GRI CONTENT

Index

102-55

GRI
Standards
Content		 Verification Page of
PDF		 Description 2020 Statement
GRI 102: General content
1. Organizational Profile 2016
102-1   12 Name of the organization. Banorte at a Glance
102-2   52, 56, 88 Activities, brands, products, and services Banorte at a Glance, Financial Capital, Social Capital
102-3 118 Location of the organization’s headquarters Contact
102-4 12 Number of countries operating Banorte at a Glance
102-5 12 Nature of ownership and legal form Banorte at a Glance
102-6 88 Markets served Banorte at a Glance, Social Capital
102-7 12 Scale of the reporting organization Banorte at a Glance
102-8 70 Information on employees and other workers Human Capital
102-9 90 Supply chain Social Capital
102-10 2, 4 Significant changes to the organization and its supply chain Message from the Chairman of the Board, Message from the Chief Executive Officer
102-11 - Precautionary Principle or approach See:
Banorte’s PRB Reporting and Self Assessment
102-12 21, 22, 24, 49 External initiatives Business strategy and sustainability, Financial Capital
102-13 20, 22, 24, 49 Memberships in associations Business strategy and sustainability, Financial Capital
2. Strategy 2016
102-14 2, 4 Statement from senior decision-maker Message from the Chairman of the Board, Message from the Chief Executive Officer
102-15 2, 4, 22, 46, 49, 52, 62, 64 Key impacts, risks, and opportunities Message from the Chairman of the Board, Message from the Chief Executive Officer Business strategy and sustainability, Financial Capital, Technological Capital and Infrastructure
3. Ethics and Integrity 2016
102-16 30, 31 Values, principles, standards, and norms of behavior Banorte at a Glance, Ethics and Governance, Business strategy and sustainability
For more about our Code of Conduct, visit: https://investors.banorte.com/~/media/Files/B/Banorte-IR/documents/policies-and-documents/en/Code%20of%20Conduct_NF_260219.pdf
102-17 31 Mechanisms for advice and concerns about ethics Ethics and Governance
4. Governance 2016
102-18 33 Governance structure Ethics and Governance
102-19 36 Delegation of authority Ethics and Governance
102-20 36 Executive-level responsibility for economic, environmental and social topics Banorte at a Glance, Ethics and Governance
102-21 20, 26 Consulting stakeholders on economic, environmental, and social topics Banorte at a Glance, Business strategy and sustainability
102-22 33 Composition of the highest governance body and its committees Ethics and Governance
102-23 33 Chair of the highest governance body Ethics and Governance
102-24 33 Nomination and selection the highest governance body Ethics and Governance
See: https://investors.banorte.com/en/governance/shareholders-meetings
102-25 - Conflicts of interest Extract from the Code of Conduct: https://investors.banorte.com/~/media/Files/B/Banorte-IR/documents/policies-and-documents/en/Code%20of%20Conduct_NF_260219.pdf
“Board members, officers and employees shall at all times avoid taking actions that may oppose or give the appearance of opposing the legitimate interests of GFNorte. Special care shall be taken to evaluating the possibility of a conflict of interest in the business or personal relationships with GFNorte’s clients, suppliers, associates or competitors, (including their board members, officers and employees. Any GFNorte Board member, officer or employee who has direct or indirect knowledge of an irregular act, conflict of interest or non-compliance with regulations that may constitute or lead to damage or destruction to GFNorte, or constitute non-compliance with any of the principles of this Code of Conduct, must report it with all due discretion, to the Deputy General Comptroller, and/or to the Executive Department of Audit, Bank and Subsidiary Operations or through the Ethic Points system and /or electronic channels established in the institution. A set of rules were established to facilitate a better understanding of the objective, scope, assessment and mandatory compliance which can be found at: https://investors.banorte.com/~/media/Files/B/Banorte-IR/documents/policies-and-documents/en/Code%20of%20Conduct_NF_260219.pdf
In addition to the foregoing, and in accordance with Articles 64, 64 Bis and 64 Bis 1 and the General Rules for Financial Groups and their financial entities, financial institutions must avoid conflicts of interest between them and their respective business units. The of Audit and Corporate Practices Committees of the financial institutions, where appropriate, shall implement a system to prevent conflicts of interest and shall ensure at all times that functions in a manner consistent with the strategies and goals of these financial institutions, taking preventive and corrective measures to remedy any deficiency detected within a reasonable time, addressing the characteristics of such measures. GFNorte limits itself to reporting on conflicts of interest; these are addressed internally.
102-26 33, 36 Role of highest governance body in setting purpose, values, mission statement, strategy, poliices and goals regarding organizational impacts Ethics and Governance
102-27 - Collective knowledge of highest governance body See: https://investors.banorte.com/en/governance/board-of-directors
102-28 - Evaluating the highest governance body’s performance Consulte: https://investors.banorte.com/~/media/Files/B/Banorte-IR/shareholders-meeting/en/2020/24-apr/AGM_Summary_Resolutions-April_24_2020_b.pdf
102-29 36, 49 Identifying and managing economic, environmental, and social impacts Banorte at a Glance, Ethics and Governance, Financial Capital
102-30 46, 49, 62, 64 Effectiveness of risk management processes Banorte at a Glance, Financial Capital, Technological Capital and Infrastructure
102-31 49 Review of economic, environmental, and social impacts Financial Capital
During the various meetings of the Board of Directors, subject to availability in the agenda, a space is assigned to review and manage economic, social and environmental impacts, risks and opportunities
102-32 - Highest governance body’s role in sustainability reporting The Grupo Financiero Banorte 2020 Annual Report has been approved by the Executive Department of Investor Relations, Financial Intelligence and Corporate Finance, and by the Department of Sustainability and Responsible Investment.
102-33 32 Communicating critical concerns Critical concerns are addressed in shareholder meetings. For more information, see: https://investors.banorte.com/en/governance/shareholders-meetings
102-34 32 Nature and total number of critical concerns brought to highest governance body Ethics and Governance
102-35 33, 74 Remuneration policies Ethics and Governance, Human Capital
https://investors.banorte.com/en/governance/shareholders-meetings
102-36 33, 74 Process for determining remuneration Ethics and Governance, Human Capital
102-37 - Stakeholders’ involvement in remuneration In keeping with its faculties, the Nominations Committee hired a specialized firm to conduct a study of the compensation paid to board members in Mexico and internationally, and within the financial services industry, to be used in determining the proposal on GFNorte board member compensation proposal, which will be presented to the General Ordinary Shareholders’ Meeting for its approval
102-38 74 Annual total compensation ratio Human Capital
102-39 74 Percentage increase in annual total compensation ratio Human Capital
5. Stakeholder Engagement 2016
102-40 20 List of stakeholder groups Business strategy and sustainability
102-41 - Collective bargaining agreements Our employees have complete freedom of association.
102-42 20 Identifying and selecting stakeholders Business strategy and sustainability
102-43 20 Approach to stakeholder engagement Business strategy and sustainability
102-44 19, 82 Key topics and concerns raised Business strategy and sustainability, Intellectual Capital
6. Reporting Practices 2016
102-45 12 Entities included in the consolidated financial statements Banorte at a Glance
102-46 19 Defining report content and topic boundaries Business strategy and sustainability
Materiality and sustainability context are found in our sustainability model.
Inclusion of stakeholders: through this report we respond to material topics to every stakeholder group.
Comprehensiveness: the scope of this report includes all of Grupo Financiero Banorte.
102-47 19 List of material topics Business strategy and sustainability
102-48 116 Restatements of information About this Report
Beginning this year, the information on Principles for Responsible Banking is distributed throughout the report.
102-49 116 Changes in reporting with respect to the periods covered by prior reports in the list of material issues and coverage of those issues About this Report
Beginning this year, the information on Principles for Responsible Banking is distributed throughout the report.
102-50 116 Reporting Period About this Report
102-51 116 Date of most recent report About this Report
102-52 116 Reporting cycle About this Report
102-53 118 Contact point for questions regarding the report Contact
102-54 116 Claims of reporting in accordance with the GRI Standards About this Report
102-55 53 GRI content index GRI Content Index
102-56 116 External assurance About this Report
GRI 103 Management approach 2016
103-1 33, 64, 70, 72, 73, 82, 89, 96, 99, 101 Explanation of material issues and their coverage. Banorte at a Glance, Financial Capital, Human Capital, Intellectual Capital, Technological Capital and Infrastructure, Social Capital, Natural Capital
Through our Specialized Department of Sustainability and Responsible Investment, we establish structures, principles and guidelines for the planning, organizing, executing, monitoring, controlling and continuously improving social initiatives intended to meet sustainable development goals, in which various stakeholders actively participate. For this reason, our social and environmental policies are part of established corporate regulations for acting in an ethical, equitable and impartial manner in circumstances involving sustainability issues so as to inspire confidence among stakeholders involved with Grupo Financiero Banorte and its operations, thus improving business performance, products and services while positioning the company as an institution committed to Mexico
103-2 33, 64, 70, 72, 73, 82, 89, 96, 99, 101 Management approach and its components Banorte at a Glance, Financial Capital, Human Capital, Intellectual Capital, Technological Capital and Infrastructure, Social Capital, Natural Capital
103-3 33, 64, 70, 72, 73, 82, 89, 96, 99, 101 Evaluation of management approach At GFNorte we aim to publicize initiatives that respond to our material issues, as well as our assessment of management, following the International Integrated Reporting Council (IIRC) guidelines and the guidelines of the Global Reporting Initiative (GRI); this year, we also incorporated those of the Sustainability Accounting Standards Board (SASB). These initiatives are covered in the following sections of the report: Banorte at a Glance, Financial Capital, Human Capital, Intellectual Capital, Technological Capital and Infrastructure, Social Capital, Natural Capital.
GRI 200: Economic standards
GRI 201 Economic Performance 2016
201-1 40 Direct economic value generated and distributed, including revenues, exploitation costs, employee compensation, donations and other investments in the community, undistributed benefits and benefits paid to capital suppliers and governments. Financial Capital
201-2 49 Financial implications and other risks and opportunities Financial Capital
201-3 74 Coverage of the organization’s defined benefit and other retirement plan obligations Human Capital
201-4 - Financial assistance received from the government Banorte has received no assistance of any kind from the Government in in the form of tax rebates or credits, grants, royalties, or any other form of tax exemption or incentive.
GRI 202 Market presence 2016
202-1 - Ratios of standard entry level wage by gender compared to local minimum wage Human Capital
The starting salary at Banorte is 1.78 times the banking industry minimum.
GRI 203 Indirect Economic Impacts 2016
203-1 89, 91 Infrastructure investments and services supported Social Capital
203-2 12, 63 Significant indirect economic impacts, including the extent of impacts Banorte at a Glance, Technological Capital and Infrastructure
GRI 204 Procurement Practices 2016
204-1 90 Proportion spent on local suppliers Social Capital
GRI 205 Anti-Corruption 2016
205-1 32 Operations assessed for risks related to corruption Ethics and Governance
In fiscal year 2020, reports were received from 14 areas and companies regarding violations of the GFNorte Code of Conduct and laws and provisions regulating the operation of our business.
205-2 32 Communication and training about anti-corruption policies and procedures Ethics and Governance
205-3 32 Confirmed incidents of corruption and actions taken Ethics and Governance
There were no reported cases of corruption in 2020, and therefore there were no investigations, corrective measures or fines in connection with these issues.
207-1 44 Tax approach Financial Capital
207-2 44 Fiscal governance, control and risk management Financial Capital
207-3 44 Shareholder engagement and management of tax-related concerns Financial Capital
GRI 300: Environmental Standards
GRI 301 Materials 2016
301-1 98 Materials used by weight or volume Natural Capital
GRI 302 Energy 2016
302-1 96 Energy consumption within the organization Natural Capital
302-3 96 Energy intensity Natural Capital
302-4 96 Reduction of energy consumption Natural Capital
302-5 96 Reductions in energy requirements of products and services Natural Capital
GRI 303 Water and Effluents 2018
303-5 99 Water consumption Natural Capital
304-3 101 Habitats protected or restored Natural Capital
GRI 304 Biodiversity 2016
304-4 101 IUCN Red List species and national conservation list species with habitats in areas affected by operations Natural Capital
GRI 305 Emissions 2016
305-1 97 Direct greenhouse gas (GHG) emissions (Scope 1) Natural Capital
305-2 97 Energy indirect greenhouse gas (GHG) emissions (Scope 2) Natural Capital
305-3 97 Other indirect greenhouse gas (GHG) emissions (Scope 3) Natural Capital
305-4 97 GHG emissions intensity Natural Capital
305-5 97 Reduction of GHG emissions Natural Capital
305-6 97 Emissions of ozone-depleting substances (ODS) Natural Capital
GRI 306 Waste 2020
306-1 98 Waste generation and significant waste-related impacts Natural Capital
306-2 98 Waste by type and disposal method Natural Capital
306-3 98 Waste generated Natural Capital
306-4 98 Waste not sent for disposal Natural Capital
GRI 307 Environmental compliance 2016
307-1 - Non-compliance with environmental laws and regulations GFNorte received no environmental fines in 2020.
GRI 308 Supplier Environmental Assessment 2016
308-1 90 New suppliers that were screened using environmental criteria Social Capital
GRI 400: Social Standards
GRI 401 Employment 2018
401-1 73 New employee hires and employee turnover Human Capital
401-2 74 Benefits provided to full-time employees that are not provided to temporary or part-time employees Human Capital
401-3 75 Parental Leave Human Capital
GRI 403 Occupational health and safety 2017
403-1 - Occupational health and safety management system Employee safety and health is very important to GFNorte. Accordingly, we have developed the following Policies and Practices, which formalize and provide a basis for the actions and processes that guarantee this objective.
Internal Legal Framework and Current Policies:
  • Internal Labor Regulations: (Chapter IV- Safety and Hygiene and Civil Defense on the job).
  • Collective Bargaining Contract: (Chapter VII – Safety and Hygiene and Internal Civil Defense Units.
  • Policy on the Brigade Training Program (Selection, Formation and Training of Brigades and Internal Civil Defense Units).
  • Policy on Preventing Psycho-Social Risks at Work. (Occupational Illness, Standard 035-STPS)
  • Specific policies on epidemics and pandemics. (Actions and procedures for preventing and attending to various phases of epidemiological contingency).
Sampling of programs, actions, dissemination and development actions taken at GFNorte in alignment with the policies:
  • Annual Program of the Business Continuity Committee. (Inclusion of pertinent activities, for measurement purposes and indicators) Attachment Annual First Response and Continuity Program.
  • Annual Program for Brigade Member Recruitment and Training.
  • Banorte Support Hotline.
  • Vive Sano Banorte Campaign.
  • Program to Prevent Psycho-Social Risks at Work.
403-2 75 Identification of hazards, risk assessment and accident investigation Human Capital
403-3 75 Health services at work Human Capital
403-6 75 Promotion of worker health Human Capital
403-9 - Work-related injuries The absenteeism rate at the Bank is 1.48%.
In Insurance and Pensions the average number of case 0.08 / absentee days.
At Afore, the absentee rate is 1.38%.
The three subsidiaries use different methods for calculating absenteeism.
GRI 404 Training and teaching 2016
404-1 72 Average hours of training per year per employee Human Capital
404-2 72 Programs for upgrading employee skills and transition assistance programs Human Capital
404-3 72 Percentage of employees receiving regular performance and career development reviews. Human Capital
GRI 405 Diversity and Equal Opportunity 2016
405-1 33, 70 Diversity of governance bodies and employees Ethics and governance, Human Capital
405-2 74 Ratio of basic salary and remuneration of women to men Human Capital
GRI 406 Non-discrimination 2016
406-1 - Incidents of discrimination and corrective actions taken In 2020, 137 cases were registered, and 46% were analyzed and determined to involve workplace harassment, which were resolved through measures ranging from reprimands to suspension without pay or dismissal. The remaining 54% did not contain enough information to conduct the investigation.
GRI 410 Security practices 2016
410-1 - Security employee training on human rights policies or procedures During the year 30% of our Security Personnel received training in Human Rights.
GRI 411 Rights of indigenous peoples 2016
411-1 - Incidents of violations involving rights of indigenous peoples No complaints of this type were registered in 2020.
GRI 412 Human rights assessment 2016
412-2 70 Employee training on human rights policies or procedures Courses were given on Internal Labor Regulation, Quick Guide to Internal Compliance, NOM-035, Code of Conduct for Employees entering the bank in 2020, and the Law on Personal Data Protection.
412-3 90 Significant investment agreements and contracts that include human rights clauses or that underwent human rights screening Social Capital
GRI 413 Local communities 2016
413-1 89 Operations with local community engagement, impact assessments, and development programs Banorte at a Glance, Social Capital
413-2 - Operations with significant actual and potential negative impacts on local communities No complaints of this type were registered in 2020.
GRI 414 Supplier social assessment 2016
414-1 90 New suppliers that were screened using social criteria Social Capital
GRI 416 Customer health and safety 2016
416-1 82 Assessment of the health and safety impacts of product and service categories Intellectual Capital
GRI 417 Marketing and labeling 2016
417-1 - Requirements for product and service information and labeling See: https://www.banorte.com/wps/portal/banorte/Home/inicio/!ut/p/z1/hY7LDoIwEEW_xQVbOvLWXYMJiERIlIjdGDAVMNCStvL9NuoSdXZz55ybQQSViLBq6ppKdZxVvd7PxLtE1jKI7RB2WV7YgMOsCHN3Yx09H53-AUSf4ctg0D55IWGEY8dPATInsgAH-8Q5uCsLtt4H-NGRINL0vH6_i1ltBw0igt6ooMJ8CB23So1ybYABHZuoVFxIs64YF4qaVz4YMGe2XCpUzgpoHEq4u_2U4sXiCXXEXVM!/?uri=nm:oid:consulta-costos-y-comisiones
417-2 - Incidents of non-compliance concerning product and service information and labeling During the year, 14,042 complaints were filed with CONDUSEF, only 11.08% were admitted.
417-3 - Incidents of non-compliance concerning marketing communications GFNorte received no fines during the year for issues relating to marketing, advertising, promotion or sponsorships.
GRI 418 Customer privacy 2016
418-1 67 Substantiated complaints regarding breaches of customer privacy and losses of customer data Technological Capital and Infrastructure
GRI 419 Socioeconomic compliance 2016
419-1 - Non-compliance with laws and regulations in the social and economic area During the year, 126 cases were recorded for a total of Ps 3.4 million in fines or sanctions. Fines were levied by IMSS, INFONAVIT, CNBV, CONDUSEF, IPAB and Banco de México; they have all been paid.
GRI Industry Supplement
GRI Industry supplement. Financial services
FS1 - Policies with specific environmental and social components applied to business lines See our policies at: https://investors.banorte.com/en/sustainability/resources/policies-and-procedures
FS2 49 Procedures for the evaluation and selection of environmental and social risks in lines of business Financial Capital
FS3 49 Processes to monitor implementation and compliance with environmental and social requirements included in agreements or transactions with customers Financial Capital
FS4 26 Processes to improve personnel competence in implementing environmental and social policies and procedures applicable to lines of business Business strategy and sustainability
Grupo Financiero Banorte has a Sustainability and Responsible Investment area with an experienced staff responsible for training teams distributed throughout the territories where we operate, whose jobs relate to lending activity.
For more information, visit: https://investors.banorte.com/en/sustainability
FS5 49, 82 Interactions with customers in terms of environmental and social opportunities and risks Intellectual Capital, Financial Capital
FS8 24, 56 Monetary value of products and services designed to deliver a specific environmental benefit for each business line broken down by purpose. Financial Capital, Business strategy and sustainability
FS10 49 Percentage and number of companies in the institution’s portfolio with which interactions on environmental or social issues have been carried out Banorte at a Glance, Financial Capital
FS11 49 Percentage of assets subject to social or environmental review, positive as well as negative Banorte at a Glance, Financial Capital
FS13 12 Points of access in scarcely populated or economically disadvantaged areas described by type Banorte at a Glance
FS14 12 Initiatives to improve access to financial services for the disadvantaged Banorte at a Glance
FS15 - Policies for the design and sale of financial products and services in a fair and reasonable manner GFNorte has a policy on Evaluation and Approval of Initiatives and Projects for New Products and Services
FS16 89 Initiatives to improve financial literacy and education by type of beneficiary Social Capital. Webinars were also given together with Coparmex, with a total of 139 participants.