Better Health for All

Novartis demonstrates a strong commitment to global health access by not seeking or enforcing patents in least developed countries and adopting a patient-centric approach to patent filing in lower-middle income countries.

The company also exhibits excellent risk transparency by voluntarily initiating a nationwide recall of two lots of Sandimmune Oral Solution in November 2023 due to potential incorrect dosing, and proactively notifying distributors, retailers, consumers, and healthcare providers. However, this recall, despite no adverse events reported to date, represents a notable safety incident within the past three years.

Fair Money & Economic Opportunity

Novartis is a global healthcare company.

The provided articles do not contain any evidence that Novartis offers lending, insurance, or other financial services to consumers. Therefore, all KPIs related to financial services, such as customer share from underserved segments, pricing fairness, revenue from high-cost products, inclusion initiatives, data accessibility, fair lending compliance, wealth building outcomes, profit reinvestment in community finance, financial literacy initiatives, debt burden ratio, geographic inclusion, and product simplicity, are not applicable to the company's operations as described in the evidence.

Fair Pay & Worker Respect

In 2024, 54% of employees were represented by an employee representative body or covered by a collective bargaining agreement.

The total recordable case rate (TRCR) in 2024 was 0.31 per 200,000 hours worked for Novartis employees and 0.21 for third-party personnel, with zero fatalities recorded for employees and third-party personnel from 2022 to 2024. As of December 31, 2023, women's earnings at Novartis globally were within one percent of men's, with a global mean pay gap of -0.3%. An employee recommendation rate of 80% was reported. The global voluntary employee turnover rate was 12% in 2024. In 2024, 3.07% of the total workforce was on temporary contracts.

Honest & Fair Business

Novartis maintains a comprehensive anti-corruption program, evidenced by a global compliance e-learning program for all employees, Executive Committee, and Board of Directors.

In 2025 and 2024, 98% of employees completed the annual mandatory Code of Ethics training, which included anti-corruption topics. In 2021, the company assessed 2303 suppliers for bribery risk, leading to compliance and remediation actions for 912 suppliers and 29 high-risk third-party anti-bribery audits. Also in 2021, 145 business units conducted anti-corruption risk assessments, testing over 20,000 activity samples. A Compliance Evaluation Program, with its methodology reviewed by an independent expert, measures the program's effectiveness. The company also operates a formal grievance mechanism via its SpeakUp Office, allowing anonymous reporting and protecting against retaliation. This mechanism follows structured investigation protocols and is aligned with the US Sarbanes-Oxley Act and the EU Whistleblowing Directive.

Kind to Animals

Novartis has a global, robust Animal Welfare Policy and Standards that apply to all internal and third-party studies.

The policy prohibits testing on finished cosmetics and their ingredients and mandates the 3Rs (Reduce, Refine, Replace) principles. It requires ethical review for Non-Human Primates by a specific committee and CEO/Global Head approval for Great Apes, but only when regulatory authorities mandate such studies. Animals must be purpose-bred, treated respectfully with pain and stress minimized, and rehoming/retirement supported. Breaches of the policy can result in disciplinary actions up to termination. However, the company also states that animal experimentation is considered essential for drug development and is required by regulatory authorities worldwide. In terms of animal testing volume, Novartis used 294 animals in internally conducted studies in 2024, following 325 in 2023 and 320 in 2022.

No War, No Weapons

Novartis, a healthcare company, has no revenue from arms or defense contracts, nor does it develop dual-use technologies with military applications or use AI militarily. The company donated USD 3 million to humanitarian organizations and essential medicines to Ukraine.

, which is approximately 0.0055% of its USD 54.5 billion net sales in 2025. Novartis suspended investments and stopped all commercial marketing activities in Russia. , stating it is careful to comply with international sanctions and has a Trade Sanctions and Export Controls Guideline. The company conducts an annual human rights risk assessment across its value chain and performs annual due diligence for conflict minerals, conforming to OECD guidance. , As of May 2024, 57.56% of identified unique smelters/refiners in its supply chain were conformant with responsible sourcing certification. Novartis is exempt from mandatory due diligence for conflict minerals due to not exceeding quantity thresholds, indicating zero procurement from active conflict zones. The company is a signatory to the UN Global Compact and has a Human Rights Commitment Statement. , with 10% of human and labor rights remediation actions overdue. Its Third Party Code outlines standards for external partners, including human and labor rights, with audit rights. Ten suppliers were identified with ineffective child labor management systems. , with six still undergoing remediation.

Planet-Friendly Business

Novartis's total gross market-based greenhouse gas emissions were 4.3771 million tCO₂e in 2025.

The company's near- and long-term emissions reduction targets were validated by the Science Based Targets initiative (SBTi) in July 2024, aligned with a 1.5°C pathway. In 2025, 49% of Novartis's total energy consumption was sourced from renewables. The company achieved a waste diversion rate of 53.5% in 2025. In the same year, 99% of its residual Scope 1 and 2 GHG emissions were covered by high-quality carbon removal credits and biomethane/SAF certificates. Novartis has a net-zero target year of 2040 across its value chain, with defined interim targets for 2030. The company has fully adopted TCFD recommendations, reporting in accordance with them since 2020, and conducts annual climate scenario analysis for 1.5°C, 2°C, and 3°C+ pathways to assess its strategy's resilience.

Respect for Cultures & Communities

Novartis lacks a specific cultural impact assessment protocol despite operating in areas with First Nations Cultures, as evidenced by its Reflect Reconciliation Action Plan.

The company has 4 formal partnerships with indigenous or local community groups, including with Barkinji artist Courtney Garstang , Moms Against Racism Canada , The Olive Branch of Hope , and Hamilton Health Sciences . While a global SpeakUp Office is available 24/7 via web-based and telephone channels to external parties for reporting misconduct , including human rights risks, the company has identified "ensuring employment contracts are available in workers' languages" as an area for improvement , indicating limited local language incorporation. No cultural appropriation incidents have been reported.

Safe & Smart Tech

Novartis has a comprehensive AI ethics and data governance framework, including a Global Data Privacy, Digital & AI Compliance (DPDAI) Organization, an Independent Bioethics Advisory Committee (IBAC), and a Trust & Reputation Committee chaired by the CEO.

The Chief Ethics, Risk & Compliance Officer (CERCO), an Executive Committee member, supervises the Global Head Data Privacy and Group Data Protection Officer. The company has a Data Privacy and AI policy framework and aims to be a leading voice in shaping AI governance. Training programs for employees involved in AI ethics are instituted. Novartis has a Data Privacy Program to ensure compliance with data protection laws, with a Head of DPDAI Monitoring and Reporting responsible for regular monitoring. The company retains external Data Protection Officers for EEA, UK, and Switzerland, and its commitment to data protection extends beyond legal requirements. Novartis has established a new Think Tank and an Offensive Cyber Security Researcher role focused on proactively challenging information security defenses, conducting vulnerability research, mapping attack paths, and prioritizing remediation. The company has policies prohibiting the inappropriate use or disclosure of Novartis information and personal data, and the Head Corporate DPDAI supports implementing privacy controls. No documented incidents of unauthorized data use were found. Country DPDAI Heads and Data Privacy Managers handle local requests and complaints from Data Subjects. Novartis maintains Binding Corporate Rules (BCR), with Version 5.0 effective December 20, 2024. Global communications and awareness/training initiatives for data privacy and AI ethics are in place. A cyberattack was reported in February (implied 2022), but Novartis stated that no sensitive data was compromised.

Zero Waste & Sustainable Products

Novartis achieved a waste diversion rate of 50.16% in 2024, having recycled 15.6 thousand tons out of 31.1 thousand tons of total waste generated.

The company has implemented multiple waste reduction initiatives, resulting in a 72% reduction in waste sent for disposal by 2024 from a 2016 baseline. For hazardous waste, 60% is recycled, and waste containing Active Pharmaceutical Ingredients (APIs) is not disposed of in landfills. , Novartis has reported no specific waste disposal violations and states compliance with Swiss and US legislation. The company has ambitious waste reduction targets, including a 50% reduction in waste sent for disposal by 2025 (achieved early) and a further 30% reduction by 2030 from a 2022 baseline, with waste data reported quarterly. , Environmental criteria have been included in 97% of all supplier contracts by 2025. Novartis integrates circular economy principles into product design and development, applying sustainable design principles for new products. Novartis also provides comprehensive customer education on proper disposal, including a website plan for waste sharps, instructions for unused product disposal, and sharps containers for specific medications. ,