e.l.f Beauty 2022 Sustainability Report

Positive impact for people, the planet, and furry friends

One of the most influential cosmetic brands in the game, committed to redirect society’s view of beauty while building a long lasting powerful community. Living by three notions – encourage self expression, empower others, and embody our ethics, they are making an “e.l.f.ing impact.” Their products are clean, cruelty free, sustainably processed, and offered at a quality price. Their eccentric and uniquely structured Inaugural Report breaks down the details of their environmental, social, and governance initiatives, impact, and accomplishments.

The Progress 

e.l.f. has created four beauty sections, all with the purpose of feeding the mind, body, and soul – eyes.lips.face., SKIN, People, and Soulcare. Each with their own niche and intentions. 

During FY 2022, e.l.f. launched their Social Impact site, to display the initiatives, programs, and policies they put into place. Eventually assessing the materiality results to determine what new goals, metrics, and strategies to implement. 

Self Expression 

They became one of the 26 publicly listed companies in the US where members of the underrepresented demographic represent a third of the Board of Directors – 

  • 89% Independent
  • 56% women
  • 40% diverse 

43% diversity of the Executive Team:

  • 29% Asian
  • 14% Black

43% diversity of all employees – 

  • 18% Asian
  • 6% Black
  • 13% Hispanic
  • 6% other  

Over 99% of employees have completed the Behavior of Inclusion Training – gaining a better sense of how to advocate for themselves and others. The company also offers masterclass education events hosted by BIPOC Women board members, paralleling the time of global cultural moments – 

  • Black History Month
  • International Women’s Month
  • Asian American and Pacific Islander Heritage Month (AAPI)
  • LGBTQ+ Pride Month
  • LatinX Heritage Month

 

Empower Others

Over 89% employee engagement – 15 points above the cosmetic industry’s benchmark level, and 1 point higher than their previous year

Enhanced and created 7 new benefit programs that promote and support the full potential within each employee – 

  • Financial
  • Health – beginning on Day 1 of employment
  • Family Support and Flexibility – 20 weeks of parental leave for the birth, adoption, or fostering of a child
  • Wellness and Time Off – delivers access to wellness coaching 
  • Community Impact
  • Education and Career Development – includes tuition reimbursement
  • “Pawternity” Leave – paid leave when an employee adopts a shelter friend

In partnership with Girls Inc., e.l.f donated $50,000 (FY 2022) to the charity and invited the organization to their annual retail collaboration event – Beautyscape. 

Embody Ethics

Achieved double-certified “cruelty-free” status from PETA, and publicly committed to 100% clean ingredients – restricting over 1,600 industry used ingredients.

In FY 2022, they became the first beauty company to have a third-party manufacturing facility Fair Trade Certified. 

Their sustainable packaging ethics are grounded in three topics –

  • Packaging Footprint Reduction
  • Sustainably Sourced Packaging 
  • Recyclable & Reusable Packaging materials 

“Project Unicorn” has eliminated over 1 million pounds of excess packaging. 

The Future 

A key area of focus is within packaging and paper materials, with an initial use on the Forest Stewardship Council (FSC), which is a globally recognized standard that ensures the paper products are sourced from responsibly managed forests. In the FY of 2022, only 23% of the packaging was recognized as FSC, but by 2025, they plan to have their paper cartons 100% FSC, across all their brands. 

First measurements of greenhouse gasses were taken of the offices, distribution centers, and value chain. From the data they collected and organized, they plan on developing a carbon reduction strategy and corresponding targets – 

The majority of their footprint came from –

  • Purchased goods and services 
  • Transportation and distribution circulation

Total water usage was calculated at 85.7 thousand cubic meters and with thorough evaluation, they will develop improvement opportunities.

#1

Favorite Teen Brand

$185,000

has been donated to various charities across underserved communities

“To be a different kind of beauty company by building brands designed to disrupt industry norms, shape culture and connect communities through positivity, inclusivity and accessibility.”

Their report is both a testament to all current achievements and a baseline for future work. It is their intention to dive into their known successes in order to build and deliver new ones – continuing the growth of a committed, successful, and inclusive community. 

Anything is e.l.f.ing possible.

READ FULL REPORT

Employee base is over 75% women, over 40% diverse, and over 65% millennial and Gen Z.

“We are guided by our purpose.”