In 2014, approximately 625,000 children, youth, the physically challenged and families benefited from our programmes:
SARDA vocational training increased self-confidence and instilled life skills in the programme’s participants, while one trainee started a new career as a barista.
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Students continued to benefit from the Lawrence Ho Scholarship; graduates shared stories about their rewarding overseas study experiences and career opportunities at Melco Group.
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As a result of its ongoing environmental efforts, Melco gained numerous international and local recognitions including the fourth Gold Label in WWF’s Low-carbon Office Operation Programme (Loop) in a row.
read more
The theme of our CSR report for 2014, our eighth since we began publishing in 2007, is “Brightening young lives”.
We continued to make progress with our programmes for Youth Development, which continued to be the focus of our CSR activities during the year. We also made progress with our programmes that help the disadvantaged in Hong Kong, Macau and Mainland China. In 2014, these programmes benefited 625,000 children, youths, their families and the physically challenged.
Also important to us is the need to conserve the resources we consume and the waste we generate, as well as the reduction of our carbon footprint, in our operations. I am pleased to note that during 2014 we again achieved satisfactory results in the WWF Low Carbon Operation Programme (“LOOP”) and achieved the Class of Excellence in the Wastewi$e Label scheme.
Another important step we took during the year was to broaden the scope of our stakeholder engagement process, which for the first time included an online survey of our staff members’ attitudes and opinions on our CSR initiatives. The feedback from all our stakeholders, both in and outside the Group, is vitally important to our CSR planning. As a result of what we have learned, we are shifting our priorities to longer-term projects in partnership with NGOs that have a greater impact on the community.
Our more inclusive stakeholder engagement is also setting the stage for next year’s CSR report during which we hope to achieve a G4 rating under the revised Global Reporting Initiative (“GRI”) guidelines. For this year’s report, we again made reference to the G3.1 guidelines aiming at a B+ Application Level. We have also taken the further step this year of referencing the recent guidelines for Environment Social Governance (“ESG”) of the Hong Kong Stock Exchange (“HKEx”), which we expect will move toward a higher compliance level in the near future. These guidelines recommend best practices in ESG for all listed companies in Hong Kong.
I would like to take this opportunity to thank everyone at Melco and our stakeholders in the community who made our CSR activities and programmes possible during the year. I would especially like to acknowledge our NGO partners who work closely together with us to contribute to a better world for future generations. I look forward to your continued support and participation over the year ahead.
Lawrence Ho, Chairman and Chief Executive Officer
Since 2008, the Melco Corporate Responsibility Committee (the “CSR Committee”) has been defining best CSR practices for the Group, overseeing their development and implementing them in our operations.
The Group’s core charity pillars continued to be Youth Development, Environment and Education in Hong Kong, Macau and China.
The committee comprises the following members:
Melco was among the first leisure and entertainment companies in Macau to publish details of its sustainability performance. Since 2007 when we released our first CSR report, we have published a total of eight reports annually.
For 2014, the report has been prepared according to the Global Reporting Initiative Guidelines, at Application Level B+ and referenced the HKEx’s ESG Reporting Guide. Our objective during the next reporting period is to publish a report in accordance with the new guidelines established under GRI G4.
This year’s report examines the significant economic, environmental and social impacts arising from our activities at the main Melco office in Central, Hong Kong and our operations in Macau during the 2014 calendar year. In addition, we discuss our stakeholder engagement process, which for this reporting year was extended to include internal stakeholders of Melco’s subsidiaries via an online survey for staff members. Stakeholder information and data outlining our environmental performance are also disclosed.
Other than the expansion of our stakeholder engagement process, there is no substantial change in the scope of our reporting as compared with our 2013 report.
This Report does not disclose economic, environmental and social performance data from Melco’s associate companies (Entertainment Gaming Asia Inc., Melco Crown Entertainment) and subsidiaries (Jumbo Kingdom, MelcoLot) as these companies make use of different data collection systems. Wherever certain sustainability initiatives, practices or measures undertaken by them are relevant to Melco’s sustainability activities, we have included them in this report.
It should be noted that some quantitative data covering our environmental performance is from the June 1, 2013 to May 31, 2014 period in order to correspond with the data collected from our participation in the WWF Low Carbon Operation Programme* (“LOOP”), mentioned later in this report.
Melco’s previous CSR Report covering the year 2013 was published in April 2014.
Note: For the purpose of this report, “Melco”, “the Company”, “we”, “us” and “our” all refer to Melco International Development Limited.
Founded in 1910 and listed on the Hong Kong Stock Exchange in 1927, Melco is a company with a long history and a bright future. Today, under the leadership of Chairman and Chief Executive Officer Lawrence Ho, Melco has found new energy and direction as a dynamic company that leads the field in the leisure and entertainment sector in Asia.
Melco was a founding signatory of the Hong Kong Corporate Governance Charter launched by The Chamber of Hong Kong Listed Companies. The aim of the Charter is to strengthen and foster a corporate governance culture among listed companies in Hong Kong. Melco is also the first-ever entertainment company to receive the Hong Kong Corporate Governance Excellence Awards by the Chamber of Hong Kong Listed Companies and the Centre for Corporate Governance and Financial Policy at Hong Kong Baptist University.
In 2014, Melco was honoured with the Corporate Governance Asia Annual Recognition Award for the ninth consecutive year, named the Icon on Corporate Governance in 2014, and received the Best Environmental Responsibility Award in the Asian Excellence Awards, all from Corporate Governance Asia Magazine. Melco was also recognised in the 5th Hong Kong Corporate Citizenship Awards by the Hong Kong Productivity Council.
In Macau, Melco Crown Entertainment received the Environmental Outstanding Performance Award in the Business Awards of Macau 2014 and Caridade Social Award 2014 from the Macau Association of Chinese Young Entrepreneurs and Youth Committee of the Macao Chamber of Commerce.
Corporate Structure and Business Development
Based in Hong Kong, the Melco Group comprises our major associate company Melco Crown Entertainment (“MCE”; SEHK: 6883, NASDAQ: MPEL); associate company Entertainment Gaming Asia Inc. (“EGT”;NASDAQ: EGT); and two subsidiaries, MelcoLot (SEHK: 8198) and Jumbo Kingdom.
MCE is a developer and owner of casino gaming and entertainment casino resort facilities in Asia. Melco Crown Entertainment currently operates Altira Macau, a casino hotel located at Taipa, Macau and City of Dreams, an integrated urban casino resort located in Cotai, Macau. In addition, MCE’s business includes Mocha Clubs, which comprise the largest non-casino based operation of electronic gaming machines in Macau.
The Company is also developing the planned Studio City Project, a cinematically-themed integrated entertainment, retail and gaming resort in Cotai, Macau. In the Philippines, Melco Crown (Philippines) Resorts Corporation’s subsidiary, MCE Leisure (Philippines) Corporation, currently operates and manages a casino, hotel, retail and entertainment integrated resort in the Entertainment City complex in Manila.
EGT is mainly involved in the slot machine participation business. In May 2013, EGT expanded its slot operations in Cambodia with the opening of Dreamworld Club, prominently located in the established gaming market of Poipet on the Cambodia-Thailand border area.
MelcoLot operates an Asian-based lottery business, while Jumbo Kingdom is primarily engaged in the restaurant business in Hong Kong. Both MelcoLot and Jumbo Kingdom also have investments in mainland China.
As a leading company in the leisure and entertainment industry, we are keenly aware of the economic, social and environmental impacts of our operations on stakeholders.
In order to understand our impacts better, we commissioned the Business Environment Council Limited (“BEC”), an independent charitable membership organization in Hong Kong, to carry out a stakeholder engagement exercise.
Through this exercise, we learned that Melco has retained its reputation based on overall positive feedback with regard to our community initiatives and environmental efforts. In comparison with previous years, feedback from stakeholders indicated that higher attention should be paid to issues that impact our organization and stakeholders against the prevailing political and socioeconomic backdrop of both Macau and Hong Kong.
Our strategy for managing these impacts is informed by our approach to stakeholder engagement and our Corporate Responsibility Committee. All feedback from stakeholders will guide us in prioritizing sustainability issues to be addressed in the future that can be mitigated through our environmental and sustainability initiatives.
Despite Melco’s diversified operations, stakeholders continued to associate Melco with the gaming industry broadly and specifically the relevant operations at Melco Crown Entertainment (“MCE”). In 2014, the leisure and gaming industry as a whole in Macau experienced a slowdown in growth and the policies of the Central Government that might negatively impact Macau.
Melco continues to face intensifying competition amongst both its peers and smaller enterprises for labor, particularly within its gaming operations in Macau and food and beverage businesses. A shortage of labor within these operations will be a challenge in the future.
Despite these risks, Macau continues to remain, by far, the largest market in terms of gaming revenue in the world. We believe the Central Government of China has been promoting more sustainable and diversified economic growth that will have lasting benefits for the long-term economic development of Macau. At Melco, we are well placed to contribute to Macau’s diversification, particularly with the opening of Studio City and the family-friendly entertainment options it will offer.
Beyond Macau, we have established a presence in Manila and will continue to identify opportunities in Cambodia, Russia, Spain and the Republic of Georgia. We are also actively investigating opportunities in potential new gaming markets across the world, such as Japan.
To meet the challenge of chronic labor shortages in our industry, we have implemented a set of comprehensive programmes and policies to attract and retain talent.
Looking ahead, we continue to work towards realizing our vision of being a global market leader in the gaming, leisure and entertainment industry.
Community Engagement
Stakeholders indicated that with regard to our community service initiatives, Melco could have a stronger impact by communicating more effectively and focusing on the provision of assistance to vulnerable groups. They also suggested that Melco could consider a long-term focus on NGO sustainability to reinforce its outreach efforts.
As we are also concerned about the less fortunate in our community, we have undertaken a wide range of programmes that address social issues, particularly around our three CSR core pillars of Youth Development, Environment and Education, which are discussed elsewhere in this report.
Staff Engagement
As a major employer in the leisure and entertainment industry, we are concerned about the welfare of our employees and are committed to providing them with a safe and healthy working environment. Our approach to stakeholder engagement, which takes in the views of our staff, ensures that we are meeting the needs of the people who work for us and providing them with opportunities for career advancement.
Responsible Gaming
For the benefit of our customers, we have implemented Responsible Gaming (RG) policies in response to growing concerns about problem gambling. Our Chairman and CEO, Lawrence Ho, serves as the executive sponsor of the MCE RG Steering Committee.
Melco’s efforts to improve environmental performance are commendable, and thus far we have been praised by stakeholders for our carbon reduction initiatives, provision of recycling facilities and other environmental efforts. One such example was the upgrade of the infrastructure at Jumbo Kingdom and its renovation plans over the course of the next two years which will see the adoption of environmentally friendly and/or other energy saving equipment.
However, opportunities still exist for improvement such as the implementation of a long-term environmental plan and a Group-wide sustainable procurement policy. Stakeholders have raised concerns over the carbon footprint of our gaming business through our major associate, MCE.
To minimise the Group’s impacts on the environment, we have endeavoured to adopt best industry practices in our office and business operations. These include participation in WWF’s LOOP program, achievement of the Class of Excellence in the Wastewi$e Label scheme at its Hong Kong corporate office, ISO14064 Greenhouse Gas (GHG) Emissions Inventories and Verification certification for City of Dreams Macau, and ISO14001:2004 certification for all of its hotels in Macau.
Melco’s CSR strategy is founded on our vision of contributing to the communities we serve, inspiring hope and happiness in people across the world for a better future.
Our focus on Youth Development is part of that vision. We support young people who aspire to a higher education through scholarships and other forms of assistance. Through our programmes targeted at youth with problems such as drug addiction, we aim to give them opportunities to reintegrate into the community as contributing members of society.
We are also conscious of our environmental responsibilities and strive to make the most effective use of the resources we consume, the waste we generate and the carbon we emit. In our offices and resorts, we take action to mitigate the impact of our operations on the environment to the greatest extent possible.
This year, we have deepened our cooperation with NGOs so that our social and environmental programmes are consistent with our long-term CSR goals.
As an equal opportunity employer people in the community, we recognise the importance of treating our staff with fairness, dignity and respect. Our training programmes are designed to help them develop as well-rounded individuals and become even more valued members of our staff through the provision of educational and training opportunities.
With regard to our corporate governance structure, we place the highest importance on accountability and transparency and make every effort to communicate with our shareholders on our financial progress.
In 2014, we achieved our 2013 CSR goals for the year in respect of Youth Development, The Environment, Education, Corporate Governance and Stakeholder & Staff Engagement.
Stakeholder engagement is vital for understanding the views of our stakeholders and ensuring our CSR and sustainability agenda is consistent with the sustainability issues they have identified as being of material interest to them.
In preparation for this year’s CSR report, we made reference to the recommendations of our 2013 stakeholder exercise. We also collected stakeholder feedback during 2014 via a dedicated communication channel for internal and external CSR-related enquiry and feedback, a Share your Views questionnaire in our 2013 CSR report, an online staff survey and four focus group discussions with external and internal stakeholders. Community partners, employees and suppliers were selected based on their familiarity with Melco’s business activities and their knowledge or involvement in the company’s CSR initiatives. This feedback was then compared against the sustainability disclosure practices of our industry peers in Macau.
External and Internal Focus Groups
Online Staff Survey
The online survey targeted our Hong Kong and Macau head office staff as well as other members of staff from the Melco Group, including MelcoLot, EGT, Jumbo Kingdom and its major associate Melco Crown Entertainment.
For this year’s materiality analysis, we took into account the CSR reporting practices of our industry peers as well as feedback from our stakeholders.
The assessment results from our industry peers are shown on the horizontal axis of the Materiality Index, while those from the online survey are shown on the vertical axis.
Stakeholders from both groups selected topics from a list of 37 indicator aspects. The 8 topics receiving the highest score were (1) Economic Performance, (2) Energy Usage/Consumption, (3) Employment, (4) Training and Education, (5) Diversity and Equal Opportunity, (6) Local Communities, (7) Customer Privacy, and (8) Compliance (Product Responsibility).
These sustainability topics, which are considered to be of greatest importance to stakeholders, are shown in the top-right hand quadrant of the graph.
We believe that every child should have the same opportunities in life, whether they come from economically disadvantaged families or are facing challenges they cannot cope with on their own. In 2014, we provided a number of youth programmes that help young people develop into mature adults and contributing members of society.
SARDA – Coffee Life Youth Empowerment Life Skills Training Project
When young people find themselves unable to deal with the problems of opiate drug addiction, they usually lack the resources to find a more meaningful alternative in their lives. The Society for the Aid and Rehabilitation of Drug Abusers (SARDA) provides a residential living environment for these youths and an opportunity to rehabilitate themselves, both physiologically and socially. By learning coffee-making skills, they are empowered with new self-confidence and able to reintegrate into society. The program outcome is encouraging and the youths are widely recognized by the industry. Five trainees acquired Certificate of the City and Guilds International Barista program, and one of them is employed as barista after the completion of Trainee Internship Program in a well-known international coffee chain.
During the year, Melco continued to provide funding for the two-year Coffee Life – Youth Empowerment Life Skills Training Project at Au Tau Youth Centre.
SARDA website: www.sarda.org.hk
Playright - Hospital Play Program
Few experiences in a young child’s life can be as distressing as a stay in hospital. Through the Playright Hospital Play Program, young patients at hospitals in Hong Kong can take part in therapeutic play services that help them and their families deal with illness and medical treatments. The services offered prepare children psychologically, cope with pain and anxiety, and understand the medical procedures they are undergoing.
We again extended our support to this worthwhile programme for the child patients of Caritas Medical Centre, which benefited 2,231 hospitalised children.
Playright website: www.playright.org.hk
ORBIS International - Establish a Network of Pediatric Eye Care in Linyi, Shandong
In Linyi of Shandong province, we continued our support of the Paediatric Eye Care project under ORBIS, an international organization set up to fight global blindness, for the third consecutive year.
During 2014, we assisted the Lunan Eye Hospital and three county hospitals in screening 570,634 children, providing them with medical treatments and surgery. Through the programme, school staff and local healthcare professionals received training in eye-care and sight protection.
Orbis website: www.orbis.org
The Community Chest – Cycling Challenge
On March 9, 2014, we supported the Community Chest’s Cycling Challenge which raises money for member social welfare agencies to provide services for children and youth.
Melco was one of the sponsors of the event, and led by our Executive Director, six of our staff members took up the challenge themselves by taking part in the race. By the end of the day, Melco Team had won the 1st runner-up of the Corporate Team Time Trial Race awards, demonstrating their athletic prowess and generosity.
Community Chest website: www.commchest.org
Hong Kong Lutheran Social Service, LC-HKS, Sunshine Lutheran Centre - “Caring for our Kids” Rebuilding child - parent relationship for families with gambling problems and Prevention Project
The Hong Kong Lutheran Centre offers a child-parent relationship programme for families with gambling problems through its Caring for our Kids rebuilding project.
Melco’s supported this project that benefited 37 parents and 32 children in families with gambling problem with six volunteers from our staff.
We also sponsored a reading scheme for gambling prevention, by publishing 8,000 student diaries and 600 teaching aids in July 2014, which benefited 8,271 pupils and students in 310 kindergartens and primary schools.
Sunshine Lutheran Centre website: www.hklss.hk
The Child Development Centre – Daddy Daughter Ball 2014
Through our participation in the Daddy Daughter Ball of the Child Development Centre (“CDC”), we helped raise funds that go towards the CDC’s new centre in Wan Chai.
The Centre provides a wide range of therapeutic services for children with special educational needs in both English and Chinese. The Daddy Daughter Ball, which was held for the fifth year on June 1, 2014 attracted more than 450 daddies and daughters, raising money for children’s therapy services, the new service centre and the continuation of its services for another year.
Child Development Centre website: cdchk.org
Operation Santa Claus –
Christmas Party for Hong Kong Red Cross Margaret Trench School
Jointly organised by the South China Morning Post and Radio Television Hong Kong, Operation Santa Claus is an annual charity campaign supporting projects that help to make a positive change in the lives of disadvantaged people in Hong Kong and mainland China. These projects assist children and youth, the elderly, and people with physical and mental disabilities.
In 2014, we supported one of the beneficiaries of this programme, the Hong Kong Red Cross Margaret Trench School. Our volunteer team generously lent their support to assist in the organization of a Christmas Party for the school’s students and ensured all the children were able to take part in this festive occasion.
Operation Santa Claus website: osc.scmp.com
Hong Kong Red Cross Margaret Trench School website: www.mts.edu.hk
As one of our core charity pillars, education is an important focus of our CSR initiatives. To support children who may not have the same opportunities to attend school, we provided assistance in the form of scholarships and youth enrichment programmes to disadvantaged young people that help lead them to more fulfilling and enriched lives in the community.
Lawrence Ho Scholarship Fund
The Lawrence Ho Scholarship Fund established in 2009 provides scholarships and work placements, internships and travel bursaries, as well as student prizes and funding for course development and research. The Fund assists students from mainland China, Macau and Hong Kong who are studying overseas.
Christian Action — Education Grant Programme for Children from Huangnan Children’s Home
Thanks to the charitable organization Christian Action, orphans from the Huangnan Children’s Home (HUNCH) can receive the opportunity to pursue a tertiary education and gain the knowledge and skills needed for a better future.
We have been providing funding in support of HUNCH students since 2012, and in 2014 sponsored the Inspiring Macau Trip for 10 students.
Christian Action website: www.christian-action.org.hk
The leisure and entertainment industry in Macau has become increasingly aware of its responsibilities with regard to gambling addiction among its stakeholders.
Melco Crown Entertainment (MCE) has been a pioneer in Responsible Gaming (“RG”) in Macau under the leadership of Chairman and CEO Lawrence Ho, who serves as the executive sponsor of the MCE RG Steering Committee.
Internally, we continued to hold Responsible Gaming training sessions as part of MCE’s orientation for new staff members. We have also produced a video promoting Responsible Gaming through MCE’s internal TV channel, MCE TV, and employee intranet. In addition, we support Responsible Gaming Awareness Week organised by the government of Macau.
Externally, we distribute posters and brochures on Responsible Gaming to all of our properties and provided support to customers who have gambling problems. To further help compulsive gamblers, MCE supports Macau’s Gaming Inspection and Coordination Bureau (DICJ) on its Self-Exclusion and Third-party Exclusion Applications measure. On the City of Dreams’ website, we provide links and contact details for free counselling services.
Resort hotels consume significant amounts of energy, water and other resources as well as generate substantial amounts of waste. Recognizing the need to mitigate our impacts on the environment, we monitor our use of resources, waste and the carbon we emit on an ongoing basis, and take appropriate remedial action wherever feasible.
Carbon Reduction Charter
Melco is a signatory to the Carbon Reduction Charter and a Green Partner of the Environmental Protection Department’s Carbon Audit Green Partner campaign. We are also a signatory member of the Copenhagen Communiqué.
As part of our climate change policy, we have set and communicated measurable and time-bound carbon reduction targets. Our goal is to reduce our total annual CO2 emissions from our Corporate Office by 2%–3%. In line with the recommendations of the WWF – Low-carbon Office Operation Programme (LOOP), we engage staff regularly on low carbon office measures and encourage them to switch off non-essential lights in the Corporate Office and minimise business travel. Additionally, we print all corporate stationery and publications, including brochures and publications such as this CSR report, on recyclable or FSC certified paper.
At the Corporate Office:
WWF – Low-carbon Office Operation Programme (LOOP)
As a signatory to the Carbon Reduction Charter, Melco has been making a concerted effort to reduce its carbon footprint. In order to further reduce greenhouse gas emissions at our head office, Melco participated in WWF’s Low-carbon Office Operation Programme (“LOOP”) in 2014 for the fourth consecutive year.
Data was collected through on-site observations and staff interviews on low carbon practices and analysed using a calculation tool provided on the WWF website (https://loop.wwf.org.hk/). The four areas of assessment included the following:
General
energy use
Air-conditioning,
refrigerators
Indirect emissions
from paper use
Transportation
and other areas
Improvements were registered in total carbon emissions (-13.56%) and average carbon emissions per staff (-2.06%). Our overall score was 77%, which was higher than 84.1% of participating companies and earned us a Gold Label. The rating was based on data collected using the LOOP methodology for a minimum of nine months. A third-party verifier made on-site visits and validated the data on August 25, 2014.
In addition to reducing carbon emissions through saving energy, we also encouraged recycling. Collection facilities were provided for recycling paper, mooncake containers, plastic bottles, ink cartridges and IT equipment. Collection points were also available for recycling paper and other stationery items in selected office areas, which were sent to qualified recycling services.
Energy Saving Charter on Indoor Temperature
In support of the Government’s efforts to combat climate change, we continued last year’s effort to save energy in our offices by maintaining an average indoor temperature between 24–26 degree Celsius.
Business Travel Carbon Emissions
In 2014, we successfully lowered our carbon emissions for overseas business travel by 11.5% compared with the year before, owing primarily to the increased use of video and voice conferencing rather than air travel. Carbon emissions due to local business travel, on the other hand, rose by 360.5%. Although local business travel contributes far less to our overall carbon footprint, we will encourage our staff to make greater use of public transport, rather than taxis, in order to reduce this source of carbon emissions.
The Hong Kong Awards for Environmental Excellence (HKAEE) – Wastewi$e Label
For the seventh consecutive year, we achieved the Class of Excellence in the Wastewi$e Label scheme for our Corporate Office. Our waste reduction objectives were met in three categories:
Goals Achieved:
However, in two areas — recycling of plastic bottles and waste paper — we did not achieve our goals. For 2015, we will continue to encourage recycling of these materials so that we can meet our objectives in all categories.
In our Operations:
Energy Efficient Systems
We manage our use of energy resources efficiently and wisely to the greatest extent possible. At City of Dreams, for example, we have the second largest Centralised Cooling System in the South China hospitality industry. It is at least 20-35% more energy-efficient than traditional air-conditioning systems.
In addition, City of Dreams has an advanced indoor air purification system that conserves energy by reducing the need for outdoor fresh air. The Building Management System is also highly advanced, monitoring indoor temperatures throughout the day and converting the heat generated from the air-conditioning system to heat the water used for taps and showers.
As LED lights offer significant energy savings, we have installed LED lamps extensively at City of Dreams, both on the façade and for interior illumination. Specifically, we have selected T5 tubes, the most energy efficient option in the market, for the Heart of the House and control outdoor light fixtures by photo sensors.
Conserving Water
One of the most popular attractions at City of Dreams, the House of Dancing Water, has been fitted with an advanced filtration system that uses and reuses pool water indefinitely.
All of our properties make use of many other state-of-the-art facilities for conserving water, including automatic sensors in all faucets and a rainwater recovery system to store rainwater for irrigation.
Grey water system at Altira Macau recycles treated guestroom sink, shower and bath water as flush water, successfully saving more than half of the freshwater normally consumed for flushing.
As significant amounts of water are used to clean guestrooms and public areas, we encourage employees to reduce water use as far as possible by making use of alternative cleaning methods.
Energy Efficiency
Other Conservation Measures
Recognition & Achievement
In The Community:
Green Monday
The Green Monday social enterprise group promotes green and healthy living by encouraging vegetarianism and food rescue initiatives. Corporations, restaurants, schools, and the general public are all invited to join in the effort of reducing their carbon footprint through sustainable consumption.
At Melco, we encourage our staff members to adopt a green lifestyle and therefore contribute to environmental conservation. We do this by hosting a healthy meat-free lunch with a talk by Green Monday’s nutritionist at the Melco Corporate Office.
Green Monday website: www.greenmonday.org.hk
Playright – Forest School and Environmental Play
In a densely populated urban environment such as Hong Kong’s, reconnecting children with green spaces such as country parks goes a long way towards enhancing their play experiences.
During the year, Playright organised 3 family trips, 6 play days and 56 forest school sessions at Ma On Shan Park, Yuen Long Park and Po Hong Park. Feedback from participants and their parents was very positive.
A total 847 children from age 3 to 11 as well as 100 families took part in the Forest School programme during the first six months of 2014.
Playright website: www.playright.org.hk
Hong Kong Green Council – Hong Kong Green Day and Green School Programme
The Green Council, a non-profit, non-partisan environmental association in Hong Kong since 2000, aims to transform Hong Kong into a world-class green city. As part of its mission, they encourage environmental protection and responsibility in the industrial and commercial sectors as well as among the general public.
The Green School programme aims to increase public awareness and interest regarding environmental responsibility and protection. To help transform Hong Kong into a greener city, it offers an array of educational activities on different environmental topics and outreach programmes to school.
In 2014, we helped to sponsor this programme for a period of one year.
Green Council website: www.greencouncil.org
WWF – Walk for Nature
Melco once again took part in WWF’s Walk For Nature, an annual fundraising event that takes place at Hong Kong’s renowned Mai Po Nature Reserve. Members of our staff raised sponsorship money for the walk then set out on the route around the Reserve.
A total of 23 Melco staff took part in this meaningful event in 2014, which helps protect the many species of flora and fauna found at Mai Po.
Walk for Nature website: www.wwf.org.hk/en/getinvolved/walkfornature/
WWF – HK Big Bird Race 2014
Another fundraising event by WWF-Hong Kong, the Big Bird Race, has been held every year since its establishment in 1984.
Funds raised during the event go towards the conservation and management of the Mai Po Nature Reserve. Our financial support of the race helps raise awareness of wetland conservation in the region and understanding of the negative impact of rapid economic development on migratory birds.
Big Bird Race website: www.wwf.org.hk/en/getinvolved/hkbbr/
WWF – Earth Hour 2014
Since its launch in 2009, Earth Hour has been promoting sustainable living around the world. In 2014, 2.8 million people in Hong Kong and more than 3,900 companies — including Melco — and buildings took part in the “lights off” event on March 29, 2014 that symbolises the need for conserving energy and reducing our ecological footprint.
This was the sixth consecutive year that we took part in this event as an Associate Sponsor. From 8:30pm to 9:30pm on the March 29, 2014, we switched off the lights at our corporate offices The Centrium, as well as the EGT offices in Shatin and the decorative lighting on Jumbo Kingdom’s façade.
Earth Hour website: earthhour.wwf.org.hk
Green Council – International Coastal Cleanup
The amount of rubbish that can be found on Hong Kong’s beaches is not only visually repellent but also a source of serious pollution that threatens the wildlife on our shorelines and in our waterways.
For the third consecutive year, Melco sponsored this event organised by the Green Council and encouraged our corporate volunteer team to join in the effort to remove trash and debris from Stanley Main Beach on 1 November 2014.
International Coastal Cleanup website: www.greencouncil.org/eng/community/icc.asp
Caritas Computer Workshop – Computer Recycling Programme
Many of us think carefully before buying a new electronic gadget but seldom give thought to the pollution problems that arise when we later dispose of them.
At Melco, we saw this initiative by Caritas as a good opportunity to reduce our carbon footprint and minimise the e-waste we generate by taking part in this organization’s computer refurbishment project. During the year, we donated a total of 9 computers, 1 laptop, 4 printers, 12 LCD monitors, 2 computer mice and 4 keyboards for the underprivileged.
Caritas Computer Workshop website: www.ccw.org.hk
Company Code
In 2005, the Group adopted its Code on Corporate Governance (“Company Code”). The Code not only formalises the Group’s existing corporate governance principles and practices, but also serves to assimilate practices with benchmarks prescribed by the Hong Kong Stock Exchange, ultimately ensuring that the Group runs a highly transparent operation and is accountable to its shareholders.
Melco was a founding signatory of the Hong Kong Corporate Governance Charter launched by The Chamber of Hong Kong Listed Companies. By adopting the Charter, we are widely acknowledged for following a high standard of corporate governance in line with international best practices.
Governance and Organization
Today, under the leadership of Chairman and CEO Mr Lawrence Ho, Melco has found new energy and direction as a leading company in Asia’s leisure and entertainment sector and regards CSR as a core value of the Group. He is supported by six directors on the Board. A detailed breakdown of the composition of our governance bodies can be found in the Corporate Governance Report section of 2014 Annual Report available on our corporate website.
Melco is supervised by eight board committees, namely, the Executive Committee, Audit Committee, Nomination Committee, Remuneration Committee, Corporate Governance Committee, Finance Committee, Regulatory Compliance Committee and Corporate Social Responsibility Committee. The number of committees on our board is five more than that required and recommended by the Code of Corporate Governance Practices issued by the Hong Kong Stock Exchange.
The Nomination Committee regularly reviews the structure, size and composition (including the skills, knowledge and experience) of the Board to identify individuals suitably qualified to become Board members and make recommendations to the Board on the selection of individuals nominated for directorship.
To avoid conflicts of interest, company policy and procedures are in place according to the code of corporate governance. The company’s Code of Business Conduct & Ethics is introduced to all new staff members when they join the company. The precautionary approach has been adopted, which authorises our Audit Committee to investigate any activities within its terms of reference.
Organizational Structure of Melco International Development
As an equal opportunity employer, we welcome diversity in our workplace and recruit staff based solely on their experience and qualifications relevant to the positions to be filled.
We are also concerned about the physical well-being of our staff and promote occupational health and safety in our workplaces on a regular basis. In 2011, we carried out an extensive workplace and workstation assessment for all employees in 2011. All corrective actions have already been taken and day-to-day maintenance measures are in place to ensure an appropriate office working environment.
For the long-term development of our staff, we provide learning opportunities that help them perform more effectively in their jobs and advance in their careers. Throughout the year, we offered training courses covering a wide scope of subject areas, including management and technical skills, based on individual and corporate needs.
Employees who wish to pursue further education will also receive support towards attaining degrees offered by educational institutions or specific training and development courses offered by external training companies. Some of the external training programmes we offered in 2014 ranged from seminars on legal matters such as the New Companies Ordinance and trademark protection to continuing professional education in IT and accounting.
To encourage staff performance, we undertake annual appraisals to review the work performance and career development of all staff. We also have a remuneration policy in place, which includes the company’s performance as one the factors in salary reviews and bonuses.
Melco believes in the fair treatment of all current and potential employees. Our recruitment and employment practices comply with local government legislations and regulations wherever we do business. In particular, we comply with the following human rights related legislation and regulations:
Applicants for employment are considered regardless of their race, colour, religion, sex, marital status, age, national origin, and other considerations that are deemed inappropriate by local labor laws.
Selection criteria are based on job and competency requirements, which may include work experience, education and training, special professional knowledge and abilities, other job related factors and potential for development.
Available positions within the company will be filled, whenever possible, with qualified internal candidates prior to recruiting from external sources.
Staff Age and Gender Distribution
Notes:
1. All are full-time and permanent staff of Melco Corporate Office in Hong Kong.
2. The age group banding has been amended from last year’s Report in order to protect staff confidentiality.
Although we have achieved many of our CSR objectives, we recognise that more still needs to be done. In 2015, we will deliver additional programmes for the development of our youth, staff and the disadvantaged; we will also take further action to minimise the environmental impacts of our operations both in Hong Kong and in Macau. What’s more, in order to align our CSR programmes with the needs of our stakeholders we will broaden our engagement with the community and stakeholder groups.
We intend to improve our CSR performance and operational sustainability by:
VERIFICATION STATEMENT
Scope and Objective
Hong Kong Quality Assurance Agency (“HKQAA”) has been commissioned by Melco International Development Limited (“Melco”) to conduct an independent verification of its Corporate Social Responsibility (“CSR”) Report 2014 (“the Report”). The Report states Melco’s performance and efforts towards sustainable development for the period from 1st January 2014 to 31st December 2014. Since Melco participated in the Low Carbon Operation Programme (“LOOP”) organized by WWF, the environmental performance data is reported from 1st June 2013 to 31st May 2014 which is in line with the timeframe of LOOP.
The aim of this verification was to provide a reasonable assurance on the completeness and accuracy of the information stated in the Report. The Report is prepared in accordance with the Global Reporting Initiative (GRI) Sustainability Reporting Guidelines Version 3.1 (G3.1) at GRI Application Level B+, also referencing the Environmental, Social and Governance Reporting Guide (ESG Reporting Guide) issued by the Hong Kong Stock Exchange.
Methodology
The process used in this verification was based on current best practices such as:
The verification process included reviewing of relevant documentation, interviewing responsible personnel and verifying the supporting evidence of the selected samples of data and information presented in the Report. Other references such as Annual Report and publications from external sources were cross examined.
Conclusion
It is the opinion of the verification team that the Report fulfills the B+ Application Level of the GRI G3.1 Guidelines.
The Report provides a structured, balanced and consistent representation of Melco’s CSR performance of 2014. Melco has been continuously evolving its stakeholder engagement process through different effective means such as the introduction of an on-line staff survey in 2014. A wider stakeholder group had been involved in the past year and feedbacks were collected for the development of this report in which material issues are addressed transparently. The Report demonstrates Melco’s accountability and commitments towards integrating CSR in its operations based on its guiding CSR core pillars. The contents of the Report reflect the accomplishment of the internal and external CSR initiatives which brings along great contribution to a sustainable society.
As a result of the verification process, the verification team confirms that the information contained in the Report is accurate and reliable. It is a fair and honest disclosure in all material aspects of Melco’s CSR initiatives, targets, progress and performance.
Signed on behalf of Hong Kong Quality Assurance Agency
Connie Sham
Head of Audit
February 2015
External CSR Initiatives
NGO | Project | No. of Beneficiary in 2014 |
The Community Chest Hong Kong | ·BOCHK Cycling Challenge ·The Chest annual TV Show – Drum Performance with the Youths ·Wine for Millions 2014 |
(Children & Youth Services) |
The Society for the Aid and Rehabilitation of Drug Abusers | ·Coffee Life – Youth Empowerment Life Skills Training Project <since Jul 2012 > |
1,978 youth persons and family members |
ORBIS International | ·Establish a Network of Pediatric Eye Care in Linyi, Shandong | 570,634 children screened, medically treated, received surgery and education about eye-care and school/ local health staff trained in sight protection |
The Child Development Centre | ·Daddy-Daughter Ball 2014 Sponsorship | 471 Participants (Children Therapy Service) |
Christian Action | ·Education Grant Programme for Students at Huangnan Children’s Home, Qinghai China <since Sept 2013 > ·Inspiring Macau Trip - City of Dreams Experience Tour |
36 students & 104 elderly 10 students and 2 HUNCH staff |
Hong Kong Lutheran Centre | ·“Caring for our Kids” Rebuilding child-parent relationship for families with gambling problems and Prevention Project |
75 parents and children, 8,271 pupils and 310 schools |
South China Morning Post and Radio Television Hong Kong | ·Operation Santa Claus 2014 sponsorship and Christmas Party for Hong Kong Red Cross Margaret Trench School | 20 children and youths 150 students and 50 parents of Hong Kong Red Cross Margret Trench School |
Playright Children’s Play Association | ·Hospital Play Service for Child Patients of Caritas Medical Centre < since Jun 2014> ·Gold Sponsorship, Happy Bear Hospital 2014 ·Environmental Play Project <since Apr 2012 > |
2,231 hospitalised children 2,200 hospitalised children 6,375 children, families and professionals |
Hong Kong Green Council | ·Hong Kong Green Day 2014 – Green School Program < since Apr 2014> ·International Coastal Cleanup 2014 ·Hong Kong Green Awards 2014 Presentation Dinner Gala Sponsorship |
31,800 students (Beach Cleanup Service) N/A |
Hong Kong Awards for Environmental Excellence | ·Wastewi$e Label | (Environmental Protection) |
WWF-HK | ·Earth Hour 2014 – 6th consecutive year of participation ·Big Bird Race 2014 ·Walk for Nature – Charity Walk ·Gold Award, LOOP Labelling Scheme 2013/14 |
(Environmental Protection) 23 participants |
Hong Kong Climate Change Forum | ·3rd International Conference on Climate Change Sponsorship | (Environmental Protection) No. of participants: 44 students, 27 NGOs and 70 government representatives |
Caritas Computer Workshop |
·Computer Recycling Programme <9 computer, 1 laptop, 4 printers, 12 LCD Monitor, 2 mouse and 4 keyboard> |
N/A |
Food Angel, Bo Charity Foundation |
·Mooncake donation | 59 pieces |
Internal CSR Initiatives
Company | Project | No. of Beneficiary in 2014 |
Melco Group and Melco Crown Entertainment | ·Green office promotion: regular ·Green Messages on newsletter, Earth Hour ·Festival donation ·Green Lifestyle: Green Talk and Green Monday Luncheon ·Melco CSR Wish Fund ·Melco Volunteer Incentive Scheme |
6 mooncake metal boxes are recycled No. of participants: 27 staff Donation: HKD 14,000 No. of participants: 12 persons Total no. of volunteer hours: 246 (116 by staff, 130 by friends of staff) |
2014 Awards and Recongintions
Awarded to | Award Name | Organiser / Judge Panel |
Melco International Development | Constituent member of Hang Seng Corporate Sustainability Benchmark Index Series (since 2013) | Hang Seng Indexes Company Limited |
Melco International Development | Gold Label, Low-carbon Office Operation Programme | WWF Hong Kong |
Melco International Development | Merit Awards, 5th Hong Kong Corporate Citizenship Awards | Hong Kong Productivity Council |
Melco International Development | Class of Excellence in Wastewise Label (since 2009) | Hong Kong Awards for Environmental Excellence |
Melco International Development | President’s Award (since 2006) | The Community Chest of Hong Kong |
Melco International Development | 10 Years Plus Caring Company (effective on Mar 1, 2015) |
Hong Kong Council of Social Service |
Melco International Development | 9th Consecutive Year of Corporate Governance Asia Annual Recognition Award (since 2006) : Icon of Corporate Governance 2014; Best CSR 2014 | Corporate Governance Asia Magazine |
Melco International Development | Gold Award, Interactive Annual Report - Corporate Social Responsibility Report | International ARC Awards |
Melco Crown Entertainment | Best Environmental Responsibility | Asian Excellence Awards by Corporate Governance Asia Magazine |
Melco Crown Entertainment | Caridade Social Award 2014 | Macau Association of Chinese Young Entrepreneurs and Youth Committee of the Macao Chamber of Commerce |
Melco Crown Entertainment | Environmental Performance Outstanding Award | Business Awards of Macau 2014 |
Melco Crown Entertainment | Outstanding Company on Corporate Governance | Corporate Governance Asia Magazine |
Melco Crown Entertainment | ISO 14001 Environmental Management Certification (since 2012) | British Standards Institution |
City of Dreams | Energy Saving Concept Award | Energy Saving Contest organised by the Office for Development of the Energy (GDSE) and the Companhia de Electricidade de Macau (CEM) |
GRI and HKEx ESG Content Index
GRI Indicator | HKEx ESG KPIs | Information Description | Page No. of Printed Report/Cross-Reference |
1.1 | Statement from our Group Chairman and Chief Executive Officer | 6: Message from Chairman & CEO | |
1.2 | Description of key impacts, risks and opportunities | 6: Message from Chairman & CEO 10: Managing Our Impacts |
|
2.1 | Name of the organization | Inside front cover | |
2.2 | Primary brands, products, and/ or services | 9: Corporate Structure and Business Development | |
2.3 | Operational structure | 30: Organizational Structure of Melco International Development | |
2.4 | Location of offices | Inside front cover | |
2.5 | Number of countries where the organization operates | 9: Corporate Structure and Business Development | |
2.6 | Ownership and legal form | 9: About Melco + Corporate Profile |
|
2.7 | Markets served | 9: Corporate Structure and Business Development + Core Business |
|
2.8 | Scale of organization | 9: Corporate Structure and Business Development 32: Staff Age and Gender Distribution (Partially Reported) 40: Commentary Table (Partially reported on quantity of goods and services provided) |
|
2.9 | Significant changes during the reporting period regarding size, structure, or ownership | + Chairman & CEO’s Statement Significant Events and Developments |
|
2.10 | Awards received | 36: 2014 Awards and Recognitions | |
3.1 | Reporting period | 8: Scope of the Report | |
3.2 | Date of most recent previous report | 8: Scope of the Report | |
3.3 | Reporting cycle | 8: Scope of the Report | |
3.4 | Contact point | 40: Enquiry | |
3.5 | Process for defining report content | 15: Materiality Analysis | |
3.6 | Boundary of the report | 8: Scope of the Report | |
3.7 | Specific limitations on the scope or boundary of the report | 8: Scope of the Report | |
3.8 | Basis for reporting on joint ventures, subsidiaries etc. | 8: Scope of the Report | |
3.9 | Data measurement techniques and the bases of calculations | 8: Scope of the Report 23: WWF – Low-carbon Office Operation Programme (LOOP) |
|
3.10 | Re-statements | 40: Commentary Table | |
3.11 | Significant changes from previous reports | 8: Scope of the Report | |
3.12 | Table identifying the location of the Standard Disclosures | 36 – 39: GRI and HKEx ESG Content Index | |
3.13 | Policy and current practice with regard to seeking external assurance for the report | 34: Report Verification | |
4.1 | Governance structure | 30: Governance and Organization + Corporate Governance Report |
|
4.2 | Indicate whether the Chair of the highest governance body is also an executive officer | 7: CSR Committee 30: Governance and Organization + Corporate Governance Report |
|
4.3 | For an organization with a unitary board structure, state the number and gender of members of the highest governance body that are independent and/or non-executive members | 30: Governance and Organization + Corporate Governance Report |
|
4.4 | Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body | 13: Our CSR Strategy + Investor Relations Melco Shareholders Communication Policy: http://www.melco-group.com/doc/governance/Shareholders-Communication-Policy.pdf |
|
4.5 | Linkage between compensation for members of the highest governance body, senior managers, and executives, and the organization’s performance (including social and environmental performance) | + Human Resources Remuneration Policy Terms of Reference of the Remuneration Committee: http://www.melco-group.com/doc/governance/eMelco_RemunerationCommittee.pdf] |
|
4.6 | Processes in place for the highest governance body to ensure conflicts of interest are avoided | 30: Governance and Organization + Corporate Governance Practices Code on Corporate Governance: http://www.melco-group.com/doc/governance/CodeonCorporateGovernance.pdf |
|
4.7 | Process for determining the composition, qualifications, and expertise of the members of the highest governance body and its committees, including any consideration of gender and other indicators of diversity | 30: Governance and Organization + Nomination Committee Terms of Reference of the Nomination Committee: http://www.melco-group.com/doc/governance/eMelco_NominationCommittee.pdf Code on Corporate Governance: http://www.melco-group.com/doc/governance/CodeonCorporateGovernance.pdf |
|
4.8 | Statement of mission and values | 13: Our CSR Strategy + Entertaining Possibilities Achieving Growth |
|
4.9 | Procedures of the highest governance body for overseeing the organization’s identification and management of economic, environmental, and social performance | 7: CSR Committee + Delegation by the Board |
|
4.10 | Processes for evaluating the highest governance body’s own performance, particularly with respect to economic, environmental and social performance | 30: Governance and Organization (Partially Reported) Delegation by the Board Terms of Reference of the Corporate Social Responsibility Committee: http://www.melco-group.com/doc/governance/Melco_Terms_of_Reference_of_CSR%20Committee.pdf |
|
4.11 | GD-C3 KPI C3.2 |
Explanation of whether and how the precautionary approach or principle is addressed | 30: Governance and Organization + Internal Controls; Terms of Reference of the Audit Committee: http://www.melco-group.com/doc/governance/eMelco_AuditCommittee.pdf |
4.12 | Charters and principles to which Melco subscribes | Inside front cover: Logos 9: About Melco 22: Carbon Reduction Charter 24: Energy Saving Charter on Indoor Temperature |
|
4.13 | Memberships in associations | Inside front cover | |
4.14 | Stakeholder Groups | 14: Stakeholder Engagement | |
4.15 | Basis for identification of stakeholders | 6: Message from Chairman & CEO 8: Scope of the Report 10: Managing Our Impacts 14: Stakeholder Engagement |
|
4.16 | Approaches to Stakeholder Engagement | 10: Managing Our Impacts (Partially Reported) 14: Stakeholder Engagement |
|
4.17 | Concerns Raised through Stakeholder Engagement | 10: Managing Our Impacts | |
DMA EC | Disclosure on Management Approach (Economic Performance) | 33: Our CSR Journey Continues + Chairman & CEO’s Statement Management Discussion and Analysis |
|
EC1 | GD-D1 KPI D1.2 |
Direct Economic Value Generated and Distributed | 12: Community Engagement 15: Social Responsibility 16-19: Youth Development 20: Education 33: Our CSR Journey Continues 35: Internal CSR Initiatives 40: Commentary Table |
EC3 | GD-A1 | Coverage of the organization’s defined benefit plan obligations | 12: Staff Engagement 32: Equal Opportunity Employer 33: Our CSR Journey Continues 40: Commentary Table + Retirement Benefit Scheme |
EC4 | Significant financial assistance received from the government | 40: Commentary Table | |
DMA EN | GD-B1 GD-B2 GD-B3 |
Disclosure on Management Approach (Environmental) | 12: Impacts on the Environment 13: Our CSR Strategy 22: Carbon Reduction Charter 23: WWF – Low-carbon Office Operation Programme (LOOP) 24: The Hong Kong Awards for Environmental Excellence (HKAEE) – Wastewi$e Label 25: Energy Efficient Systems 25: Conserving Water 33: Our CSR Journey Continues + Environment |
EN1 | GD-B1 KPI B3.1 |
Materials used by weight, value or volume | 22: Carbon Reduction Charter 23: WWF – Low-carbon Office Operation Programme (LOOP) 24: The Hong Kong Awards for Environmental Excellence (HKAEE) – Wastewi$e Label |
EN4 | GD-B2 KPI B2.1 |
In-direct energy consumption by primary energy source | 23: WWF – Low-carbon Office Operation Programme (LOOP) 24: Energy Saving Charter on Indoor Temperature 25: Energy Efficient Systems |
EN5 | GD-B2 KPI B2.3 |
Energy saved due to conservation and efficiency improvements | 23: WWF – Low-carbon Office Operation Programme (LOOP) 24: Energy Saving Charter on Indoor Temperature 25: Energy Efficient Systems 26: Energy Efficiency (Partially Reported) |
EN8 | GD-B2 KPI B2.2 |
Total water withdrawal by source | 23: WWF – Low-carbon Office Operation Programme (LOOP) 25: Conserving Water 40: Commentary Table |
EN10 | GD-B2 KPI B2.4 B2.3 |
Percentage and total volume of water recycled and reused | 25: Conserving Water 26: Energy Efficiency |
EN16 | GD-B1 KPI B1.1 KPI B1.2 |
Total direct and indirect greenhouse gas emission by weight | 22: Carbon Reduction Charter 23: WWF – Low-carbon Office Operation Programme (LOOP) 24: Business Travel Carbon Emissions |
EN26 | GD-B2 KPI B2.3 |
Initiatives to enhance efficiency and mitigate environmental impacts | 23: WWF – Low-carbon Office Operation Programme (LOOP) 24: Business Travel Carbon Emissions 24: The Hong Kong Awards for Environmental Excellence (HKAEE) – Wastewi$e Label 25: Energy Efficient Systems 25: Conserving Water 26: Energy Efficiency 26: Other Conservation Measures |
EN28 | GD-B3 | Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations | 40: Commentary Table |
EN29 | GD-B3 KPI B3.1 |
Significant environmental impacts of transporting products and other goods and materials used for the organization’s operations, and transporting members of the workforce | 24: Business Travel Carbon Emissions |
DMA LA | GD-A1 | Labor Practices and Decent Work Disclosure on Management Approach | 12: Staff Engagement 31: Staff Training and Development 32: Equal Opportunity Employer 32: Staff Age and Gender Distribution 33: Our CSR Journey Continues + Human Resources |
LA1 | GD-A1 KPI A1.1 |
Total workforce by employment type, employment contract, and region, broken down by gender | 32: Equal Opportunity Employer 32: Staff Age and Gender Distribution |
LA2 | GD-A1 KPI A1.2 |
Total number and rate of new employee hires and employee turnover by age group, gender, and region | 32: Equal Opportunity Employer 32: Staff Age and Gender Distribution 40: Commentary Table |
LA3 | GD-A1 | Benefits provided to full-time employees that are not provided to temporary or part-time employees, by significant locations of operation | 40: Commentary Table |
LA4 | Percentage of employees covered by collective bargaining agreements | 40: Commentary Table | |
LA8 | GD-A2 KPI A2.3 |
Education, training, counselling, prevention, and risk-control programs in place to assist workforce members, their families, or community members regarding serious diseases | 21: Responsible Gaming 31: Staff Training and Development 33: Our CSR Journey Continues |
LA9 | Health and safety topics covered in formal agreements with trade unions | 40: Commentary Table | |
LA10 | GD-A3 KPI A3.2 |
Average hours of training per year per employees, by gender, and by employee category | 32: Staff Age and Gender Distribution (Partially reported) 40: Commentary Table |
LA11 | GD-A3 KPI A3.1 |
Programmes for skills management and lifelong learning | 31: Staff Training and Development |
LA12 | GD-A1 | Percentage of employees receiving regular performance and career development reviews, by gender | 31: Staff Training and Development 40: Commentary Table |
LA13 | Composition of governance bodies and breakdown of employees according to gender, age group, minority group membership and other indicators of diversity | 30: Governance and Organization (Partially Reported) 32: Staff Age and Gender Distribution (Partially Reported) + Corporate Governance Report Composition of the Board |
|
DMA HR | GD-A1 | Disclosure on Management Approach (Human Resources) | 32: Equal Opportunity Employer |
HR4 | GD-A1 | Total number of incidents of discrimination and corrective actions taken | 32: Equal Opportunity Employer 40: Commentary Table 11: Impacts on our Organization 12: Community Engagement 15: Social Responsibility 16-19: Youth Development 20: Education 33: Our CSR Journey Continues |
HR11 | Number of grievances related to human rights filed, addressed and resolved through formal grievance mechanisms | ||
DMA SO | GD-D1 | Disclosure on Management Approach (Society) | |
SO1 | GD-D1 | Percentage of operations with implemented local community engagement, impact assessments, and development programme | 35: External CSR Initiatives |
SO3 | GD-C3 KPI C3.1 KPI C3.2 |
Percentage of employees trained in organization’s anti-corruption policies and procedures | 40: Commentary Table |
SO8 | GD-D1 | Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations | 40: Commentary Table |
SO9 | GD-D1 | Operations with significant potential or actual negative impacts on local communities | 12: Impacts on our Stakeholders - Responsible Gaming |
SO10 | GD-D1 | Prevention and mitigation measures in operations with significant potential or actual negative impacts on local communities | |
DMA PR | GD-C2 | Disclosure on Management Approach (Product Responsibility) | 40: Commentary Table Melco Shareholders Communication Policy: http://www.melco-group.com/doc/governance/Shareholders-Communication-Policy.pdf |
PR7 | GD-C2 KPI C2.2 |
Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotions, and sponsorships | |
PR8 | GD-C2 KPI C2.5 |
Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data | |
PR9 | GD-C2 | Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services |
+ Refer to 2014 Annual Report
Commentary Table
GRI Indicator | HKEx ESG KPIs | Description | Comments |
2.8 | Scale of the reporting organization | For the financial performance of Melco, please refer to Melco International Development Limited’s Annual Report 2014 (http://www.melco-group.com/eng/index.html): Melco International Development Limited actually acts as an investment holding company. As a holding company, they produce neither goods nor services. As described in the CSR Report, this Report does not disclose data from its associates and subsidiaries as well. |
|
EC1 | GD-D1 KPI D1.2 |
Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payments to capital providers and governments | |
3.10 | Explanation of the effect of any re-statements of information provided in earlier reports | None | |
EC3 | GD-A1 | Coverage of the organization’s defined benefit plan obligations | Under the Hong Kong Mandatory Provident Fund Schemes Ordinance, Melco has to participate in a master trust Mandatory Provident Fund Scheme (“MPF Scheme”). The MPF Scheme is a defined contribution retirement scheme funded by payments from employees and by the participating companies. All regular employees of Melco are required to join the scheme. |
EC4 | Significant financial assistance received from the government | Melco has not received any financial assistance from the Government during the reporting period. | |
EN8 | GD-B2 KPI B2.2 |
Total water withdrawal by source | 23: WWF – Low-carbon Office Operation Programme (LOOP) Total water consumption from municipal water supplies: 551m3 (recorded from 01/06/2013 – 31/05/2014) |
EN28 | GD-B3 | Monetary value of significant fines and total number of non-monetary sanctions for noncompliance with environmental laws and regulations | There were no significant fines and non-monetary sanctions for noncompliance with environmental laws and regulations during the reporting period. |
LA2 | GD-A1 KPI A1.2 |
Total number and rate of new employee hires and employee turnover by age group, gender, and region | 32: Staff Age and Gender Distribution 18.605% of new employee: 2 males and 6 females aged 40 or below. 27.907% of staff turnover: 3 males and 8 females aged 40 or below; 1 female aged over 40 |
LA3 | GD-A1 | Benefits provided to full-time employees that are not provided to temporary or part-time employees, by significant locations of operation | Medical and Life Insurance Scheme; despite Annual and Sick leave, we also provide Compassionate leave, Marriage leave and Jury Service Leave |
LA4 | Percentage of employees covered by collective bargaining agreements | No formal collective bargaining agreement is in place, as not required under Hong Kong law. However, channels for communicating grievances are in place. | |
LA9 | Health and safety topics covered in formal agreements with trade unions | Melco does not have any formal agreements with trade unions. | |
LA10 | GD-A3 KPI A3.2 |
Average hours of training per year per employees, by gender, and by employee category | During the year Melco only captured training data in sessions. We will expand the scope and level of disclosure to no. of staff training hours for future report. |
LA12 | GD-A1 | Percentage of employees receiving regular performance and career development reviews | 31: Staff Training and Development 100% of all full time staff will receive regular performance and career development reviews. |
HR4 | GD-A1 | Total number of incidents of discrimination and corrective action taken | None during the reporting period |
HR11 | Number of grievances related to human rights filed, addressed and resolved through formal grievances mechanism | None during the reporting period | |
SO3 | GD-C3 KPI C3.1 KPI C3.2 |
Percentage of employees trained in organization’s anti-corruption policies and procedures | 100% of employees were trained in Melco’s anti- corruption policies and procedures. The anti-corruption policies are included in the code of conduct in induction training to all new staff. |
SO8 | GD-D1 | Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations | There were no significant fines and non-monetary sanctions against non-compliance with laws and regulations during the reporting period. |
DMA PR | GD-C2 | Disclosure on Management Approach (Product Responsibility) | Melco strictly adheres to Laws of Hong Kong. As such, an internal group-wide Shareholders Communication Policy was developed to guide our practices and approaches on handling communications and privacy issues. Melco Shareholders Communication Policy: http://www.melco-group.com/doc/governance/Shareholders-Communication-Policy.pdf |
PR7 | GD-C2 KPI C2.2 |
Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications including advertising, promotion, and sponsorship by type of outcomes | None during the reporting period |
PR8 | GD-C2 KPI C2.5 |
Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data | None during the reporting period |
PR9 | GD-C2 | Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services | There were no significant fines for non-compliance with laws and regulations concerning the provision and use of products and services. |
Enquiry: Tel (852) 3151 3777 Fax (852) 3162 8375 Email csr@melco-group.com
This Report has been prepared in accordance with the internationally recognized Global Reporting Initiative (GRI) G3.1 reporting guidelines. In addition we have also referenced the Hong Kong Exchanges and Clearing Limited (HKEx) ESG Reporting Guide, which is best practice and recommended for all listed companies in Hong Kong.
We continued to take an active role in the community during 2014 through activities that ranged from programmes designed to give young children a head start in life to those that aid youth with drug problems.
Youth development continued to be the primary focus of our CSR initiatives in 2014. During the year, we assisted 625,000 children, youth and the physically disabled, which was than higher in 2014 and reflective of our desire to make more effective use of our resources and create long-term programs with greater impact.
Highlights of some of our key programmes are presented in the following pages, while a full summary of our external and internal CSR initiatives is presented on page 35.
*Donation efficiency is calculated by dividing total donations in the year by the total number of beneficiaries. When the average cost per beneficiary drops, donation efficiency increases.