Collaboration

Hazard statements

in place at their sites. For more information on sustainable procurement programme, we work our stakeholder and community engagement with our suppliers and stakeholders to promote Click here to read processes see pages 51 and 56. human rights. For more information on our our Modern Slavery supply chain processes see pages 54-55. Our supply chain footprint Aligning our Together, our operating companies purchase around $16 billion of goods and services supply chain every year from 118,000 suppliers spread across America (48%), Europe (51%), Asia with our values raw materials – such as aggregates, sand and the rest of the world (1%). We also extract and gravel, to use in our own processes, as At CRH, we expect our well as to supply to external customers. suppliers to share our The CRH Group Procurement Council unwavering commitment oversees all aspects of purchasing strategy, to good ethical practices. policy, targets and objectives. Core business We work closely with lines each have their own supply chain footprint our suppliers and other with different challenges and opportunities, and therefore, our approach to each differs: stakeholders to drive improvements in the supply • Our Materials businesses are vertically chain and support suppliers to integrated, often extracting much of their own raw materials, or using materials provide good jobs and manage produced by other operating companies their environmental impacts. Collaboration • Our Building Products businesses source a With the growing expectations wide range of products from manufacturers on transparency and reporting, across the world, accounting for a significant our supply chain programme number of suppliers in our total footprint is constantly evolving. Our procurement teams continuously work to find new ways Policies to innovate for positive change and support the transition towards more sustainable supply chains. As part of ongoing sustainable transport development, EQIOM, part of our Europe Click here to read Materials Division in France, is using an Econic truck, designed our Supplier Code to adapt to the needs of drivers, ensure better safety in road of Conduct transport and anticipate the safety standards of tomorrow. Promoting good practices Understand the risks and We source goods and services through impacts of COVID-19 multiple routes: from centralised procurement, We are acutely aware of the impact of to local buying and to e-sourcing. Our ‘Know COVID-19 on those working in global supply Your Supplier’ due diligence system provides chains, such as potential challenges of sanctions screening and adverse media. key third-party data points for financial risk, increasing unemployment and pressures on environmental management. The vulnerability We expect 100% of suppliers to comply of certain groups has been exacerbated by with our Supplier Code of Conduct. COVID-19 – in particular migrant workers, All of our procurement teams are increasingly women working in the supply chain, and young workers. integrating sustainability into our sourcing processes. Our supplier selection and Our procurement teams work in partnership ongoing assessment processes include with our suppliers to find solutions to potential sustainability criteria. We increasingly issues. In response to COVID-19, we have build on our key supplier relationships to undertaken specific resilience discussions ensure we respond to sustainability issues with suppliers. Our ‘Know Your Supplier’ and provide added value in key areas. programme is designed to highlight suppliers We assess risk at a commodity level, in line that are undergoing a change in their financial with ISO 20400 best practice. We use 12 health, so we can be more targeted in this assessment criteria covering areas such approach. In addition, our procurement teams continue to work closely with our operating as health and safety, human and labour rights, environment, climate change and companies to address the issues that have governance, to understand potential risks arisen from the pandemic. and act strategically across a range of profiles which can be improved. We provide We continue to review our supply chain risks through our Enterprise Risk Management responsible procurement training to those (ERM) Framework. Our commodity heatmap staff working directly with our suppliers. assessment is reviewed prior to any significant The training helps equip staff with the procurement project. We also work with understanding and tools to be able to spot our auditing partners to ensure our on-site issues and effectively engage suppliers assessments are fit for purpose. through their Category Strategy Plans. Driving improvement through collaboration Our commitment to our values goes beyond our own activities. We aim to support the transition towards more sustainable supply chains across the entire industry. We engage with suppliers, governments, industry bodies, businesses and other partners and collaborate to find new ways to innovate for positive change, support 100% local communities and create social value. of our suppliers to comply with our Supplier Code of Conduct 55 Overview Sustainability priorities Sustainability performance + Collaboration Our customers and stakeholders want assurance that the products we supply are Sustainable produced in a responsible way. In order to make an impact on issues in our supply LOW MEDIUM HIGH procurement chain we have embedded a sustainability approach in our sourcing strategy. strategy Pathway to impact Supply chain risk Benefits Clear and robust policies CO2 and standards that inclusion and Reduced Risk % reflect best standards. respect and Our Supplier Code of Spend Safety Health Labour Practices Fairness, and Social value Energy emissions CRH Group Environmental stewardship Resource efficiency Circular economy Conduct (SCoC) is Water Legal compliance Economic growth CATEGORY By integrating sustainability Policy available on crh.com requirements at the Packaging 2% M L H M H L start of the tender stage we are able to Creating a compelling mitigate risks more argument of how Chemicals 5% M L H M H L effectively than after and why improved Collaboration sustainability is good the event. Monitoring for business and how IT & Telecom 1% L M it delivers value for L H L H L the drivers stakeholders beyond financial benefits. Building Components & 8% H M H L M H M L Manufacturing Materials Innovation Developing processes that enable our Energy Sustainability and 9% M H L H L procurement teams, L innovation are sourcing specialists and increasingly linked suppliers to meet our General Services 8% L M H M L M Enablers and often lead to lower evolving requirements. total cost of operation solutions. Mobile Equipment 6% M L H L Identifying the risks and Production Equipment 5% H M prioritising areas for M L H L Risk and improvement for specific priority commodities. Raw Materials analysis 18% M M L M H M H M Collaboration Procurement creates a critical narrative that can Logistics Services 20% H L H M L H M demonstrate trust and Integrating safer, fairer, deeper relationships cleaner and better Maintenance & with both customers 14% H L M L performance in all of our L H L Production Services and suppliers. Sourcing procurement and buying process activities. Facilities Management 4% M H M & Estates M L Strengthening local Enhancing relationships With over 95% of our employees living social value locally to our businesses, we are very much embedded in the local communities where in our we are located. Our operating companies contribute to local communities, for example, through employment, educational development communities and supporting local businesses. We aim to use our reach and We strive to promote positive neighbourly influence to maximise our relations to understand the needs and priorities of local stakeholders. To achieve positive impact, working hard a consistent approach, our operating to support local livelihoods companies are developing Community and businesses and to Engagement Plans in all relevant locations, build strong, proactive and to help us understand any concerns and transparent relationships take responsibility for potential impacts. with our local stakeholders. Investing in our local Collaboration communities Community investment is one of the ways we contribute to thriving and inclusive communities. In 2020, we donated $8.3 million to local organisations and initiatives, focusing on the most prevalent needs in our communities (see page 69 for a breakdown of donations by area). Education is a focus area and, in addition to donations, we had approximately 400 educational interactions with 13,200 people participating over the last three years. The COVID-19 pandemic resulted in a substantial decrease in the number of educational interactions across our locations in 2020. We have been working hard to help our communities in other ways and we hope to advance our work again in this area, once it is safe to do so. $35 million invested over the past 5 years in local community initiatives Assessing our social impacts Like many global companies, assessing Community and society the impacts of our social investments is an ongoing challenge. We focus on measuring the What are the challenges and global impacts of our investments – including how are we managing them? so that we can make informed choices and The effects of COVID-19 will continue to be financial, non-financial and social benefits – felt in communities around the world for the scale up our positive contribution. We use our Communities Reporting Tool to measure inputs foreseeable future. At CRH, we are working and outputs of our investments and projects. hard to make a real and lasting impact within our local communities, to help address the Building resilient communities challenges faced by society. To achieve a consistent approach, our businesses Many of our businesses engage in successful are required to implement a Community partnerships with stakeholders, to tackle the Engagement Plan. housing crises in their own communities. For example, our North American business Our stakeholders tell us sponsors a company-wide Habitat for Humanity project each year to tackle the housing crisis, uniting employees to "Focus Ireland fundamentally believes build a home for a family. In addition to that homelessness is wrong. Through our employees’ hands-on participation, we partnership with CRH we are on the way to donate products including concrete blocks, ensuring no family in Ireland is without a place pavers and mulch. More impressive than the to call home. Given COVID-19, our Shine a material and financial support is the impact Light Night fundraiser became a virtual event that these types of partnerships have on this year, with people sleeping out in their own neighbourhoods, communities and individuals. homes. The CRH team raised an amazing €40,000 and we are truly grateful for this and CRH's ongoing corporate support.” Aisling Nolan Major Gifts Manager, Focus Ireland In 2020, CRH Ukraine's Podilsky Cement Plant, Odessa Plant and Mykolaiv Cement Plant celebrated the plants 50th, 55th and 70th anniversaries, respectively. These plants are part of our Europe Materials Division and have had a hugely 100% positive impact on the local communities in Ukraine through of companies to have a employment and corporate social responsibility initiatives. The positive relationships that have been established are a Community Engagement Plan by 2030 testament to the ethos of community engagement ingrained within CRH operations worldwide. 57 Overview Sustainability priorities Sustainability performance + Collaboration Creating We aim to develop more inclusive and resilient communities through a shared global approach that considers the specific needs of each community. Our social values align with our core business strategy to value for our empower communities and provide opportunities for us to create common value across our global footprint. Here are some examples of the way our businesses supported their local communities in 2020. communities Environment and conservation Health and wellness Callanan Industries, part of our Americas Materials Tarmac, part of our Europe Materials Division in Division, continues to work with its local communities, the UK, worked with its suppliers to install a new through engagement events, employee volunteering car park and access road for Cheshire based and donations to community initiatives, to ensure children’s charity, The Joshua Tree. Operating that the needs and priorities of local communities are across the North West and North Wales, the addressed. In 2020, Callanan Industries was awarded charity is dedicated to working closely with the NAPA Award for Community Involvement and the families affected by childhood cancers. Tarmac National Association of State Land Reclamationists laid the new car park and access road within two (NASLR) Outreach Award for environmental weeks, and also completed some kerbing and stewardship efforts at East Kingston Quarry, New York. drainage works for the charity. Collaboration Community relations Education and employment and development Irish Cement and Roadstone, both part of our Preferred Materials, part of our Americas Materials Europe Materials Division in Ireland, play a big Division, recently hosted its third fundraiser for the part in supporting local Men’s Sheds. These are Salvation Army’s Angel Tree programme in Florida. community-based projects where local men The Angel Tree programme provides new clothes gather to share and learn practical skills such and toys for thousands of children in need in the as carpentry and gardening, while building Tampa area. This year, due to the pandemic, the friendships and support networks. Both Irish company had to alter the schedule somewhat to Cement and Roadstone have helped provide new provide for appropriate social distancing at the premises for Men’s Sheds, including workshops, outdoor event, as well as provide face coverings. meeting rooms and gardens. Arts and culture Provision of shelter Central Supply, part of our Americas Materials Division, CRH is a partner of Focus Ireland, a non-profit donated Stone Strong blocks manufactured at their working with individuals and families who are Saltwell precast plant in Bridgeport, West Virginia, homeless or at risk of losing their homes. Since to help create an outdoor dining space in the City of 2017, we have been proud to support the Focus Morgantown. The company teamed up with members Ireland SLÍ initiative, a service helping people of the community in order to create a dining space transition to independent living after leaving that would comply with COVID-19 seating restrictions homeless services, and more recently the and allow local people to dine outdoors while social establishment of a new Family Centre, which distancing. It is hoped that the dining space will help opened in Dublin in January 2020. bring life back to the downtown area post-pandemic. Integrity In this integrity section Delivering sustainable long-term value 59 Managing risk and building resilience 60 Operating with integrity 61 Driving our corporate governance strategy 63 Embedding sustainability into our governance structures 64 Integrity Tarmac, part of our Europe Materials Division in the UK, recently received Clear Assured Bronze Standard from assessment body The Clear Company for its work with inclusion and diversity. This accreditation was awarded due to the successful changes to policy and processes, as well as a fundamental cultural shift across the company, reflecting the efforts undertaken by all employees and leaders to foster and celebrate a fair and supportive culture that promotes opportunities for all. Sustainability priorities Sustainability performance + Integrity "As social responsibility becomes increasingly important and broader stakeholder concerns intensify, our values and culture of ethical behaviour help us to navigate these changes. In these challenging times, it is more important than ever for CRH to continue to meet the highest standards of business conduct, Isabel Foley as we uphold our commitment to do Group General what we say and lead with integrity." Counsel Sustainable value creation Delivering Sustainability is a strategic imperative for our sustainable business. As global efforts to address the challenge of climate change increase, we are evolving our business to take advantage long-term rise in demand for more sustainable forms of the many opportunities presented by a of construction. We believe that meeting value these needs in a manner that respects sustainability principles and addresses Our ability to deliver potentially negative impacts will increase our profitability, cash generation ability to drive profits and create lasting value and sustainable long-term for all our stakeholders, including investors, customers, employees, partners, suppliers and value in a rapidly evolving local communities. environment demonstrates We are ranked among sector leaders by the strength and resilience leading Environmental, Social and Governance of our business. Led by our (ESG) rating agencies. We are a constituent experienced management member of indices including the FTSE4Good team, we continue to Index, the STOXX® Global ESG Leaders Index execute our robust business and the Dow Jones Sustainability Index as well as a long-term participant in CDP (formerly strategy, driving both current Carbon Disclosure Project). See page 83 for business performance and more information on our ESG benchmarks. Integrity the transformation needed As well as being beneficial for our business, our to meet future demands sustainability ambitions also have an outward in an uncertain world. focus. Our actions are intended to contribute to the delivery of key initiatives, such as the Paris Agreement and the UN SDGs (see page 11 for more information). Looking ahead, we plan to further integrate ESG considerations into our treasury management processes. Annual report Read more about our economic value creation in our 2020 Annual report Creating economic value Our global operations continue to drive Economic value creation improvements in product development, production and sales, strengthening our how are we managing them? What are the challenges and position as a leader in the markets where we stakeholders in 2020 included: Businesses today are faced with meeting compete. Economic value CRH created for evolving stakeholder expectations and • $4.6 billion EBITDA* navigating the current challenges and financial • $1.2 billion profit after tax impacts of the COVID-19 pandemic. To best position CRH for the long-term, we continue • $3.9 billion operating cash flow to incorporate sustainability into all aspects • 10.1% RONA** of our business model, including operational • $0.6 billion in taxes paid efficiency, acquisitions, strategic direction and market growth, challenging traditional business strategies and positioning CRH for Transforming our strong long-term sustainable market growth. portfolio Our stakeholders tell us We have a continuous focus on identifying and acquiring strong businesses that complement our existing portfolio and ensure the long-term "As the transition accelerates, companies sustainability and growth of our business. with a well-articulated long-term strategy, We undertake extensive due diligence for all and a clear plan to address the transition to acquisitions, recognising strong performance net-zero, will distinguish themselves with their across environmental, social and governance stakeholders - with customers, policymakers, (ESG) issues as a key indicator of a well-run employees and shareholders - by inspiring business. In developing markets, we place confidence that they can navigate this global particular focus on ensuring strong governance is in place, including human rights and other transformation." (Extract from Larry Fink's relevant social and ethical requirements. 2021 letter to CEOs) Despite the disruption of the COVID-19 pandemic, the Group invested $0.4 billion in 17 Larry Fink, Chairman and Chief Executive Officer, small and medium sized bolt-on acquisitions in 2020. These businesses will be integrated BlackRock with existing operations to further expand our ability to deliver for customers in key construction markets. In October 2020, CRH reached an agreement to divest its cement business in Brazil for a total consideration of All references to Income Statement data are on continuing operations. $0.2 billion. This is in line with our focus on *EBITDA is defined as earnings before interest, taxes, depreciation, reallocating capital. amortisation, asset impairment charges, profit on disposals and the Group’s share of equity accounted investments’ profit after tax. **Return on Net Assets (RONA) is a key internal pre-tax and pre-non-cash impairment measure of operating performance throughout the CRH Group and can be used by management and investors to measure the relative use of assets between CRH’s business segments and to compare to other businesses. RONA is calculated by expressing total Group operating profit excluding non-cash impairment charges as a percentage of average net assets. Our ERM Framework Managing risk Our ERM framework, a core part of our risk and building management culture, is integrated across our businesses and utilised in strategic decision- making processes. Sustainability risks relating resilience energy efficiency, climate change, human rights to areas such as health and safety, emissions, and local communities are covered through Enterprise Risk Management our ERM processes and assessed on an (ERM) plays a critical role in ongoing basis. how we respond to a world of increasing uncertainty. Proactively managing risks Integrated and effective risk We recognise that strong risk management management facilitates better practices can provide a competitive advantage and an opportunity for value creation. This is decision-making and builds evidenced by having best-in-class health resilience into our business, and safety, sustainability and environmental thereby driving performance, practices, which makes us an attractive partner creating growth opportunities of choice. and generating sustainable To harness the collective capabilities of shareholder value for CRH. the Group and to support the consistent application of our ERM framework, formal risk workshops are held throughout our Integrity businesses and functions. These discussion- based workshops facilitate comprehensive risk analysis to ensure appropriate execution of our strategic objectives. Our ERM process optimises the allocation of resources and prioritises mitigating risks, which could prevent the achievement of strategic objectives. Risks are continually identified and assessed as the relevant economic, social, political and regulatory landscape evolves, along with materiality assessment processes regularly changes to our business and the markets in which we operate. At Group-level, formal inform risk prioritisation. Annual report Read more about our ERM processes in our 2020 Annual report Sustainability risks and Emerging risks opportunities We identify and assess emerging risks With our global presence and industry with various time horizons to understand leadership positions, we are very aware of their potential impacts. Where appropriate, our role in maintaining sustainability principles mitigating actions are implemented enabling performing sustainably and responsibly within while we fulfil the needs of each communities’ us to deliver our strong commitment to stakeholders. We assess the threats and opportunities facing CRH to ensure that our the communities in which we operate and processes around managing sustainability risks contribute to CRH’s objectives (see page 13 are robust. Embedding ERM into our business for more information). processes, at all levels, creates an environment where leaders take a disciplined and focused Collective risk intelligence view on risks. The Group-level Risk Register is informed by our bottom, middle and top line perspectives Our ERM process also allows our businesses and contains risks which may impede the to focus on the upside of risk and assess viable realisation of core strategic objectives. value creation activities. An example is our Our principal risks and uncertainties are listed success in addressing the risk of changing on pages 106-111 of the 2020 Annual Report customer preferences by becoming a leader and Form 20-F. They constitute the register in the manufacture and supply of sustainable which forms the basis of Board and Audit building products. We will continue to identify Committee communications and discussions. and manage risks and look for ways to turn them into opportunities to strengthen both our business and our reputation. CRH risk management framework. Our three lines of defence. First line of defence Operating Operating company/business leaders are responsible for risk 01 companies/ identification, management and ensuring that the control business environment is robust. Risk owners CRH Divisions Executive Management 02 for providing subject matter expertise, defining standards and Second line of defence Group oversight CRH has various oversight functions which are responsible functions Review and challenge ensuring adherence. Executive Management/Risk Committee Group Third line of defence 03 Internal Group Internal Audit provides independent assurance over the Audit control environment on a continuous basis. Independent assurance CRH Board/Audit Committee/SESR Committee Upholding good business Operating conduct with integrity Our culture as a company is built on our commitment to upholding CRH values, in particular doing what we say and leading with At CRH, our values unite us integrity. This means we do the right things in the right way, comply with the law and work in the way we work, every responsibly. To ensure that we are continuously day, all over the world. meeting these values, everyone who works for They are the foundation of CRH has a duty to read, understand, and abide our culture — they show what by our Code of Business Conduct (CoBC). is important to us beyond Our CoBC, which was refreshed in 2020 and financial performance. As we will be relaunched in 2021, establishes clear expectations for employee compliance with continue to navigate increasing social responsibilities and policies related to ethical business conduct. Our CoBC can be found on crh.com, stakeholder demands, with related training materials available to one thing that will never employees via the CRH training portal. change is our commitment We support and encourage ethical to operating with integrity. leadership, as outlined by our Group This commitment is vital to Chief Executive in the introduction to the our success as a company. CoBC. The Audit Committee of the CRH Board provides executive-level oversight of Integrity CRH’s Legal and Compliance programme, to ensure our continued commitment to legal and ethical business practices. Employee training All new employees are required to complete our CoBC training and relevant employees undertake CoBC training and Advanced Compliance Training (ACT) on a regular basis. Of the 9,000 employees that received ACT in 2020, 44% were Managerial, 36% were Clerical/ Administrative and 20% were Operational. Legal and Compliance ensures training and communications materials and methods for delivery remain relevant to the risks our employees face in their roles. Additional training modules are developed for more focused Policies topics and audiences where necessary. The CoBC and training programmes Click here to read are available in 21 languages. We have our CoBC exceeded our 2020 target for 95% of relevant employees to have received CoBC training. Managing compliance risk Employees trained in At CRH, our sound business principles and CoBC 2020 practices drive our commitment to ethical (Total: 32,100) behaviour, accountability and transparency. Risk workshops are attended by a selection of senior business and cross functional senior management throughout the year. They are led by Group Risk and facilitate meaningful Europe/ Americas discussions around management’s view AsiaPacific of risks, contributing to the collective risk of the Group and enabling a coordinated approach with Group Risk and Legal and Compliance. Mitigation against compliance risk is achieved through regular training, awareness, policies and guidance, supported Americas 16,650 by the Legal and Compliance function. Europe/AsiaPacific 15,450 Our CoBC training programme, which includes an e-Learning component, has at its core the aim of ensuring that everyone in CRH understands that there is never a good business reason to do the wrong thing. 95% of relevant employees received CoBC training, exceeding our 2020 target Reporting concerns Operating At CRH we provide formal, confidential ways to report concerns through a “Hotline” facility, an independent, multi-lingual reporting service with integrity that is accessible 24 hours a day, seven days Continued a week. The CRH Hotline allows employees, customers, suppliers and other external stakeholders to raise any good faith concerns they may have relevant to CoBC, inappropriate or illegal behaviour or violations of any CRH policies or local laws. All concerns are handled discreetly and are professionally investigated with appropriate actions taken based on investigation findings. In 2020, a total of 309 concerns were raised globally. We regard any suspected violation of law, policy or the CoBC as a serious matter. Retaliation or reprisals are not tolerated at CRH. In 2020, 21 proven incidents resulted in disciplinary action. Employees are made aware that disciplinary procedures can be invoked in the event of a proven breach of CRH policies or any rule of law. Integrity Concerns reported (Number of concerns) 2020 309 2019 427 2018 328 9,000 CRH employees received Advanced Compliance Training in 2020 Investigations and proceedings Business conduct At CRH, we have robust internal controls to What are the challenges and help in the fight against all forms of corruption and illegal practice. Risks of corruption and how are we managing them? fraud are monitored by management and Businesses are increasingly expected to Legal and Compliance teams. In addition, our CRH Internal Audit function works define their purpose and engage in business side-by-side with Legal and Compliance in conduct that exhibits responsible ethical monitoring compliance with the CoBC and behaviour, with everyone having a part to play. supporting policies, and in providing an To meet this ongoing priority, we updated our integrated approach to assurance. In 2020, CoBC in 2020, for relaunch in 2021. The CoBC there were no investigations from external is a practical guide to upholding our values parties into allegations of corruption against the and acting ethically in our workplace, in our CRH Group. business practices and in our communities. With support from executive management, Some of our operating companies are party we continue to educate relevant stakeholders to legal proceedings, including some in which to ensure compliance with our policies, claims for damages have been asserted demonstrating our commitment to true against them. Having taken appropriate advice, we believe that the aggregate outcome of ethical behaviour. such proceedings will not have a material effect on the CRH Group’s financial condition, Our stakeholders tell us operational performance, or liquidity. "Thomas Jefferson is credited with saying Concerns reported by type 2020 that, ‘honesty is the first chapter in the book (% of total concerns) of wisdom.’ We agree. In today’s complex world, a corporate culture of ethical behaviour Labour and Employment is critical to helping ensure success. We share 53% CRH’s commitment to meet the highest Health, Safety, and Environment standards of business conduct and empower employees to perform with purpose 30% and integrity.” Fraud and Theft 7% Dave Bauer Conflicts of Interest President & CEO, American Road & Transportation Builders Association (ARTBA) 6% Bribery, Antitrust/Competition 2% IT Security/Data Privacy 1% 32,100 Product Quality CRH employees were trained in our CoBC in 2020 <1% The Board Driving our The CRH Board is responsible for the corporate leadership, oversight, control, developments and long-term success of the Group. The Board works with management to consider specific governance our businesses – including strategy, safety, issues relevant to the overall conduct of strategy acquisitions and disposals. geopolitics, sustainability, budgets and Strong governance is As of 31 December 2020, there are two executive and 10 independent non-executive fundamental to building Directors on the CRH Board, 42% of which are a resilient and successful female. The independence of non-executive organisation in which Directors is considered annually. The spread sustainability is embedded of nationalities of the Directors reflects the at all levels. We are widely geographical reach of the Group and we ensure the Board has the appropriate blend of recognised as a leader in skills, knowledge and experience, from a wide corporate governance and range of industries, regions and backgrounds, we continuously review necessary to lead the Group. In 2020, there our governance structures were six full meetings of the Board. and arrangements to Board Committees ensure that these are of Integrity The Board delegates specific areas of the highest standards. responsibility to a number of Committees to assist in the execution of its responsibilities. The current Committees are the Acquisitions, Divestments and Finance Committee, Audit Committee, Nomination & Corporate Governance Committee, Remuneration Committee and Safety, Environment & Social Responsibility Committee (SESR). The role of these Committees is to provide strategic direction, oversight and assurance on specific objectives. The Chairman of each Committee reports to the Board on its deliberations and minutes of all Committee meetings are circulated to all Directors. Committee Chairs also attend the Annual Leadership General Meeting to answer questions from shareholders. Current membership and the Click here for more terms of reference of each Committee are information on the Board, available on crh.com. including its membership and the terms of reference of each Board Committee Board renewal and evaluation Renewal of the CRH Board is an ongoing and Sustainability governance dynamic process. The focus is on ensuring and advocacy that the Board includes a diverse group of individuals, based on a broad set of factors, What are the challenges and strategy and the needs of the business. and that renewal is aligned with CRH's how are we managing them? briefing materials and the Chairman agrees pressures from stakeholders to incorporate All newly appointed Directors receive extensive Today organisations are dealing with complex an individually-tailored and comprehensive increasing social, environmental, market induction programme. Individual Director and technological trends into business performance is reviewed annually by strategies. We continue to embed all the Chairman. aspects of sustainability into our business A review of Board effectiveness is carried strategy. This better positions CRH to align out by the Senior Independent Director on and drive both our financial and societal an annual basis. This review considers the performance, as well as ensure accountability operation and performance of the Board and build legitimacy with stakeholders. and its Committees, and the effectiveness of Board communications. This annual process is supplemented with an external evaluation by Our stakeholders tell us an external provider every three years. Compliance “Today’s architects are strongly committed to sustainable, equitable design that addresses the climate crisis and promotes We have clear procedures to ensure compliance with our obligations under the racial justice. We are pleased to partner with applicable rules and regulations, including companies like CRH who are focused on those issued by the Securities & Exchange sustainability, innovation, and enhancing the Commission. We continue to implement relationship between architects and building the 2018 UK Corporate Governance Code. product manufacturers.” Full details of our governance policies and structures can be found on pages 54-73 of the Robert Ivy, FAIA 2020 Annual Report and Form 20-F and in the EVP/Chief Executive Officer, Governance Appendix available on crh.com. American Institute of Architects (AIA) 42% As at 31 December 2020, 42% of our Board of Directors are female Sustainability governance Embedding Overseen by the Board, the Group Chief Executive has overall responsibility for CRH’s sustainability sustainability performance and for ensuring the effectiveness of our approach to managing into our established permanent committee to deal with all aspects of sustainability. The Board has an safety, environment and social responsibility governance matters. The SESR Committee receives regular updates in each of these areas and is structures responsible for monitoring Group sustainability policies, practices, commitments and actions. As a global leader, we are The Board also receives regular updates on committed to operate as a sustainability matters including environment, sustainable business with health, safety and social performance. policies and procedures that Health and safety benefit our environment, During 2020, the Board and the SESR establish a culture of Committee monitored developments in the integrity and shape our area of safety, including the background long-term response to global to, and learnings from, serious accidents. challenges. These values are They also monitored the implementation of recommendations from an external advisory embedded in our business panel, the implementation of policies in relation Integrity strategy, sustainability to contractor management and energy isolation practices and goals. and the ongoing work to reinforce roles, responsibilities and expectations in the area of safety. In responding to COVID-19, our strong culture of safety ensured that we were able to quickly react to the challenges and implement best practices from the outset to protect the health and wellbeing of employees (see page 22 for more information). Inclusion and diversity The SESR Committee is responsible for monitoring progress in relation to I&D below Board level. The approach to I&D is based on four initial workstreams (Communication; Education & Awareness; People & Practices; Annual report and Data & Measures) and includes the Read more about our development of programmes and toolkits corporate governance to supplement recruitment guidelines, best structures in our 2020 practices and KPIs. The Committee receives Annual Report regular reports on progress towards each priority objective on the I&D roadmap. Employee engagement SESR Committee topics The Board has delegated responsibility to the SESR Committee for managing stakeholder Safety engagement, including with employees, to ensure that the views of all stakeholders are its decision-making process. Current initiatives • Regular safety updates covering Group understood and are taken into consideration in in this area include increasing Board members' safety performance, policies, action plans, and the background, impact and engagement with employees and the establishment of a workforce engagement required remediation actions in relation to any serious incidents project team, comprised of a cross section of employees from across our global business. Corporate purpose In addition to monitoring CRH performance Social responsibility across sustainability matters, the SESR Committee initiated a project and is working • Inclusion & Diversity with management to more fully articulate CRH's • Stakeholder engagement roadmap, purpose in a way that captures our aspirations including workforce engagement and beyond financial returns, communicates the supporting the health and well-being unique nature of CRH, inspires our people and of employees guides our day-to-day operations, our culture • Corporate purpose and our strategy. This work on corporate purpose, together with the CRH approach to I&D and employee engagement, will continue to support the Board's assessment of the alignment of CRH's purpose, values and Reporting strategy with our culture. • Annual and Sustainability Reports Monitoring our policies • Task Force on Climate-Related Financial Disclosures (TCFD) Policy implementation and monitoring is a management responsibility across all • Updates in relation to stakeholder businesses supported by safety officers, regulatory expectations environmental liaison officers, country compliance coordinators and human resource managers. Sustainability risks are integrated into ERM processes to ensure effective monitoring and management. Sustainability/Environment The Group Sustainability team facilitates • Group 2030 sustainability targets all Group sustainability reporting and external assurance. This involves supporting • CRH energy usage and initiatives businesses to better identify and address in place to reduce Group CO2 relevant sustainability-related topics, as well emissions as reporting our sustainability performance, including financial and non-financial KPIs, in both our Annual Report and our annual Sustainability Report. Sustainability performance In this section Reporting history, scope and basis 66 Our sustainability policies 67 Data summary 68 SASB index 72 GRI index 73 DNV assurance statement 81 External recognition and benchmarks 83 Navigation Click on this icon to read additional information in the Sustainability Report on a specific topic Click on this icon to read additional reports and assessments available on crh.com Click on this icon to find more information on CRH, our businesses and our sustainability performance available on crh.com long-term success, sustainability "We understand that to achieve needs to be integrated into all our business activities. To continually drive change, we monitor progress across our activities, outcomes Naomi Cooper and impacts, ensuring that we are transparent in our sustainability Head of Sustainability CRH performance and capture the value we generate for our stakeholders." Lime is an essential product that can contribute to climate, environmental and circular economy solutions. Fels, part of our Europe Materials Division, manufactures lime products which are used in treating drinking water, sewage treatment, flue gas cleaning and sustainable agriculture applications such as fertilisation. To transport its lime products, Fels has managed to increase the rail to truck ratio in favour of utilising a more environmentally friendly rail. Reporting history, we also hold shares in joint ventures and In common with other large companies, associates; a list of principal joint ventures scope and basis and associates is provided on page 254 of the CRH Annual Report and Form 20-F 2020. Data has been collated from over 3,110 locations spread across 30 countries. We have a robust History data collection and management process in place, as assured by DNV for specific KPIs. We published our first report on our sustainability performance in October Our basis for reporting follows the 2004. This Sustainability Report, published GCCA definitions, GRI definitions and in March 2021, covers our activities SASB definitions; these are publicly during 2020 and KPIs cover the period available at www.gccassociation.org, January 2020 to December 2020. It is www.globalreporting.org and www.sasb.org CRH’s 18th annual report on sustainability respectively. Metric units are used throughout, and our 16th Sustainability Report. unless stated otherwise. Independent assurance This Sustainability Report was reviewed and approved by the Safety, Environment and Our report has been independently assured Social Responsibility (SESR) Committee of the CRH Board prior to publication. every year since 2005. You can find a detailed assurance statement on pages 81-82. We believe that the scope of this report addresses the full range of environmental, Reporting standards social and governance (ESG) aspects of our This report has been prepared in accordance organisation. We have considered the GRI’s with the GRI Reporting Standards Reporting Principles for Defining Report Comprehensive Option. The GRI content index Content. A formal materiality assessment is provided from page 73. In addition, the carried out with the assistance of an Report is in accordance with the Sustainability independent third party ensured we identified Accounting Standards Board (SASB) and reported on the most material topics reporting standards, detailed on page 72. related to our business (see pages 16-17). In 2020, we became a supporter of the The boundary for all material aspects was Financial Stability Board’s ‘Task Force on considered to be within the organisation. Climate-related Financial Disclosures’ (TCFD). We have considered the principles of stakeholder on a no-reprisals basis that sustainability principles are embedded in all areas Social of our business strategy. The CRH Social Policy, applied across all operating companies, is to: We are committed to maintaining the • Comply at a minimum, with all applicable legislation and continuously improve our social highest quality in all things we do, from stewardship, aiming all the time to meet or exceed industry best practice standards the products we produce and our culture • Support freedom of association and recognise the right to collective bargaining of safety, to engaging with stakeholders. • Apply the principle of equal opportunity, valuing diversity regardless of age, gender, disability, Our high standards are underpinned putting safety first, continuously creating Commitment creed, ethnic origin or sexual orientation, while insisting that merit is the ultimate basis for Policy by our unwavering values, including recruitment and selection decisions value and leading with integrity. of • Manage our businesses in a fair and equitable manner, meeting all our social responsibilities to sustainability Our management team works closely including working conditions, as both a direct and indirect employer We set policies in key sustainability in our business • Ensure that we deal responsibly with our suppliers and customers in accordance with our Code areas at Group level, covering Health strategy of Business Conduct, Supplier Code of Conduct and proper business practice and Safety, Social and Environment. • Prohibit forced, compulsory and child labour in all forms including modern slavery with our businesses in implementing these policies, reinforcing our guiding Environmental principles and ensuring that our vision, mission and values are shared The CRH Environmental Policy, applied across operating companies, is to: across the globe. The ‘Statement • Address proactively the challenges of climate change, reduce emissions and waste as well as of Policy’ for each of these key optimise our use of energy, water, land and other resources sustainability areas can be seen here. • Promote sustainable product and process innovation and new business opportunities • Support and enhance biodiversity, ensuring responsible land use and biodiversity management • Comply with or exceed all applicable environmental legislation and continually implement and Policy improve our environmental management systems, always striving to meet or exceed industry of best practice standards, monitoring and reporting performance • Maintain open communications and ensure that our employees and contractors are aware of and adhere to their environmental responsibilities • Maintain positive relationships with stakeholders through engagement and consultation, always striving to be good neighbours in every community in which we operate 68 Overview Sustainability priorities Sustainability performance + Data summary Data summary Social ! Please Note: Data refers to subsidiaries on a 100% basis unless otherwise stated. SAFETY 2020 2019 2018 COMMENT GCCA KPIs refer to cement plants only. Refer to www.gccassociation.org Number of fatalities (directly employed) 0 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. for definitions of these KPIs. Fatality rate per 10000 (directly employed) 0 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. Number of fatalities (indirectly employed) 2 0 1 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. 1. KPIs for Climate Change, Alternative Fuels Number of fatalities (involving 3rd parties) 0 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. & Materials, Emissions, Minor Emissions Number of lost time injuries (directly employed) and Water (with an exception) include 36 35 34 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. subsidiaries on a 100% basis. Number of lost days (directly employed) 1,021 859 1,357 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. 2. KPIs for Health & Safety, Emissions LTI rate per 1m work-hours (directly employed) 2.09 1.87 1.95 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. Monitoring and Local Impacts include only cement subsidiary companies. Severity rate per 1m work-hours (directly employed) 59 46 79 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. Severity rate per 1m work-hours (directly and indirectly 3. KPI for % of sites with a water recycling 39 34 39 employed for all Group subsidiary companies) system including subsidiaries on a 100% basis together. Number of lost time injuries (indirectly employed) 25 29 19 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. 4. “Accident”, in the context of safety Lost time injuries per 1m work-hours (indirectly employed) 1.18 1.00 0.69 GCCA KPI for Health/Safety. Refers to cement plants only. See note 2. statistics, refers to a non-fatal work-related injury to a company’s, contractor’s or sub- contractor’s employee working at a CRH location (office, production, distribution, EMPLOYMENT 2020 2019 2018 EMPLOYEES BY COUNTRY 2020 2019 2018 etc.) or contract location, or in work-related transit from or between those locations, New employment per region United States 50% 44% leading to an absence of one or more days America 78% 74% 64% Other 18% (or shifts) from work (not counting the day 25% Europe 21% 25% 35% United Kingdom 12% 9% of the accident). Asia 1% 5. “Fatality” refers to the work-related Canada 7% 8% death of a company’s, contractor’s or New employment by gender France 4% sub-contractor’s employee at a CRH Male 87% 86% 85% Germany 3% location (office, production, distribution, 4% Female 13% etc.) or contract location. Exemptions to 14% 15% Ireland 3% summary 20-24 years 8% reporting are in accordance with the GCCA 7% Management Employee turnover by gender 12% 11% 13% Poland 3% Guidelines and in summary include death Male 87% 86% due to natural causes, death due to criminal Female 13% or illegal acts or death while in transport to 13% 14% and from work. Length of service 6. “Recordable incidents” refers to all injuries < 1 year 11% 15% TRAINING AND EDUCTION 2020 2019 2018 (both on-site and off-site) including 1-4 years 31% 29% fatalities, accidents and all injuries requiring Employee training by category 5-9 years medical treatment (but not first aid) to a 18% 16% 15% (%of total training hours) company’s, contractor’s or sub-contractor’s 10-14 years 11% 12% 14% Operations 75% 76% 71% employee working at a CRH location (office, 15-19 years 10% production, distribution etc.) or contract Clerical / Admin 13% 16% location, or in work-related transit from or between those locations. Data > 25 years 11% 10% % of employees receiving career Employee by category development reviews Operations 70% 69% Operations 42% 28% Clerical / Admin 17% 18% 20% Clerical / Admin 40% 29% 25% Managerial 13% 12% 11% Managerial 59% 54% 51% 69 Overview Sustainability priorities Sustainability performance + Data summary Data summary LOCAL COMMUNITIES 2020 2019 2018 COMMENT Continued Donations ($m) $8.3m $7.4m $5.6m Civic & Community 28% 51% 42% Other 43% 21% 20% Community Development & Environment 8% 13% 17% Education & Research 17% 11% 17% Arts & Culture 1% 3% 4% Job Creation 3% 1% 0% % of sites with community engagement plans 88% 86% GCCA KPI for Local Impacts. Refers to cement plants only. See note 2. in place • Emissions: Particulates, specific (g/tonne of in the Report, we have used CRH’s Reporting 3. GRI Standards that the report is in line with “Comprehensive” and procedures regarding compliance with ethical opinion, so that the risk of this conclusion being in indicators history, scope and basis section (the “Data Criteria”), inherent limitations explained below. requirements, professional standards and applicable which can be found on page • Climate Change: Total CO2 emissions (Gross) 66 of the Report. legal and regulatory requirements. 2. AA1000 Principles (metric tonnes); Total CO2 emissions (Net) (metric Based on the work we have undertaken, nothing 2. AA1000 Principles The procedures performed in a Limited Assurance tonnes); Total CO2 (Gross) specific (kg per tonne has come to our attention that leads us to conclude engagement vary in nature and timing from, and of cementitious product) and Total CO2 (Net) The nature and extent of adherence of the Report to that the Report is not in adherence with the AA1000 are less in extent than for, a reasonable assurance specific (kg per tonne of cementitious product); the AA1000 AccountAbility principles of inclusivity, Principles as described in the Principles Criteria. engagement; and the level of assurance obtained materiality, responsiveness and impact (the “AA1000 We comment on the nature and extent of each is substantially lower than the assurance that would • Emissions Monitoring: % Clinker produced Principles”). To assess the AA1000 Principles with monitoring of major emissions; % Clinker have been obtained had a reasonable assurance individually below. we have used the publicly available AA1000 engagement been performed. We planned and produced using continuous monitoring of major AccountAbility Principles (AA1000AP) 2018 (the 3. GRI Standards performed our work to obtain the evidence we emissions; and % CO2 emissions covered; “Principles Criteria”). considered sufficient to provide a basis for our Based on the work we have undertaken, we believe clinker); Particulates, total (tonnes per year); NOX, requirements of the GRI Standards 2018 (the error is reduced but not reduced completely. assurance specific (g/tonne of clinker); NOX, total (tonnes Preparation of the Report in accordance with the Standards and level of assurance measurement, analysis and reporting of “Consolidated set of GRI Sustainability Reporting per year); and SOX, specific (g/tonne of clinker); GRI Standards. To assess the preparation of the Basis of our conclusion Standards 2018”). SOX, total (tonnes per year); NOX, SOX and Report in accordance with the GRI Standards we have used the publicly available GRI Standards 2018 1. Selected Information Particulates emissions coverage rate (%); 4. SASB Standards: selected indicators (the “Consolidated set of GRI Sustainability reporting We are required to plan and perform our work in • Minor Emissions: VOC/THC, total (tonnes per Based on the work undertaken, nothing has come standards 2018”). order to consider the risk of material misstatement year); VOC/THC, specific (g/tonne of clinker); to our attention that causes us to believe that the of the Selected Information. Our work included, but PCDD/F, total (mg per year); PCDD/F, specific 4. SASB Indicators Selected Indicators are not fairly stated, and has not was not restricted to: (ng/tonne of clinker); Hg, total (kg per year); Hg, • EM-CM-110a.1: Gross global Scope 1 been prepared in all material respects in accordance specific (mg/tonne of clinker); HM1, total (kg per emissions, percentage covered under with the Industry standard Construction Materials • Assessing the appropriateness of the Data year); HM1, specific (mg/tonne of clinker); HM2, emissions-limiting regulations Sustainability Accounting Standard 2018, prepared Criteria for the Selected Information; total (kg per year); HM2, specific (mg/tonne of by the Sustainability Accounting Standards Board • Reviewing Group procedures, policies and clinker); and VOC/THC, PCDD/F, Hg, HM1 and • EM-CM-120a.1: Air emissions of the following (SASB). guidance for data collection, aggregation, HM2 emissions coverage rate (%); pollutants: • Water: Total water withdrawal by source (million - NOX (excluding N2O) specified performance information at site, and DNV third parties); Number of lost time injuries (directly m3); total water consumption (million m3);and For the Selected Information, we performed a - SOX by the International Auditing and Assurance generate, aggregate and report the Selected Group levels, and assessing their alignment with Limited Assurance engagement in accordance total water discharge (million m3); the Data Criteria; - Particulate matter (PM10) with the International Standard on Assurance • Health and Safety: Number of fatalities (directly Engagements (ISAE) 3000 revised – ‘Assurance • Conducting interviews with CRH’s management and indirectly employed); Fatality rate per 10,000 - Dioxins/furans Engagements other than Audits and Reviews of to obtain an understanding of the key (directly employed); Number of fatalities (involving - Volatile organic compounds (VOCs) Historical Financial Information’ (revised), issued processes, systems and controls in place to - Heavy metals and indirectly employed); Lost Time Incident Information; 82 Overview Sustainability priorities Sustainability performance + DNV assurance statement • Virtual visits to sites selected in conjunction in conjunction with CRH, with responsibility • Preparing the Report in adherence to the • We observed that a thorough and robust quality with CRH, including: Fels-Werke GmbH, (Kaltes for management of sustainability issues and AA1000 Principles; control process is in place for Environmental, Tal), Germany; Slovakia CRH (Slovensko) a.s. reviewing selected evidence to support the Health and Safety and Social data where • Designing, implementing and maintaining (Turna cement plant), Slovakia; Tarmac Cement issues discussed. variances and outlier values are investigated effective internal controls over the information and Lime Limited (Tunstead cement plant), UK; Finnsementti Oy (Parainen cement plant), 3. GRI Standards with a focus on continuous improvement of data and data, resulting in the preparation of the quality; and Selected Information that is free from material Finland; Opterra GmbH, (Wössingen), Germany; We reviewed the Report to form an opinion over its misstatements; Ash Grove Cement Company, (Foreman cement • We noted a small number of immaterial preparation against the GRI Standards. plant), USA; Ash Grove Cement Company, corrections to Selected Information data • Measuring and reporting the Selected 4. SASB Standards (Midlothian cement plant), USA; Oldcastle submitted from sites visited. Updated data was Information based on their established Data Infrastructure Inc., (Mansfield plant), USA - to provided in all cases and incorporated correctly We are required to plan and perform our work Criteria; and in consolidated data presented in the Report. review processes and systems for preparing in order to form an opinion over the reporting of • The contents and statements contained within the Selected Information at site level for selected indicators in accordance with the Industry the Report and the Data Criteria. 2. AA1000 Principles consolidation at Group level. Also, performing standard 'Construction Materials' Sustainability limited substantive testing on a selective basis • Inclusiveness: CRH engages with a wide range Accounting Standard 2018 prepared by the Our responsibility is to plan and perform our work to of the Selected Information to check that data of stakeholders, at site as well as Group level. Sustainability Accounting Standards Board (SASB). obtain limited assurance about: Feedback from stakeholders interviewed was had been appropriately measured, recorded, • Whether the Selected Information has been largely positive; collated and reported at site level. These Inherent limitations prepared in accordance with the Data Criteria sites were chosen to provide a representative All assurance engagements are subject to inherent • Materiality: CRH undertook an updated and to report to CRH in the form of an sample, based on the type and tonnage of limitations as selective testing (sampling) may not materiality process in 2019, and reviewed this independent limited assurance conclusion, material produced, geographical location, and detect errors, fraud or other irregularities. Non- again in 2020. This resulted in the importance of based on the work performed and the evidence whether the site was a legacy plant or a recent financial data may be subject to greater inherent some material issues being adjusted based on obtained; and acquisition. The percentage contribution of uncertainty than financial data, given the nature the latest stakeholder feedback. cement plants visited to overall cement-related and methods used for calculating, estimating and • Whether the Report is in adherence to the • Responsiveness: Information received from CO2 gross emissions was 13.6%; determining such data. The selection of different, but AA1000 Principles as described in the Principles the Stakeholder interviews we conducted acceptable, measurement techniques may result in Criteria, and comment on the nature and extent • Virtual visit to CRH’s headquarters in Dublin, different quantifications between different entities. demonstrated a high level of responsiveness to of each individually. Ireland, to review the processes for gathering stakeholder feedback; and and consolidating the Selected Information and Our assurance relies on the premise that the data We have not been responsible for the preparation of • Impact: CRH has identified the major impacts checking its consolidation; and information provided to us by CRH have been the Report. (either direct or indirect) that they have on their • Reviewing that the evidence, measurements provided in good faith. DNV expressly disclaims any Observations stakeholders. Moving forward, CRH could and their scope provided to us by CRH for the liability or co-responsibility for any decision a person consider enhancing the disclosures of these statement Selected Information was prepared in line with or an entity may make based on this Independent Our observations and areas for improvement were direct and indirect impacts within their report. the Data Criteria; and Limited Assurance Report. raised in a separate report to CRH’s management. assurance • Reviewing CRH’s approach to stakeholder Selected observations are provided below. These • Reading the Report and narrative accompanying Our competence, independence and observations do not affect our conclusions set out DNV GL Business Assurance Services UK the Selected Information in the Report with quality control above. Limited regards to the Data Criteria. DNV established policies and procedures are 1. Selected Information London, UK 2. AA1000 Principles designed to ensure that DNV, its personnel • We noted senior management commitment to 26th of March 2021 and, where applicable, others are subject to We are required to plan and perform our work in sustainability performance, and there continued order to form an opinion over the adherence of independence requirements (including personnel of other entities of DNV) and maintain independence to be a thorough review of performance at Board “DNV” is a trading name of DNV GL Business the AA1000 Principles of the Report. Our work where required by relevant ethical requirements. level; included, but was not restricted to: Assurance Services UK Limited, a wholly owned subsidiary of DNV GL Business Assurance This engagement work was carried out by an • Accurate reporting of contractor working hours • Reviewing the current sustainability issues that independent team of sustainability assurance continues to be challenging in line with the Group, and a global provider of certification, could affect CRH and would be of interest to professionals. Our multi-disciplinary team consisted building materials sector generally. Whilst we verification, assessment and training services, stakeholders; of professionals with a combination of environmental recognise that there have been improvements helping customers to build sustainable business and sustainability assurance experience. since the last reporting cycle, we recommend performance. Registered Office: 4th Floor, Vivo engagement and interviews with four external CRH continues to focus on this issue to further Building, 30 Stamford St, London SE1 9LQ DNV • Interviewing senior management, selected Responsibilities of the management of improve data quality and accuracy with a stakeholders; www.dnv.com/assurance/ CRH and DNV particular insight on third party transport; • Reviewing information provided to us by CRH The management of CRH has sole responsibility for: on its reporting and management processes relating to the AA1000 Principles; and • Preparing and presenting the Selected Information in accordance with the Data Criteria; Note on generally, but not always, be identified by These forward-looking statements may forward-looking “should”, “could”, “would”, “targets”, “aims”, the use of words such as “will”, “anticipates”, statements to”, “estimates”, “believes”, “intends” or similar “may”, “continues”, “expects”, “is expected expressions. These forward-looking statements include all matters that are not historical facts or matters of fact at the time of this document. In order to utilise the “Safe By their nature, forward-looking statements Harbor” provisions of the involve risk and uncertainty because they United States Private Securities relate to events and depend on circumstances Litigation Reform Act of 1995, that may or may not occur in the future and CRH plc (the ‘Company’), and reflect the Company’s current expectations its subsidiaries (collectively, and assumptions as to such future events and circumstances that may not prove accurate. ‘CRH’ or the ‘Group’) is A number of material factors could cause actual providing the following results and developments to differ materially cautionary statement. from those expressed or implied by these forward-looking statements, certain of which are beyond our control and which include, among other things: economic and financial conditions generally in various countries and regions where we operate; the pace of recovery in the overall construction and building materials sector; demand for infrastructure, residential and non-residential construction in our geographic markets; increased competition and its impact on prices; increases in energy and/or raw materials costs; adverse changes to laws and regulations; approval or allocation of funding for infrastructure programmes; adverse political developments in various countries and regions; failure to complete or successfully integrate acquisitions. Partners. (The inclusion of CRH public limited company in any MSCI Index, and the use of MSCI logos, trademarks, service marks or index names herein, do not constitute a sponsorship, endorsement or promotion of CRH Brand public limited company by MSCI or any of its affiliates. The MSCI Indexes are the exclusive property of MSCI. MSCI and the MSCI Index names and logos are trademarks or service marks of MSCI or its affiliates.) Copyright ©2021 Sustainalytics. All rights reserved. This Report contains information developed by Sustainalytics Numo (www.sustainalytics.com). Such information and data are proprietary of Sustainalytics and/or its third party suppliers by (Third Party Data) and are provided for informational purposes only. They do not constitute an endorsement of any Designed product or project, nor an investment advice and are not warranted to be complete, timely, accurate or suitable for a particular purpose. Their use is subject to conditions available at www.sustainalytics.com/legal-disclaimers CRH plc Stonemason's Way Rathfarnham Dublin 16 D16 KH51 Ireland Telephone: +353 1 404 1000 E-mail: mail@crh.com Website: www.crh.com Registered Office 42 Fitzwilliam Square Dublin 2 D02 R279 Ireland Telephone: +353 1 634 4340 Fax: +353 1 676 5013 E-mail: crh42@crh.com CRH® is a registered trade mark of CRH plc. Frank Heisterkamp Director of Capital Markets & ESG Naomi Cooper Head of Sustainability We welcome feedback and comments from stakeholders on our sustainability reporting. Cover image: Our sustainable products are essential to deliver the solutions needed in the transition to renewable energy. For example, CRH Serbia, part of our Europe Materials Division, supplied 34,000m3 of specialised concrete for the construction of 38 wind turbine foundations as part of the Kovacica windfarm project. The Kovacica windfarm is the third largest windfarm in Serbia, representing one-fifth of the planned national wind energy capacities for Serbia. Once operational, the windfarm will reduce CO2 emissions in Serbia

Further information

mapping our disclosures to inclusiveness, sustainability context, materiality, the TCFD standards is included on page 12. completeness, balance, comparability, accuracy, timeliness, clarity and reliability and believe Reporting scope and that this report meets these principles. basis for reporting In general, administration buildings are This report is based on data from 100% not included in environmental data, as of our subsidiaries covering the calendar these are not material contributors - they year 2020. Our principal subsidiaries would contribute to less than 0.01% of are listed on pages 250-253 of the CRH emissions, waste and resource use. Annual Report and Form 20-F 2020. Sustainability Guidelines for the monitoring and Calculation methodologies For reporting of water, we used the GCCA For reporting CO2 emissions we use the GCCA reporting of water in cement manufacturing. 'Sustainability Guidelines for the monitoring and For reporting of safety indicators, we use reporting of CO2 from cement manufacturing' the GCCA 'Sustainability guidelines for the and the accompanying Excel spreadsheet, monitoring and reporting of safety in cement'. ‘Cement CO2 and Energy Protocol, Version 3.1, CO2 Emissions and Energy Inventory’. In this methodology, CO2 from biomass fuels is Intended audiences considered climate neutral. We calculate CO2 The key audiences for this report are our emissions from other activities using appropriate stakeholders including employees, neighbours emission factors and in line with the World and local communities, current and potential Resources Institute Greenhouse Gas Protocol investors, sustainability rating agencies, (Revised Edition). We calculate Scope 2 emissions customers and suppliers, government and from electricity in line with the location-based regulatory bodies, academia and the scientific method of the World Resources Institute community, media, Non-Governmental Greenhouse Gas Protocol Scope 2 Guidance Organisations (NGOs) and pressure groups. (2015), using 'International Energy Agency We believe that this report provides a (2020) Emissions Factors' (published in 2020) reasonable and balanced representation and eGRID2018 'Summary Table' for emissions of the Group’s material sustainability areas factors (published in 2020). We calculate Scope of impact and opportunity. It is designed to 3 emissions in line with the GHG Protocol's enable stakeholders to assess the Group’s Scope 3 Standard and the GHG Protocol's performance across these areas. Scope 3 Standard for cement companies, using the UK Government 'GHG conversion factors Reporting challenges for company reporting 2020'. CO2 reduction targets have a base year of 1990 in line with the Our reports are written for our stakeholders, Kyoto Protocol and standard industry practice. but with global and local stakeholders in For reporting energy, we convert quantities of 30 countries, expectations and needs vary energy used to multiples of kWh using appropriate significantly. In addition, our diversified calorific values where necessary. Data on business means that the internal and reduction of energy consumption is consolidated external context for sustainability is complex. from data reported by our businesses. To meet these challenges, we focus on stakeholder inclusiveness, which, together For reporting air emissions, we use the with our materiality and risk management GCCA 'Sustainability Guidelines for the processes, helps to ensure we cover monitoring and reporting of emissions from key areas in a complete and balanced cement manufacturing'. The greater portion way in our sustainability reporting. of air emissions are based on measurements – refer to page 70 for details of the Sustainability reporting is evolving with portion of emissions from cement plants covered by continuous monitoring systems. revisions to reporting standards and changing best practices. During 2020, we participated Air emissions from certain facilities in the US in consultation processes in relation to are calculated using US EPA AP-42 factors. transparency and reporting on sustainability. Our 2020 air emissions reduction targets Looking to the future, we aim to continuously have a base year of 2006, as the targets improve our reporting and communications were agreed in 2007 and 2006 was the on sustainability so that all stakeholders latest full year for which data was available. are aware of our value adding approach. 67 Overview Sustainability priorities Sustainability performance + Sustainability policies Health and Safety All working in CRH must: Our • Comply, at a minimum, with all applicable health and safety legislation by sustainability developing a culture of health and safety excellence, continuously striving to meet or exceed industry best practice standards policies • Ensure that our companies provide a healthy and safe workplace for all employees and Policy contractors and take due care of stakeholders such as customers, visitors and communities at all our locations, monitoring and reporting performance to ensure Policy compliance of • Maintain open communications and require all employees and contractors to work in a safe manner as mandated With our global presence and • Ensure that appropriate resources, training and supervision are provided industry leadership positions, • Ensure that everyone working at CRH has the authority and responsibility to stop unsafe work we are committed to ensuring

Environmental hazards

ENERGY 2020 2019 2018 COMMENT Energy efficiency (kcal per kg of clinker) 901 890 899 GCCA KPI for Alternative Fuels & Materials. Refers to cement plants only. See note 1. % fuel substitution for virgin fuels 34.3% 31.1% 30.3% GCCA KPI for Alternative Fuels & Materials. Refers to cement plants only. See note 1. % biomass in kiln fuel 11.3% 9.2% 9.7% GCCA KPI for Alternative Fuels & Materials. Refers to cement plants only. See note 1. Renewable electricity purchased by CRH (GWh) 1,834 1,849 1,101 EMISSIONS 2020 2019 2018 COMMENT Total gross CO2 emissions (million tonnes) 26.5 29.9 30.4 GCCA KPI for Climate Change. Refers to cement plant only. See note 1. Total net CO2 emissions (million tonnes) 24.2 27.5 28.1 GCCA KPI for Climate Change. Refers to cement plant only. See note 1. Specific gross CO2 emissions 627 641 644 GCCA KPI for Climate Change. Refers to cement plant only. See note 1. (kg per tonne of cementitious product) Specific net CO2 emissions 573 590 595 GCCA KPI for Climate Change. Refers to cement plant only. See note 1. (kg per tonne of cementitious product) Total air emissions (tonnes) summary Cement 93% 91% Total NOx 42.6k 44.6k 40.7k Total SOx 15.9k 14.6k Total Particulates (dust) 4.7k 5.5k 5.4k NOx by Activity (%) Cement 94% 93% 92% Materials 4% Lime 2% 3% Concrete <1% 1% Building products <1% SOx by Activity (%) Materials 4% Data 4% Lime 3% Concrete <1% 2% Building products <1% 70 Overview Sustainability priorities Sustainability performance + Data summary Data summary EMISSIONS (CONTINUED) 2020 2019 2018 COMMENT Continued % particulates (dust) by activity Cement 48% 57% 54% Materials 37% 32% 35% Lime 5% 6% Concrete 10% 5% Building products <1% % clinker produced with monitoring of major and 83.9% 66.1% 75.4% GCCA KPI for Alternative Fuels & Materials. Refers to cement plants only. See note 2. minor emissions % clinker produced using continuous monitoring of 98.8% 94.3% GCCA KPI for Alternative Fuels & Materials. Refers to cement plants only. See note 2. major emissions Particulates (dust) GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Specific (g per tonne of clinker) 31 51 48 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Total (tonnes per year) 981 1,797 1,715 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Coverage rate 98.8% 95.0% 94.7% GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. NOx GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Specific (g per tonne of clinker) 1,221 1,189 1,072 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Total (tonnes per year) 39,027 42,180 38,630 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Coverage rate 98.8% 95.0% 94.7% GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. SOx GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Specific (g per tonne of clinker) 429 381 388 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Total (tonnes per year) 13,722 13,533 13,981 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Coverage rate 98.8% 95.0% 94.7% GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. VOC/THC (total hydrocarbons including methane and GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. ethane expressed as carbon) Specific (g per tonne of clinker) 46 168 80 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. Total (tonnes per year) 1,367 5,021 2,371 GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. % of clinker produced with monitoring 93.9% 84.3% 82.3% GCCA KPI for Major Emissions. Refers to cement plants only. See note 1. PCDD/F (sum of 17 congeners of NATO scheme GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. expressed as I-TEQ) Specific (mg per tonne of clinker) 25 29 27 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. summary Total (mg per year) 763 880 807 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. % of clinker produced with monitoring 94.9% 85.0% 83.8% GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. Hg (mercury and its compounds expressed as mercury) GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. Specific (mg per tonne of clinker) 21 24 20 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. Total (kg per year) 657 738 617 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. % of clinker produced with monitoring 100.0% 88.3% 85.6% GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. HM1 (sum of cadmium and thailium and their GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. compounds expressed as cadmium and thailium) Specific (mg per tonne of clinker) 12 24 90 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. Total (kg per year) 342 625 2,009 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. % of clinker produced with monitoring 92.1% 73.3% 62.0% GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. HM2 (sum of antimony, arsenic, lead, chromium, cobalt, copper, manganese, nickel and vanadium and Data % of clinker produced with monitoring 79.4% 69.5% 60.4% GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. their compounds expressed as antimony, arsenic, GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. lead, chromium, cobalt, copper, manganese, nickel and vanadium) Specific (mg per tonne of clinker) 223 785 359 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. Total (kg per year) 5,654 19,341 7,826 GCCA KPI for Minor Emissions. Refers to cement plants only. See note 1. 71 Overview Sustainability priorities Sustainability performance + Data summary Data summary WATER 2020 2019 2018 COMMENT Continued Water withdrawal (total) (million m3) 109.9m m3 108.7m m3 119.6m m3 Water withdrawal by source (%) Quarry Water 21% 22% Surface water 24% 25% 28% Groundwater (well) 33% 31% 32% Utility (mains) 9% 8% Rainwater 13% 10% Water withdrawal by activity (%) Materials 72% 75% 81% Cement 22% 21% 15% Concrete 5% 2% Lime 1% 2% Building Products <1% Water withdrawal by source (total) (million m3) 23.4m m3 23.8m m3 19.6m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Surface 6.7m m3 7.7m m3 8.7m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Groundwater 8.4m m3 8.7m m3 6.5m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Quarry 1.9m m3 2.6m m3 2.8m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Utility 0.7m m3 1.0m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Rain 5.7m m3 4.1m m3 0.6m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Total water consumption (GWT for cement sector) 9.8m m3 11.5m m3 9.3m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. % of sites with a water recycling system 58% 51% GCCA KPI for Water. Refers to cement plants only. See note 3. MATERIALS 2020 2019 2018 COMMENT Materials used by weight or volume (total) (tonnes) 424m 438m 436m Virgin raw materials 371m 383m 385m Associated process materials 7m Semi-manufactured components 46m 47m 44m Includes alternative materials. Packaging materials 374k 342k 234k % of alternative materials (clinker and cement) 13.0% 14.7% 13.8% GCCA KPI for Alternative Fuels & Materials. Refers to cement plants only. See note 1. Clinker : cement ratio 77.5 77.3 78.3 GCCA KPI for Alternative Fuels & Materials. Refers to cement plants only. See note 1. summary EFFLUENTS AND WASTE 2020 2019 2018 COMMENT Water discharge by quality and destination (total) 30.6m m3 33.1m m3 44.5m m3 % Discharged to surface water 79% 86% 96% % Discharge to public sewer and other 21% 14% 4% Water discharge by destination (total) (million m3) 13.6m m3 12.4m m3 10.3m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Surface water 13.3m m3 12.2m m3 10.2m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Public sewer 0.1m m3 GCCA KPI for Water. Refers to cement plants only. See note 1. Other 0.2m m 0.1m m3 <0.1m m3 Waste by type and disposal method (total) (tonnes) 2.0m 2.4m 2.3m Inert waste 1,381k 1,531k 1,416k Non-hazardous waste 603k 784k 791k Hazardous waste 49k 62k 63k LOCAL IMPACTS 2020 2019 2018 COMMENT % of active sites with quarry rehabilitation plans 93% 90% GCCA KPI for Local Impacts. Refers to cement plants only. See note 2. Number of active quarries within, containing or adjacent to areas designated for their high 32 33 30 GCCA KPI for Local Impacts. Refers to cement plants only. See note 2. biodiversity value Data % of sites with high biodiversity value where biodiversity management plans are 84% 82% 73% GCCA KPI for Local Impacts. Refers to cement plants only. See note 2. actively implemented 72 Overview Sustainability priorities Sustainability performance + SASB index Sustainability Accounting Standards Board SASB is an independent, private sector standards-setting organisation dedicated to enhancing the efficiency of the capital markets by fostering high-quality disclosure of material sustainability information that meets investor needs. The table below cross-references the SASB accounting metrics with where that information can be found in the CRH Sustainability Report 2020 (labelled pg. ). TOPIC ACCOUNTING METRIC UNIT OF SASB CODE REFERENCE Greenhouse Gross global Scope 1 emissions Metric tonnes (t) CO2-e EM-CM-110a.1 Sustainability Report, pg. 30, pg. 66 and pg. 68. CO2 is the only material GHG. Percentage covered under emissions-limiting regulations Percentage (%) EM-CM-110a.1 Sustainability Report, pg. 28 and pg. 66. Gas emissions Discussion of long-term and short-term strategy or plan to manage Scope 1 emissions, n/a EM-CM-110a.2 Sustainability Report, pg. 14-15 and pg. 28-31. emissions reduction targets, and an analysis of performance against those targets Air quality 1. NOx (excluding N2O) Metric tonnes (t) EM-CM-120a.1 Sustainability Report, pg. 69-70. 2. SOx Metric tonnes (t) EM-CM-120a.1 Sustainability Report, pg. 69-70. 3. Particulate matter (PM10) Metric tonnes (t) EM-CM-120a.1 Sustainability Report, pg. 69-70. 4. Dioxins/furans Metric tonnes (t) EM-CM-120a.1 Sustainability Report, pg. 70. Cement is the only material activity reporting Dioxins/furans. 5. Volatile organic compounds (VOCs) Metric tonnes (t) EM-CM-120a.1 Sustainability Report, pg. 70. We disclose VOCs in line with GCCA requirements. 6. Polycyclic aromatic hydrocarbons (PAHs) Metric tonnes (t) EM-CM-120a.1 Sustainability Report, pg. 70. 7. Heavy metals Metric tonnes (t) EM-CM-120a.1 Sustainability Report, pg. 70. Cement is the only material activity reporting Hg and HM1. Energy management 1. Total energy consumed Gigajoules (GJ) EM-CM-130a.1 Sustainability Report, pg. 34 and pg. 75. 2. Percentage grid electricity Percentage (%) EM-CM-130a.1 Sustainability Report, pg. 34. 3. Percentage alternative Percentage (%) EM-CM-130a.1 Sustainability Report, pg. 34. 4. Percentage renewable Percentage (%) EM-CM-130a.1 Sustainability Report, pg. 34 and pg. 69. Water management 1. Total fresh water withdrawn Thousand cubic metres (m³) EM-CM-140a.1 Sustainability Report, pg. 37 and pg. 71, all water withdrawal is from freshwater sources 2. Percentage recycled Percentage (%) EM-CM-140a.1 Information on the number of sites that recycle water and percentage of water intake reduced can be found on pg. 37 pg. 71. 3. Percentage in regions with "High" or "Extremely High" baseline water stress Percentage (%) EM-CM-140a.1 We have conducted water stress assessments in accordance with WRI's Aqueduct Risk Atlas Tool and determined that <1% of active locations are in high or extremely high-risk areas of water stress, and that Group activities do not highly impact on water and locations generally do not operate in water-stressed areas. See pg. 37 for more information. Waste management Amount of waste generated Metric tonnes (t) EM-CM-150a.1 Sustainability Report, pg. 36 and pg. 71. Percentage hazardous Percentage (%) EM-CM-150a.1 Sustainability Report, pg. 36 and pg. 71. Percentage recycled Percentage (%) EM-CM-150a.1 Sustainability Report, pg. 36. Biodiversity impacts Description of environmental management policies and practices for active sites n/a EM-CM-160a.1 Sustainability Report, pg. 27 and pg. 67. Terrestrial acreage disturbed Acres (ac) EM-CM-160a.2 Information on restoration planning processes and relevant targets can be found on pg. 38. Percentage of impacted area restored Percentage (%) EM-CM-160a.2 Information on restoration planning processes and relevant targets can be found on pg. 38. Workforce health and 1. Total recordable incident rate (TRIR) Rate Sustainability Report, pg. 68. We disclose our safety KPIs in line with GCCA requirements. safety 2. Near miss frequency rate (NMFR) for (a) fulltime employees Sustainability Report, pg. 68. We disclose our safety KPIs in line with GCCA requirements. Rate 2. Near miss frequency rate (NMFR) for (b) contract employees Rate Sustainability Report, pg. 68. We disclose our safety KPIs in line with GCCA requirements. Number of reported cases of silicosis Number Information on the management of occupational health can be found on pg. 25. Product innovation Percentage of products that qualify for credits in sustainable building design and Percentage (%) by annual SASB EM-CM-410a.1 Sustainability Report, pg. 47. construction certifications sales revenue Total addressable market for products that reduce energy, water, and/or material Reporting currency EM-CM-410a.2 Sustainability Report, pg. 31, pg. 33-34, pg. 36 and pg. 47-49. impacts during usage and/or production Share of market for products that reduce energy, water, and/or material impacts during Percentage (%) EM-CM-410a.2 Sustainability Report, pg. 31, pg. 33-34, pg. 36 and pg. 47-49. usage and/or production Pricing integrity Total amount of monetary losses as a result of legal proceedings associated with Reporting currency EM-CM-520a.1 In 2020, CRH had zero monetary losses as a result of legal proceedings associated with and transparency cartel activities, price fixing, and anti-trust activities these activities, per SASB’s guidance. 73 Overview Sustainability priorities Sustainability performance + GRI index GRI index Where relevant, GRI Standards reference indicator codes are shown with either the relevant figure or the page number where the information may be found. Pages within the Sustainability Report are labelled [“pg. ”] while “AR.” refers to the page number within the CRH 2020 Annual Report and Form 20-F and “GA.” refers to the CRH 2020 Governance Appendix. GRI covers all Group subsidiary companies, on a 100% basis. For details on external assurance conducted by DNV please see page 81-82. GRI CODE DESCRIPTION REFERENCE COMMENT Organisational profile 102 - 1 Name of the organisation pg. 73. See comment CRH plc. 102 - 2 Activities, brands, products and services pg. 3, 18, 47, 48 102 - 3 Location of headquarters pg. 73. See comment Dublin, Ireland. 102 - 4 Location of operations pg. 3; AR pg. 250-254, 258-259 102 - 5 Ownership and legal form pg. 3, 73. See comment CRH is a public limited company, incorporated in Ireland. 102 - 6 Markets served pg. 3; AR pg. 250-254, 258-259 102 - 7 Scale of organisation pg. 3, 18, 43, 59; AR pg. 2-3, 41-52, 258-259 102 - 8 Information on employees and other workers pg. 24, 41-43, 68, 73 Note that 53% of employees are employed on permanent contracts, 2% on fixed term contracts, <1% on temporary See comment contracts and 46% on another basis. As only <1% of staff are on temporary contracts, it is estimated that the standard gender breakdown - 14% female - applies to both permanent and temporary staff. Overall, approximately 2% of employees are part- time. It is estimated that 40% of part-time staff are female, while 14% of full-time staff are female. Note that the data in the chart on page 42 and the tables on page 68 includes both permanent and temporary employees. 102 - 9 Supply chain pg. 54-55 102 - 10 Significant changes to the organisation and its supply chain pg. 73. See comment No significant changes. 102 - 11 Precautionary approach or principle pg. 16-17, 60, 73. See comment CRH takes sustainability considerations at operational level when developing and introducing products. 102 - 12 External initiatives pg. 6, 11-12, 18, 22, 25, 28-30, 32-33, 36 102 - 13 Membership of associations pg. 9-10, 22, 25, 29, 32, 39 Strategy 102 - 14 Statement from most senior decision-maker pg. 4 102 - 15 Key impacts, risks and opportunities pg. 16-17, 60 Ethics and integrity 102 - 16 Values, principles, standards, and norms of behaviour pg. 61-62 102 - 17 Mechanisms for advice and concerns about ethics pg. 62 Governance 102 - 18 Governance structure pg. 63; AR pg. 54-57 102 - 19 Delegating authority pg. 63-64; AR pg. 54-57 102 - 20 Executive-level responsibility for economic, environmental and social topics pg. 64 102 - 21 Consulting stakeholders on economic, environmental and social topics pg. 43, 51, 52; AR pg. 58-59, 69 102 - 22 Composition of the highest governance body and its committees pg. 63; AR pg. 54-57, 64-65 102 - 23 Chair of the highest governance body pg. 63; AR pg. 54, 58 102 - 24 Nominating and selecting the highest governance body pg. 63; AR pg. 58-59, 64-65 102 - 25 Conflicts of interest pg. 63-64; AR pg. 58-59, 64-66; GA pg. 2 102 - 26 Role of highest governance body in setting purpose, values and strategy pg. 63-64; AR pg. 27-28, 58-59, 66-67 102 - 27 Collective knowledge of highest governance body pg. 63-64; AR pg. 54-57, 64-67 102 - 28 Evaluating the highest governance body's performance pg. 63, 73; AR pg. 54-57, 66; GA pg. 1-2. For further details of the Board Effectiveness Review, refer to the Governance Appendix, available on crh.com See comment 102 - 29 Identifying and managing economic, environmental, and social impacts pg. 64; AR pg. 28-29, 71-73 102 - 30 Effectiveness of risk management processes pg. 60, 64; AR pg. 26-29 102 - 31 Review of economic, environmental and social topics pg. 14, 15; AR pg. 20, 70-73 102 - 32 Highest governance body's role in sustainability reporting pg. 66 102 - 33 Communicating critical concerns pg. 62 102 - 34 Nature and total number of critical concerns pg. 73; GA pg. 2-3. See comment Confidentiality concerns: CRH does not disclose the minutes of Board meetings as this may include commercially-sensitive information. index 102 - 35 Remuneration policies pg. AR pg. 74-99 102 - 36 Process for determining remuneration pg. AR pg. 74-99 102 - 37 Stakeholder's involvement in remuneration GRI pg. AR pg. 74-99 See comment countries (required for median pay figure). CRH reviews annually the scope of data collection and where appropriate and 102 - 38 Annual total compensation ratio pg. 73 Currently unavailable. CRH does not centrally collect data on the level of pay to each of its employees in all countries (required See comment for median pay figure). CRH reviews annually the scope of data collection and where appropriate and practicable in future will gather and report on this topic. 102 - 39 Percentage increase in annual total compensation ratio pg. 73 Currently unavailable. CRH does not centrally collect data on the level of pay to each of its employees in all operating practicable in future will gather and report on this topic. GRI CODE DESCRIPTION REFERENCE Stakeholder engagement 102 - 40 List of stakeholder groups pg. 51-52 102 - 41 Collective bargaining agreements pg. 45 102 - 42 Identifying and selecting stakeholders pg. 16-17, 51-52 102 - 43 Approach to stakeholder engagement pg. 16-17, 50-54, 56-57 102 - 44 Key topics and concerns raised pg. 16-17, 50-57 Reporting practice 102 - 45 Entities included in the consolidated financial statements pg. 66; AR pg. 250-254 102 - 46 Defining report content and topic Boundaries pg. 16-17, 66 102 - 47 List of material topics pg. 16-17 102 - 48 Restatements of information pg. 74. See comment 102 - 49 Scope or aspect boundary changes pg. 74. See comment 102 - 50 Reporting period pg. 66 102 - 51 Date of most recent report pg. 66 102 - 52 Reporting cycle pg. 66 102 - 53 Contact point for questions regarding the report pg. 74. See comment 102 - 54 Claims of reporting in accordance with the GRI Standards pg. 66, 81 102 - 55 GRI Content index pg. 73-80 102 - 56 External assurance pg. 81-82 GRI 200 Economic Topics GRI CODE DESCRIPTION REFERENCE GRI 201 Economic performance 103 - 1 Explanation of the material topic and its Boundary pg. 3, 4, 6-7, 17; AR pg. 1-3, 8 pg. 3, 6-7, 18, 59, 63-64, 66; 103 - 2 The management approach and its components AR pg. 54-57 pg. 3, 6-7, 18, 59, 63-64, 66; 103 - 3 Evaluation of the management approach AR pg. 54-57 201 - 1 Direct economic value generated and distributed $27.6 billion sales. pg. 74; AR pg. 1-5. See comment 201 - 2 Financial implications and other risks and opportunities due to pg. 27-28, 30-32, 47; AR pg. climate change 18, 22, 28, 111, 230 201 - 3 Defined benefit plan obligations and other retirement plans pg. 74; AR pg. 138, 191-196. See comment 201 - 4 Financial assistance received from government pg. 74. See comment GRI 202 Market presence 103-1 Explanation of the material topic and its Boundary pg. 3, 43, 74; AR pg. 2-5. index 202-2 Proportion of senior management hired from the local community See comment pg. 43, 74; AR pg. 2-5. 103-2 The management approach and its components pg. 3, 43, 74; AR pg. 2-5. See comment 103-3 Evaluation of the management approach pg. 3, 43, 74; AR pg. 2-5. See comment 202-1 Ratios of standard entry level wage by gender compared to local pg. 74 minimum wage See comment GRI GRI 203 Indirect economic impacts 103-1 Explanation of the material topic and its Boundary pg. 7-10, 74. See comment 103-2 The management approach and its components pg. 7-10, 74. See comment COMMENT No restatements. No significant scope or boundary change. Back cover. COMMENT CRH discloses financial information in the Annual Report and the Annual Report Form 20-F in line with International Financial Reporting Standards (IFRS). CRH also publishes a Payments to Governments for Extractive Activities Report, available on crh.com Information is not available on the level of participation in retirement plans as CRH does not collect this data centrally. CRH is currently developing its internal reporting in this area. No significant assistance. Note that the topics covered by the indicators within this aspect are managed through the Social Policy, evaluated and monitored through the Social Review, and the results of the Social Review are reviewed by the CRH Board. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is Note that the topics covered by the indicators within this aspect are managed through the Social Policy, evaluated and monitored through the Social Review, and the results of the Social Review are reviewed by the CRH Board. Note that the topics covered by the indicators within this aspect are managed through the Social Policy, evaluated and monitored through the Social Review, and the results of the Social Review are reviewed by the CRH Board. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. this indicator. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for 75 Overview Sustainability priorities Sustainability performance + GRI index GRI CODE DESCRIPTION REFERENCE COMMENT GRI 203 Indirect economic impacts (continued) 103-3 Evaluation of the management approach pg. 7-10, 75. See comment Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. 203-1 Infrastructure investments and services supported pg. 8-10, 25, 75. See comment Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. 203-2 Significant indirect economic impacts pg. 7-11, 25, 34, 36, 47, 49, 75 Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. See comment GRI 204 Procurement practices 103-1 Explanation of the material topic and its Boundary pg. 53-55 103-2 The management approach and its components pg. 53-55 103-3 Evaluation of the management approach pg. 53-55 204-1 Proportion of spending on local suppliers pg. 54, 55, 75. See comment Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. GRI 205 Anti-corruption 103-1 Explanation of the material topic and its Boundary pg. 61-62; AR pg. 68-69, 100, 229 103-2 The management approach and its components pg. 61-62; AR pg. 68-69, 100, 229 103-3 Evaluation of the management approach pg. 61-62; AR pg. 68-69, 100, 229 205-1 Operations assessed for risks related to corruption pg. 61-62, 75; AR pg. 68-69, 100. 100% of operations are assessed for risks related to corruption. Further details on risks are disclosed in the 2020 Annual Report on Form 20-F. See comment 205-2 Communication and training on anti-corruption policies and procedures pg. 61-63, 75; AR pg. 68-69, 100. Some breakdowns requested by GRI are currently unavailable, including business partners. See comment 205-3 Confirmed incidents of corruption and actions taken pg. 61-62, 75. See comment Note that there were no investigations or legal cases from external parties into allegations of corruption against CRH or any of its group businesses in 2020. No contracts with business partners were terminated or not renewed due to violations related to corruption. GRI 206 Anti-competitive behaviour 103-1 Explanation of the material topic and its Boundary pg. 61-62 103-2 The management approach and its components pg. 61-62 103-3 Evaluation of the management approach pg. 61-62 206-1 Legal actions for anti-competitive behaviour, anti-trust, and pg. 61-62, 75. See comment Certain breakdowns required by GRI cannot be disclosed for confidentiality reasons. monopoly practices GRI 300 Environmental Topics GRI CODE DESCRIPTION REFERENCE COMMENT GRI 301 Materials 103 - 1 Explanation of the material topic and its Boundary pg. 17, 31, 47, 49 103 - 2 The management approach and its components pg. 31, 47, 49 103 - 3 Evaluation of the management approach pg. 31, 47, 49 301-1 Materials used by weight or volume pg. 31, 47, 49, 71, 75. See comment Alternative raw materials are those that replace traditional raw materials. For CRH, the more significant alternative raw materials used are recycled asphalt pavement (RAP) and recycled asphalt shingles (RAS), construction and demolition (C&D) waste and materials with cementitious properties, such as fly ash and ground granulated blast-furnace slag (GGBS), which are by-product materials sourced mainly from external power generation and steel production to replace virgin materials in cement, concrete and concrete products. 301-2 Recycled input materials used pg. 49 301-3 Reclaimed products and their packaging materials pg. 75. See comment Not applicable for CRH as most product (by weight) is delivered in bulk, without packaging. GRI 302 Energy 103-1 Explanation of the material topic and its Boundary pg. 16-17, 28, 31, 34, 49, 66 103-2 The management approach and its components pg. 31, 34, 49 103-3 Evaluation of the management approach pg. 31, 34, 49 index Index 302-1 Energy consumption within the organisation pg. 66, 75. 197.2 PJ (54.8 TWh, In 2020, total energy consumption was reported as 197.2 Pj; electricity 26.2 Pj, heating 171.0 Pj, cooling n/a, steam n/a. Note that pg. 34. See comment CRH is not an energy producer and sale of energy is not a focus of the Group. 302-2 Energy consumption outside of the organisation GRI 302-5 Reductions in energy requirements of products and services pg. 75. See comment Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is pg. 31, 49, 75. See comment Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. 302-3 Energy intensity pg. 69, 75. See comment Energy intensity for cement is 901 kcal/kg clinker. Refers to kiln fuels (internal energy). 302-4 Reduction of energy consumption pg. 31, 34, 66, 75. See comment Reduction of energy are across all energy sources (solid, liquid, gaseous and electrical). Energy savings are consolidated based on year on year reductions. currently developing its internal reporting in this area. GRI CODE DESCRIPTION REFERENCE GRI 303 Water and effluents 103-1 Explanation of the material topic and its Boundary pg. 17, 37 103-2 The management approach and its components pg. 16-17, 27, 37 103-3 Evaluation of the management approach pg. 16-17, 27, 37 303-1 Interactions with water as a shared resource pg. 37 303-2 Management of water discharge-related impacts pg. 37 303-3 Water withdrawal pg. 37, 71, 76. See comment 303-4 Water discharge pg. 37, 71, 76. See comment 303-5 Water consumption pg. 37, 71, 76. See comment GRI 304 Biodiversity 103-1 Explanation of the material topic and its Boundary pg. 17, 38-39 103-2 The management approach and its components pg. 16-17, 27, 38-39 103-3 Evaluation of the management approach pg. 16-17, 27, 38-39 304-1 Operational sites owned, leased, managed in, or adjacent to, protected pg. 38, 71, 76. See comment areas and areas of high biodiversity value outside protected areas 304-2 Significant impacts of activities, products, and services on biodiversity pg. 38-39 304-3 Habitats protected or restored pg. 38-39, 71, 76. See comment 304-4 IUCN Red List species and national conservation list species with pg. 76. See comment habitats in areas affected by operations GRI 305 Emissions 103-1 Explanation of the material topic and its Boundary pg. 14, 17, 28, 30, 35 103-2 The management approach and its components pg. 28, 30, 35 103-3 Evaluation of the management approach pg. 28, 30, 35 305-1 Direct (Scope 1) GHG emissions pg. 30, 66, 69 305-2 Energy indirect (Scope 2) GHG emissions pg. 30, 66, 69, 76. See comment 305-3 Other indirect (Scope 3) GHG emissions pg. 30, 66, 76. See comment 305-4 GHG emissions intensity index Index pg. 30, 76. See comment 103-1 Explanation of the material topic and its Boundary pg. 17, 36, 37 305-5 Reduction of GHG emissions pg. 14, 15, 30, 66 305-6 Emissions of ozone-depleting substances (ODS) pg. 76. See comment 305-7 Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant pg. 14, 35, 66, 69-70 air emissions GRI 306 Effluents and waste GRI COMMENT None identified as significantly affected. 1.8m m3 of water was abstracted from areas designated for water-stress. In 2020, total water withdrawal in areas of water stress was reported as 1.8m m3; surface water 0.8m m3, groundwater 1.0m m3, quarry water <0.1m m3, rainwater <0.1m m3, utility water <0.1m m3. In 2020, total water withdrawal in areas of water stress was reported as 1.8m m3; fresh water 1.8m m3 and other n/a. In 2020, total water discharge was reported as 30.6m m3; freshwater/surface water 24.2m m3, sewer water 2.7m m3 and other 3.7m m3. In 2020, total water discharge was reported as 30.6m m3; freshwater 24.2m m3 and other 6.4m m3. In 2020, total water discharge in areas of water stress was reported as 0.1m m3; fresh water 0.1 m3 and other n/a. In 2020, total water consumption in areas of water stress was reported as 1.7m m3. Water storage is not material. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. Scope 2 emissions are calculated using the location-based method using country-specific International Energy Agency Factors; apart from for operations in the US where subregion-specific factors from eGRID are used. CRH does not centrally collect data on supplier specific factors, and hence a market-based calculation of Scope 2 emissions cannot be provided. An assessment of Scope 3 GHG emissions was carried out during 2016, in line with the World Resources/WBCSD Institute Greenhouse Gas Protocol Corporate Value Chain (Scope 3) and CRH Scope 3 emissions reported for 2017 have been expanded to include contract transport, employee commuting, purchased goods and waste generated. Biogenic emissions are not included in the scope of the factors used. Sales intensity in 2020 was 1.3 kg/$ revenue. No significant emissions. GRI CODE DESCRIPTION REFERENCE GRI 306 Effluents and waste (continued) 103-2 The management approach and its components pg. 16-17, 36-37 103-3 Evaluation of the management approach pg. 16-17, 36-37 306-1 Water discharge by quality and destination pg. 37, 71, 77 See comment 306-2 Waste by type and disposal method pg. 36, 71, 77 See comment 306-3 Significant spills pg. 77. See comment 306-4 Transport of hazardous waste pg. 36, 77. See comment 306-5 Water bodies affected by water discharges and/or runoff pg. 77. See comment GRI 307 Environmental compliance 103-1 Explanation of the material topic and its Boundary pg. 27 103-2 The management approach and its components pg. 27 103-3 Evaluation of the management approach pg. 27 307-1 Monetary value of significant fines and total number of non-monetary pg. 27, 77. See comment sanctions for non-compliance with environmental laws and regulations GRI 308 Supplier environmental assessment 103-1 Explanation of the material topic and its Boundary pg. 53-55 103-2 The management approach and its components pg. 53-55 103-3 Evaluation of the management approach pg. 53-55 308-1 New suppliers that were screened using environmental criteria pg. 53-55, 77. See comment 308-2 Negative environmental impacts in the supply chain and actions taken pg. 53-55, 77. See comment GRI 400 Social Topics GRI CODE DESCRIPTION REFERENCE GRI 401 Employment 103 - 1 Explanation of the material topic and its Boundary pg. 40-45 103 - 2 The management approach and its components pg. 40-45, 53 103 - 3 Evaluation of the management approach pg. 40-45, 53 401-1 New employee hires and employee turnover pg. 42, 45, 68, 77. See comment index Index 103-1 Explanation of the material topic and its Boundary pg. 45, 53, 77. See comment 401-2 Benefits provided to full-time employees that are not provided to pg. 45, 77. See comment temporary or part-time employees 401-3 Parental leave pg. 77. See comment GRI 402 Labour/Management relations 103-2 The management approach and its components pg. 45, 53 103-3 Evaluation of the management approach pg. 45, 53 402-1 Minimum notice periods regarding operational changes pg. 45, 77. See comment GRI GRI 403 Occupational health and safety 103-1 Explanation of the material topic and its Boundary pg. 20-25 103-2 The management approach and its components pg. 17, 20-25 COMMENT Water was discharged to: surface water (24.2m m3), sewer water (2.7m m3), and other (3.7m m3). Inclusive of this was 0.1m m3 of water abstracted from areas designated as 'high' or 'extremely high' risk for water-stress. Breakdown of waste by: inert (1.38m tonnes), hazardous (0.60m tonnes) and non-hazardous (0.05m tonnes) and there were two methods of waste treatment: recycling (1.58m tonnes) and disposal (0.45m tonnes). No significant spills. Total hazardous waste was 49k tonnes. However, data in the breakdown requested by GRI is not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. None identified as significantly affected. There were no material non-monetary sanctions or material cases brought through dispute resolution mechanisms. Note that CRH’s Supplier Code of Conduct, available on crh.com, includes safety, environmental, labour practice, human rights, society and other people and community criteria; screening and audits reflect all these criteria. The percentage of new suppliers screened using environmental criteria is not available. CRH does not gather data in the categories required by GRI, refer to the pages referenced for details on our approach to supplier assessment. CRH reviews annually the scope of data collection and where appropriate and practicable in future will gather and report on this topic. Not available. CRH does not gather data in the categories required by GRI, refer to the pages referenced for details on our approach to supplier assessment. CRH reviews annually the scope of data collection and where appropriate and practicable in future will gather and report on this topic. COMMENT Turnover in the region "Americas" is 74% and in the region "Europe and Asia" is 26%. Turnover in the category "under 30 years" is 27%, in the category "30-49 years" is 43% and in the category "over 50 years" is 30%. New hire age profile; "under 30 years" is 37%, "30-49 years" is 45%, and "over 50" is 18%. In 2020, the Voluntary Turnover at CRH was 12% (2019: 13%). In 2020, 18% of Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for our employees were newly recruited (2019 21%). Overall, 53% of managerial positions were filled internally (2019 43%) Data on life insurance and health care is not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. this indicator. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. 78 78 Overview Sustainability priorities Sustainability performance + GRI index GRI CODE DESCRIPTION REFERENCE COMMENT GRI 403 Occupational health and safety (continued) 103-3 Evaluation of the management approach pg. 17, 20-25 403-1 Occupational health and safety management system pg. 22, 67 403-2 Hazard identification, risk assessment, and incident investigation pg. 21-24, 67, 78. See comment Absenteeism was 2.4% in total. It was 79% in the category "medically certified", in the category "medically uncertified" was 14%, in the category "other" was 5% and in the category "accidental injury" was 2%. The occupational illness rate was 0.15 cases per million work-hours. Accidents to females account for just 3% of all accidents and 5% of all work days lost in 2020. Accident data cannot be disclosed by region due to confidentiality concerns. 403-3 Occupational health services pg. 25 403-4 Work participation, consultation, and communication on occupational pg. 24-25 health and safety 403-5 Worker training on occupational health and safety pg. 24-25 403-6 Promotion of worker health pg. 25 403-7 Prevention and mitigation of occupational health and safety impacts pg. 25 directly linked by business relationships 403-8 Workers covered by an occupational health and safety pg. 20, 24-25, 67, 68 management system 403-9 Work-related injuries pg. 23, 78. See comment In 2020, 'employee only' frequency rate (FR) was 1.4 403-10 Work-related ill health pg. 25, 78. See comment Note that one breakdown required by GRI for this indicator is not available. CRH reviews annually the scope of data collection and where appropriate and practicable in future will gather and report on this indicator. GRI 404 Training and education 103-1 Explanation of the material topic and its Boundary pg. 44, 61-62 103-2 The management approach and its components pg. 44, 61-62 103-3 Evaluation of the management approach pg. 44, 61-62 404-1 Average hours of training per year per employee pg. 44, 68, 78. See comment Note that relevant training is provided regardless of gender. In 2020, on average $900 per employee was spent on training 404-2 Programmes for upgrading employee skills and transition pg. 44-45 assistance programs 404-3 Percentage of employees receiving regular performance and career pg. 44, 78. See comment Note that performance reviews are provided regardless of gender. development reviews GRI 405 Diversity and equal opportunity 103-1 Explanation of the material topic and its Boundary pg. 10, 15, 42, 63; AR pg. 65-66 103-2 The management approach and its components pg. 10, 15, 42, 63; AR pg. 65-66 103-3 Evaluation of the management approach pg. 10, 15, 42, 63; AR pg. 65-66 405-1 Diversity of governance bodies and employees pg. 10, 15, 42, 63, 68, 78; AR pg. In the United States, 87% of the employees are white, 9% black and 4% Other. In 2020, there were 17% Latino/Hispanics in 54-57, 64, 65-66. See comment the workforce. Where diversity differences exist compared to the communities we operate in, there are mitigation plans in place. In Europe, 85% of employees were reported as being “National.” 405-2 Ratio of basic salary and remuneration of women to men pg. 78. See comment Currently unavailable. CRH does not centrally collect data on pay to each of its employees in all operating countries by gender. CRH reviews annually the scope of data collection and where appropriate and practicable in future will gather and report on this topic. In 2020, 11% of our managerial employees in revenue generating roles were female. This feeds into our overall I&D target of 33% of females in senior management roles. In 2020, 30% of graduates recruited into STEM-related positions were female. index GRI 406 Non-discrimination 103-1 Explanation of the material topic and its Boundary pg. 42, 53 103-2 The management approach and its components pg. 42, 53, 61 103-3 Evaluation of the management approach pg. 42, 53, 61 406-1 Incidents of discrimination and corrective actions taken pg. 78. See comment There were a total of 8 alleged instances of discrimination in 2020, reported through our Social Review. All were investigated fully with policies and training reinforced wherever necessary and disciplinary action taken as appropriate. GRI 407 Freedom of association and collective bargaining 103-1 Explanation of the material topic and its Boundary GRI pg. 53-55 103-2 The management approach and its components pg. 53-55 103-3 Evaluation of the management approach pg. 53-55 407-1 Operations and suppliers identified in which the right to exercise freedom pg. 53-55, 78. See comment Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is of association and collective bargaining may be at risk currently developing its internal reporting in this area. GRI CODE DESCRIPTION REFERENCE GRI 408 Child labour 103-1 Explanation of the material topic and its Boundary pg. 45, 53-55, 67 103-2 The management approach and its components pg. 45, 53-55, 67 103-3 Evaluation of the management approach pg. 45, 53-55, 67 408-1 Operations and suppliers at significant risk for incidents of child labour pg. 79. See comment GRI 409 Forced or compulsory labour 103-1 Explanation of the material topic and its Boundary pg. 53-55 103-2 The management approach and its components pg. 53-55 103-3 Evaluation of the management approach pg. 53-55 409-1 Operations and suppliers at significant risk for incidents of forced or pg. 53-55, 79. See comment compulsory labour GRI 410 Security practices 103-1 Explanation of the material topic and its Boundary pg. 53, 61, 67, 79. See comment 103-2 The management approach and its components pg. 53, 61, 67, 79. See comment 103-3 Evaluation of the management approach pg. 53, 61, 67, 79. See comment 410-1 Security personnel trained in human rights policies or procedures pg. 79. See comment GRI 411 Rights of indigenous peoples 103-1 Explanation of the material topic and its Boundary pg. 79. See comment 103-2 The management approach and its components pg. 79. See comment 103-3 Evaluation of the management approach pg. 79. See comment 411-1 Incidents of violations involving rights of indigenous peoples pg. 79. See comment GRI 412 Human rights assessment 103-1 Explanation of the material topic and its Boundary pg. 17, 53 103-2 The management approach and its components pg. 17, 44, 53 103-3 Evaluation of the management approach pg. 16-17, 44, 53 412-1 Operations that have been subject to human rights reviews or pg. 53, 79. See comment impact assessments 412-2 Employee training on human rights policies or procedures pg. 44, 79. See comment 412-3 Significant investment agreements and contracts that include human pg. 53, 79. See comment rights clauses or that underwent human rights screening GRI 413 Local communities 103-1 Explanation of the material topic and its Boundary pg. 17, 56-57 103-2 The management approach and its components pg. 17, 56-57 103-3 Evaluation of the management approach pg. 16-17, 56-57 413-1 Operations with local community engagement, impact assessments, pg. 56-57, 79. See comment and development programs 413-2 Operations with significant actual and potential negative impacts on pg. 51, 56-57, 79; AR pg. 221. local communities See comment GRI 414 Supplier assessment for labour practices index 103-1 Explanation of the material topic and its Boundary pg. 54-55 103-2 The management approach and its components pg. 54-55 GRI 103-3 Evaluation of the management approach pg. 54-55 414-1 New suppliers that were screened using social criteria pg. 54-55, 79. See comment 414-2 Negative social impacts in the supply chain and actions taken pg. 54-55, 79. See comment COMMENT Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. Group companies operate in accordance with the Social Policy and CoBC. Note that in 2020, 33% of Group companies had security personnel on-site and 98% of companies provided human rights training to security personnel. Training is generally equally provided to security personnel that are the employees of third parties. Not applicable. CRH does not have a presence in countries of concern. Note that 68% of companies carried out human rights assessments, similar to the past 3 years (Europe 58%, Americas 79%, Asia 78%). The challenge of gender diversity was the only topic reported to have been identified. Note that in 2020 there were c.67,000 hours of training in human rights and 95% of relevant employees received training in human rights policies or procedures concerning aspects of human rights that are relevant to operations. 100% of significant investment agreements and contracts were screened in line with the supplier code of conduct which includes specific human rights clauses. Significant suppliers in this case are those who we deem to have a higher potential CSR risk because of the value of their contract with CRH, the location of the source of supply or some other risk factor. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. CRH is currently developing its internal reporting in this area. Note that potential negative impacts from dust, noise, blasting and traffic are mitigated against and associated mainly with extractive locations, the physical location and numbers of these are listed in the Annual Report. No significant impacts on local communities in 2020. 100% of new suppliers were screened in line with the CRH Supply Code of Conduct. Where social risks were identified, additional screening was completed. Not available. CRH does not centrally collect information to report on this indicator in the breakdowns required by GRI. GRI CODE DESCRIPTION REFERENCE GRI 415 Public policy 103-1 Explanation of the material topic and its Boundary pg. 80. See comment 103-2 The management approach and its components pg. 80. See comment 103-3 Evaluation of the management approach pg. 80. See comment 415-1 Political contributions pg. 80. See comment GRI 416 Customer health and safety 103-1 Explanation of the material topic and its Boundary pg. 48 103-2 The management approach and its components pg. 48 103-3 Evaluation of the management approach pg. 48 416-1 Assessment of the health and safety impacts of product and pg. 24, 48 service categories 416-2 Incidents of non-compliance concerning the health and safety impacts pg. 80. See comment of products and services GRI 417 Marketing and labelling 103-1 Explanation of the material topic and its Boundary pg. 48, 80. See comment 103-2 The management approach and its components pg. 48, 80. See comment 103-3 Evaluation of the management approach pg. 48, 80. See comment 417-1 Requirements for product and service information and labelling pg. 48 417-2 Incidents of non-compliance concerning product and service information pg. 80. See comment and labelling 417-3 Incidents of non-compliance concerning marketing communications pg. 48, 80. See comment GRI 418 Customer privacy 103-1 Explanation of the material topic and its Boundary pg. 80. See comment 103-2 The management approach and its components pg. 80. See comment 103-3 Evaluation of the management approach pg. 80. See comment 418-1 Substantiated complaints concerning breaches of customer privacy pg. 80. See comment and losses of customer data GRI 419 Socioeconomic compliance 103-1 Explanation of the material topic and its Boundary pg. 61-62 103-2 The management approach and its components pg. 61-62 103-3 Evaluation of the management approach pg. 61-62 419-1 Non-compliance with laws and regulations in the social and pg. 61-62, 80. See comment economic area index GRI COMMENT Not applicable. No significant contributions. None known. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. None known. The organisation has not identified any non-compliance with regulations and/or voluntary codes. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. Not material. The page references cover the topic in general terms rather than meet the precise requirements of the GRI for this indicator. In 2020, there were no substantiated complaints concerning breaches of customer privacy and losses of customer data. No significant fines. 81 Overview Sustainability priorities Sustainability performance + DNV assurance statement Scope of engagement (LTI) rate per 1 million man hours (directly and • EM-CM-140a.1: Total fresh water withdrawn Standards Board. This standard requires that we indirectly employed); Number of lost days (directly comply with ethical requirements and plan and We have not performed any work, and do not DNV GL Business Assurance Services UK Limited employed); and Severity rate per 1 million man perform the assurance engagement to obtain express any conclusions, on any other information (“DNV”, “us” or “we”) were commissioned by CRH hours (directly employed). Limited Assurance. outside of the Subject Matter that may be published Group Services Limited to provide limited assurance in the Report or on CRH’s website for the current Group level indicators to CRH plc (“CRH”) over the Subject Matter For the AA1000 Principles, our assurance presented in CRH’s Sustainability Report 2020 reporting period or for previous periods. • Total greenhouse gas (GHG) engagement was also planned and performed to (the “Report”) for the reporting year ended 31st emissions (Scopes 1, 2 & 3) (million tonnes); Total meet the requirements of a Type 1 “moderate level” December 2020. Our conclusions of assurance as defined by AA1000 Assurance NOX emissions (thousand tonnes); Total SOX Standard (A1000AS) 2008. For consistency, in this emissions (thousand tonnes); Total Particulates 1. Selected Information Assurance Report we also refer to this scope as Subject matter emissions (dust) (thousand tonnes); and Total Based on the procedures we have performed and "Limited Assurance". water withdrawal (million m3); and the evidence we have obtained, nothing has come The scope and boundary of our work is restricted to our attention that causes us to believe that to the following areas (collectively the “Subject DNV applies its own management standards • Health and Safety: Group fatalities (directly and the Selected Information is not fairly stated and Matter”): and compliance policies for quality control, in indirectly employed); Group lost time injuries; accordance with ISO/IEC 17021:2015 - Conformity has not been prepared, in all material respects, in Group frequency rate; and Group severity rate. 1. ISAE3000 Selected Information accordance with the Data Criteria. Assessment Requirements for bodies providing • Social: Total number of employees (headcount). The performance indicators included within the audit and certification of management systems, This conclusion relates only to the Selected and accordingly maintains a comprehensive system Report (the “Selected Information”), listed below: To assess the Selected Information, which includes Information and is to be read in the context of this of quality control including documented policies an assessment of the risk of material misstatement Independent Assurance Report, in particular the Global Cement and Concrete Association (GCCA)