Contents Foreword Management report Corporate governance
Consolidated Financial Statements
Company Financial Statements
Pillar 3
Dialogue with clients
Rabobank engages with clients on material sustainability
controversies and alleged issues regarding the environment,
human rights, labour rights and governance. In 2016, the
sustainability department had 63 such engagements under
management. The table below provides a short description
of the topic of discussion and the industry and region in
which the issues arose. Colleagues of local Rabobank offices
closer to the respective clients play an important role in
conducting these dialogues. The sustainability department
decides which engagements should be held, tracked and
monitored, and they will contact the colleagues responsible
for the client relationship to discuss a course of action.
Progress and interim results of the engagements are agreed,
monitored and aggregated by the sustainability department.
Some engagements can take several years before they are
concluded and 40 of the dialogues listed below have been
carried over from last year. During 2016 we added 22 new
engagements. We closed a total of 20 engagements, as
indicated in the table. Details on the nature of the allegations'
'issue type', the current status of the issue and the status of the
engagement complete this overview.
Furthermore, the Issue Table 2016 shows the classes of issues
we use and provides the number of engagements in which the
respective issue plays a role. One engagement can encompass
more than one issue. The Table Status Category provides
a description of the categories we use.
Dialogues with clients in 2016
Industry
Region
Issue type
Short issue description
Issue status
Status category
Animal protein
Asia
E - E1
Different sustainability and welfare standards exist
within the group
Closed
Client has improved policy/
behaviour
Animal protein
Asia
G - G1
Licences missing
Open
Authorities involved
Animal protein
Asia
G - P1
Acquisition of new company, implementation
existing policies required
Closed
Engagement stopped
Animal protein
Asia
S - L1
Client allegedly linked to slave labour in supply
labour
Open
Client is taking action
Animal protein
Europe
S - H2
Allegations of impacts and insufficient consultation/
client can improve transparency
Closed
Client has improved policy/
behaviour
Animal protein
Europe
G - P1
Client active in a restricted activity, agreed to change
to alternative
Open
Client willing to improve policy/
behaviour
Animal protein
North America
S - L5
Allegations of poor working conditions
Closed
Insufficient evidence
Animal protein
North America
S - L5
Allegations of poor working conditions
Closed
Insufficient evidence
Animal protein
North America
S - L5
Allegations of poor working conditions
Closed
Insufficient evidence
Animal protein
South America
E - E2
Illegal clearing/reforestation underway and fine paid
Open
Client is taking action
Animal protein
South America
S - H2
Potential claim of indigenous people to land/agreed
not on land in question
Closed
Engagement stopped
Beverages
Asia
S - H1 S - L5
Welfare, health and working conditions on
plantation insufficient
Open
Client is taking action
Beverages
South America
S - L4
Fatalities during maintenance work
Open
Authorities involved
Cocoa
Africa
S - L2
Child labour vs poverty reduction dilemma
Open
Client acknowledges issue
Cotton
Europe
S - L1 S-L2
Child labour vs poverty reduction dilemma
Open
Client is taking action
Energy/metals
Europe
S - L4
Fatalities during operations
Closed
Client has improved policy/
behaviour
Energy/metals
South America
S - H1
Allegations of abusing public security forces to
remove protestors
Open
Client has resolved issue
Energy/metals
South America
S - L1 E-E3
Client allegedly linked to HR violations and
depletion of natural resources in supply chain.
Closed
Client has improved policy/
behaviour
Energy/metals
South America
E - E2E-E4
S - H2
Various allegations of damage to environment and
insufficient consultation
Closed
Client relationship terminated
Farm inputs
North America
E-E2S - H2
Alleged negative impacts to people and
environment
Open
Authorities involved
Farming
South America
S - L5
Quality employee facilities
Closed
Client has resolved issue
Farming
South America
S - L5
Quality employee facilities
Closed
Client relationship terminated
Farming
South America
E - E2
Damage to HCV
Open
Client relationship terminated
Farming
South America
S - L5
Allegations of labour contract irregularities
Closed
Client has resolved issue
Farming
South America
E - E2
Damage to HCV
Open
Engagement stopped
Farming
South America
E-E2S - L5
Quality employee facilities and environmental issues
Open
Client is taking action
Farming
South America
E - E2
Damage to HCV
Open
Client is taking action
Farming
South America
E-E2S - L5
Quality employee facilities and environmental issues
Closed
Client has resolved issue
Farming
South America
E-E2S - L5
Quality employee facilities and environmental issues
Closed
Client has resolved issue
Farming
South America
E-E2S - L5
Quality employee facilities and environmental issues
Closed
Engagement stopped
Farming
South America
E-E2S - L5
Quality employee facilities and environmental issues
Open
Client is taking action
Food
Europe
G - G1
Tax avoidance
Open
Client is taking action
136 Rabobank Annual Report 2016