In a rapidly changing world, we want to address the sustainability issues where Gap Inc. can have the greatest impact and influence.
We integrate sustainability deeply into our business by understanding the environmental, social and governance (ESG) issues that matter most to our stakeholders and business. These are our material issues and they guide our ESG strategy and sustainability programs.
We conduct materiality assessments to define these topics and identify the value, risks and opportunities they present for our business. This informs our sustainability commitments and activities and strengthens Gap Inc.’s engagement with external stakeholders.
Building on our 2015 materiality work, we refreshed our materiality assessment in 2021 to align our strategy with the shifting needs and expectations of stakeholders, our business and society, and to adapt to new market developments and trends.
Note: Materiality on this site refers to the definition from the Global Reporting Initiative (GRI) Standards, and is not the definition of materiality used for filings with the U.S. Securities and Exchange Commission (SEC). Issues deemed material in this report may not be considered material for SEC reporting purposes.
We carried out our most recent materiality analysis in 2021 with a third-party sustainability expert consultancy. The process included three stages:
Our materiality assessment identified the top 14 material issues to guide our strategy. The ESG areas considered most important were sourcing sustainably; labor practices; supplier responsibility; diversity, equity and inclusion; climate change, sustainable materials and human capital development.
Several new issues were identified in this year’s assessment: women’s empowerment, responsible marketing and sustainable consumer behavior, and product quality and safety.
Although these issues have been placed on a matrix, they are all important to the future success of Gap Inc. Given the interconnectivity of these topics, they should be viewed holistically, rather than individually or in silos. Additional topics that do not appear in our top issues are still important and are reflected in our programming.
Gap Inc. Material Topics:
For the purposes of clarity, “materiality” on this site refers to the definition of “materiality” from the Global Reporting Initiative (GRI) Standards. The identification of Gap Inc.’s material issues that guide our ESG strategy and sustainability program should not be construed as a characterization regarding the materiality or financial impact of such issues or related information to investors in Gap Inc. For a discussion of the risks that are material to investors in Gap Inc., please see our Annual Report on Form 10-K filed with the Securities and Exchange Commission, our subsequent Quarterly Reports on Form 10-Q and our Current Reports on Form 8-K.
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