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Wikipedia

Unilever

January 18, 2023

Unilever plc is a British multinational consumer goods company with headquarters in London, England. Unilever products include food, condiments, bottled water, baby food, soft drink, ice cream, instant coffee, cleaning agents, energy drink, toothpaste, pet food, pharmaceutical and consumer healthcare products, tea, breakfast cereals, beauty products, and personal care. Unilever is the largest producer of soap in the world[3] and its products are available in around 190 countries.[4]

Unilever plc
Logo since 2004
Unilever House, the corporate headquarters in London
TypePublic limited company
ISINGB00B10RZP78
IndustryConsumer goods
Predecessors
Founded2 September 1929; 93 years ago (1929-09-02)
Founders
HeadquartersLondon, England, UK
Area served
Worldwide
Key people
Products
List
BrandsSee list of brands
Revenue €52.444 billion (2021)[1]
€8.702 billion (2021)[1]
€6.621 billion (2021)[1]
Total assets €75.095 billion (2021)[1]
Total equity €19.746 billion (2021)[1]
Number of employees
149,000 (2022)[2]
Websitewww.unilever.com

Unilever's largest brands include Lifebuoy, Dove, Sunsilk, Knorr, Lux, Sunlight, Rexona/Degree, Axe/Lynx, Ben & Jerry's, Omo/Persil, Heartbrand (Wall's) ice creams, Hellmann's and Magnum.[4]

Unilever is organised into three main divisions: Foods and Refreshments, Home Care, and Beauty & Personal Care. It has research and development facilities in China, India, the Netherlands, the United Kingdom, and the United States.[5]

Unilever was founded on 2 September 1929, by the merger of the British soapmaker Lever Brothers and the Dutch margarine producer Margarine Unie. In the 1930s Unilever acquired the United Africa Company. During the second half of the 20th century, the company increasingly diversified from being a maker of products made of oils and fats and expanded its operations worldwide. It has made numerous corporate acquisitions, including Lipton (1971), Brooke Bond (1984), Chesebrough-Ponds (1987), Best Foods (2000), Ben & Jerry's (2000), Alberto-Culver (2010), Dollar Shave Club (2016) and Pukka Herbs (2017). Unilever divested its specialty chemicals businesses to ICI in 1997. In the 2010s, under the leadership of Paul Polman, the company gradually shifted its focus towards health and beauty brands and away from food brands showing slow growth.[6]

Unilever has a primary listing on the London Stock Exchange and is a constituent of the FTSE 100 Index. Unilever has a secondary listing on Euronext Amsterdam and is a constituent of the AEX index. The completion of the unification of Unilever's Dutch and UK arms under a single London-based entity was announced on 30 November 2020.[7]

History

 
Lever House in Port Sunlight, United Kingdom, the former headquarters of Lever Brothers

1921–1940

In September 1929, Unilever was formed by a merger of the operations of Dutch Margarine Unie and British soapmaker Lever Brothers, with the name of the resulting company a portmanteau of the name of both companies.[8] In the 1930s, business grew and new ventures were launched in Africa and Latin America. During this time, Unilever acquired the United Africa Company, created from a merger of the African & Eastern Trade Corporation and the Royal Niger Company, which oversaw British trade interests in present-day Nigeria during the colonial era.[9] The Nazi occupation of Europe during the Second World War meant that Unilever was unable to reinvest its capital into Europe, so it instead acquired new businesses in the United Kingdom and the United States.[10] In 1943, it acquired T. J. Lipton, a majority stake in Frosted Foods (owner of the Birds Eye brand) and Batchelors Peas, one of the largest vegetables canners in the United Kingdom.[11][12] In 1944, Pepsodent was acquired.[12]

In 1933, Unilever Indonesia was established in December as Lever Zeepfabrieken N.V. and has operations in Cikarang, West Java at Rungkut, East Java and North Sumatra.[13]

1941–1960

After 1945, Unilever's once successful American businesses (Lever Brothers and T.J. Lipton) began to decline.[14] As a result, Unilever began to operate a "hands-off" policy towards the subsidiaries and left American management to its own devices.[14]

Sunsilk was first launched in the United Kingdom in 1954.[15] Dove was first launched in the US in 1957.[15] Unilever took full ownership of Frosted Foods in 1957, which it renamed Birds Eye.[16] The US-based Good Humor ice cream business was acquired in 1961.[17]

By the mid-1960s laundry soap and edible fats still contributed around half of Unilever's corporate profits.[11] However, a stagnant market for yellow fats (butter, margarine, and similar products) and increasing competition in detergents and soaps from Procter & Gamble forced Unilever to diversify.[11] In 1971, Unilever acquired the British-based Lipton Ltd from Allied Suppliers.[11] In 1978, National Starch was acquired for $487 million, marking the largest ever foreign-acquisition of a US company at that point.[18]

1961–1980

By the end of the 1970s through acquisitions, Unilever had gained 30 percent of the Western European ice cream market.[11] In 1982, Unilever management decided to reposition itself from an unwieldy conglomerate to a more concentrated fast-moving consumer goods (FMCG) company.[19]

In 1984, Unilever acquired Brooke Bond (maker of PG Tips tea) for £390 million in the company's first successful hostile takeover.[11] In 1986 Unilever strengthened its position in the world skin care market by acquiring Chesebrough-Ponds (merged from Chesebrough Manufacturing and Pond's Creams), the maker of Ragú, Pond's, Aqua-Net, Cutex, and Vaseline in another hostile takeover.[19] In 1989, Unilever bought Calvin Klein Cosmetics, Fabergé, and Elizabeth Arden, but the latter was later sold (in 2000) to FFI Fragrances.[20]

1981–2000

In 1992, Unilever Ghana was established in July following a merger of UAC Ghana Limited and Lever Brothers Ghana Limited.[21]

In 1993, Unilever acquired Breyers from Kraft, which made the company the largest ice cream manufacturer in the United States.[22]

In 1996, Unilever merged Elida Gibbs and Lever Brothers in its UK operations.[23] It also purchased Helene Curtis, significantly expanding its presence in the United States shampoo and deodorant market.[20] The purchase brought Unilever the Suave and Finesse hair-care product brands and Degree deodorant brand.[20]

In 1997, Unilever sold its speciality chemicals division, including National Starch & Chemical, Quest, Unichema and Crosfield to Imperial Chemical Industries for £4.9 billion.[24]

In 1998, Unilever established a sustainable agriculture programme.[25]

In 2000, Unilever acquired the boutique mustard retailer Maille,[26] Ben & Jerry's and Slim Fast for £1.63 billion,[27][28] Bestfoods for £13.4 billion.[29] The Bestfoods acquisition increased Unilever's scale in foods in America, and added brands including Knorr, Marmite, Bovril, and Hellmann's to its portfolio.[29] In exchange for European regulatory approval of the deal, Unilever divested itself of Oxo, Lesieur, McDonnells, Bla Band, Royco, and Batchelors.[30][31]

2001–2010

 
Global employment at Unilever 2000–08
Black represents employment numbers in Europe, light grey represents the Americas and dark grey represents Asia and Africa.
Between 2000 and 2008 Unilever reduced global workforce numbers by 41%, from 295,000 to 174,000.
Notes: Europe figures for 2000–2003 are all Europe; from 2004 figures in black are Western Europe. For 2004–2008 figures for Asia and Africa include Eastern and Central Europe.
Source: Unilever Annual Reports 2004, 2008

In 2001, Unilever split into two divisions: one for foods and one for home and personal care.[32] In the UK, it merged its Lever Brothers and Elida Faberge businesses as Lever Faberge in January 2001.[33]

In 2003, Unilever announced the strategic decision to sell off the Dalda brand in both India and Pakistan.[34] In 2003, Bunge Limited acquired the Dalda brand from Hindustan Unilever Limited for reportedly under Rs 100 crore.[35] On 30 March 2004, Unilever Pakistan accepted an offer of Rs. 1.33 billion for the sale of its Dalda brand and related business of edible oils and fats to the newly incorporated company Dalda Foods (Pvt.) Limited.[36]

In 2002, the company sold its specialty oils and fats division, known as Loders Croklaan, for RM814 million (€218.5 million) to IOI Corporation, a Kuala Lumpur, Malaysia-based oil palm company. As part of the deal, the Loders Croklaan name was maintained.[37] Unilever sold the brands Mazola, Argo & Kingsfords, Karo, Golden Griddle, and Henri's, along with several of its Canadian brands, to ACH Food Companies, an American subsidiary of Associated British Foods.[38]

In 2004, Unilever Bangladesh, which was established in 1964[39] changed its former name Lever Brothers Bangladesh Ltd to its present name in December 2004,[40] is owned 60.4% by Unilever and 39.6% by the Government of Bangladesh.[41][42]

In 2007, Unilever partnered with Rainforest Alliance to sustainably source all its tea.[43]

In 2009, Unilever agreed to acquire the personal care business of Sara Lee Corporation, including brands such as Radox, Badedas and Duschdas.[44] The Sara Lee acquisition was completed on 6 December 2010.[45]

In 2010, Unilever acquired the Diplom-Is in Denmark,[46] Unilever announced that it had entered into a definitive agreement to sell its consumer tomato products business in Brazil to Cargill,[47] purchased Alberto-Culver, a maker of personal care and household products including Simple, VO5, Nexxus, TRESemmé, and Mrs. Dash, for US$3.7 billion.[48] acquired EVGA's ice cream brands, which included Scandal, Variete and Karabola, and its distribution network in Greece, for an undisclosed amount.[49]

2011–2020

In 2012, Unilever announced it would phase out the use of microplastics in the form of microbeads in their personal care products by 2015.[50]

In 2014, Unilever agreed to acquire a majority stake in the China-based water purification company Qinyuan for an undisclosed price,[51] acquired Talenti Gelato & Sorbetto,[52] acquired Camay brand globally and the Zest brand outside of North America and the Caribbean from Procter & Gamble.[53]

In 2015, Unilever acquired British niche skincare brand REN Skincare,[54] This was followed in May 2015 by the acquisition of Kate Somerville Skincare LLC.[55] The company also acquired the Italian premium ice cream maker GROM for an undisclosed amount.[56] Uniliver also separated its food spreads business,[57] including its Flora and I Can't Believe It's Not Butter! brands, into a standalone entity named Unilever Baking, Cooking and Spreading.[58] The separation was first announced in December 2014 and was made in response to declining worldwide sales in that product category.[59]

Unilever bought the United States-based startup company Dollar Shave Club for a reported $1b (£764m) in order to compete in the male grooming market.[60] On 16 August 2016, Unilever acquired Blueair, a supplier of mobile indoor air purification technologies.[61] In September 2016, Unilever acquired Seventh Generation Inc. for $700 million.[62] On 16 December 2016, Unilever acquired Living Proof Inc, a hair care products business.[63]

In 2017, significantly smaller Kraft Heinz made a $143 billion bid for Unilever.[64][65] The deal was declined by Unilever.[66] On 20 April 2017, Unilever acquired Sir Kensington's, a New York-based condiment maker.[67] On 15 May 2017, the company acquired the personal care and home care brands of Quala, a Latin American consumer goods company.[68] In June, the company acquired Hourglass, a colour cosmetics brand.[69] In July, the company then announced that it had acquired the organic herbal tea business, Pukka Herbs.[70] In September 2017, Unilever acquired Weis, an Australian ice cream business.[71] Later that month Unilever acquired Remgro's interest in Unilever South Africa in exchange for the Unilever South Africa spreads business plus cash consideration.[72] Even later that month, Unilever agreed to acquire Carver Korea, with 2.7billion USD, a skincare business brand of AHC in North Asia.[73] In October 2017, Unilever acquired Brazilian natural and organic food business Mãe Terra.[74] In November, Unilever announced an agreement to acquire the Tazo speciality tea brand from Starbucks.[75] Later in November 2017, the company acquired Sundial Brands, a skincare company.[76] In December 2017, Unilever acquired Schmidt's Naturals, a US natural deodorant and soap company.[77] In December 2017, Unilever sold its margarine and spreads division to investment firm KKR for €6.8bn.[78][79] The sale was completed in July 2018, and the new company was named Upfield.[80] Upfield's notable brands include Flora, Stork, I Can't Believe It's Not Butter, Rama, Country Crock, Becel, and Blue Band.[81]

Unilever announced that in order to help tackle the global COVID-19 pandemic, it would contribute over €100m through donations of soap, hand sanitiser, bleach and food.[82][83]

2021–present

In April 2021, Unilever established a new stand alone beauty business, Elida Beauty. [84]

In August 2021, Florida governor Ron DeSantis placed Unilever on a list of "Scrutinized Companies that Boycott Israel" because it had "no current plan to prevent Ben & Jerry’s from terminating business activities in Israeli-controlled territories." The ice-cream brand has 90 days to stop engaging in "the BDS movement", or the state will no longer contract with the parent company Unilever or any of its subsidiaries.[85]

In November 2021, Unilever agreed to sell most of its tea business under the Ekaterra division to investment firm CVC Capital Partners for €4.5 billion. This deal excluded the Unilever tea business in India, Indonesia and Nepal, and the Lipton Ice Tea joint-venture with PepsiCo.[86] The deal was completed in summer 2022.[87]

Corporate operations

Legal structure

 
Former head office building of Unilever N.V. which now became the HQ for the merged group's food and refreshments division, Rotterdam.

Unilever has a holding company Unilever PLC and N.V. with Anglo-Dutch structure, which has its registered office at Port Sunlight in Merseyside, United Kingdom and its head office at Unilever House in London, United Kingdom.[88] The company has been restructured several times, for example in 2018 and 2020 (see "history").[89][90]

In 2018, Unilever announced its intention to simplify this structure by centralising the duality of legal entities and keeping just one headquarters in Rotterdam, abandoning the London head office. Business groups and staff would have been unaffected, as would the dual listing.[89] On 5 October 2018 the group announced it would cancel the restructuring due to concern that the United Kingdom shareholders would lose value if the company fell out of the London FTSE100.[91][92] A shareholder vote was planned to decide for the listing of a new Unilever Dutch entity, which would have seen Unilever dropping out of the FTSE 100 Index.[93] When it appeared that the vote would fail, due to uncertainty over the Netherlands dividend tax, the scheme was cancelled on 5 October 2018.[94] In October 2018, it acquired[95] a 75% stake in the Italian personal-care business Equilibra[96] and acquired the high-end, eco-friendly laundry and household cleaning products company The Laundress for an undisclosed sum.[97] In 2018, UK recruitment website Indeed, named Unilever as the United Kingdom's ninth best private sector employer[98] based on millions of employee ratings and reviews.[99]

In 2020, Unilever announced it has reviewed its corporate structure again and that the company was to merge Unilever N.V into Unilever PLC forming one holding company to be based in the United Kingdom.[100] However, a Dutch 'exit tax' plan would require Unilever to reconsider this unification.[90][101] In September 2020 Unilever's Dutch arm shareholders overwhelmingly voted for the N.V. to merge into the PLC.[102] In October 2020 Unilever announced that 99 percent of shareholders in its UK arm agreed with the merger, i.e., voted to base the group in London.[103][104][105] The completion of the unification was announced on 30 November 2020. Since then there is one class of shares.[7]

Senior management

In January 2019, Alan Jope succeeded Paul Polman as the chief executive officer.[106] The chief financial officer, Graeme Pitkethly,[107] is executive director. Jope will be proposed as joint executive director at Unilever's 2019 AGM.[108]

Previously, Paul Polman was CEO for ten years, succeeding Patrick Cescau in 2009.[109]

In November 2019, Unilever announced that Nils Andersen would be replacing Chairman Marijn Dekkers, who stepped down after three years in the role.[110]

Gallery of global assets

  •  

    Unilever R&D Centre in Bangalore, India

  •  

    Unilever R&D Centre in Colworth, United Kingdom

  •  

    Unilever-Haus in Hamburg, Germany

  •  

    Soap factory in Mannheim, Germany

Financial data

Financial data in € billions[111]
Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Revenue 46.467 51.324 49.797 48.436 53.272 52.713 53.715 50.982 51.980 50.724 52.444
Net Income 4.252 4.480 4.842 5.171 4.909 5.184 6.053 9.389 5.625 5.581 6.621
Assets 29.583 30.351 28.131 28.385 32.279 35.873 37.108 39.684 64.806 67.659 75.095
Employees 171,000 172,000 174,000 173,000 169,000 169,000 165,000 158,000 153,000 155,000 149,000

Operations

The three markets of the United States, China and India account for over one third of turnover.[112]

Thirteen brands account for over half of sales.[112]

Branding and advertising

Unilever's largest international competitors are Nestlé and Procter & Gamble.[113]

In 1930, the logo of Unilever was in a sans-serif typeface and all-caps. The current Unilever corporate logo was introduced in 2004 and was designed by Wolff Olins, a brand consultancy agency. The 'U' shape is now made up of 25 distinct symbols, each icon representing one of the company's sub-brands or its corporate values.[114] The brand identity was developed around the idea of "adding vitality to life."[115]

Brands

Further information: List of Unilever brands

Dove

 
Dove shampoo and conditioner

Dove describes itself as being dedicated to "help ... women develop a positive relationship with the way they look – helping them raise their self-esteem and realize their full potential".[116] Dove employs the use of advertising for its products to display its messages of positive self-esteem. In September 2004 Dove created a Real Beauty campaign,[117] focusing predominately on women of all shapes and colour. Later in 2007, this campaign furthered itself to include women of all ages. This campaign consisted mostly of advertisements, shown on television and popularised by the internet. Dove fell under scrutiny from the general public as they felt the Dove advertisements described the opinion that cellulite was still unsightly and that women's aging process was something for which to be ashamed.[118]

Lynx/Axe

Axe, known as Lynx in the United Kingdom, the Republic of Ireland, Australia and New Zealand, is a toiletries brand marketed towards young men between the ages of 16 and 24.[119] Its marketing is a "tongue-in-cheek take on the 'mating game'", suggesting that women are instantly drawn to men who use the products.[120][121] Unlike Dove's long-running beauty campaign, Lynx advertising often creates mini-series of advertisements based around a singular product rather than communicating an overarching idea. Using images the company knows it will receive complaints garners the brand more free publicity and notoriety, often through controversy. A wide variety of these adverts have been banned in countries around the world. In 2012, Lynx's 'Clean Balls' advert was banned. In 2011, in the United Kingdom, Lynx's shower gel campaign was banned.[120][122]

Both advertising campaigns make stark comparisons between how women and their sexuality are portrayed in advertising and sales efficiency. Lynx commonly portrays women as hypersexual, flawless and stereotypically attractive who are aroused by men, of all ages and stature, because of their use of the Lynx product.[119]

Social media advertising

On 26 June 2020, Unilever said it would halt advertising to U.S. customers on social media giants Facebook, Instagram, and Twitter until at least the end of 2020 following a campaign started by various American civil-rights groups, such as the Anti-Defamation League and the NAACP, protesting Facebook's policies on hate speech and misinformation named "Stop Hate For Profit".[123][124] though they did not formally sign on to the campaign. Unilever cited "our Responsibility Framework and the polarized atmosphere in the U.S." and said that "continuing to advertise on these platforms at this time would not add value to people and society."[125]

Later that year in December Unilever revealed it would resume advertising on Facebook and its affiliated platforms, stating the company has made enough progress in changing their management to continue advertising with them. Executive vice president of global media for the company, Luis Di Como, released a statement clarifying: "We are encouraged by the commitments the platforms are making to build healthier environments for consumers, brands and society in alignment with the principles of the Global Alliance for Responsible Media. This is why we plan to end our social media investment pause in the U.S. in January. We will continue to reassess our position as necessary."[123]

Environmental record

Unilever has declared the goal of decoupling its environmental impact from its growth, by halving the environmental footprint of its products by 2030; helping 1 billion people improve their health and well-being; and sourcing all of its agricultural raw materials sustainably.[126] In September 2019, Unilever announced that its sites across five continents are now powered by 100% renewable grid electricity, ahead of its 2020 target.[127] In 2020, Unilever promised to become carbon neutral by 2039.[128]

Mercury contamination

In 2001, a mercury thermometer factory operated by the Indian subsidiary of Unilever in the South Indian hilltown of Kodaikanal was shut down by state regulators after the company was caught dumping toxic mercury wastes in a densely populated part of town.[129] By the company's own admissions, more than 2 tonnes of mercury were discharged into Kodaikanal's environment. A 2011 Government of India study on workers’ health concluded that many workers suffered from illnesses caused by workplace exposure to mercury.[130] The scandal opened up a series of issues in India such as corporate liability, corporate accountability and corporate negligence.[130]

In March 2016, Unilever reached an out of court settlement (for an undisclosed amount) with 591 ex-workers of the unit who had sued the company for knowingly exposing them to the toxic element.[131]

Palm oil

In 2014, Unilever was criticised by Greenpeace for causing deforestation.[132] In 2008, Greenpeace UK[133] criticised the company for buying palm oil from suppliers that were damaging Indonesia's rainforests.[134] By 2008, Indonesia was losing 2% of its remaining rainforest each year, having the fastest deforestation rate of any country. The United Nations Environmental Programme stated that palm oil plantations are the leading cause of deforestation in Indonesia.[134]

Furthermore, Indonesia was the 14th[135] largest emitter of greenhouse gases, largely due to the destruction of rainforests for the palm oil industry, which contributed to 4% of global green house gas emissions.[136] According to Greenpeace, palm oil expansion was taking place with little oversight from central or local government as procedures for environmental impact assessment, land-use planning and ensuring a proper process for development of concessions were neglected.[136] Plantations that were off-limits, by law, for palm oil plantations were being established as well as the illegal use of fire to clear forest areas was commonplace.[136]

Unilever, as a founding member of the Roundtable on Sustainable Palm Oil (RSPO), responded by publicising its plan to obtain all of its palm oil from sources that are certified as sustainable by 2015.[137] It claims to have met this goal in 2012 and is encouraging the rest of the industry to become 100% sustainable by 2020.[138]

In Côte d'Ivoire, one of Unilever's palm oil suppliers was accused of clearing forest for plantations, an activity that threatened a primate species, Miss Waldron's red colobus. Unilever intervened to halt the clearances pending the results of an environmental assessment.[139]

According to an Amnesty International report published in 2016, Unilever's palm oil supplier Wilmar International profited from child labour and forced labour. Some workers were extorted, threatened or not paid for work. Some workers suffered severe injuries from banned chemicals. In 2016 Singapore-based Wilmar International was the world's biggest palm oil grower.[140]

Plastic pollution

In 2019, Unilever was cited by BreakFreeFromPlastic as one of the top ten global plastic polluters.[141] Graham Forbes, Global Plastics Project Leader at Greenpeace, said Unilever's plans to tackle this were the most ambitious he'd seen from a massive conglomerate. He also said that Unilever should commit to more.[142]

Nevertheless, in 2019, Unilever announced that it plans to halve its non-recycled plastic packaging by 2025.[143][144] In 2020, Unilever joined 13 EU member states and more than 60 companies to sign a pact to use recycled plastic for all plastic packaging and single-use plastic products by 2025.[145]

In June 2022, a Reuters report revealed that Unilever had lobbied the governments of India and the Philippines to stop legislation which would ban the sale of cosmetics in single-use plastic sachets, despite vowing in 2020 to stop using them.[146] The design of these sachets had been called 'evil' by Hanneke Faber, Unilever's President for Global Food and Refreshments, 'because you cannot recycle it'. The bans were then dropped by lawmakers. In Sri Lanka, the company pressed the government to reconsider a proposed ban on sachets, and then tried to manoeuvre around the ban after regulations were implemented.[146]

Rainforest Alliance

Main article: Rainforest Alliance § Criticism and response

Unilever certifies its tea products by the Rainforest Alliance scheme. The company has stated that at least 50% of the tea in its products originates from certified farms, compared to the Alliance's 30% minimum entry point. Unilever decided on the scheme over Fairtrade, because according to the company's analysis, Fairtrade might "lack the scale and the organizational flexibility to certify industrial tea estates".[147]

The Rainforest Alliance certification scheme has been criticised for not offering producers minimum or guaranteed price,[148] therefore, leaving them vulnerable to market price variations. The alternative certificate, Fairtrade, has received similar criticism. The Rainforest Alliance certification has furthermore been criticised for allowing the use of the seal on products that contain only a minimum of 30% of certified content, which according to some endangers the integrity of the certification.[149]

Salmonella contamination

In July 2016, rumours about salmonella contamination in cereals spread among Israeli consumers.[150] Initially, Unilever did not provide public information about the subject and queries on the matter were rebuffed by the company as a non-story and nonsense. On 26 July 2016, Unilever had stopped transferring cornflakes to retailer chains.[151] On 28 July, Yedioth Ahronoth reported tens of thousands of boxes of breakfast cereal had been destroyed.[152] By 28 July, despite the company's assurances that nothing contaminated was released for consumption, many customers stopped buying Unilever products and started to throw away all cornflakes made by Unilever.[153] The company withheld information about the affected production dates.[154] Unilever had published more information about Telma cereals handled on the packaging line in which the contamination was discovered and that a Telma announcement had been made: "We again stress that all Telma products in the stores and in your homes are safe to eat. According to our company's strict procedures, every production batch is checked and put on hold. These products are not marketed until test results for this product series are returned, confirming that all is well. If any flaw is discovered, the batch is not marketed to stores, as was the case."[155] In the following days the Health Minister, Yakov Litzman, threatened to pull Unilever's licence in Israel. He accused Unilever of lying to his ministry regarding salmonella-infected breakfast cereals.[156]

On 7 August 2016, Globes reported that contamination may be sourced in pigeon faeces, the Health Ministry said that there might be other sources for the contamination and pigeon faeces are not the only possible source. Globes also said that the production line is automatic ("without human hands") and the possibility that the source is human is a very slim chance.[157] On 8 August 2016, the Israeli Health minister suspended a manufacturing license until Unilever carry out several corrections; the action came after an inspection of the Arad plant, stating "This was a series of negligent mistakes and not an incident with malicious intent by the firm's management and quality control procedures."[158] An investigation led by Prof. Itamr Grutto and Eli Gordon concluded that the event was caused by negligence.[159] Reportedly the cereals produced between the 18th and 20th at the Arad plant had traces of salmonella.[160]

Two class actions were filed in Israel, one for a sum of 1.2 million NIS (~$329K USD) against Unilever for hiding the contamination and misleading the public,[161] and another for a sum of 76 million NIS (~$23m USD) against Unilever after a 15-year-old teen had been hospitalised for Salmonellosis after allegedly contracting it from Unilever products.[162]

On 31 August 2016, Unilever stated that the Tehina products produced by RJM had been contaminated by salmonella.[163]

Controversies

Price-fixing

In April 2011, Unilever was fined €104 million by the European Commission for establishing a price-fixing cartel for washing powder in Europe, along with Procter & Gamble and Henkel.[164][165]

In 2016, Unilever and Procter & Gamble were both fined by Autorité de la concurrence in France in 2016 for price-fixing on personal hygiene products.[166][167]

Hampton Creek lawsuit

In November 2014, Unilever filed a lawsuit against rival Hampton Creek.[168] In the suit,[169] Unilever claimed that Hampton Creek was "seizing market share" and the losses were causing Unilever "irreparable harm." Unilever used standard of identity regulations in claiming that Hampton Creek's Just Mayo products are falsely advertised because they don't contain eggs.[170] The Washington Post[171] headline on the suit read "Big Food's Weird War Over The Meaning of Mayonnaise." The Los Angeles Times[172] began its story with "Big Tobacco, Big Oil, now Big Mayo?" A Wall Street Journal writer described that "Giant corporation generates huge quantities of free advertising and brand equity for tiny rival by suing it."[173] In December 2014, Unilever dropped the claim.[174]

Pressuring media to promote skin whiteners

Kinita Shenoy, an editor of the Sri Lanka edition of Cosmopolitan, refused to promote skin whiteners for a brand of Unilever. Unilever put pressure on Shenoy and asked Cosmopolitan to fire her.[175][176]

Violence against striking workers

In 2019, security forces hired by Unilever attacked workers that were peacefully picketing at a Unilever facility in Durban in South Africa. Workers were shot at with rubber bullets, pepper spray and paint balls while attempting to walk to their cars parked on the premises. 4 workers were seriously injured.[177]

See also

References

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Further reading

  • Austin, James and James Quinn. Ben & Jerry’s: Preserving Mission and Brand within Unilever (Harvard Business School Publishing, 2005)
  • Fieldhouse, D. K. Unilever overseas: The anatomy of a multinational 1895–1965 (Hoover Institution Press, 1979).
  • Jones, Geoffrey. Renewing Unilever: Transformation and Tradition (2005) excerpt
  • Sitapati, Sudhir. The CEO Factory: Management Lessons from Hindustan Unilever (2019)
  • Wubs, Ben. International business and national war interests: Unilever between Reich and empire, 1939–45 (Taylor & Francis, 2008)

External links

 
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January 18, 2023
unilever, british, multinational, consumer, goods, company, with, headquarters, london, england, products, include, food, condiments, bottled, water, baby, food, soft, drink, cream, instant, coffee, cleaning, agents, energy, drink, toothpaste, food, pharmaceut. Unilever plc is a British multinational consumer goods company with headquarters in London England Unilever products include food condiments bottled water baby food soft drink ice cream instant coffee cleaning agents energy drink toothpaste pet food pharmaceutical and consumer healthcare products tea breakfast cereals beauty products and personal care Unilever is the largest producer of soap in the world 3 and its products are available in around 190 countries 4 Unilever plcLogo since 2004Unilever House the corporate headquarters in LondonTypePublic limited companyTraded asLSE ULVR Euronext Amsterdam UNANYSE UL FTSE 100 component AEX componentISINGB00B10RZP78IndustryConsumer goodsPredecessorsLever BrothersMargarine UnieFounded2 September 1929 93 years ago 1929 09 02 FoundersLever Brothers branch William Lever 1st Viscount LeverhulmeJames Darcy LeverMargarine Unie line Samuel van den BerghJohann SchichtHeadquartersLondon England UKArea servedWorldwideKey peopleNils Andersen Chairperson Alan Jope CEO Graeme Pitkethly CFO ProductsList Foods Condiments Ice creams Energy drinks Wellbeing vitamins Minerals and supplements Tea instant coffees Baby foods pharmaceutical and consumer healthcare products Breakfast cereals Cleaning agents Water and air purifiers Pet foods Toothpastes Bottled waters Soft drinks Beauty products Personal careBrandsSee list of brandsRevenue 52 444 billion 2021 1 Operating income 8 702 billion 2021 1 Net income 6 621 billion 2021 1 Total assets 75 095 billion 2021 1 Total equity 19 746 billion 2021 1 Number of employees149 000 2022 2 Websitewww wbr unilever wbr comUnilever s largest brands include Lifebuoy Dove Sunsilk Knorr Lux Sunlight Rexona Degree Axe Lynx Ben amp Jerry s Omo Persil Heartbrand Wall s ice creams Hellmann s and Magnum 4 Unilever is organised into three main divisions Foods and Refreshments Home Care and Beauty amp Personal Care It has research and development facilities in China India the Netherlands the United Kingdom and the United States 5 Unilever was founded on 2 September 1929 by the merger of the British soapmaker Lever Brothers and the Dutch margarine producer Margarine Unie In the 1930s Unilever acquired the United Africa Company During the second half of the 20th century the company increasingly diversified from being a maker of products made of oils and fats and expanded its operations worldwide It has made numerous corporate acquisitions including Lipton 1971 Brooke Bond 1984 Chesebrough Ponds 1987 Best Foods 2000 Ben amp Jerry s 2000 Alberto Culver 2010 Dollar Shave Club 2016 and Pukka Herbs 2017 Unilever divested its specialty chemicals businesses to ICI in 1997 In the 2010s under the leadership of Paul Polman the company gradually shifted its focus towards health and beauty brands and away from food brands showing slow growth 6 Unilever has a primary listing on the London Stock Exchange and is a constituent of the FTSE 100 Index Unilever has a secondary listing on Euronext Amsterdam and is a constituent of the AEX index The completion of the unification of Unilever s Dutch and UK arms under a single London based entity was announced on 30 November 2020 7 Contents 1 History 1 1 1921 1940 1 2 1941 1960 1 3 1961 1980 1 4 1981 2000 1 5 2001 2010 1 6 2011 2020 1 7 2021 present 2 Corporate operations 2 1 Legal structure 2 2 Senior management 2 3 Gallery of global assets 2 4 Financial data 2 5 Operations 3 Branding and advertising 3 1 Logo 3 2 Brands 3 2 1 Dove 3 2 2 Lynx Axe 3 3 Social media advertising 4 Environmental record 4 1 Mercury contamination 4 2 Palm oil 4 3 Plastic pollution 4 4 Rainforest Alliance 4 5 Salmonella contamination 5 Controversies 5 1 Price fixing 5 2 Hampton Creek lawsuit 5 3 Pressuring media to promote skin whiteners 5 4 Violence against striking workers 6 See also 7 References 8 Further reading 9 External linksHistory Edit Lever House in Port Sunlight United Kingdom the former headquarters of Lever Brothers 1921 1940 Edit In September 1929 Unilever was formed by a merger of the operations of Dutch Margarine Unie and British soapmaker Lever Brothers with the name of the resulting company a portmanteau of the name of both companies 8 In the 1930s business grew and new ventures were launched in Africa and Latin America During this time Unilever acquired the United Africa Company created from a merger of the African amp Eastern Trade Corporation and the Royal Niger Company which oversaw British trade interests in present day Nigeria during the colonial era 9 The Nazi occupation of Europe during the Second World War meant that Unilever was unable to reinvest its capital into Europe so it instead acquired new businesses in the United Kingdom and the United States 10 In 1943 it acquired T J Lipton a majority stake in Frosted Foods owner of the Birds Eye brand and Batchelors Peas one of the largest vegetables canners in the United Kingdom 11 12 In 1944 Pepsodent was acquired 12 In 1933 Unilever Indonesia was established in December as Lever Zeepfabrieken N V and has operations in Cikarang West Java at Rungkut East Java and North Sumatra 13 1941 1960 Edit After 1945 Unilever s once successful American businesses Lever Brothers and T J Lipton began to decline 14 As a result Unilever began to operate a hands off policy towards the subsidiaries and left American management to its own devices 14 Sunsilk was first launched in the United Kingdom in 1954 15 Dove was first launched in the US in 1957 15 Unilever took full ownership of Frosted Foods in 1957 which it renamed Birds Eye 16 The US based Good Humor ice cream business was acquired in 1961 17 By the mid 1960s laundry soap and edible fats still contributed around half of Unilever s corporate profits 11 However a stagnant market for yellow fats butter margarine and similar products and increasing competition in detergents and soaps from Procter amp Gamble forced Unilever to diversify 11 In 1971 Unilever acquired the British based Lipton Ltd from Allied Suppliers 11 In 1978 National Starch was acquired for 487 million marking the largest ever foreign acquisition of a US company at that point 18 1961 1980 Edit By the end of the 1970s through acquisitions Unilever had gained 30 percent of the Western European ice cream market 11 In 1982 Unilever management decided to reposition itself from an unwieldy conglomerate to a more concentrated fast moving consumer goods FMCG company 19 In 1984 Unilever acquired Brooke Bond maker of PG Tips tea for 390 million in the company s first successful hostile takeover 11 In 1986 Unilever strengthened its position in the world skin care market by acquiring Chesebrough Ponds merged from Chesebrough Manufacturing and Pond s Creams the maker of Ragu Pond s Aqua Net Cutex and Vaseline in another hostile takeover 19 In 1989 Unilever bought Calvin Klein Cosmetics Faberge and Elizabeth Arden but the latter was later sold in 2000 to FFI Fragrances 20 1981 2000 Edit In 1992 Unilever Ghana was established in July following a merger of UAC Ghana Limited and Lever Brothers Ghana Limited 21 In 1993 Unilever acquired Breyers from Kraft which made the company the largest ice cream manufacturer in the United States 22 In 1996 Unilever merged Elida Gibbs and Lever Brothers in its UK operations 23 It also purchased Helene Curtis significantly expanding its presence in the United States shampoo and deodorant market 20 The purchase brought Unilever the Suave and Finesse hair care product brands and Degree deodorant brand 20 In 1997 Unilever sold its speciality chemicals division including National Starch amp Chemical Quest Unichema and Crosfield to Imperial Chemical Industries for 4 9 billion 24 In 1998 Unilever established a sustainable agriculture programme 25 In 2000 Unilever acquired the boutique mustard retailer Maille 26 Ben amp Jerry s and Slim Fast for 1 63 billion 27 28 Bestfoods for 13 4 billion 29 The Bestfoods acquisition increased Unilever s scale in foods in America and added brands including Knorr Marmite Bovril and Hellmann s to its portfolio 29 In exchange for European regulatory approval of the deal Unilever divested itself of Oxo Lesieur McDonnells Bla Band Royco and Batchelors 30 31 2001 2010 Edit Global employment at Unilever 2000 08 Black represents employment numbers in Europe light grey represents the Americas and dark grey represents Asia and Africa Between 2000 and 2008 Unilever reduced global workforce numbers by 41 from 295 000 to 174 000 Notes Europe figures for 2000 2003 are all Europe from 2004 figures in black are Western Europe For 2004 2008 figures for Asia and Africa include Eastern and Central Europe Source Unilever Annual Reports 2004 2008 In 2001 Unilever split into two divisions one for foods and one for home and personal care 32 In the UK it merged its Lever Brothers and Elida Faberge businesses as Lever Faberge in January 2001 33 In 2003 Unilever announced the strategic decision to sell off the Dalda brand in both India and Pakistan 34 In 2003 Bunge Limited acquired the Dalda brand from Hindustan Unilever Limited for reportedly under Rs 100 crore 35 On 30 March 2004 Unilever Pakistan accepted an offer of Rs 1 33 billion for the sale of its Dalda brand and related business of edible oils and fats to the newly incorporated company Dalda Foods Pvt Limited 36 In 2002 the company sold its specialty oils and fats division known as Loders Croklaan for RM814 million 218 5 million to IOI Corporation a Kuala Lumpur Malaysia based oil palm company As part of the deal the Loders Croklaan name was maintained 37 Unilever sold the brands Mazola Argo amp Kingsfords Karo Golden Griddle and Henri s along with several of its Canadian brands to ACH Food Companies an American subsidiary of Associated British Foods 38 In 2004 Unilever Bangladesh which was established in 1964 39 changed its former name Lever Brothers Bangladesh Ltd to its present name in December 2004 40 is owned 60 4 by Unilever and 39 6 by the Government of Bangladesh 41 42 In 2007 Unilever partnered with Rainforest Alliance to sustainably source all its tea 43 In 2009 Unilever agreed to acquire the personal care business of Sara Lee Corporation including brands such as Radox Badedas and Duschdas 44 The Sara Lee acquisition was completed on 6 December 2010 45 In 2010 Unilever acquired the Diplom Is in Denmark 46 Unilever announced that it had entered into a definitive agreement to sell its consumer tomato products business in Brazil to Cargill 47 purchased Alberto Culver a maker of personal care and household products including Simple VO5 Nexxus TRESemme and Mrs Dash for US 3 7 billion 48 acquired EVGA s ice cream brands which included Scandal Variete and Karabola and its distribution network in Greece for an undisclosed amount 49 2011 2020 Edit In 2012 Unilever announced it would phase out the use of microplastics in the form of microbeads in their personal care products by 2015 50 In 2014 Unilever agreed to acquire a majority stake in the China based water purification company Qinyuan for an undisclosed price 51 acquired Talenti Gelato amp Sorbetto 52 acquired Camay brand globally and the Zest brand outside of North America and the Caribbean from Procter amp Gamble 53 In 2015 Unilever acquired British niche skincare brand REN Skincare 54 This was followed in May 2015 by the acquisition of Kate Somerville Skincare LLC 55 The company also acquired the Italian premium ice cream maker GROM for an undisclosed amount 56 Uniliver also separated its food spreads business 57 including its Flora and I Can t Believe It s Not Butter brands into a standalone entity named Unilever Baking Cooking and Spreading 58 The separation was first announced in December 2014 and was made in response to declining worldwide sales in that product category 59 Unilever bought the United States based startup company Dollar Shave Club for a reported 1b 764m in order to compete in the male grooming market 60 On 16 August 2016 Unilever acquired Blueair a supplier of mobile indoor air purification technologies 61 In September 2016 Unilever acquired Seventh Generation Inc for 700 million 62 On 16 December 2016 Unilever acquired Living Proof Inc a hair care products business 63 In 2017 significantly smaller Kraft Heinz made a 143 billion bid for Unilever 64 65 The deal was declined by Unilever 66 On 20 April 2017 Unilever acquired Sir Kensington s a New York based condiment maker 67 On 15 May 2017 the company acquired the personal care and home care brands of Quala a Latin American consumer goods company 68 In June the company acquired Hourglass a colour cosmetics brand 69 In July the company then announced that it had acquired the organic herbal tea business Pukka Herbs 70 In September 2017 Unilever acquired Weis an Australian ice cream business 71 Later that month Unilever acquired Remgro s interest in Unilever South Africa in exchange for the Unilever South Africa spreads business plus cash consideration 72 Even later that month Unilever agreed to acquire Carver Korea with 2 7billion USD a skincare business brand of AHC in North Asia 73 In October 2017 Unilever acquired Brazilian natural and organic food business Mae Terra 74 In November Unilever announced an agreement to acquire the Tazo speciality tea brand from Starbucks 75 Later in November 2017 the company acquired Sundial Brands a skincare company 76 In December 2017 Unilever acquired Schmidt s Naturals a US natural deodorant and soap company 77 In December 2017 Unilever sold its margarine and spreads division to investment firm KKR for 6 8bn 78 79 The sale was completed in July 2018 and the new company was named Upfield 80 Upfield s notable brands include Flora Stork I Can t Believe It s Not Butter Rama Country Crock Becel and Blue Band 81 Unilever announced that in order to help tackle the global COVID 19 pandemic it would contribute over 100m through donations of soap hand sanitiser bleach and food 82 83 2021 present Edit In April 2021 Unilever established a new stand alone beauty business Elida Beauty 84 In August 2021 Florida governor Ron DeSantis placed Unilever on a list of Scrutinized Companies that Boycott Israel because it had no current plan to prevent Ben amp Jerry s from terminating business activities in Israeli controlled territories The ice cream brand has 90 days to stop engaging in the BDS movement or the state will no longer contract with the parent company Unilever or any of its subsidiaries 85 In November 2021 Unilever agreed to sell most of its tea business under the Ekaterra division to investment firm CVC Capital Partners for 4 5 billion This deal excluded the Unilever tea business in India Indonesia and Nepal and the Lipton Ice Tea joint venture with PepsiCo 86 The deal was completed in summer 2022 87 Corporate operations EditLegal structure Edit Former head office building of Unilever N V which now became the HQ for the merged group s food and refreshments division Rotterdam Unilever has a holding company Unilever PLC and N V with Anglo Dutch structure which has its registered office at Port Sunlight in Merseyside United Kingdom and its head office at Unilever House in London United Kingdom 88 The company has been restructured several times for example in 2018 and 2020 see history 89 90 In 2018 Unilever announced its intention to simplify this structure by centralising the duality of legal entities and keeping just one headquarters in Rotterdam abandoning the London head office Business groups and staff would have been unaffected as would the dual listing 89 On 5 October 2018 the group announced it would cancel the restructuring due to concern that the United Kingdom shareholders would lose value if the company fell out of the London FTSE100 91 92 A shareholder vote was planned to decide for the listing of a new Unilever Dutch entity which would have seen Unilever dropping out of the FTSE 100 Index 93 When it appeared that the vote would fail due to uncertainty over the Netherlands dividend tax the scheme was cancelled on 5 October 2018 94 In October 2018 it acquired 95 a 75 stake in the Italian personal care business Equilibra 96 and acquired the high end eco friendly laundry and household cleaning products company The Laundress for an undisclosed sum 97 In 2018 UK recruitment website Indeed named Unilever as the United Kingdom s ninth best private sector employer 98 based on millions of employee ratings and reviews 99 In 2020 Unilever announced it has reviewed its corporate structure again and that the company was to merge Unilever N V into Unilever PLC forming one holding company to be based in the United Kingdom 100 However a Dutch exit tax plan would require Unilever to reconsider this unification 90 101 In September 2020 Unilever s Dutch arm shareholders overwhelmingly voted for the N V to merge into the PLC 102 In October 2020 Unilever announced that 99 percent of shareholders in its UK arm agreed with the merger i e voted to base the group in London 103 104 105 The completion of the unification was announced on 30 November 2020 Since then there is one class of shares 7 Senior management Edit In January 2019 Alan Jope succeeded Paul Polman as the chief executive officer 106 The chief financial officer Graeme Pitkethly 107 is executive director Jope will be proposed as joint executive director at Unilever s 2019 AGM 108 Previously Paul Polman was CEO for ten years succeeding Patrick Cescau in 2009 109 In November 2019 Unilever announced that Nils Andersen would be replacing Chairman Marijn Dekkers who stepped down after three years in the role 110 Gallery of global assets Edit Unilever R amp D Centre in Bangalore India Unilever R amp D Centre in Colworth United Kingdom Unilever R amp D Centre in Port Sunlight United Kingdom Unilever Haus in Hamburg Germany Soap factory in Mannheim GermanyFinancial data Edit Financial data in billions 111 Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021Revenue 46 467 51 324 49 797 48 436 53 272 52 713 53 715 50 982 51 980 50 724 52 444Net Income 4 252 4 480 4 842 5 171 4 909 5 184 6 053 9 389 5 625 5 581 6 621Assets 29 583 30 351 28 131 28 385 32 279 35 873 37 108 39 684 64 806 67 659 75 095Employees 171 000 172 000 174 000 173 000 169 000 169 000 165 000 158 000 153 000 155 000 149 000Operations Edit The three markets of the United States China and India account for over one third of turnover 112 Thirteen brands account for over half of sales 112 Branding and advertising EditUnilever s largest international competitors are Nestle and Procter amp Gamble 113 Logo Edit In 1930 the logo of Unilever was in a sans serif typeface and all caps The current Unilever corporate logo was introduced in 2004 and was designed by Wolff Olins a brand consultancy agency The U shape is now made up of 25 distinct symbols each icon representing one of the company s sub brands or its corporate values 114 The brand identity was developed around the idea of adding vitality to life 115 Brands Edit Further information List of Unilever brands Dove Edit Dove shampoo and conditioner Dove describes itself as being dedicated to help women develop a positive relationship with the way they look helping them raise their self esteem and realize their full potential 116 Dove employs the use of advertising for its products to display its messages of positive self esteem In September 2004 Dove created a Real Beauty campaign 117 focusing predominately on women of all shapes and colour Later in 2007 this campaign furthered itself to include women of all ages This campaign consisted mostly of advertisements shown on television and popularised by the internet Dove fell under scrutiny from the general public as they felt the Dove advertisements described the opinion that cellulite was still unsightly and that women s aging process was something for which to be ashamed 118 Lynx Axe Edit Axe known as Lynx in the United Kingdom the Republic of Ireland Australia and New Zealand is a toiletries brand marketed towards young men between the ages of 16 and 24 119 Its marketing is a tongue in cheek take on the mating game suggesting that women are instantly drawn to men who use the products 120 121 Unlike Dove s long running beauty campaign Lynx advertising often creates mini series of advertisements based around a singular product rather than communicating an overarching idea Using images the company knows it will receive complaints garners the brand more free publicity and notoriety often through controversy A wide variety of these adverts have been banned in countries around the world In 2012 Lynx s Clean Balls advert was banned In 2011 in the United Kingdom Lynx s shower gel campaign was banned 120 122 Both advertising campaigns make stark comparisons between how women and their sexuality are portrayed in advertising and sales efficiency Lynx commonly portrays women as hypersexual flawless and stereotypically attractive who are aroused by men of all ages and stature because of their use of the Lynx product 119 Social media advertising Edit On 26 June 2020 Unilever said it would halt advertising to U S customers on social media giants Facebook Instagram and Twitter until at least the end of 2020 following a campaign started by various American civil rights groups such as the Anti Defamation League and the NAACP protesting Facebook s policies on hate speech and misinformation named Stop Hate For Profit 123 124 though they did not formally sign on to the campaign Unilever cited our Responsibility Framework and the polarized atmosphere in the U S and said that continuing to advertise on these platforms at this time would not add value to people and society 125 Later that year in December Unilever revealed it would resume advertising on Facebook and its affiliated platforms stating the company has made enough progress in changing their management to continue advertising with them Executive vice president of global media for the company Luis Di Como released a statement clarifying We are encouraged by the commitments the platforms are making to build healthier environments for consumers brands and society in alignment with the principles of the Global Alliance for Responsible Media This is why we plan to end our social media investment pause in the U S in January We will continue to reassess our position as necessary 123 Environmental record EditUnilever has declared the goal of decoupling its environmental impact from its growth by halving the environmental footprint of its products by 2030 helping 1 billion people improve their health and well being and sourcing all of its agricultural raw materials sustainably 126 In September 2019 Unilever announced that its sites across five continents are now powered by 100 renewable grid electricity ahead of its 2020 target 127 In 2020 Unilever promised to become carbon neutral by 2039 128 Mercury contamination Edit In 2001 a mercury thermometer factory operated by the Indian subsidiary of Unilever in the South Indian hilltown of Kodaikanal was shut down by state regulators after the company was caught dumping toxic mercury wastes in a densely populated part of town 129 By the company s own admissions more than 2 tonnes of mercury were discharged into Kodaikanal s environment A 2011 Government of India study on workers health concluded that many workers suffered from illnesses caused by workplace exposure to mercury 130 The scandal opened up a series of issues in India such as corporate liability corporate accountability and corporate negligence 130 In March 2016 Unilever reached an out of court settlement for an undisclosed amount with 591 ex workers of the unit who had sued the company for knowingly exposing them to the toxic element 131 Palm oil Edit In 2014 Unilever was criticised by Greenpeace for causing deforestation 132 In 2008 Greenpeace UK 133 criticised the company for buying palm oil from suppliers that were damaging Indonesia s rainforests 134 By 2008 Indonesia was losing 2 of its remaining rainforest each year having the fastest deforestation rate of any country The United Nations Environmental Programme stated that palm oil plantations are the leading cause of deforestation in Indonesia 134 Furthermore Indonesia was the 14th 135 largest emitter of greenhouse gases largely due to the destruction of rainforests for the palm oil industry which contributed to 4 of global green house gas emissions 136 According to Greenpeace palm oil expansion was taking place with little oversight from central or local government as procedures for environmental impact assessment land use planning and ensuring a proper process for development of concessions were neglected 136 Plantations that were off limits by law for palm oil plantations were being established as well as the illegal use of fire to clear forest areas was commonplace 136 Unilever as a founding member of the Roundtable on Sustainable Palm Oil RSPO responded by publicising its plan to obtain all of its palm oil from sources that are certified as sustainable by 2015 137 It claims to have met this goal in 2012 and is encouraging the rest of the industry to become 100 sustainable by 2020 138 In Cote d Ivoire one of Unilever s palm oil suppliers was accused of clearing forest for plantations an activity that threatened a primate species Miss Waldron s red colobus Unilever intervened to halt the clearances pending the results of an environmental assessment 139 According to an Amnesty International report published in 2016 Unilever s palm oil supplier Wilmar International profited from child labour and forced labour Some workers were extorted threatened or not paid for work Some workers suffered severe injuries from banned chemicals In 2016 Singapore based Wilmar International was the world s biggest palm oil grower 140 Plastic pollution Edit In 2019 Unilever was cited by BreakFreeFromPlastic as one of the top ten global plastic polluters 141 Graham Forbes Global Plastics Project Leader at Greenpeace said Unilever s plans to tackle this were the most ambitious he d seen from a massive conglomerate He also said that Unilever should commit to more 142 Nevertheless in 2019 Unilever announced that it plans to halve its non recycled plastic packaging by 2025 143 144 In 2020 Unilever joined 13 EU member states and more than 60 companies to sign a pact to use recycled plastic for all plastic packaging and single use plastic products by 2025 145 In June 2022 a Reuters report revealed that Unilever had lobbied the governments of India and the Philippines to stop legislation which would ban the sale of cosmetics in single use plastic sachets despite vowing in 2020 to stop using them 146 The design of these sachets had been called evil by Hanneke Faber Unilever s President for Global Food and Refreshments because you cannot recycle it The bans were then dropped by lawmakers In Sri Lanka the company pressed the government to reconsider a proposed ban on sachets and then tried to manoeuvre around the ban after regulations were implemented 146 Rainforest Alliance Edit Main article Rainforest Alliance Criticism and response Unilever certifies its tea products by the Rainforest Alliance scheme The company has stated that at least 50 of the tea in its products originates from certified farms compared to the Alliance s 30 minimum entry point Unilever decided on the scheme over Fairtrade because according to the company s analysis Fairtrade might lack the scale and the organizational flexibility to certify industrial tea estates 147 The Rainforest Alliance certification scheme has been criticised for not offering producers minimum or guaranteed price 148 therefore leaving them vulnerable to market price variations The alternative certificate Fairtrade has received similar criticism The Rainforest Alliance certification has furthermore been criticised for allowing the use of the seal on products that contain only a minimum of 30 of certified content which according to some endangers the integrity of the certification 149 Salmonella contamination Edit In July 2016 rumours about salmonella contamination in cereals spread among Israeli consumers 150 Initially Unilever did not provide public information about the subject and queries on the matter were rebuffed by the company as a non story and nonsense On 26 July 2016 Unilever had stopped transferring cornflakes to retailer chains 151 On 28 July Yedioth Ahronoth reported tens of thousands of boxes of breakfast cereal had been destroyed 152 By 28 July despite the company s assurances that nothing contaminated was released for consumption many customers stopped buying Unilever products and started to throw away all cornflakes made by Unilever 153 The company withheld information about the affected production dates 154 Unilever had published more information about Telma cereals handled on the packaging line in which the contamination was discovered and that a Telma announcement had been made We again stress that all Telma products in the stores and in your homes are safe to eat According to our company s strict procedures every production batch is checked and put on hold These products are not marketed until test results for this product series are returned confirming that all is well If any flaw is discovered the batch is not marketed to stores as was the case 155 In the following days the Health Minister Yakov Litzman threatened to pull Unilever s licence in Israel He accused Unilever of lying to his ministry regarding salmonella infected breakfast cereals 156 On 7 August 2016 Globes reported that contamination may be sourced in pigeon faeces the Health Ministry said that there might be other sources for the contamination and pigeon faeces are not the only possible source Globes also said that the production line is automatic without human hands and the possibility that the source is human is a very slim chance 157 On 8 August 2016 the Israeli Health minister suspended a manufacturing license until Unilever carry out several corrections the action came after an inspection of the Arad plant stating This was a series of negligent mistakes and not an incident with malicious intent by the firm s management and quality control procedures 158 An investigation led by Prof Itamr Grutto and Eli Gordon concluded that the event was caused by negligence 159 Reportedly the cereals produced between the 18th and 20th at the Arad plant had traces of salmonella 160 Two class actions were filed in Israel one for a sum of 1 2 million NIS 329K USD against Unilever for hiding the contamination and misleading the public 161 and another for a sum of 76 million NIS 23m USD against Unilever after a 15 year old teen had been hospitalised for Salmonellosis after allegedly contracting it from Unilever products 162 On 31 August 2016 Unilever stated that the Tehina products produced by RJM had been contaminated by salmonella 163 Controversies EditPrice fixing Edit In April 2011 Unilever was fined 104 million by the European Commission for establishing a price fixing cartel for washing powder in Europe along with Procter amp Gamble and Henkel 164 165 In 2016 Unilever and Procter amp Gamble were both fined by Autorite de la concurrence in France in 2016 for price fixing on personal hygiene products 166 167 Hampton Creek lawsuit Edit In November 2014 Unilever filed a lawsuit against rival Hampton Creek 168 In the suit 169 Unilever claimed that Hampton Creek was seizing market share and the losses were causing Unilever irreparable harm Unilever used standard of identity regulations in claiming that Hampton Creek s Just Mayo products are falsely advertised because they don t contain eggs 170 The Washington Post 171 headline on the suit read Big Food s Weird War Over The Meaning of Mayonnaise The Los Angeles Times 172 began its story with Big Tobacco Big Oil now Big Mayo A Wall Street Journal writer described that Giant corporation generates huge quantities of free advertising and brand equity for tiny rival by suing it 173 In December 2014 Unilever dropped the claim 174 Pressuring media to promote skin whiteners Edit Kinita Shenoy an editor of the Sri Lanka edition of Cosmopolitan refused to promote skin whiteners for a brand of Unilever Unilever put pressure on Shenoy and asked Cosmopolitan to fire her 175 176 Violence against striking workers Edit In 2019 security forces hired by Unilever attacked workers that were peacefully picketing at a Unilever facility in Durban in South Africa Workers were shot at with rubber bullets pepper spray and paint balls while attempting to walk to their cars parked on the premises 4 workers were seriously injured 177 See also Edit Companies portalList of food companiesReferences Edit a b c d e Annual Results 2021 PDF Unilever pp 13 15 Archived PDF from the original on 10 February 2022 Retrieved 15 February 2022 At a glance Unilever Archived from the original on 18 December 2021 Retrieved 15 February 2022 UK aid and Unilever to target a billion people in global handwashing campaign Gov uk British Government Archived from the original on 23 July 2020 Retrieved 28 March 2020 a b Our approach to sustainability Unilever Archived from the original on 2 April 2014 Retrieved 21 March 2015 Unilever R amp D Locations Archived 9 February 2014 at the Wayback Machine Unilever viewed 19 December 2013 Boyle Matthew Jarvis Paul 4 December 2014 Unilever Spreads Split Boosts Chance of Exit as Shares Gain Bloomberg News Archived from the original on 9 December 2014 Retrieved 12 March 2017 a b An important day Unilever announces completion of unification plans Evening Standard 30 November 2020 Archived from the original on 30 November 2020 Retrieved 30 November 2020 1920 1929 Unilever is formed Unilever global company website Archived from the original on 25 July 2015 The United Africa Company Ltd Unilever Archives Archived from the original on 14 April 2021 Retrieved 19 March 2021 Ben Wubs 2008 International Business and National War Interests Unilever Between Reich and Empire 1939 45 Routledge p 154 ISBN 978 1 134 11652 2 a b c d e f Jones Geoffrey Miskell Peter 2007 Acquisitions and firm growth Creating Unilever s ice cream and tea business PDF Business History 49 1 8 28 doi 10 1080 00076790601062974 S2CID 40340372 Archived PDF from the original on 20 January 2021 Retrieved 21 March 2015 a b Jones Geoffrey Kraft Alison 2004 Corporate venturing the origins of Unilever s pregnancy test PDF Business History 46 1 100 122 doi 10 1080 00076790412331270139 S2CID 11532001 Archived PDF from the original on 18 March 2015 Retrieved 21 March 2015 Unilever sets aside 427m for expansion The Jakarta Post 20 May 2011 Archived from the original on 9 August 2020 Retrieved 7 February 2020 a b Jones Geoffrey 9 December 2002 Unilever A Case Study Working Knowledge Harvard Business School Archived from the original on 31 October 2020 Retrieved 10 February 2020 a b Greg Thain John Bradley 2014 FMCG The Power of Fast Moving Consumer Goods First Edition Design Pub p 426 ISBN 978 1 62287 647 1 Archived from the original on 19 March 2015 Retrieved 18 May 2016 Manuel Hensmans Gerry Johnson George Yip 2013 Strategic Transformation Changing While Winning Palgrave Macmillan p 139 ISBN 978 1 137 26845 7 1960 1969 unilever co uk Archived from the original on 5 January 2016 Retrieved 21 March 2015 Manuel Hensmans Gerry Johnson George Yip 2013 Strategic Transformation Changing While Winning Palgrave Macmillan p 140 ISBN 978 1 137 26845 7 a b Manuel Hensmans Gerry Johnson George Yip 2013 Strategic Transformation Changing While Winning Palgrave Macmillan p 141 ISBN 978 1 137 26845 7 a b c Collins Glenn 15 February 1996 Unilever Agrees to Buy Helene Curtis The New York Times Archived from the original on 19 December 2013 Retrieved 27 November 2013 Ghana Business Index Archived from the original on 10 July 2011 Retrieved 25 September 2008 Jones Geoffrey 2005 Renewing Unilever Transformation and Tradition Oxford University Press p 362 ISBN 978 0 19 160842 1 Archived from the original on 19 March 2015 Retrieved 18 May 2016 Unilever moots merger of Elida Gibbs and Lever Bros Marketing Week UK Archived from the original on 2 December 2013 Retrieved 26 November 2013 Unilever is understood to be planning to merge its Elida Gibbs and Lever Brother s operations after Elida Gibbs relocates its headquarters to Lever House in Kingston Surrey Jones Geoffrey 2005 Renewing Unilever Transformation and Tradition Oxford University Press p 364 ISBN 978 0 19 160842 1 Archived from the original on 19 March 2015 Retrieved 18 May 2016 Sustainable agriculture unilever com Archived from the original on 11 May 2008 Retrieved 21 March 2015 Unilever swallows up French mustard maker for 460m The Independent 25 November 1999 Archived from the original on 6 February 2020 Retrieved 6 February 2020 Hamilton Martha M 13 April 2000 Unilever to Buy Ben amp Jerry s The Washington Post Archived from the original on 10 November 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the original on 5 September 2020 Retrieved 24 July 2020 Carlile Clare 11 September 2020 Is Unilever still failing to respect its workers rights Ethical Consumer Ethical Consumer Archived from the original on 6 December 2021 Retrieved 6 December 2021 Further reading EditAustin James and James Quinn Ben amp Jerry s Preserving Mission and Brand within Unilever Harvard Business School Publishing 2005 Fieldhouse D K Unilever overseas The anatomy of a multinational 1895 1965 Hoover Institution Press 1979 Jones Geoffrey Renewing Unilever Transformation and Tradition 2005 excerpt Sitapati Sudhir The CEO Factory Management Lessons from Hindustan Unilever 2019 Wubs Ben International business and national war interests Unilever between Reich and empire 1939 45 Taylor amp Francis 2008 External links Edit Wikimedia Commons has media related to Unilever Official website Business data for Unilever BloombergGoogleReutersSEC filingsYahoo Portals United Kingdom Companies Retrieved from https en 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