MASHINIi

Sotera Health Company.

SHC.US | Technical testing and analysis

Sotera Health Company is a global provider of sterilization and lab testing services. The company operates through three segments: Sterigenics, Nordion, and Nelson Labs. Sterigenics provides outsourced terminal sterilization and irradiation services for the medical device, pharmaceutical, and food i...Show More

Ethical Profile

Mixed.

Sotera Health Company, a vital provider of medical sterilization services, faces scrutiny over its use of ethylene oxide (EtO). Critics point to EtO's alleged carcinogenic properties, which have led to lawsuits and regulatory attention. While the company's Sterigenics segment provides crucial sterilization for medical devices and pharmaceuticals, and Nordion's Cobalt-60 aids cancer treatment, concerns persist regarding EtO emissions' health and environmental impacts. EtO is also a significant greenhouse gas and generates hazardous waste. Sotera Health is reportedly investing in emission controls and alternative sterilization methods like E-beam and X-ray.

Value Scores

Better Health for All-70
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect0
-100100
Fair Trade & Ethical Sourcing0
-100100
Honest & Fair Business0
-100100
Kind to Animals10
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-40
-100100
Respect for Cultures & Communities50
-100100
Safe & Smart Tech0
-100100
Zero Waste & Sustainable Products-60
-100100

Better Health for All

-70

Sotera Health's core services include sterilization of medical devices, pharmaceuticals, and food, as well as lab testing and cancer treatment using Cobalt-60, which are health-positive.

1
However, its Sterigenics subsidiary uses ethylene oxide (EtO) for sterilization, a known carcinogen.
2
Long-term exposure to EtO poses significant health risks, leading to over 870 lawsuits and a $408 million settlement against Sterigenics for its Willowbrook, Illinois facility.
3
A previous facility in Scarborough, Ontario, exceeded EtO emission limits, with 18 parts per billion compared to a 1 part per billion limit.
4
The company has been criticized for a lack of transparency regarding EtO risks, including refusing tours of its Mississauga facility.
5
Concerns have been raised about potential health risks to immigrant communities near facilities.
6
While the company invests in emission control enhancements and new sterilization technologies like X-ray and E-beam, and offers educational content through the Sotera Health Academy, the severe negative health impacts from EtO emissions and associated legal actions are substantial.
7
The company donated $100,000 to the Global Giving Ukraine Crisis Relief Fund.
8

Fair Money & Economic Opportunity

0

Sotera Health Company (SHC.US) is a global provider of sterilization and lab testing services, operating in the healthcare sector.

1
The company's core business activities, as described in the articles, do not involve lending, insuring, moving, or storing money, nor does it offer consumer financial products or services.
2
The articles explicitly state that they do not contain information directly addressing financial services or lending.
3
Therefore, all KPIs under the 'Fair Money & Economic Opportunity' value are scored as 0, indicating that they are not applicable to the company's business model.

Fair Pay & Worker Respect

0

No evidence available to assess Sotera Health Company on Fair Pay & Worker Respect.

Fair Trade & Ethical Sourcing

0

No evidence available to assess Sotera Health Company on Fair Trade & Ethical Sourcing.

Honest & Fair Business

0

No evidence available to assess Sotera Health Company on Honest & Fair Business.

Kind to Animals

10

Nelson Labs, a segment of Sotera Health, does not perform animal testing in-house and is a global pioneer and champion of in vitro alternative testing.

1
Animal testing is only conducted by compliant subcontractors when required by regulatory agencies, after all non-animal options are explored.
2
This indicates that animal-free methods replace all non-regulatory-required tests. The company's policy states that suppliers must conduct animal research and testing only where necessary and reasonably justified by scientific, regulatory, or commercial considerations, and must ensure humane treatment with efforts to minimize harm when testing is required.
3
As a service-oriented company, Sotera Health does not have products that would typically carry cruelty-free certifications.

No War, No Weapons

0

The company's core business is described as providing sterilization and lab testing services for the medical device, pharmaceutical, and food industries, with no mention of defense-related activities.

1
Therefore, there is no defense business for the board to oversee.

Planet-Friendly Business

-40

Sotera Health Company's subsidiary, Sterigenics, has faced multiple environmental compliance issues. In 2006, OSHA fined Sterigenics for eight violations related to process safety management.

1
In 2022, South Coast AQMD issued a Notice of Violation for ethylene oxide (EO) emissions at its Vernon, California facility, and additional Notices of Violation for its Ontario, California facility in January, April, June, and October of 2022, totaling five violations for that year.
2
The Ontario facility was subsequently ordered to close in April 2023.
3
The company also settled over 870 EO cases related to its Willowbrook facilities for $408 million.
4

Respect for Cultures & Communities

50

The company held 'Time of Understanding' conversations with all global employees, focusing on creating a more inclusive environment.

1
The 2022 conversations specifically aimed at fostering open-mindedness and cultural sensitivity for greater inclusion.
2

Safe & Smart Tech

0

The company has not experienced any material cybersecurity incidents that caused material expenses or affected its business.

1
It states compliance with national and local data protection laws, including GDPR and CCPA, and is subject to extensive regulatory requirements and routine audits.
2
User rights, including access, rectification, deletion, and objection, are detailed for EU and California residents.
3
The company restricts access using a least privileged methodology.
4
It integrates cybersecurity risk into its overall risk management, uses various technologies and monitoring capabilities to detect anomalies, and retains independent experts to assess potential vulnerabilities.
5
The company engages an independent expert to conduct annual external and internal penetration tests and assess its cybersecurity program against the NIST CSF, planning to continue periodic testing.
6
It has a cybersecurity awareness program consisting of frequent training, phishing exercises, and bulletins.
7
The company's facilities hold various ISO certifications (9001, 13485, 14001, 45001, 17025) and mentions an approved certification mechanism (Article 42, GDPR).
8

Zero Waste & Sustainable Products

-60

Nordion has an innovative program for recycling Co-60 sealed sources, which reduces waste and allows Co-60 sources to be safely reused in sterilization service.

1
Sterigenics’ 3R+ (Reduce, Reuse, Reclaim) Program aims to work with customers to reduce Ethylene Oxide (EO) usage.
2
Sterigenics U.S., LLC paid a penalty of $587,800 for permit and other rule violations related to Ethylene oxide (EtO) at its Vernon and Ontario facilities, with violation dates in June and September 2022.
3
The company faces litigation related to the use, emissions, and releases of EO from facilities in California, Georgia, Illinois, and New Mexico.
4
Sterigenics' Vernon facility received an abatement order after elevated EtO emissions were found, and its Ontario facility received violations for failing to maintain equipment and not reporting breakdowns.
5
The global supplier program allows periodic review and audit of critical suppliers to promote compliance with the Supplier Code of Business Ethics and Conduct.
6
Sterigenics has developed enhanced stakeholder communications to provide more information on EO and dispel misunderstandings around EO risks on its website.
7

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.