DOMINO'S PIZZA, INC. | Issue climate transition plan at DOMINO'S PIZZA, INC.

Status
Omitted
AGM date
Resolution details
Company ticker
DPZ
Resolution ask
Set targets or plans
ESG theme
  • Environment
ESG sub-theme
  • Climate change
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Consumer Discretionary
Company HQ country
United States
Resolved clause
Shareholders request that Domino’s Pizza, Inc. (Domino’s) issue a climate transition action plan, above and beyond existing disclosure, describing how it intends to align its operations and full value chain emissions with Domino’s climate ambitions. The plan should be published at reasonable expense, omitting information that is proprietary, privileged or violative of contractual obligations.
Whereas clause
The Intergovernmental Panel on Climate Change has advised that greenhouse (GHG) emissions must be halved by 2030 and reach net zero by 2050 to limit global warming to 1.5 °C and avoid increasingly severe physical and transition risks for companies and investment risks for investors. Scope 3 emissions account for 96% of Domino’s total footprint. Agriculture and forestry commodities such as food ingredients and packaging are the essential goods Domino’s purchases and a large source of Domino’s total scope 3 emissions. In Domino’s 2022 report, Domino’s stated that “For both 2020 and 2021, purchased goods represented the largest category of emissions for the brand within our Scope 3 category. This includes ingredients such as dairy, meat and flour, as well as plastic, food film and other packaging.” Domino’s has submitted GHG targets for validation to the Science Based Targets initiative, including a target to reduce scope 3 emissions from the production of agriculture commodities, known as Forestry, Land and Agriculture (FLAG) by 36.4% by 2032. Domino’s has also disclosed a supplier engagement program as a decarbonization approach to reduce scope 3 FLAG emissions and to improve data collection and use. Domino’s however has not disclosed details of how its supplier engagement efforts will reduce FLAG emissions from its highest emissions-generating commodities and how it plans to align its procurement and innovative decarbonization strategies with the FLAG targets. Transition plans differ from Domino’s existing sustainability disclosures in that they are forward-looking, quantitative, and describe near and medium-term actions a company will take to align its operations and value chain with its targets. By disclosing its detailed transition plan, Domino’s can provide greater credibility to its net zero commitment. By contrast, Domino’s peers including Yum Brands!, Restaurant Brands, and General Mills have already provided detailed climate transition action plans or roadmaps for reducing their emissions.
Supporting statement
In developing and implementing the plan, we recommend, at management’s discretion, that Domino’s: - Consider guidance by advisory groups such as the Task Force for Climate-Related Financial Disclosures, CDP, Transition Plan Taskforce, Climate Action 100+, and Ceres; - Provide strategies to engage with prioritized suppliers to reduce emissions from Domino’s largest sources of emissions, including agricultural methane from meat and dairy; - Quantify the expenditures needed to implement the plan.

DISCLAIMER: By including a shareholder resolution or management proposal in this database, neither the PRI nor the sponsor of the resolution or proposal is seeking authority to act as proxy for any shareholder; shareholders should vote their proxies in accordance with their own policies and requirements.

Any voting recommendations set forth in the descriptions of the resolutions and management proposals included in this database are made by the sponsors of those resolutions and proposals, and do not represent the views of the PRI.

Information on the shareholder resolutions, management proposals and votes in this database have been obtained from sources that are believed to be reliable, but the PRI does not represent that it is accurate, complete, or up-to-date, including information relating to resolutions and management proposals, other signatories’ vote pre-declarations (including voting rationales), or the current status of a resolution or proposal. You should consult companies’ proxy statements for complete information on all matters to be voted on at a meeting.