SUSTAINABLE MANAGEMENT

The establishment ensures fair labour practices for all employees (including subcontracted staff, outsourced staff and service providers working on-site). This includes written contracts, equal pay for equal work, and remuneration at or above the living wage for all employees and subcontracted workers. To conform with this criterion, the establishment:

• ensures that all employees are paid at least the legal minimum wage per hour or, where no legal benchmark exists, a minimum living wage calculated in accordance with the International Labour Organisation’s (ILO) principles of estimating the living wage;
• provides written employment contracts for all staff that include details on salary, working hours (or, where applicable, number of workdays per year) and job descriptions. The contracts are explained in a language or format the employee understands, with translation or verbal support provided as needed. Employees furthermore receive payslips detailing the number of hours worked or days accounted, pay received and any overtime or compensatory leave;
• guarantees equal pay for equal work, irrespective of gender, ethnicity, or disability status and ensures that pay scales are transparent (unless national legislation determines otherwise). A documented pay structure (e.g. salary matrix, pay scale or remuneration framework), reflecting factors such as experience and length of service, is recommended; and
• requires contracts with all internally managed subcontracted service providers that confirm that the same wage and fair labour principles are met. If any facilities are externally managed, the establishment formally informs and encourages them in writing to follow the same standards.

The establishment formulates an action plan that outlines specific steps to implement its strategic sustainability targets (criterion 1.2). The action plan is a central operational tool of the establishment’s sustainability management system that reflects relevance to the specific context of the property. For example, if water scarcity is a regional concern, the action plan places greater emphasis on water-saving initiatives.

The action plan covers the entire certification period (24 months), with actions clearly divided by year to track progress and enable annual updates.

For establishments with more than 50 employees the plan includes a minimum of 4 actions per certification period. For establishments with less than 50 employees, a minimum of 2 actions per certification period are included.

Actions cover at least 2 Green Key areas, for example energy, water, waste, social sustainability/CSR (e.g. staff equity, inclusion, community engagement etc.), biodiversity protection, sustainable procurement, risk and crisis management, etc., and each action relates to at least 1 strategic sustainability target. If developed as part of criterion 1.2., the plan also reflects the vision, mission and thematic priorities of the targets, ensuring a coherent and goal-driven approach.

When preparing the annual action plan, it is recommended to use the Green Key criteria for inspiration, both regarding conformity with guideline criteria not yet implemented and to further improve engagement in already implemented imperative and guideline criteria. Actions that are already fulfilled are not included in the annual action plan, and listing a Green Key guideline criterion as an action is not sufficient. However, it is acceptable to include supporting actions that contribute to the future implementation of a guideline criterion (e.g. conducting a feasibility study in preparation for meeting a specific guideline criterion).

All actions are measurable (e.g. number, percentage, quantity or completed task). For each action, the following is clearly documented:

• a description of the action, its timeline and the intended outcome;
• the responsible department or staff members; and
• the link to the strategic sustainability target/s it supports.

The actions are co-developed by management and staff (e.g under supervision of the Green Key Establishment Representative) ensuring that both groups contribute to the identification and prioritisation of actions. Management is responsible for the accuracy of actions, their implementation, and follow-up. If an action has not been fulfilled, the establishment provides a clear and documented justification explaining the reasons (e.g. financial, structural, contextual, timing constraints) and present a concrete plan of action for either completing the same action in the next certification period or replacing it with a more feasible alternative.

If the establishment is part of a chain, collective chain-level actions may serve as inspiration, provided that these are translated into specific individual/local actions. If adopted without modification, the establishment justifies their relevance. Chain-wide actions/documents can be accepted as evidence if the establishment demonstrates that the actions are implemented at their property and appropriate for their structural, geographical and cultural context.

The management and staff of the establishment (e.g. under supervision of the Green Key Establishment Representative) formulates strategic sustainability targets that are more ambitious than compliance with legislation and serve as commitment to continuous improvement, tracking progress/monitoring and guiding decision-making. The targets focus on long-term direction rather than specific actions or how to handle them (this is covered in criterion 1.3).

Strategic sustainability targets specify a timeline for review, are formulated up to maximum 6 years into the future and are assessed every certification period (every 2 years) to ensure continued relevance and ambition. The targets are directly linked to the annual action plan (criterion 1.3) and are used to evaluate the success of the action plan and the establishment’s overall sustainability performance.

For establishments with more than 50 employees, a minimum of 4 strategic targets, and for establishments with less than 50 employees, a minimum of 2 strategic targets are formulated. Establishments may choose which areas to focus on, provided that the targets cover at least 2 different areas, for example energy, water, waste, social sustainability/CSR (e.g. staff equity, inclusion, community engagement etc.), biodiversity protection, sustainable procurement, risk and crisis management, etc.

The targets are grounded in actual performance data or assessments from a clearly defined baseline period and directly respond to identified issues, risks, or areas for improvement. Examples of underlying data include energy, water, waste or carbon data; water risk or biodiversity assessments; or guest and staff feedback on CSR performance (e.g. from criteria 3.1, 4.1, 5.6, 7.12). Where available, it is encouraged that regional benchmarks are taken into account to ensure relevance and ambition.

First-time applicants who may not yet have complete annual data should base their targets on the most accurate and representative data available (for example, based on the minimum 3 months of data that must be submitted for other criteria).

Examples for strategic targets include:

1. reducing greenhouse gas emissions (Scope 1 and 2) by at least 20% by 20XX compared to baseline year 20XX, equivalent to approximately a 5% annual reduction in line with the Paris Agreement;
2. restoring at least 20% of the premises (by area) to natural or semi-natural habitat by 20XX (for further examples, see criterion 7.11), or any other biodiversity targets, for example following the Nature Positive Tourism approach of protecting local or international biodiversity;
3. reducing energy consumption for heating and cooling by 15% by 20XX, compared to baseline year 20XX;
4. eliminating all single-use plastic items by the end of 20XX;
5. reducing total water consumption per guest night by 10% by 20XX, compared to baseline year 20XX performance data;
6. achieving gender balance in management positions (at least 40% women) by 20XX;
7. conducting annual anti-harassment and safeguarding training for all staff, with special focus on protecting children, women and vulnerable groups;
8. contributing at least 1% of annual profits or revenue to local community projects or partnerships; and/or
9. adopting a local hiring target: ensure at least 60% of permanent staff are residents of the local area.

Strategic sustainability targets are co-developed by management and staff, ensuring that both groups contribute to the identification and prioritisation of sustainability ambitions. Management is responsible for the accuracy of targets, their implementation, and follow-up. If a target is not met, a critical reflection of the reasons for lack of fulfilment is provided and if justified, the establishment may continue working on the same target in the next period. Targets are communicated to staff (e.g. during onboarding) and may be made accessible to guests, where appropriate (e.g. website, lobby, in-room materials). To strengthen local relevance, it is recommended that they are co-created with other relevant stakeholders such as community members.

When preparing the strategic sustainability targets, the Green Key criteria can serve as inspiration. It is recommended that the establishment also formulates a sustainability vision and mission statement. Targets should support and be consistent with this long-term direction.

If the establishment is part of a chain, collective chain-level strategic targets may serve as inspiration, provided that these are translated into specific individual/local targets. If adopted without modification, the establishment justifies their relevance (e.g. timeframe, focus, percentage goals). Chain-wide documents can be accepted as evidence if the establishment demonstrates that the actions are implemented at their property and appropriate for their structural, geographical and cultural context.

The establishment management are involved in the administration of sustainability initiatives and appoint a Green Key Establishment Representative from the staff. To ensure continuity during absence or leave of the Green Key Establishment Representative, the management also appoint a named substitute. The names and contact details of both the Green Key Establishment Representative and the substitute are shared with Green Key during the application process and whenever a change occurs.

The Green Key Establishment Representative is a permanent staff member at the establishment.

The main functions of the Green Key Establishment Representative include:

• acting as the primary contact for all sustainability matters to management, staff, suppliers and Green Key, auditor and decision-making representatives;
• instructing and supporting other staff members on sustainability matters (see criterion 1.20);
• coordinating the sustainability related staff training (see criterion 1.21);
• ensuring that all performance and business data required for the Green Key application are collected and submitted (including cleaning chemicals/schedules, waste, and the efficient use of energy and water);
• monitoring the implementation of the strategic sustainability targets (see criterion 1.2) and the annual action plan (see criterion 1.3) of the establishment;
• collecting and processing sustainability initiative suggested by staff and guests;
• overseeing the communication in relation to the application or re-application for Green Key; and
• ensuring, if the Green Key Establishment Representative is not part of the management, regular participation in management meetings to present sustainability developments.

It is strongly recommended that the establishment forms a Green Committee with representatives from all departments. The Green Committee oversees the implementation of sustainability initiatives and strategy in cooperation with the Green Key Establishment Representative and keeps staff members informed.

Ultimate responsibility for the Green Key certification lies with the senior management or leadership of the establishment. Note on national adaptation: In DK, the management appoints two Green Key Establishment Representatives from amongst the staff of the establishment.