08-Mar-2021 - LANXESS AG

LANXESS management makes sustainability its business

Board of Management compensation tied to sustainability goals

LANXESS is embedding sustainability even more firmly in the company. A new system of compensation for the Board of Management has been in place since the beginning of the year. Roughly one-third of the variable compensation is now linked to the company’s sustainability performance. More specifically, the company's performance in the areas of climate protection and occupational health and safety will be factored into the system for 2021.

80 percent of the short-term variable compensation now depends on the operating result (EBITDA pre exceptionals) and 20 percent on occupational health and safety, as measured in terms of lost time injuries.

Roughly 60 percent of the long-term variable compensation is based on the performance of the LANXESS stock price relative to the MSCI World Chemical Index and roughly 40 percent on the reduction of greenhouse gas emissions. In 2019, LANXESS set itself the goal of becoming climate-neutral by 2040.

The new compensation system will be proposed to LANXESS stockholders for approval at the Annual Stockholders' Meeting on May 19, 2021.

Sustainability as responsibility of the Board of Management

The specialty chemicals company has also assigned the topic of sustainability directly to the members of its Board of Management. This covers climate protection and energy, occupational health and safety, environmental protection, products and circular value chains, employees and corporate culture, and transparent reporting on achievement of sustainability. Through its newly created Sustainability Committee, all member of the Board of Management will make joint decisions on major sustainability projects.

“We are very aware of our corporate responsibility, which is why sustainability is a guiding principle of our actions. But it is also increasingly becoming a competitive advantage - with customers, talents and on the capital market. By adapting our incentive systems and our structures, we are anchoring sustainability even more firmly in the company,” explains Matthias Zachert, Chairman of the Board of Management of LANXESS.

Facts, background information, dossiers
  • occupational health…
  • greenhouse gas emissions
More about Lanxess
  • News

    LANXESS enters battery chemistry business

    LANXESS enters the field of battery chemistry by cooperating with Guangzhou Tinci Materials Technology Co. (Tinci), a leading global manufacturer of lithium-ion battery materials. Starting already next year, LANXESS will produce electrolyte formulations for lithium-ion batteries under the a ... more

    LANXESS makes a confident start to fiscal year 2021

    LANXESS is starting the new fiscal year 2021 with confidence: The specialty chemicals company expects that many of its customer industries will recover and therefore anticipates EBITDA pre exceptionals of between EUR 900 million and EUR 1 billion for the full year. LANXESS proved robust in ... more

    LANXESS signs contract to acquire Emerald Kalama Chemical

    Specialty chemicals company LANXESS is accelerating its growth course and signed a binding agreement to acquire 100 percent shares in Emerald Kalama Chemical on February 14, 2021. The US-based company is a globally leading manufacturer of specialty chemicals, especially for the consumer seg ... more

  • Companies

    LANXESS Deutschland GmbH

    LANXESS is a leading specialty chemicals company and operates in all important markets of the world. Its core business comprises the development, manufacture and sale of high-tech plastics, high-performance rubber, specialty chemicals and intermediates. In addition, it helps its customers i ... more

    LANXESS S.A.

    LANXESS is listed as the fourth largest German Chemistry Corporation in the Frankfurt Stock Exchange. With our extensive portfolio we are active in all the markets of the world. Our product pallet ranges from base, specialty and fine chemicals to plastics and rubbers. In addition, we sup ... more

    LANXESS Sybron Chemicals Inc.

    LANXESS Sybron Chemicals Inc., provides world-class ion exchange resins to meet the needs of numerous applications. The global strength of Lewatit ion exchange resins in industrial water and chemical processing markets is joined with the solid position Ionac ion exchange resins enjoy in the ... more