MASHINIi

WOOD GROUP (JOHN) PLC.

WG.LSE | Architectural and engineering activities and related technical consultancy

Wood Group (John Wood Group PLC) is a global consulting and engineering company operating in energy and materials markets. The company provides a range of services, including engineering, project management, operations, and consulting, to clients in the oil and gas, chemicals, renewables, and built ...Show More

Ethical Profile

Mixed.

Is Wood Group ethical? The company paid $177 million in 2021 to resolve bribery investigations, and a subsidiary paid over £6.46 million for alleged bribe payments. Worker relations face challenges, with unions balloting in June 2024 over proposed pay cuts up to 22% and workforce reductions. It also admitted 'cultural failings' and allegedly withheld financial information from auditors. Environmentally, Wood Group cut Scope 1 and 2 carbon emissions by 71% in 2023 and invests in clean energy, but its core business remains tied to oil and gas. Over $330 million has been spent with Indigenous businesses in Canada since 2020.

Value Scores

Better Health for All0
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect0
-100100
Fair Trade & Ethical Sourcing-40
-100100
Honest & Fair Business-10
-100100
Kind to Animals0
-100100
No War, No Weapons-30
-100100
Planet-Friendly Business0
-100100
Respect for Cultures & Communities50
-100100
Safe & Smart Tech10
-100100
Zero Waste & Sustainable Products-20
-100100

Better Health for All

0

Wood achieved a 65% reduction in carbon emissions from its 2019 baseline as of December 2022, which indirectly enhances public health by reducing pollutants.

1
The company also received an AA rating in MSCI ESG Ratings for environmental impact improvement efforts.
2
Wood demonstrates a comprehensive approach to mental health, including a Global Mental Wellness Plan, training over 300 wellbeing champions,
3
providing extended access to mental health support for all employee families through an Employee Assistance Program, and integrating mental health into the entire career lifecycle.
4
Additionally, Wood supports healthcare workforce capacity by sponsoring the Grampian-Houston exchange for student nurses.
5

Fair Money & Economic Opportunity

0

John Wood Group PLC operates as a global consulting and engineering company, primarily serving the energy and materials markets. Its core business activities do not involve lending, insuring, moving, or storing money for consumers or businesses. The company's operations lack direct alignment with financial inclusivity or economic empowerment initiatives, and no explicit programs supporting equitable financial services or small business empowerment have been identified.

1
Consequently, the company does not offer financial products or services that would directly impact financial inclusivity or economic opportunity.
2

Fair Pay & Worker Respect

0

In 2023, the company reported a median gender pay gap of 31.1%, meaning women earned 68.9% of men's median pay.

1
The Total Recordable Incident Rate (TRIR) was 0.18 per 200,000 work hours in 2023, though one work-related fatality occurred in Kentucky, USA, during the same year.
2
Professional voluntary employee turnover was 13.7% in 2023, a decrease from 16% in 2022.
3
The Employee Net Promoter Score (eNPS) increased to +28 from +15.
4

Fair Trade & Ethical Sourcing

-40

Suppliers are re-evaluated at least every three years, with social audits conducted by internal staff.

1
Regular internal audits focus on modern slavery risk, and the Human Resources function undertakes annual assurance reviews.
2
The company has a Supplier Code of Conduct that includes human rights standards
3
, requiring suppliers to adhere to these principles and reflect them in their own supply chain
4
, and to comply with Building Responsibly Principles
5
. Wood is a Real Living Wage employer in the UK
6
and mandates its UK supply chain partners to pay no less than the Real Living Wage
7
. A 24/7 third-party Business Ethics helpline is available in over 100 languages.
8
The company identifies risks within Tier 1, Tier 2, and Tier 3 suppliers and below
9
, and its policies prohibit child labor and forced labor
10
. Wood is a founding member of Building Responsibly
11
, an initiative focused on worker rights and welfare
12
, with targets to ensure 100% of labour suppliers comply with its principles by 2025
13
and 100% of total suppliers by 2030
14
.

Honest & Fair Business

-10

Wood Group will restate financial results for 2022, 2023, and 2024, averaging one restatement per year, following a Deloitte review that found "material weaknesses and failures in the group's financial culture"

1
and instances of information being inappropriately withheld from auditors.
2
The Financial Conduct Authority (FCA) has launched an investigation into the company's accounting practices for the period between January 2023 and November 2024.
3
While no fines have been levied in the past three years, the company's shares were suspended from trading due to delayed 2024 accounts.
4
The chief financial officer resigned after misstating his professional qualifications.
5
The company has a Business Ethics Reporting and Anti-Retaliation Policy, including a 24/7 anonymous Ethics Helpline operated by a third-party provider in multiple languages.
6
Wood also maintains a zero-tolerance approach to bribery and corruption, with strict rules for monitoring third parties
7
and a commitment to fighting money laundering and tax evasion, as outlined in its Code of Conduct.
8

Kind to Animals

0

No specific, quantifiable evidence was found in the provided articles to assess John Wood Group PLC against the 'Kind to Animals' ethical value. The articles do not contain data points related to cruelty-free certifications, animal testing, humane certifications for operations, ethical input substitution, supplier audits for welfare, cage-free sourcing, R&D investment in animal-free alternatives, animal agriculture ethics, or public policy engagement on animal welfare for the company. While some articles mention general environmental initiatives or indirect benefits to wildlife habitats

1
, they do not provide the measurable biodiversity impact or financial allocations required by the rubric's quantitative thresholds for scoring.

No War, No Weapons

-30

The company states it has no involvement in arms manufacturing or military contracts.

1
However, it holds a five-year framework agreement with the U.S. Army Corps of Engineers for environmental remediation services, with an aggregate maximum value of $41 million for multiple awardees, estimated to complete in 2024.
2
It also received a defense and aerospace award from the SC21 program
3
and was awarded a contract by Babcock International, which operates in the defense sector, for industrial services.
4
Wood maintains a list of sanctioned countries ("Watchlist Countries") and requires pre-approval for any business in or connected to these countries.
5
The company handles "controlled" or "dual-use" items, requiring pre-approval for their export.
6
Wood is a member of the UN Global Compact, supporting its Ten Principles,
7
and is committed to human rights, guided by the Universal Declaration of Human Rights, as outlined in its Global Human Rights Policy.
8
In 2020, the company sold its nuclear division for £250 million, moving away from sectors potentially connected to military applications.
9

Planet-Friendly Business

0

In 2023, Wood Group reported a 71% reduction in its Scope 1 and 2 carbon emissions compared to its 2019 baseline, exceeding its 2030 target of a 40% reduction.

1
The company's sustainable solutions generated $1.3 billion in revenue.
2
Wood Group was awarded a contract in December 2024 to add a heat recovery unit to a Middle East plant, estimated to cut 110 kilotonnes of CO₂ emissions annually.
3
In October 2024, Wood led a joint industry effort to establish CO₂ specification guidelines for Carbon Capture, Utilization, and Storage (CCUS) projects.
4
The company also secured a contract in September 2024 to operate an advanced plastics recycling facility in Ohio, designed to convert 90,000 tons of end-of-life plastics into petrochemical feedstock annually.
5
In August 2024, Wood was selected to modernize British Columbia's electric grid under a $200 million, seven-year agreement.
6
The company facilitated over €1 billion in investments for European clean energy projects, including wind farms in Lithuania and Sweden.
7
In December 2023, Wood was awarded a contract for engineering design and regulatory support for three 2GW offshore wind converter stations in the German North Sea.
8
The CEO emphasized the critical role of carbon capture, with the company having conducted over 175 feasibility studies on CCS projects.
9
In April 2020, Wood secured $100 million in contracts for U.S. onshore wind projects.
10

Respect for Cultures & Communities

50

The company provides an Ethics Helpline that is available to the general public in multiple languages

1
, indicating a global grievance mechanism for community concerns.

Safe & Smart Tech

10

Wood Group provides expert assurance by specialists to validate AI outputs, reducing risk and ensuring accuracy, and emphasizes safety, cybersecurity, compliance, and risk management in its AI and digital transformation services.

1
The company implements encryption where appropriate to secure personal data, aligning with standard industry practices.
2
Mandatory annual security awareness training is in place, with Key Performance Indicators used to quantitatively and qualitatively measure its impact, identify knowledge gaps, and enable continuous improvement.
3
Users have comprehensive data protection rights, including access, correction, deletion, objection to processing, restriction of processing, and data portability, applicable to residents in the UK, EEA, Brazil, California, and Nevada.
4
Wood Group retains personal information only where there is an ongoing legitimate business need or to comply with legal requirements, deleting or anonymizing it otherwise.
5
The company complies with applicable legal requirements for data retention
6
and addresses regulatory compliance for cybersecurity, such as the EU's NIS2 Directive,
7
supported by a global information security and privacy program led by a Chief Information Security and Data Protection Officer.
8

Zero Waste & Sustainable Products

-20

Wood integrates circular economy principles into its service design and delivery for clients. The company operates a facility that converts 90,000 tons of end-of-life plastics annually into petrochemical feedstock.

1
It also designs plants for sustainable packaging production, including materials notable for recyclability, and enhances acetic acid recovery.
2
Furthermore, Wood partners to deliver waste recovery solutions capable of diverting up to 90% of processed municipal waste from landfills.
3
In 2023, revenue from sustainable solutions reached $1.3 billion, accounting for 22% of total revenue and 43% of its sales pipeline.
4

Own WOOD GROUP (JOHN) PLC?

Upload your portfolio and see how all your holdings score across 11 ethical dimensions.

Audit My Portfolio

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.