Krispy Kreme - Doughnuts, Coffee & Drinks

We strive to Be Sweet in all that we do to fulfill our purpose of touching and enhancing lives through the joy that is Krispy Kreme. In early 2021, we completed our first materiality assessment to determine the ESG priorities that were most important to our investors, customers, employees, and communities. By incorporating environmental, social and governance (ESG) principles into how we do business and our day-to-day operations, we address those issues that matter most as we become the world’s most loved sweet treat brand.

OUR ESG STRATEGY IS BUILT ON THREE PILLARS

(1) Loving Our Krispy Kremers, (2) Loving Our Communities, and (3) Loving Our Planet.

ESG OVERSIGHT & GOVERNANCE

Our Board of Directors and its committees oversee our ESG strategy and ensure it is integrated into our business in ways that drive strong impact while advancing long-term goals. The full Board reviews these goals and commitments across our three ESG pillars. Executive leaders guide our ESG initiatives and provide regular progress updates (at least twice a year) to the Board. At the day-to-day operations level, we draw on the subject matter expertise of colleagues who sit on a global, cross-functional ESG working group to drive our ESG strategy forward. This group works together regularly and meets monthly.

LOVING OUR KRISPY KREMERS

Each day, our 18,000 Krispy Kremers bring our brand to life, touching and enhancing the lives of millions of people worldwide.

LEADERSHIP MIX & DIVERSITY

Our global culture is best captured by our Leadership Mix, a dozen behaviors that define how we work with one another across the world and give back to our communities. Consistent with our Leadership Mix ingredients, we pride ourselves on attracting a diverse team. In 2022, U.S. Krispy Kreme operations included approximately 11,500 employees, of which 97% were field-based employees and the remaining 3% were corporate employees. 65% of such employees were people of color and 54% of such employees were female.

Check Out the Mix

65%

Employees are people of color

54%

Employees are female

36%

Board Gender Diversity

36%

Board Ethnic Diversity

EMPLOYEE RESOURCE GROUPS

Diversity, Equity, Inclusion and Belonging (DEI&B) is critical to our growth. It starts with our Board, its committees and senior leadership team, who deeply integrate DEI&B into the way we do business. We proudly support a host of Employee Resource Groups (ERGs). We encourage each Krispy Kremer to join and form deeper relationships with their colleagues based on mutual respect, dignity and understanding. In 2022, our four ERGs were:

Original Pride (LGBTQ+ Krispy Kremers and allies)
B.O.L.D (Black Originals Leading & Developing)
Raising Minis (Families)
WIN (Women’s Initiative Network)

Through our 48 ERG sessions in 2022, we provided learning resources and speakers to our employees and leveraged them to launch training sessions in our shops.

TOTAL REWARDS

Our Total Rewards provide full and part-time Krispy Kremers and their families with competitive pay, health, and wellness programs. We shape our pay and benefits packages to meet our employees where they are in their career and lives. In the U.S., we offer:

Medical, dental and vision benefits, with medical insurance available to part-time and full-time employees, their spouses, and dependents 30 days from their date of hire.
Health savings accounts, health reimbursement accounts
Wellness programs including telemedicine and confidential Employee Assistance Program (EAP) services, ensuring that employees are able to speak with licensed counselors in a confidential manner free of charge.
Life insurance and retirement benefits
Paid maternity and parental leave
401(k) retirement savings program with company matching contributions
The Krispy Kreme Relief Fund. In 2022, we grew assistance to employees from our Krispy Kreme Relief Fund 7% from 2021.
Tuition Reimbursement program. In 2022, the number of employees receiving tuition assistance doubled from the year prior.

We also launched employee equity ownership plans across the organization, including for our shop general managers, to align Krispy Kremers’ incentives with the Company’s long-term strategic goals.

ENVIRONMENTAL HEALTH & SAFETY/FOOD SAFETY

Ensuring a safe workplace for our employees is a top priority. In the U.S., we are committed to maintaining a safe workplace in accordance with the Occupational Safety and Health Administration. We are also committed to food safety in accordance with the local laws and regulations in the U.S. and internationally.

LOVING OUR COMMUNITIES

At Krispy Kreme, sharing joy is at the center of everything we do, and we strive to inspire this in our communities. Our brand purpose truly shines through our Acts of Joy and community fundraising initiatives.

In the U.S., we have been donating unsold doughnuts to local food banks, with a goal of bringing a smile to our consumers as they enjoy a small, sweet treat. We partner with Feeding America and Convoy of Hope, who in turn partner with organizations nationwide to distribute donations to people in need through diverse types of programs and services.

Community Highlights

In 2022, we helped community groups raise $40 million globally. Last year in the U.S., we supported more than 83,000 fundraising events, raising nearly $37 million.
In 2022, our Employee Resource Groups supported several nonprofits including Habitat for Humanity, the Salvation Army, and the Center of Hope.
Through South Africa’s Reach for a Dream Foundation, our franchise partner’s KrispyDreamers program fulfilled dreams for children with terminal illness.
In the U.K., we donated $25,000 to the Natasha Foundation to support their vital work fighting allergic disease so the world is safer for people with allergies.
In Mexico, we helped restore forests by planting agave, fruit and pine trees.

LOVING OUR PLANET

We are committed to reducing our impact on the planet, taking steps to protect our environment and are launching new environmental initiatives across major global markets. During 2022, we progressed our efforts to address climate change and build business resilience. We have been conducting a multi-year global GHG emissions assessment to establish an emissions baseline, using this foundation to soon set goals for greenhouse gas emission reductions.

Responsible Sourcing Commitment

Krispy Kreme shops use palm oil that supports sustainable production through a deforestation-free supply chain. We are committed to increasing the use of sustainable palm oil, with a goal to achieve 100% deforestation-free palm oil use by 2026.
We continue to make steady progress toward our goal of using 100% cage-free eggs and now expect to meet it by 2025. In 2022, we reached 45% of the target while also outlining clear actions to meet it. One important action was a strategic product line exit during 1Q2023. The ingredients in this product line represented 70% of our egg use. This now means we will reach 75% of our reduction goal in 2024 and then fully meet it in 2025. We are pleased to be significantly reducing our animal protein use and always look for ways to reduce consumption at a faster pace.
In 2022, we sent 3,600 tons of food waste from our U.S. operations to pig farms for use as animal feed and 100% of our U.K. food waste to farms for use in animal feed.
Additionally, our team members participate in recycling programs, and we are continually assessing emerging technologies and new opportunities to increase landfill diversion and recycling rates.
We have reduced coffee cup material globally and use compostable cups in the U.K. Also, we use recyclable retail cartons globally.
We are taking steps to removing plastic cups and bags from our shops.
In 2022, we designed shops with sustainable LED lighting.
We responsibly sourced 100% of our U.S. coffee.

ETHICS, INTEGRITY & TRUST

Global Code of Conduct: Our Global Code of Conduct requires all our directors, officers, and employees to conduct business in an ethical manner and in compliance with all applicable laws, rules, regulations and governing ethical business practices. Our robust risk management programs ensure compliance from our suppliers and customers to business partners, employees and industry.
Ethics: We are committed to ethical organizational governance, promoting business ethics and integrity, protecting human rights, and embracing diversity, starting in the board room, and cascading through the company.
Information Security: Our IT team functions around the clock, using a combination of industry-leading tools and innovative technologies to help protect our stakeholders’ data. Our team members are responsible for complying with our data security standards and complete mandatory annual training to understand the behaviors and technical requirements necessary to keep data secure.

We routinely engage with our stakeholders to better understand their views on ESG matters, carefully considering the feedback we receive and acting when appropriate.