an opportunity to assist clients in adopting lower emissions technologies,increasing market share of these markets.MarketMarket demand changes as energy transition progresses,driven by changing policies and regulations.AECOM has an opportunity to c
214、ontinue developing services and designing infrastructure that supports a net zero transition,in order to meet market demand.Opportunity to build our reputation as designers of climate resilient infrastructure,a market which is projected to grow.Risk that we are working with wrong clients,or clients
215、that are too heavily focused on fossil fuels or other stranded sectors.Risk that we design projects that are not resilient to future climate change scenarios efficient/able to use future infrastructure.Reputational damage associated with our projects being damaged leads to community disruption,incre
216、ased costs,and legal challenges.ReputationReputational impact of not achieving our net zero commitments.We can build on our reputation as champions of sustainability and climate change by meeting our targets.Opportunity to meet growing market demand for sustainability and climate-related services.No
217、t having technical expertise/technical capabilities to deliver against demand.Growing demand for sustainability services requires investment in our technical capabilities to respond.25|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroTo respond to potential transition risks and opportunities,our Su
218、stainable Legacies strategy has prompted the rapid growth of our sustainability and climate-related service offerings.These client-facing teams continue to evaluate the market for climate-related services to meet and capture increasing demand for these services.All our business lines seek to ensure
219、our work is in compliance with emerging industry standards and regulations.Additionally,our business lines seek to ensure that we are developing projects with best practice resilience strategies that can withstand the impacts of a changing climate.AECOM recognizes the potential risk of lacking the t
220、echnical capacity to meet demand for sustainability services and are addressing this risk through recruitment of experts and by upskilling our existing employees.Our Corporate Net Zero team is implementing numerous initiatives(see how we are reducing emissions,p.17)in order to manage and reduce AECO
221、Ms own carbon footprint to reach our SBTi-validated Net Zero commitment.This includes reducing fossil fuel-based energy consumption in our offices and vehicles in order to avoid increases in operating costs due to carbon pricing of fuels.ResilienceThrough the implementation of our Sustainable Legaci
222、es strategy,our current business aims to be resilient in the current condition of climate change.As future impacts will increase and change over time,both for physical and transition risks,we will continue to assess our strategies in order to be resilient into the future.This includes improving the
223、resilience of our offices and any owned assets to reduce the risk of business disruptions for our customers.It also means continuing to adjust our service offerings and our ability to meet market demand for expected increases in climate-related services.Finally,this means ensuring that our projects
224、are designed to withstand environmental changes due to climate change.To ensure continued resilience of our business,we intend to continue to improve our climate risk assessment methodology and region-specific granularity.We will advance our understanding of our climate risk by conducting financial
225、analysis of risks and opportunities that we have identified.Our Response to Transition Risks and OpportunitiesIn response to escalating global and sustainability challenges,particularly the escalating consequences of land-use alterations,we have launched EcoUplift,a tailored capital accounting digit
226、al platform designed for UK biodiversity.Responding to client demands for enhanced biodiversity reporting,EcoUplift integrates with our PlanEngageTM platform on Microsofts Azure marketplace.This innovative technology empowers UK policymakers,landowners,and developers to make informed and sustainable
227、 land-use decisions,fostering restorative biodiversity outcomes.Recognizing the broader impact of our operations,we formalized a biodiversity statement in fiscal 2023,endorsed by our CEO,Troy Rudd.This statement includes our commitment to support the Global Biodiversity Framework of reversing nature
228、 loss by 2030.Reflecting our leading approach to environmental stewardship,we were awarded the Terra Carta Seal from the Sustainable Markets Initiative that same fiscal year.Transformative Solutions for Biodiversity Conservation26|AECOM 2024 SUSTAINABILITY REPORTAchieving Net ZeroOur Environmental M
229、anagement System(EMS)is designed to help limit the impact on the environment.It forms part of the Integrated Management System(IMS),which covers the approach to health,safety,environment,quality,and risk.An effective EMS means we can be confident in the focus on reducing both direct and indirect imp
230、acts on the environment,including reducing carbon footprint,and supporting clients with sustainability solutions.Our EMS is managed on applicable sites by project staff,supported by the Safety,Health and Environment team,ensuring the system is implemented and maintained.Our Environmental Sustainabil
231、ity Policy is available to all employees,customers,and suppliers on our website and is regularly reviewed at operational meetings throughout the company.In 2022,we also formalized and published our Environmental Sustainability Policy that outlines AECOMs approach to achieving best-in-class environme
232、ntal sustainability across its business for all stakeholders,including through Board and Executive Oversight and execution of the environmental elements of our Sustainable Legacies strategy.AECOM is committed to complying with all applicable legal and regulatory requirements to control and reduce em
233、issions and energy usage in our operations.We recognize the need to comply with strict environmental standards and an increasing number of environmental laws and regulations.We are committed to making the necessary investments in systems and technology to ensure compliance and to meet or exceed thes
234、e standards.We are committed to improving our energy efficiency,as this is the largest and most cost-effective way to reduce CO2 emissions.We believe that our focus on innovation,with the objective of reducing costs and improving sustainability of our operations,provides a strategic benefit through
235、the ability to fund,develop,and implement new technologies and quickly respond to changes in customer requirements and industry demand.Achieving Net ZeroEnvironmental ManagementWhile climate change and carbon emissions are the primary focus of this pillar,environmental sustainability is critical for
236、 competitiveness and business success.The sustainability of operations,products,supply chains,and infrastructure projects are central to sustained value creation,growth,and resilience.27|AECOM 2024 SUSTAINABILITY REPORTImproving Social OutcomesSocial ValueThrive with AECOMAECOM VoicesLGBTQ+EquityEmp
237、loyee RetentionInternal Mobility and Workforce PlanningEmployee DevelopmentPeople with DisabilitiesSTEAM EducationVeteran SupportHealth,Safety and Well-beingCOVID-19 ResponseCommunity Investment and EngagementImproving Social Outcomes28|AECOM 2024 SUSTAINABILITY REPORTImproving Social OutcomesAcross
238、 our company and in our workplaces,we understand that diverse ideas and perspectives make us a stronger,more innovative company.Through our Global Social Value Working Group,were deploying the diversity of our global teams to define social value at AECOM and audit best social value practices across
239、the organization.We recognize that social progress must also be measured objectively.In 2023,we reached our target of women accounting for least 20%of senior leadership roles,which places us closer to our goal of women comprising of at least 35%of the overall workforce in the near term.Weve also imp
240、lemented diversity-specific KPIs and associated near-and long-term targets in each region within our business and have set non-gender diversity goals for our workforce to be met in 2023.Our teams commitment to equity drives work with greater social value.Whether through partnering with disadvantaged
241、 business enterprises or conducting environmental remediation in consultation with Indigenous communities,were embarking on projects that rectify inequities through their design,development,and delivery.Social Value doesnt just inform the work we deliver.It also determines the work we choose.In our
242、response to the devastating fires impacting communities in Hawaii and Russias unlawful invasion of Ukraine,we exited the Russian market.Our teams subsequently participated in an employee donation match program that raised nearly 300,000 dollars to relief funds and volunteered on the ground to suppor
243、t the conflicts refugees.We believe our response embodies our culture.Investing in employees who prioritize equity,diversity,and inclusion allows us to deliver clear social value.And we have taken steps to ensure these commitments are codified within our operations with the development of our Social
244、 Value policy that was implemented in fiscal 2022.Social ImpactIn pursuit of a more equitable world,we start by investing in our most important asset:our people.52,000employees worldwideAchieved target that women account for at least 20%of senior leadershipProgressing against our target for women to
245、 account for at least 35%across our companyBy developing our strategy with a focus on improving social outcomes and supported by the strength of our technical excellence,global collaboration,and local engagement we will continue to drive innovation in our industry.29|AECOM 2024 SUSTAINABILITY REPORT
246、At AECOM,we believe that investing in local communities to create social and economic outcomes is at the heart of generating social value.We work with our clients,partners,and suppliers to link the opportunities presented by our projects to the needs of the local communities we operate in,delivering
247、 a positive,lasting legacy.As we transition our economies to net-zero carbon,we recognize that businesses must deliver the employment,skills,and business outcomes to sustain this green economy.Put simply,Social Value is critical to delivering on our Sustainable Legacies strategy.We will achieve this
248、 by:Advising clients through our tools to help select the most equitable project approach for their community Designing and developing solutions that improve well-being and provide better social outcomes for all Utilizing our technical expertise and STEAM activity to develop a diverse,skilled workfo
249、rce of the future that represents the communities we live and work in Supporting local economies by contracting with local subject matter experts and building capacity within our supply chains Strategically giving our time,skills,and money to support communities in needReflecting our commitment to S
250、ocial Value,we have implemented a global Social Value policy that outlines AECOMs approach to providing solutions that lead the industry resulting in meaningful and sustainable social value outcomes across its business for all stakeholders,including Board and Executive oversight.Social ValueImprovin
251、g Social OutcomesSocial Value Through Client DeliveryEmbed social value principles into all our work for clients to improve social outcomes that uplift individuals,communities,and society in generalThrive with AECOMFoster an inclusive environment within AECOM and beyond by building diverse talent,ex
252、panding understanding,enriching communities,and thinking without limitsCorporate ResponsibilityExtend our social value contributions through employee-driven community investments,including strategic nonprofit partnerships,pro bono work,skills-based volunteering,and philanthropySocial Value-based Pro
253、curementPromote supplier diversity and social value-based sustainable procurement methods by providing opportunities and supporting small,minority,and/or women owned businesses30|AECOM 2024 SUSTAINABILITY REPORTOur commitment to diversity starts with our goal to attract,retain,and develop a workforc
254、e that is diverse in background,knowledge,skills,and experience.This commitment is reflected in our recognition in TIME magazine as one of the best companies for future leaders in 2023,underscoring the value and success of our diversity programs.The acknowledgment serves as a testament to our contin
255、uous efforts in promoting diversity and inclusion within our organizations.Our Board of Directors recognizes that a diverse workforce and a culture of equity and inclusion helps us compete more effectively,sustain success,and build long-term shareholder value.In leading from the top,the Nominating a
256、nd Governance Committee considers a variety of diversity characteristics for board composition,including business experience,geography,age,gender,and ethnicity.We believe that supporting and promoting a diverse and inclusive workplace brings new perspectives that can result in new ideas and help mit
257、igate risk.Our commitment to diversity starts with our goal to attract,retain,and develop a workforce that is diverse in background,knowledge,skills,and experience.As of September 30,2023,across our global employee base,approximately 34%were women,including more than 20%within leadership roles.More
258、broadly,our executive teams include representation from a diverse array of communities,with approximately 56%of our executive team and 44%of our Board being from a diverse background in regard to race,ethnicity,gender and sexual orientation.In addition,we have implemented diversity-specific KPIs and
259、 associated near-and long-term targets in each region within our business.We encourage every one of our team members to form deeper relationships with those around them based on mutual respect,dignity,and understanding.In addition,we include a variety of stakeholders in proactive engagement to gathe
260、r feedback,increase transparency,and further understanding.Thrive with AECOMOur executive teams include representation from a diverse array of communities,with approximately 56%of our executive team and 44%of our Board being from a diverse background in regard to race,ethnicity,gender and sexual ori
261、entation.Improving Social Outcomes31|AECOM 2024 SUSTAINABILITY REPORTImproving Social OutcomesEquity Soars in Airport TransformationIn our pursuit of transforming aviation infrastructure,weve embraced the power of digital tools,leveraging computational and automated design techniques for the moderni
262、zation of JFK Terminal 1.This innovative approach,inspired by global best practices,exemplifies the AECOM way of problem-solving,significantly accelerating processes,and earning enthusiastic support from the Port of Authority of New York and New Jersey.Recognizing airports as vital hubs akin to smal
263、l cities,our global aviation lead,Dwight H.Pullen Jr.,and Los Angeles economic inclusion lead,Ken Billips,emphasize the crucial role of equity in infrastructure.They discuss embedding equity,diversity,and inclusion strategy to drive transformational change in airport communities.By intentionally imp
264、lementing business inclusion and workforce development practices,we aim to create opportunities defined by equity,with a commitment to leaving the community better than we found it.This commitment is exemplified in our design and construction of the JFK International Airport expansion,where ambitiou
265、s targets for women-owned and minority-owned businesses,local workforce recruitment.Intuit Dome Transforming Communities Through Sustainable Sports InfrastructureIn 2024 the Inuit Dome,future home of the NBAs Los Angeles Clippers,emerged not just as a sports arena but as a beacon of community transf
266、ormation and sustainability.Our innovative design creates an iconic addition to the citys sports landscape,prioritizes fan and athlete experience while revolutionizing environmental responsibility in sports infrastructures.The Intuit Dome incorporates natural ventilation,recycled water,and renewable
267、 energy sources,setting new standards for arena sustainability globally.Committed to annual emissions monitoring and community engagement,it signifies a shift towards a low-carbon future.Moreover,the project catalyzes economic growth in Inglewood,California,generating thousands of jobs and injecting
268、$260 million annually into the local economy.Partnering with stakeholders like LA/OC Building Trades and Inglewood Unified School District,we introduced the groundbreaking Pre-Apprenticeship MC3 training program,ensuring access to construction careers for residents.Through a$100 million community be
269、nefits package,the Intuit Dome invests in affordable housing,youth programs,and senior services,fostering a stronger,more vibrant community.Our collaboration with local educational initiatives like the ACE Mentor Program further cements our commitment to delivering a better world by partnering with
270、local communities.Empowering Diversity Through InternshipsDuring last summer,AECOM offices in Australia and New Zealand hosted undergraduate interns from The Smith Family,CareerSeekers,and CareerTrackers.These internships aimed to support STEM students from disadvantaged backgrounds,refugees,and Fir
271、st Nation students,aligning with AECOMs commitment to diverse and inclusive workplaces.Interns received hands-on experience and mentorship across various departments,contributing to their academic and career development.The programs not only reinforced AECOMs dedication to diversity but also enriche
272、d organizational culture while empowering interns with valuable skills and insights.By providing for underrepresented groups in STEM,AECOM contributes to building a more inclusive society,exemplifying its commitment to fostering equity and opportunity in the workforce and beyond.Through strategic pa
273、rtnerships and proactive engagement,AECOM continues to lead by example in championing diversity and inclusivity in the STEM fields across Australia and New Zealand.32|AECOM 2024 SUSTAINABILITY REPORTTo empower those in our industry to thrive,were focused on four key areas to drive greater equity,div
274、ersity,and inclusion within AECOM and beyond:Thinking Without LimitsBuilding Diverse TalentExpanding UnderstandingEnriching CommunitiesEnsuring,through our recruitment efforts,that our teams reflect the diversity of the communities we serve with a focus on building leadership accountability,and part
275、nering with nonprofit organizations and universities to build the talent pipeline for the future.Enriching communities through pro bono work,volunteerism,philanthropy,and strategic partnerships.Thinking without limits by prioritizing social equity and impact in every project we pursue and in every i
276、nnovative solution we deliver.Expanding understanding and empathy among employees through employee resource groups,events and celebrations,unconscious bias training,and family-friendly benefit policies.123433|AECOM 2024 SUSTAINABILITY REPORTImproving Social OutcomesBeyond Abilities:Americas,Europe,a
277、nd India Community for the disabled,neurodiverse,and caregiversMOSAIC:Americas Asian Pacific Islander communityConnect:Americas,Asia,Australia,and New Zealand Early career professionalsPride:Americas,Europe,Australia,and New Zealand LGBTQ+communityEthnic Diversity Network:Europe and India Community
278、for ethnic minoritiesVeterans Alliance:Americas Veterans communityBeBOLD:Americas Black communityJUNTOS:Americas Hispanic communityGender Alliance:Europe and India Community for gender empowermentWomens Leadership Alliance:Americas Community for gender equalityOur ERGs play a vital role in fostering
279、 community and understanding within AECOM.These groups facilitate rich exchanges of ideas,professional networking,and philanthropic impact.In 2023,we proudly launched two new global ERGs:Beyond Abilities,dedicated to supporting individuals with disabilities,neurodiversity,and caregivers,and Connect,
280、focused on early career professionals.One standout example of our ERGs impactful work is our Pride ERGs collaboration for Pride Month this June.Our Pride chapters united to host a groundbreaking event:24 Hours of Pride.This global initiative featured diverse programming spanning the Americas,Asia,Eu
281、rope,India,Australia,and New Zealand.From engaging trivia and DJ sets to insightful panels and sessions for parents of LGBTQ+children,the event showcased our commitment to diversity,inclusion,and allyship.Through initiatives like 24 Hours of Pride and ongoing cultural activities,our ERGs serve as vi
282、tal platforms for celebrating what makes each of us unique and fostering connections among our employees and the communities we serve.Cultivating Community and Connection 34|AECOM 2024 SUSTAINABILITY REPORTImproving Social OutcomesLGBTQ+Equity AECOMs commitment to the LGBTQ+community is reflected in
283、 our companys policies.We offer same-sex domestic partner benefits and have a strong anti-discrimination policy.Beyond these measures,to make our employees feel welcome and included,we recognize and contribute to LGBTQ+community initiatives,including AECOMs features locally based Employee Resource G
284、roups(ERGs),onsite townhalls,and participation in national I&D groups.Furthermore,for Pride Month,we held a round table discussion with our LGBTQ+colleagues and allies,who shared their experiences.The organization has also previously hosted interviews with one of our Board members,Sander van t Noord
285、ende.Employee Retention As a Professional Services business,we are focused on ensuring we attract and retain the best talent in the industry.We believe that our comprehensive employee retention program plays a vital role in attracting and retaining our key employees.As a result,we continually review
286、 our compensation and rewards practices,conduct annual performance reviews,and provide substantive professional development opportunities,among other initiatives.We believe employee job satisfaction and engagement are key ingredients of retention.Reflecting on our successes,employee satisfaction rem
287、ained above our benchmark level,with 76%of employees recommending AECOM as a great place to work in our most recent employee survey.In addition,turnover between our permanent employees and within our high performers remained significantly below industry benchmarks in fiscal 2023,and further reflecti
288、ng our progress,our turnover has continued to decline into fiscal 2024 and is now below pre-pandemic levels.Internal Mobility and Workforce PlanningAECOMs Internal Mobility program outlines the organizations commitment to foster and encourage our employees growth and development within the organizat
289、ion.In addition,our corporate strategy is to focus on our human capital by providing internal mobility for employees across the company.Our employees who are working in a regular full-time,part-time,part-time variable,or temporary status are eligible to participate in the program.We publish all oppo
290、rtunities to our internal employees through an Internal Careers site.For a period before being made available to external candidates.We encourage all employees to own their career and express interest in internal opportunities,while also ensuring our managers and talent acquisition teams have a focu
291、s on internal mobility during the recruitment process.While AECOM empowers our employees to own their own career path,we also recognize that at times our employees will face a shortage of work or reduction in force due to the completion of projects.To endeavor to ensure continued employment for our
292、employees,we redeploy our employees where possible in order to maximize our valuable talent.We work closely with employees when assignments are complete to place them in new opportunities within the organization that will fit their experience,skills,and backgrounds.Employee Development At AECOM,we r
293、ecognize that our talent is our greatest asset.Our performance and development are designed to encourage rich and meaningful discussions between all full-and part-time employees and their managers to drive successful business outcomes and enable fulfilling careers.Our framework includes annual goals
294、 setting,performance and development conversations,manager evaluations,and annual rewards planning.In 2023,we continued to expand our career pathways framework that helps guide our professionals on their paths forward and development opportunities within our company.We are home to some of the indust
295、rys best technical mindsapproximately 52,000 technical and business professionals who thrive in an environment that supports their learning and growth,encourages innovation,and celebrates great project and client outcomes.Our ability to deliver excellence and a high level of service to our clients r
296、equires attracting and retaining the industrys best talent and advancing our equity,diversity and inclusion objectives.Weve made significant investments to support the learning and development of our people so they can build their skills and rewarding careers with us,provide competitive pay and bene
297、fits so they can make the best choices for themselves and their families,and are building a culture of flexibility,trust,and performance so they can be at their best.From a progressive career development philosophy that offers multiple paths to Global Technical Academies that provide structured tech
298、nical learning and professional development programs for learners at every career level,our people are supported with resources to build connections throughout our organization and to explore the opportunities that inspire them.To help navigate the tremendous opportunities at AECOM,we encourage ever
299、yone to develop their core skill set and capabilities and then explore different roles across our business to broaden their experience.People with DisabilitiesThe inclusion of people with disabilities helps drive our sustainable revolution for our employees,communities,and customers.As such,AECOM pr
300、ovides a training course for employees on disability inclusion in the workplace.Reasonable accommodations at AECOM include adaptive equipment,allowances for on-site service animals,flexible work arrangements,special parking assignments,hotlines,and a number of other inclusive services.35|AECOM 2024
301、SUSTAINABILITY REPORTImproving Social OutcomesSTEAM EducationAECOM believes the infrastructure industry needs to diversify and engage with young people if it is to avoid a future recruitment crisis.Furthermore,it is more important than ever to continue engaging with schools to attract the best talen
302、t.The need to attract the best talent in the industry remains as does the need to be more inclusive and employ people from a diverse range of backgrounds.As key stakeholders in the infrastructure industry,engaging and investing in social value is no longer optional,its essential.As a result,AECOM pa
303、rtnered with nonprofit organizations across the globe to:Grow the number of students who earn a STEAM degree;Increase underrepresented minorities in STEAM fields;Continue to support STEAM initiatives,including being the Titanium Sponsor of the virtual 2021 Joint Engineer Training Conference,an educa
304、tional and networking forum whose mission is to lead collaborative efforts to identify and resolve national security infrastructure-related challenges.Furthermore,reflecting the positive return on our professional development programs,turnover among our teams that has participated in a leadership de
305、velopment program was substantially lower at a low-single digit percentage.Veteran SupportAECOM is a long-time supporter of veteran communities,with more than 9,000 veteran employees working on projects around the world.Their strong leadership,team-building,and analytical skills,as well as unwaverin
306、g commitment to a job well done,are critical when the work involves managing complexity,making decisions in the face of uncertainty,and ensuring safe operations in high-risk environments.We value the outstanding contributions veterans make to our contract performance and overall business success,and
307、 AECOM has a long-standing commitment to supporting those who serve as well as those who have returned to civilian life.As part of this commitment,AECOM partners with organizations such as the Wounded Warrior Project,Semper Fi Fund,American Corporate Partners,the Officers Association,and the Career
308、Transition Partnership,which ensure veterans have the support they need during and after their service.AECOM is also a Military Friendly Employer and Military Friendly Spouse Employer,and we maintain an active Veterans Alliance ERG within the Americas region of our business.36|AECOM 2024 SUSTAINABIL
309、ITY REPORTImproving Social OutcomesCore to our corporate values is safeguarding our people and fostering a culture of caring that promotes the well-being of our employees,contractors,and business partners.We protect our people,projects,and reputation by striving for zero employee injuries and illnes
310、ses,while operating and delivering our work responsibly and sustainably.We maintain best-in-class lost workday cases and recordable incident rates,and our safety performance is consistently recognized by key clients across the regions where we work as well as by recognized safety organizations.Speci
311、fically,AECOM was awarded the Royal Society for the Prevention of Accidents(RoSPA)Presidents Award for having achieved 14 consecutive annual Gold Awards.RoSPA defines Gold Award winners as having achieved a very high level of performance,demonstrating well-developed occupational health and safety ma
312、nagement systems and culture,outstanding control of risk and very low levels of error,harm and loss.In fiscal 2023,our Total Recordable Incident Rate(TRIR)in our Professional Services businesses improved by 45%compared to fiscal 2020,while our Lost Workday Case Rate(LWCR)improved by 67%over the same
313、 period.Both of these metrics reflect a world-class level of safety performance and the benefits of our safety performance and the commitment,participation,and accountability of our people throughout the year.Safety is also a key element of our subcontractor and supplier onboarding and prequalificat
314、ion.Reflecting our focus in this regard,in our CM business,our TRIR is materially ahead of the BLS All Construction Contractors benchmark of 2.5,and we estimate that TRIR for our design subcontractors is materially consistent with our performance.Safety requires focus and continuous effort.We thorou
315、ghly investigate serious incidents and near misses to identify root causes.The knowledge gleaned from our analysis forms the basis for modified behaviors,more effective safety programs,and improved communications and training on safety issues.We are also committed to fostering the physical and menta
316、l well-being of our workforce.We provide a comprehensive and competitive benefits package that supports the health and financial wellness of our people.Some common features offered to our employees in 2023 included the following:Medical,dental,and vision benefits for employee,spouse,and dependents;F
317、lexible spending accounts for both healthcare and dependent care;Health savings accounts and health reimbursement accounts;401(k)retirement savings program with company matching contributions;Short-term and long-term disability benefits;Mental health resources and assistance programs;Wellness incent
318、ives for employees;and Employee assistance program.Furthermore,we provide our employees several opportunities to focus on physical,mental,and financial wellness by maintaining paid vacation,holiday,family leave,sick leave,adoption support,fertility support,and maternity/paternity support programs.He
319、alth,Safety,and Well-beingImproving Social Outcomes0.120.100.080.060.040.0200.0300.0250.0200.0150.0100.0050FY22FY22FY23FY230.090.06FY21FY210.09FY20FY200.11Multi-Year TRIR Trend 45%Reduction in TRIR since FY200.030.010.030.03Multi-Year LWCR Trend 67%Reduction in LWCR since FY2037|AECOM 2024 SUSTAINAB
320、ILITY REPORTWe are passionate about being good corporate citizens in the communities where we live and work.Through strategic nonprofit partnerships,pro bono work,skills-based volunteering,and philanthropy,Blueprint for a Better World,our corporate responsibility platform,is focused on delivering ac
321、cess to safe and secure infrastructure to those who need it most,creating opportunity for the leaders of tomorrow,and protecting our planet.Together,these efforts will allow AECOM to fulfill its purpose to deliver a better world.As part of the Blueprint pro bono program,our technical experts partner
322、 with nonprofit organizations in their local communities to provide critical design,engineering,and infrastructure solutions.Maui CampaignOur corporate responsibility platform is focused on delivering access to safe and secure infrastructure to those who need it most via strategic nonprofit partners
323、hips,pro bono work,skills-based volunteering,and philanthropy.In fiscal 2023,we continued to take a leading role in the response to extreme events that devastated communities.This was no more apparent than in the aftermath of the Maui,Hawaii fires,where we contributed nearly$300,000 through an emplo
324、yee-matched donation campaign in collaboration with the American Red Crosss Hawaii Wildfires Relief Fund.Funds raised contributed to ongoing assessment activities,distribution of relief supplies,and other important work.Volunteerism is a big part of who we are at AECOM,and it takes form in many ways
325、from individuals committing their time to help local nonprofits to small and large employee groups teaming up to support community initiatives.Regional events over the past year included efforts to end homelessness,mentorship of youth in business,collecting food for the elderly,environmental clean-u
326、p,and participation in community beautification projects.Furthermore,we partner with nonprofit organizations,including our longstanding partnerships with Engineers Without Borders and Water for People,that work to increase the number of individuals with technical skills,decrease the number of indivi
327、duals facing economic barriers,and make our communities better via innovation and improvement.Community Investment and EngagementImproving Social Outcomes38|AECOM 2024 SUSTAINABILITY REPORTEnhancing GovernanceOversightEthics and IntegrityRisk ManagementResponsible SupplyChain ManagementEnhancing Gov
328、ernance39|AECOM 2024 SUSTAINABILITY REPORTSince then,weve continuously updated our framework to adhere to the latest SASB and TCFD standards,as well as evolving science-based best practices like those outlined at COP26.Were holding ourselves to high standards by incorporating sustainability-related
329、key performance indicators(KPIs)into our CEO and officer compensation this year,as well as completing a sustainability-linked financing amendment in April 2024,to make sure that sustainability performance is embedded in our financial metrics.Our commitment to rigorous governance spans our organizati
330、on.For the fifth consecutive fiscal year,we have achieved 100%training compliance,and,as such,we have set even more ambitious training compliance goals,which now include four new Sustainable Legacies-relevant training modules.To envision and execute our long-term governance strategies,our Sustainabl
331、e Legacies Global Council and its constituent working groups instill sustainability principles across each wing of AECOM,from project management to marketing and communications.As a global organization,we naturally see governance as a global effort.Every element of our organization is focused on gov
332、ernance principles so that our strategic decision-making and projects delivery can adhere to rigorous standards in every market and region we serve.Culture of GovernanceGovernance is the foundation of our Sustainable Legacies strategy.Since the implementation of our Sustainable Legacies strategy in
333、2021,we have sought to build that foundation into everything we do.Culture of Governance 33%of directors are women 67%of directors are new within the last four years 44%of directors are diverseincluding self-identifying as LGBTQ+AECOM is governed by a 9-person Board of Directors.Our Board of Directors oversee the affairs of the company for the benefit of stockholders,including monitoring overall c