ESG Report | Gap Inc.

Highlights

Icon of a woman

1.4+ Million

women and girls (approximately) reached by P.A.C.E. since 2007

TENT U.S.

Gap Inc. joined 13 companies in collectively committing to help refugees enter the labor market, including through employment or job preparation

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19,600+

youth engaged by This Way ONward since 2007

Empowering Women (Supply Chain)

Goal	Target Year	Status	Progress
100% of workers employed in our strategic factories will have their voices heard through representative workplace committees	2025	On track	91% of strategic factories have representative workplace committees (defined as meeting at least 70% of relevant Better Work Academy Social Dialogue Indicators (SDIs) and minimum requirement indicators (SDI 9, SDI 17, and SDI 18))
100% of our strategic factories (those representing 80 percent of our total volume) are investing in women’s empowerment through participation in P.A.C.E./RISE	2025	On track	54% of strategic factories have at least 50% of their female workers enrolled in or completed the P.A.C.E./RISE curriculum 99% of strategic factories have institutionalized P.A.C.E./RISE as part of their HR management systems
100% of our strategic factories will have achieved gender parity at the supervisor level	2025	On track	22% of strategic factories have achieved gender parity at the supervisor level 49% of supervisors in our suppliers’ strategic factories are women, globally
100% of our factories will have prevention and response management systems and trainings in place to address gender‑based violence	2025	On track	84% of factories have prevention and response management systems and trainings in place to address gender-based violence 91% of factories have functioning grievance mechanisms for complaints and suggestions, including gender-based violence and harassment; and 89% of factories have 100% of employees trained on gender-based violence prevention and response each fiscal year
80% of Gap Inc. sourcing will be allocated to green-rated factories	2025	On track	87% of our business spend was allocated to green-rated factories
By 2023, 100% of our Tier 1 facilities will participate in industry wide efforts, including SLCP and/or ILO Better Work, and 100% of Tier 2 strategic mills will participate by 2025	2023 / 2025	Achieved / On track	100% of in-scope Tier 1 factories are participating 95% of Tier 2 strategic mills are participating
100% of vendors comprising 90% of Gap Inc.’s business spend are invited to participate in Better Buying, with scores isolated across brands, working toward annual public reporting on purchasing practices improvements	2025	On track	100% of vendors comprising 90% of our business spend have been invited to participate in Better Buying. We continue working toward annual public reporting on purchasing practices improvements

Enabling Opportunity (Workplace and Community)

Goal	Target Year	Status	Progress
Hire 5% of Old Navy store entry-level employees from This Way ONward annually	2025	On track	4.3% of Old Navy entry-level store employees were hired through This Way ONward
Reach 20,000 youth through This Way ONward	2025	On track	Over 19,600 youth have participated since the program launched in 2007

Enriching Communities (Environment)

Goal	Target Year	Status	Progress
WATER
Support a water-resilient supply chain	2050	On track	Building roadmaps to achieve intermediary 2030 goals
Achieve net-positive water impact in water-stressed regions	2050	On track	Building roadmaps to achieve intermediary 2030 goals
Reduce water use and replenish water to nature, equivalent to the water used in manufacturing apparel and in our company-operated facilities	2030	On track	15% - in 2022, we reduced or replenished 4.8 billion liters total, and consumed 33 billion liters in supply chain manufacturing and company-operations. Data for our supply chain is collected through the Higg FEM, which results in a one-year delay for our reporting.
Empower 5 million people touched by the apparel industry to improve their access to clean water and sanitation	2030	On track	2.5 million people reached
CLIMATE
Reduce Scope 3 greenhouse gas (GHG) emissions from purchased goods and services by 30% from a 2017 baseline	2030	On track	16%reduction from 2017 to 2022. 2023 data will be available on our website later this year. Submitted an update of our science-based target to align with well below 2°C climate scenario.
Reduce Scope 1 and 2 GHG emissions by 90% from a 2017 baseline	2030	On track	77% reduction from 2017 to 2022. 2023 data will be available on our website later this year.
Source 100% renewable energy for owned and operated facilities	2030	On track	58% of electricity use from company-operated facilities was from renewable sources in 2022. 2023 data will be available on our website later this year.
Achieve net-zero emissions across our value chain	2050	On track	Worked toward submitting our net-zero target to SBTi for approval and developed a long-term strategic roadmap.
PRODUCT
Source 100% of cotton from more sustainable sources (defined as: Better Cotton (formerly BCI), verified US-grown cotton (USCTP), organic, in-conversion (to verified organic), recycled, or regenerative)	2025	On track	98% of cotton was sourced from more sustainable sources
Source at least 45% of polyester from recycled sources (rPET). (Some brands have higher goals)	2025	On track	19% of polyester was sources from recycled sources
WASTE & CIRCULARITY
Eliminate unnecessary or problematic plastics in packaging to consumers by 2025 and in packaging to businesses by 2030, in line with our Fashion Pact commitments	2025/2030	On track	47% of unnecessary or problematic plastics in packaging to consumers has been eliminated and replaced with paper or other reusable alternative, including brands’ progress in transitioning shopping bags
Ensure at least half of all plastic packaging is 100% recycled content, for packaging to consumers by 2025 and in packaging to businesses by 2030, in line with our Fashion Pact commitments	2025/2030	On track	80% of all plastic packaging to consumers is made with 100% recycled content – achieving the 2025 target. For packaging within our business, we are increasing our tracking capabilities and diversion projects as we progress toward 2030.