NWSA
20
24
Environmental,
Social and
Governance Report
About This Report
This publication and the materials or websites cross-referenced contain forward-looking statements that are aspirational and based on current expectations or beliefs, as well as assumptions about future events, including as they relate to News Corp's expectations, aspirations, commitments, strategies, targets and goals with respect to corporate responsibility matters, including News Corp's environmental, social and governance (ESG) focus areas, net zero and other goals/targets, sustainability, employees, procurement, philanthropy, cybersecurity and data privacy, supply chain and business risks and opportunities, as well as statements from third parties about our ESG performance and risk profile. These statements are subject to factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The words "expect," "intend," "aim," "estimate," "anticipate," "predict," "plan," "believe," "potential," "goal," "target," "commit," "strive" and similar expressions and variations thereof
are intended to identify forward-looking statements. Readers are cautioned that any forward-looking statements inherently involve known and unknown risks, assumptions and uncertainties that are difficult to predict and often beyond our control, and are not guarantees of future performance or that targets or goals will be met or go unchanged. Many factors could cause actual results to differ materially from those described in these forward-looking statements, including regulatory and legislative developments, energy prices, technological innovations and advances, stakeholder engagement and climate conditions or events, among others, including those risk factors outlined in our periodic filings with the Securities and Exchange Commission (the "SEC"). The forward-looking statements in this publication speak only as of the publication date (October 9, 2024), and News Corp undertakes no obligation (and expressly disclaims any obligation) to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, notwithstanding any historical practice of doing so, except as required by law. Furthermore, forward-looking, current and historical statements related to corporate responsibility matters, including the figures presented in the data tables and throughout this report, which may be estimates or approximations, may be based on current or historical aspirations, targets, goals, commitments or estimates; standards for measuring progress that are still in development; diligence, internal controls and processes that are evolving; and representations, certifications and data reviewed or provided by third parties, including information from acquired entities that may not be complete, may still be subject to further review or may not have been integrated into News Corp's reporting processes and assumptions that are subject to change in the future. Information included in, as well as issues identified as material for purposes of, this document or the materials or websites cross-referenced is not an indication that such matters are material for SEC reporting purposes for News Corp. In the context of this report, any use of the term "material" is distinct from, and should not be confused with, such term as defined for SEC or other mandatory reporting purposes.
Unless otherwise specified, reporting covers News Corp and its consolidated subsidiaries and our fiscal year ended June 30, 2024. Website references and hyperlinks throughout this publication are provided for convenience only, and the content on the referenced websites is not incorporated by reference into this publication, nor does it constitute a part of this publication.
For more information, visit https://newscorp.com/news-corp-esg-report/.
2 Environmental, Social and Governance Report 2024
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
Introduction
A Message from
Lachlan Murdoch
At News Corp, integrity and curiosity guide us as we reach millions of people around the world each day. Whether it is news and analysis designed to inform sound decision-making, entertainment that enlightens or tools that help people find their dream homes, we are driven by a mission to help our audiences and customers better understand the world.
Our people and our communities play an essential role in our success, and this year's report reflects our efforts to protect spaces for diverse perspectives, contribute to a more sustainable future for our environment and uphold high standards of governance, complementing ongoing corporate citizenship programs and philanthropic efforts across
the organization.
A free press is not a given, and we are steadfast in advocating for and defending the rights of journalists and
their organizations to seek truth. We are gratified that, with Chair the help of the U.S. government and many governments
around the world, Evan Gershkovich was released in a historic multilateral prisoner exchange in August 2024.
3 Environmental, Social and Governance Report 2024
A Message from
Robert Thomson
For more than 10 years, News Corp has been dedicated to enhancing the lives of our audiences, our employees and our communities as we seek to inform and enlighten through some of the world's most trusted brands.
As we present our fourth annual Environmental, Social and Governance Report, we are proud of the work our teams have done to create a healthier environment for future generations, encourage the contest of ideas, build a culture that reflects diverse perspectives and advocate for a free press and freedom of speech.
Significantly, we welcome the emancipation of Evan Gershkovich, whose freedom represents the efforts of many concerned and principled people who campaigned tirelessly with leaders across News Corp and Dow Jones to secure his release. Evan spent 491 days in a Russian prison simply for doing his job as a journalist. We are pleased that he has been reunited with his family, and while his return home is a beacon of hope, his plight reminds us to remain resolute in protecting the ever-important role of a free press.
The leadership and support of Lachlan and Rupert, and of our Board of Directors, remains integral to our work. The programs and initiatives described in this report represent a collective effort, which would not be possible without the principled and passionate contributions of the many.
While the accomplishments of our teams this year are extensive, a few notable items include:
Robert Thomson
Chief Executive
Fiscal 2024 marked a pivotal year in News Corp's preparations for the epoch that is defined by the confluence of artificial intelligence with emotional intelligence. Our landmark agreement with OpenAI ensured the prominence of provenance. The future of professional journalism must be one marked by integrity and our teams have worked tirelessly to pursue that principle for the good of News Corp and the media industry as a whole.
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
About News Corp
News Corp (Nasdaq: NWS, NWSA/ASX: NWS, NWSLV) is a global, diversified media and information services company focused on creating and distributing authoritative and engaging content and other products and services to consumers and businesses throughout the world. Headquartered in New York, we operate primarily in the United States, Australia and the United Kingdom, and our content and other products and services are distributed and consumed worldwide.
News Corp comprises businesses across a range of media, including digital real estate services, subscription video services in Australia, news and information services and book publishing. Our products and services are distributed under some of the world's most recognizable and respected brands, including The Wall Street Journal ("WSJ"), Barron's, Dow Jones, The Australian, Herald Sun, The Sun, The Times, HarperCollins Publishers, Foxtel, FOX SPORTS Australia, realestate.com.au,1 Realtor.com®, talkSPORT and many others.
Our commitment to quality content makes our brands a premier destination for news, information, sports, entertainment and real estate. We deliver this content to customers and consumers across an array of digital platforms, including websites, mobile apps, smart TVs, social media, e-book devices and streaming audio platforms as well as traditional platforms such as print, television and radio.
Driven by passion, guided by principles and acting with purpose, we are dedicated to delivering value to our customers and our stockholders with premium products and services that inform and inspire.
23,900
EMPLOYEES*
8,100
5,100
7,400
IN THE U.S.
IN THE U.K.
IN AUSTRALIA
*Approximations as of June 30, 2024
$10.085 Billion
REVENUE
$354 Million
NET INCOME
Contents
Our ESG Approach
Climate & Environment
Global Environmental Initiative
Climate Change
Waste & Circular Economy
Stakeholder Engagement
Our Culture & Purpose
Trusted News & Information
Employee Experience
Diverse Voices
Community Impact & Philanthropy
Governance
Corporate Governance
Compliance & Ethics
Risk Management
Public Policy
Data Protection & Privacy
Supply Chain Management
Indices
ESG Performance Data
GRI Content Index
SASB Index
5
6
7
8
11
12
13
14
19
22
26
31
32
33
34
35
36
38
39
40
44
49
4 Environmental, Social and Governance Report 2024
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
Our ESG Approach
Governance Structure
At News Corp, as we strive to educate, enlighten and entertain people around the world, we believe in protecting the environment, pursuing strong governance practices, fostering an engaged workforce, and contributing to the communities where we live and work.
Our ESG Governance Practices:
•
Oversight of ESG matters by the Board and its
committees, which report to the Board on such matters
regularly (see "Governance Structure").
•
Centralized management of ESG issues through our
NEWS CORP BOARD OF DIRECTORS
Through our sustainability policies, human capital management practices and philanthropic contributions, we aim to have a positive impact on our employees, stockholders, customers and audiences. Effective stewardship of our social purpose has always been core to our mission and is an important part of our long-term success, given the trusted and valuable information and services our businesses provide to the public every day.
Our Board's oversight of ESG matters informs its oversight of the company's strategy, which is discussed at every regular Board meeting and as part of the annual review of our long- term strategic plan.
To facilitate a comprehensive review of our ESG priorities, in 2022 we undertook to identify and validate those ESG topic areas that we believe are most relevant to our business and our stakeholders, taking into account guidance and feedback
cross-functional ESG Steering Committee, comprising
senior leadership, and ESG Governance Committee,
comprising subject matter experts in our ESG areas
of focus.
• Global Director of ESG Initiatives with responsibility
for overseeing our ESG initiatives; reports to the Chief
Human Resources Officer, who in turn reports to the Chief
Executive.
• Publication of our annual ESG report, including GRI
(Global Reporting Initiative) and SASB (Sustainable
Accounting Standards Board) indices, since 2021, helping
to provide ongoing transparency and accountability.
Linking Executive Compensation to ESG Objectives
NOMINATING AND CORPORATE
GOVERNANCE COMMITTEE
COMPENSATION COMMITTEE
AUDIT COMMITTEE
from our leadership, subject matter experts, employees, regulators and investors. This exercise informed the focus areas that are highlighted in this report.
Transparency and accountability are essential components of our ESG goals, and we expect to continue to report on our most relevant focus areas annually.
Beginning in fiscal 2022, the Compensation Committee expanded its consideration of ESG objectives in our executive officers' incentive compensation to include additional ESG goals, alongside the long-standing assessment of performance on ethics and compliance. For fiscal 2024, performance on ESG governance, ESG communications, environment and sustainability, human capital, and philanthropy, among other areas, were considered.
CHIEF EXECUTIVE
ESG STEERING COMMITTEE
ESG GOVERNANCE COMMITTEE
5 Environmental, Social and Governance Report 2024
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
Climate &
Environment
At News Corp, we are driven by a goal to contribute meaningfully to society by minimizing our environmental impact, growing sustainably and inspiring others to take action.
Global Environmental Initiative
7
Climate Change
8
Waste & Circular Economy
11
Stakeholder Engagement
12
6 Environmental, Social and Governance Report 2024
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
Global Environmental Initiative
Our Science-Based Net Zero Targets
In 2020, News Corp signed the United Nations and SBTi's Business Ambition for 1.5°C, setting goals that are aligned with the Paris Agreement's most
Our Global Environmental Initiative (GEI), the company's comprehensive sustainability program, has been in place
OUR GOALS
OUR PROGRESS3
stringent standards to help limit global temperature rise.
since News Corp's inception as a public company in 2013.
Our Global Head of Sustainability oversees a committee of leaders from each of our businesses. This committee is responsible for driving the program, setting business unit goals and strategies, managing local program implementation and overseeing policies in support of
Reduce
Reduce our operational carbon emissions by 65% by fiscal 2030, from a fiscal 2016 base year.
Minimize single-use plastic and other wastes within our business.
62% reduction of operational carbon emissions in fiscal 20234 from our fiscal 2016 base year, primarily through continuing digital transformation and energy efficiency projects.
Ongoing efforts to divert waste from landfills.
In 2023, News Corp's commitment to reach net zero carbon emissions by fiscal 2050 or earlier was reviewed and validated against the SBTi's Corporate Net-Zero Standard, and we are proud to be the first North America-based media company to receive this validation. As part of this validation, we accelerated our previously set near-term targets for Scopes 1 and 2
our environmental goals, including those in the areas of climate change, waste reduction and responsible sourcing of materials. The goals and time frames for each business unit are designed to align with News Corp's overall sustainability goals. The corporate and local GEI teams communicate regularly with senior executives across the company about energy, carbon and waste reduction projects and other aspects of the company's environmental sustainability efforts, as well as the businesses' progress toward sustainability goals via regular summary reports, video conferences and other meetings. The GEI team and "green team" leaders meet regularly to discuss strategy, share successes and challenges and invite external experts to share perspectives.
The Nominating and Corporate Governance Committee of the Board generally receives reports on our environmental sustainability programs, goals and progress at least annually as part of its oversight of ESG matters.
We have also aligned our work with the relevant United Nations Sustainable Development Goals in an effort to have the biggest potential impact, including goals 6, 7 and 11-15, which focus on the environmental impacts of business.
Environmental Policies
7 Environmental, Social and Governance Report 2024
Achieve net-zero carbon emissions across
13.7% reduction across all three scopes in fiscal 2023
all three scopes of emissions by fiscal 2050
from a fiscal 2021 base year.
or earlier.
Achieve zero waste5 across our major sites.
91% diversion rate across 22 sites in fiscal 2023.
Engage
Engage our customers, employees, suppliers
See Stakeholder Engagement.
and partners on sustainability outcomes.
Align carbon emission reduction goals
Emissions goals approved by the Science Based
with a global temperature rise limit of 1.5°C
Target initiative (SBTi).
above pre-industrial levels.
Continue to publicly report sustainability
Achieved a score of A- for response to CDP Climate
practices annually to CDP (formerly Carbon
Change, B for Forests and A- for Supplier Engagement
Disclosure Project).
surveys in 2023, compared with a global average score
of C for reporting companies.
Source
By 2025, source 100% of our publication
99.8% of paper from primary suppliers7
Responsibly
paper in the U.S., U.K., Europe and Australia
came from certified sources3 in fiscal 2023.
from certified sources.6
Reduce Scope 3 carbon emissions by 25%
10.6% decrease in Scope 3 emissions
by fiscal 2030, from a fiscal 2021 base year.
from a fiscal 2021 base year.
Power our operations with clean energy
Green electricity contracts across major News UK
wherever feasible.
sites and HarperCollins UK's Glasgow site.
2 We expect News Corp employees and contractors to act in accordance with the environmental, health and safety principles set forth in our Standards of Business Conduct.
(previously 60% by fiscal 2030) and Scope 3 (previously 20% by fiscal 2030) to the targets listed below.
Overall Net Zero Target:
Near-Term Targets:
Long-Term Targets:
For more details, please see our Net Zero Goal Roadmap.
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
Climate Change
Carbon Footprint Reduction
Each year, we measure and publicly report the carbon footprint of our global operations. This work has been overseen by third-party consultants (previously at Deloitte and now at Benchmark ESG and HXE Partners) and independently verified by Cventure LLC to a limited assurance level. In fiscal 2023, our estimated global operational (Scopes 1 and 2) footprint comprised approximately 76,759 metric tons of carbon dioxide equivalents (MT CO2e). This represents a reduction of approximately 62% from our fiscal 2016 base year and approximately 21% from the previous fiscal year. Over the past seven years, we have reduced our operational emissions by an annual average rate of 8.9%, putting us on track to meet our 65% reduction goal in fiscal 2024, six years ahead of our goal.
For a more detailed analysis of our carbon footprint and methodology, see our Fiscal 2023 Carbon Footprint Report.
Our Path to Net Zero
As outlined in our Net Zero Goal Roadmap, the four principles guiding our path toward net zero are as follows:
Decarbonize Operations
We will build on the success of our current programs by continuing to analyze our operations through the lens of efficiency, decarbonization opportunity and best practices innovation. Examples of decarbonization efforts include consolidation of print centers, offices and data centers, and energy efficiency projects such as LED lighting upgrades, new energy-efficient air compressors and white membrane roof installations.
Reduce Supply Chain Emissions
Scope 3 emissions account for a substantial part of our footprint, and we continue our efforts to qualify and quantify those impacts. In particular, as our businesses have focused increasingly on digital products, our strategy has broadened to consider the climate and environmental intensities of data center operations. As we pursue opportunities to mitigate the emissions we can control directly, we are also engaging with approximately 300 of our suppliers as part of the CDP Supply Chain program (see Scope 3 Emissions). Recently, HarperCollins expanded its environmental risk and supply chain analysis using EcoVadis to measure and rate vendor performance in the area and drive improvement. Examples of internal programs to reduce carbon emissions include the design of new guidelines for digital product development and the transportation of HarperCollins books from Europe to the U.K. by rail instead of trucks.
Invest in Renewable Energy
Through our energy investments, we strive to provide additional renewables in the marketplace and positively impact local communities. Examples include a green electricity contract across our News UK business and the transition to renewable energy across most of REA Group's Australian offices.
Mitigate Remaining Emissions
Once the first three principles are implemented, News Corp plans to invest in additional tools to help us achieve our net zero targets by offsetting any remaining emissions.
Solar panels at REA Group's head office in Melbourne
8 Environmental, Social and Governance Report 2024
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
Scopes 1 and 2 Emissions
News Corp reports Scope 1 emissions (from refrigerants, on-site fuel and transport fuel) and both market-based and location- based Scope 2 emissions. Market-based emissions involve accounting for green purchased power, including REGO certificates, and on-site renewables at a zero emissions factor. Offsets purchased by HarperCollins and REA Group are not included in the GHG emission totals.
Operational Carbon Emissions by Activity (MT CO2e)9
202,125
184,512
162,505
151,229
140,016
124,644
97,004
76,759
250,000
Renewable Energy
In fiscal 2023, our total usage of renewable energy was 25.9%, largely due to News UK's purchase of electricity backed by REGO certificates. With these certificates, News UK's sites and two large sites for HarperCollins were powered by 100% renewable electricity.
Scope 3 Emissions
In fiscal 2023, our Scope 3 emissions totaled approximately 866,960 MT CO2e and comprised approximately 92% of our total emissions across all three scopes. These emissions
Estimated Fiscal 2023 Scope 3 Emissions (% of CO2e MT)
52.2%
19.4%
PURCHASED GOODS
END-OF-LIFE
& SERVICES (INCL.
TREATMENT OF
CAPITAL GOODS)
SOLD PRODUCTS
873
200,000
4,327
13,921
6
2.0
1,385
4,057
%
r
ed
14,937
u
cti
on
r
738
4,020
f om
FY
16
t
150,000
14,153
948
4,131
o
FY
23
14,589
553
4,326
13,606
568
2,729
13,119
100,000
183,004
237
2,647
164,133
12,557
143,593
574
3,005
131,562
121,532
9,123
65%
108,227
Reduction
50,000
81,563
64,057
Level
0
FY16
FY17
FY18
FY19
FY20
FY21
FY22
FY23
Electricity & Steam
On-Site Fuel
Transport Fuel
Refrigerants
9 Emissions are adjusted for acquisitions, divestitures and emission factor annual updates in accordance with the GHG Protocol. Electricity from Scope 2 is market-based.
are based on spend and usage/quantity data across News Corp, which was obtained and reviewed by our consultants Benchmark ESG and HXE Partners. Our total global carbon footprint (Scopes 1, 2 and 3) was approximately 943,719 MT CO2e, an approximately 19.3% decrease from the previous fiscal year. The approximately 19.1% decrease in Scope 3 emissions in fiscal 2023 versus 2022 is due mainly to an approximately 27.1% decrease in purchased goods and services plus an approximately 8.4% decrease in emissions due to end-of-life treatment of sold products.
Approximately 52.2% of our Scope 3 emissions occur in our supply chain through purchased goods and services, and we expect to continue to focus on these emissions as we work with suppliers (see Expectations of Our Suppliers). Our focus on digital news and products and the increasing use of renewable energy by our cloud service providers are expected to move us closer to our fiscal 2030 Scope 3 reduction goal.
News Corp uses the CDP Supply Chain program to evaluate the emissions of approximately 300 of our top suppliers. The supplier-specific and industry-specific emission factors obtained have resulted in more accurate Scope 3 emission measurements. Carbon-intensive suppliers include contract printers, paper suppliers, transport/delivery operations and cloud service providers. We intend to focus mitigation efforts on these suppliers.
14.8%
INVESTMENTS
2.1%
FUEL- & ENERGY-
RELATED
ACTIVITIES
2.7%
BUSINESS TRAVEL
0.2%
WASTE GENERATED IN OPERATIONS
4%
TRANSPORTATION & DISTRIBUTION
2.9%
EMPLOYEE COMMUTING/WORK FROM HOME
1.1%
DOWNSTREAM LEASED ASSETS
9 Environmental, Social and Governance Report 2024
INTRODUCTION
ABOUT NEWS CORP
OUR ESG APPROACH
CLIMATE & ENVIRONMENT
OUR CULTURE & PURPOSE
GOVERNANCE
INDICES
Recent climate-related highlights and accomplishments include:
HarperCollins UK Glasgow warehouse
10 Environmental, Social and Governance Report 2024
Expectations of Our Suppliers
As we strive to be a responsible consumer of energy and resources, News Corp seeks to work with suppliers that are helping to address climate change and environmental concerns. Our Supplier Code of Conduct sets out the standards of behavior that we expect from suppliers conducting business with or on behalf of News Corp and its business units (see Supply Chain Management for more information). With regard to sustainability, our expectations of suppliers include:
Additionally, we encourage suppliers, particularly those with a high carbon footprint, to:
Our policies request our suppliers to provide verification and documentation that their paper supply is coming from a traceable source. Our request for proposal (RFP) process requires paper suppliers to certify that printing paper is sourced from mills whose forest management practices are certified by independent, internationally
recognized sustainable forestry certification bodies such as the Forest Stewardship Council (FSC), Programme for the Endorsement of Forest Certification (PEFC), Sustainable Forest Initiative (SFI) or Canadian Standards Association (CSA).
In 2022, News Corp became a member of the CDP Supply Chain program to help evaluate the carbon impact of more than 300 of our top suppliers. The supplier-specific and industry-specific emission factors obtained from the suppliers that have responded have resulted in more accurate Scope 3 emission measurements. During our second year as a member of the CDP Supply Chain program, 113 News Corp suppliers responded to requests to report their GHG data to CDP. Of those suppliers, 90% reported their Scopes 1 and 2 GHG emissions, 78% reported emission reduction activities and 70% reported using renewable energy. See Scope 3 Emissions for more information.
Additionally, HarperCollins partners with EcoVadis to evaluate and measure its suppliers' environmental, ethical and social performance and to help address its suppliers' emissions. HarperCollins expects all print and paper suppliers to meet strict environmental and labor standards, including a demonstrated commitment to the Book Chain Project and its Forest Sourcing, Chemicals and Materials, and Labor and Environment workstreams.
We are proud to have achieved a Leadership score of A- for our response to CDP's 2023 Supplier Engagement survey, a designation based on governance, targets, value chain (Scope 3) emissions and supplier engagement strategies.
Disclaimer
News Corporation published this content on October 08, 2024, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on October 09, 2024 at 18:23:06.334.