2023 Governance, Social and Environmental Report

Clayco is excited to share our 2nd annual Governance, Social, and Environmental (GSE) Report. This comprehensive report encapsulates our journey from 2022 to 2023, showcasing our commitment to responsible practices in every aspect of our work – from prioritizing our people and communities to tackling our clients’ most complex challenges. Our unwavering dedication to placing people at the forefront, with a strong emphasis on safety, community, diversity, equity, inclusion, and sustainability, continues to drive us forward. The past year marked significant progress, transformation, and innovation for us.

Governance and Innovation

• The entire company is fully engaged in innovation, focusing on new technologies and enhancing governance, social, and environmental initiatives for both short-term and long-term impacts.

People and Safety

• Prioritizing safety and wellness is at the core of our values. Through cutting-edge technology, top-notch devices, and comprehensive training, we ensure that our people come first with a ZERO incident culture. Our accomplishment of an experience modification rate (EMR) of 0.48, below the 1.0 average, speaks volumes about our commitment. Being OSHA VPP star 7-year members in 15 states showcases our dedication to excellence. Additionally, receiving the National Safety Council (NSC) Awards further validates our relentless pursuit of safety. We are proud to continue offering a range of programs and support for overall well-being and psychological safety.

• We are committed to recruiting and employing the best and brightest in our industry, and embracing our employees’ passion, diversity, creativity and ideas. We had a record number of new hires in 2023, with 581 employees joining the Clayco team. We visited 29 colleges and universities and hosted 160 interns throughout the year. In 2023, we hired a Chief Talent Officer and instituted a student loan repayment plan. As our business continues to grow, we are focused on building our expertise and resources to support the changing needs of our customers and workforce

• Clayco Rising is our approach to culture, equity and inclusion (CEI). It is designed to create meaningful opportunities for our employees, our business partners and people within the communities we serve to increase the diversity of talent within our organization, but also support the diversity of talent employed throughout the Design and Construction industries. In 2023, we had over 360 prequalified MBE, WBE and Other Diverse Classified subcontractors. We actively participate in workforce development programs such as CCDI, NSBE, NOMA, NAACP, along with our very own Clayco initiatives including PIVOT and Clayco Connects.

Community

• In 2023, our Civic and Social Impact structure underwent a significant transformation, resulting in a reevaluation of our goals and priorities. We remained focused on Arts and Culture, Science, Education, and Economic Development, and allocated a total of $5.7M to support over 125 organizations.

Environment

• Our pillars remain holistic to enabling a sustainable future: energy and carbon, water and ecology, circular economy, wellbeing, and innovation. In 2023, we made progress on reducing our Scope 1 and 2 emissions, set Scope 1, 2, 3 emissions targets and in 2024 have been approved by Science Based Targets initiative (SBTi), Net-Zero Standard – more details will be released in the coming weeks. Our climate action plans for each business unit, sustainable construction programs for every jobsite, and increased efforts to reduce embodied carbon in building materials are just a few ways we are driving positive change. We invite you to explore our report, which not only reflects our core values but also serves as a roadmap for conducting business sustainably, inclusively, and ethically. Let’s engage in meaningful conversations and collaborations within our community to propel further progress together.