Better Health for All

ADP's core business of cloud-based human capital management solutions, including payroll and benefits administration, does not involve products or activities with well-established negative health outcomes. The company's services are administrative and do not have direct safety implications for physical or mental health, nor do they carry health risks requiring specific disclosure. ADP is not involved in pharmaceutical patents, food production, or clinical trials, and its products do not have addiction potential. While ADP provides payroll and HR software solutions for healthcare organizations, there is no evidence of initiatives to strengthen healthcare workforce capacity. ADP offers comprehensive health insurance plans, wellness programs, and flexible spending accounts, integrating telehealth services.

Partnerships, such as with AffordaCare Insurance for the Champion Health Plan (CHAMP) and Managed Health for the Managed Health Champ Plan, provide access to medical services, virtual therapy, and mental health services, sometimes with no out-of-pocket costs. Employee Support Programs like LifeCare® offer confidential counseling and stress management. ADP also educates HR professionals on implementing health and wellness programs and has filed over 99 million ACA Form 1095-C forms.

Fair Money & Economic Opportunity

ADP's primary business is cloud-based human capital management (HCM) solutions, including payroll processing, benefits administration, and HR management for businesses. The provided articles do not contain specific quantitative data relevant to the KPIs for 'Fair Money & Economic Opportunity,' which primarily assesses financial institutions offering lending, insurance, or deposit services to consumers or small businesses. While ADP's Wisely platform offers financial wellness features and payment solutions for employees, the articles do not provide metrics such as the percentage of users showing credit-score rise or savings growth, pricing fairness, or revenue from high-cost products. For example, while Article 9 mentions employees moved over $1 billion into savings via the Wisely platform, this is a total amount, not a percentage of users, which is required by the 'wealth_building_outcome' KPI.

Consequently, there is insufficient evidence to score any of the KPIs against the given rubric.

Fair Pay & Worker Respect

The CEO-to-median employee pay ratio for fiscal year 2025 was 284:1.

The company's voluntary employee turnover rate averaged 5.4% in 2024.

Fair Trade & Ethical Sourcing

ADP's core business in human capital management does not involve direct sourcing of physical commodities or raw materials, making several ethical sourcing KPIs not applicable. For its supply chain, ADP adopted a Vendor Code of Conduct in 2016, which applies to all vendors.

This code outlines expectations for suppliers, including the prohibition of slave, forced, bonded, indentured, involuntary, and underage labor, and requires fair treatment of workers in alignment with the United Nations Universal Declaration of Human Rights. Vendors are also required to comply with OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict Affected and High-Risk Areas. Failure to comply with these terms may jeopardize the vendor's relationship with ADP, up to and including termination of services. In FY 2023, ADP directed 13% of its sourceable spend to diverse suppliers, an increase of 5% compared to FY 2022. The company actively seeks certified diverse suppliers, including minority, women, veteran, LGBT+, and disability-owned businesses, and sponsored a certification series for 84 underrepresented small businesses in the U.S. in FY 2023.

Honest & Fair Business

ADP has a comprehensive Anti-Bribery Policy, effective April 9, 2025, which prohibits improper payments, including facilitation payments, to government officials and private parties worldwide.

This policy sets specific gift limits and travel/entertainment thresholds and requires due diligence for third parties. It is administered by an Anti-Bribery Committee, with violations reported to the Audit Committee. In FY '23, 100% of associates completed Code of Business Conduct & Ethics training. ADP also maintains a formal whistleblower policy with multiple reporting channels, including an anonymous hotline managed by a third-party provider, EthicsPoint. This policy includes a strict anti-retaliation clause, allows anonymous reporting, and records reports in a case management system. An external administrator governs a whistleblowing scheme under the Danish Act on Protection of Whistleblowers. However, ADP faced a class action lawsuit filed in July 2024 alleging violations of federal securities laws, fraud, and deceptive practices related to Simple IRAs. Additionally, in June 2024, the company faced allegations under the Fair Labor Standards Act concerning former hourly employees and overtime hours, leading to a motion for collective action.

Kind to Animals

ADP is a service-oriented company providing human capital management solutions, and its core business model does not involve activities typically measured by the 'Kind to Animals' KPIs, such as product manufacturing, animal testing, or animal agriculture. Therefore, all KPIs are not applicable. However, ADP previously used a sloth and a baboon at a convention booth

and subsequently pledged never to use live animals for promotional events or advertising again.

No War, No Weapons

ADP's core business of cloud-based Human Capital Management (HCM) solutions inherently positions the company away from direct or indirect involvement in military activities, arms production, or war facilitation.

The company offers non-military technology solutions, indicating no revenue from arms or defense contracts, no development or sale of dual-use products, and no exposure to controversial weapons. Consequently, there are no defense assets to divest, no defense business for board oversight, no AI systems used militarily, and no applicable technology development in peace or military technology. While ADP supports military veterans through employment training programs and made a $1.6 million donation in response to the situation in Ukraine, it does not actively engage in peace-building initiatives.

Planet-Friendly Business

ADP has set science-based targets aligned with the SBTi, including a 90% reduction in total Scope 1, 2, and 3 emissions by 2050 from a 2022 base year, and a 42% reduction in Scope 1 and 2 emissions by 2030.

These Scope 1 and 2 targets are considered consistent with the 1.5°C Paris Agreement goal. The company aims to achieve net-zero greenhouse gas emissions across all scopes by 2050, with interim targets to reduce absolute Scope 1 and 2 emissions by 25.2% by 2025 and 50% by 2030 from a 2019 baseline. For environmental compliance, ADP reported no significant fines or sanctions for noncompliance with environmental laws or regulations in both 2023 and 2024. However, ADP does not refer to equity in its climate-related disclosures, indicating a lack of consideration for climate justice initiatives.

Respect for Cultures & Communities

ADP partners with over 1,000 organizations serving underrepresented groups, including those focused on indigenous rights.

The company also engages 4,000 diverse-owned businesses through its Supplier Diversity Program, with a particular focus on Native American-owned enterprises.

Safe & Smart Tech

ADP has established an active AI & Data Ethics Committee/Council, comprised of industry leaders and internal experts, providing guidance and oversight with rigorous audits, risk assessments, and a compliance-by-design process for AI models.

An independent 2024 audit found no statistical evidence of bias in ADP's Candidate Relevancy tool, supported by a feedback loop for system improvement. ADP issues SOC 1 Type 2 and SOC 2 Type 2 reports, maintains ISO 9001, ISO/IEC 27001, and ISO/IEC 27701 certifications for various regions, complies with PCI DSS, Sarbanes-Oxley, and EU Binding Corporate Rules, and holds IRS PEO certification. All associates and contingent workers are required to complete annual, interactive, role-specific security training. ADP provides model transparency in plain language, explaining what the system does, data used, and limitations. Users have rights to access, correct, delete, object to processing, data portability, and opt-in/out of direct marketing. The company implements the Seven Foundational Principles of Privacy by Design, embedding these concepts into its products and services. ADP complies with GDPR, CCPA, HIPAA, and privacy laws in multiple US states, and proactively addresses evolving global regulations. ADP collects and uses only the minimum personal data necessary and has a Global Records Information Management Policy for retention and deletion. There have been no documented data breaches affecting over 100K users in the past three years.

Zero Waste & Sustainable Products

ADP has implemented numerous waste reduction initiatives. Since 2014, it has donated over 22,000 items of surplus furniture and office supplies to U.S.-based nonprofit organizations.

The company has also recycled 2,175 tons of electronic waste since 2013. All ADP buildings are equipped with designated recycling containers for plastic, aluminum, and glass. Enterprise-wide print reduction initiatives, such as "Print on Demand" and digitized services, are in place, with print reduction metrics tied to executive bonuses since fiscal year 2022. Additionally, ADP's digital HR solutions enabled clients to reduce paper consumption by 64% in 2022. For specific projects, such as in Melbourne, Australia, and Wilmington, Delaware, an estimated 75% of construction waste is recycled or diverted from landfills. The company's reports do not mention any waste disposal violations or fines.