Johnson Matthey applies the principles set out in the Combined Code on Corporate Governance relating to the structure and composition of the board, the remuneration of the directors, relations with shareholders and procedures for financial reporting, internal control and audit.

The board is responsible to the company’s shareholders for the group’s system of corporate governance, its strategic objectives and the stewardship of the company’s resources and is ultimately responsible for social, environmental and ethical matters.

Social, environmental and ethical risks and opportunities are identified and assessed in conjunction with all other business risks and reviewed through regular meetings of the board and the Chief Executive’s Committee.

Environmental risks are identified and assessed by the Environment, Health and Safety Committee (EHSC), which meets every two months. This is chaired by the Director of Environment, Health and Safety (EHS) and reports to the Chief Executive’s Committee. All divisional directors are members of the EHSC.

Performance is monitored using monthly statistics and detailed site audit reports. The Audit Committee considers risks associated with EHS and monitors performance through the annual control self-assessment process conducted by the internal audit function.

Risks from employment and people issues are identified and assessed by the Executive Development Committee, which meets every two months. This is chaired by the Chief Executive and is attended by all divisional directors and the Director of Human Resources.

Employment contracts, handbooks and policies specify acceptable business practices and the group’s position on ethical issues. The Group Control Manual and security manuals provide further operational guidelines to reinforce these.

For more information on Corporate Governance at Johnson Matthey follow this link to the Annual Report.