Policy Statements
Environmental Policy
Ayala Land, including its subsidiaries and business lines, regards protecting the environment as integral to achieving its long-term goals and is therefore committed to integrating sustainability into its business practices.
Aligned with Ayala Land’s commitment to achieving Net Zero by 2050, the company has pledged to support the Business Ambition for 1.5°C by setting science-based targets for reducing greenhouse gas (GHG) emissions across Scope 1, 2, and 3.ALI commits to reduce its absolute GHG emissions 42% by 2030 and 90% by 2050 from a 2021 base year. This target has been verified and approved by the Science-based Targets initiative (SBTi).
Furthermore, Ayala Land's construction arm, Makati Development Corporation (MDC), and its property management unit, Ayala Property Management Corporation (APMC), are ISO 14001 certified, ensuring adherence to international environmental standards.
Climate Change and Emissions
Recognizing the risks posed by climate change and the crucial role businesses play in driving climate action, this policy outlines our commitment to managing climate change risks across our operations and developing mitigation, adaptation, and resilience strategies to address them.
Biodiversity Management
The updated policy reinforces our commitment to biodiversity by conducting Environmental Impact Assessments (EIAs) and High-Value Conservation (HVC) assessments prior to project development. We are dedicated to restoring and rewilding natural ecosystems within our landbank through afforestation, revegetation, and reforestation efforts of our carbon forest program while enhancing green spaces and native landscaping within our developments.
We collaborate with environmental organizations, local communities, and social enterprises to sustain and strengthen supply chains for appropriate reforestation practice using native tree species. By engaging employees, customers, suppliers, and stakeholders, we aim to raise awareness and drive collective action for the conservation of biodiversity.
Energy Management
Energy efficiency is both a strategic business decision and an environmental priority for Ayala Land. We strengthen our commitment by expanding our green building portfolio through green certification, investing in energy-efficient technologies, optimizing energy use, and continuously setting and reviewing intensity targets.
Additionally, APMC is ISO 50001 certified, enabling them to systematically improve energy performance, reduce consumption, and enhance sustainability across their operations.
Water Management
Ayala Land’s policies on water management strengthen our commitment to responsible water use by preserving resources, addressing future risks, and ensuring safe environmental discharges. This includes adopting new technologies to enhance water efficiency, ensuring compliance with water quality and pollution standards, and providing all employees with access to safe and potable water, sanitation, and hygiene.
Materials, Supply Chain and Waste Management
ALI is committed to sustainable material use and waste reduction in the real estate sector by optimizing construction efficiency and minimizing environmental impact. Our policies and practices encompass a comprehensive waste management strategy for both non-hazardous and hazardous waste, including construction and demolition waste.
To green the supply chain, we encourage our vendors to adopt sustainable practices in their business and increase the utilization of low-carbon construction materials to reduce embodied carbon. Through these initiatives, we aim to promote circular economy principles and achieve zero waste sent to landfills by 2030.
Occupational Health and Safety Policy
Our priority is to ensure that people working on our own and/or managed properties are kept reasonably safe and healthy from occupational health and safety hazards at all times, including contractors, merchants, tenants, and other stakeholders exposed on our premises.
Furthermore, Makati Development Corporation (MDC) and Ayala Property Management Corporation (APMC) are both ISO 45001 certified, helping them to mitigate risks, enhance worker well-being, and improve overall safety performance
Marketing, Advertising, and Sales Policy
Ayala Land upholds ethical marketing, advertising, and sales practices, ensuring truthful representation, compliance with regulations, and responsible customer engagement. Our sales activities strictly adhere to government and industry guidelines, ensuring full disclosure of terms and avoiding misrepresentation.
Data Privacy
The ALI Group fully understands its obligations to ensure that Personal Data is treated fairly, lawfully and correctly, and is committed to protecting these and complying with the Philippine Data Privacy Act of 2012 by following the general privacy and data protection principles of transparency, legitimate purpose, proportionality, respecting the rights of Data Subjects, and accountability.
Tax Governance
The ALI Group is committed to maintaining a transparent, responsible, and ethical approach to tax strategy and governance. Our tax policies and practices align with our corporate values, ensuring compliance with all applicable tax laws and regulations in each country where applicable.
Code of Conduct and Ethics
Ayala Land has consistently affirmed its commitment and fidelity to its values and to doing things the right way. All directors, the management, and employees of Ayala Land, Inc. are required to comply with Ayala Land’s Code of Ethical Behavior. We also have a Code of Ethical Procurement Conduct for all those who influence the procurement process, as well as the Vendor’s Code of Ethics.
Alongside all initiatives to promote good corporate governance, several enhancements were introduced by the Company, as recommended by IAD, to promote a higher standard of quality and business integrity during the conduct of our business.
Implementation and Monitoring of Compliance to the Code of Ethical Behavior
ALI has established a compliance structure which assigns oversight responsibility for the Company’s Code of Ethical Behavior program to the Human Resources Group (HRG) Head or his/her designate. SBU and Group Heads are responsible for establishing, implementing, and maintaining an effective program, including a system of internal controls, to ensure compliance by everyone with all laws and regulations and the provisions of this Code.
People who manage others have a special responsibility to show, through words and actions, personal commitment to the highest standards of integrity. As coaches and leaders, supervisors and managers must:
- Maintain an environment of open communication in which the ALI values and the provisions of this Code and related policies and instructions are shared, discussed, and even debated.
- Ensure that their people understand the ALI values and the provisions of this Code and provide additional training, when appropriate.
- Take reasonable steps to ensure that unethical conduct within their areas of responsibility is detected and addressed. Consider whether a person lives the ALI values before placing him or her in a position of responsibility.
Everyone is responsible for notifying the Human Resources Group, Legal, Audit, or the Compliance Officer immediately if he/she suspects, observes, or learns of any unethical business conduct or the commission of any dishonest, destructive, or illegal act. The appropriate Investigation Committee will investigate all reports and provide feedback when appropriate.
There will be no reprisals against those who report suspected violations in good faith, and their identity will be protected to the extent consistent with law and ALI policy.
Because ALI strongly believes in ethical behavior, employees who do not comply with the provisions of this Code and other Company policies and procedures may be subject to a range of disciplinary actions, up to and including dismissal. Additionally, violations of these standards could result in criminal penalties and/or civil liabilities.
Whistle Blower Policy
The Company has expanded the coverage of its whistleblowing policy to include employees of Ayala Land subsidiaries, affiliates, agents, suppliers or vendors, customers, and the general public. The amended and expanded policy defines conditions or concerns which can be reported by any individual or organization that becomes aware of, or suspects, any irregularity or misconduct by employees through secure channels.
It is of primary importance that a business must operate in full compliance with applicable laws, rules, and regulations. Therefore, all employees must exemplify the behavior and professional demeanor consistent with such laws, rules, and regulations, as well as the Company’s applicable policies and procedures. Also, third-party business partners must share and embrace the spirit of commitment to these sets of standards.
All employees, third-party business partners, or other stakeholders are encouraged and empowered to report their concerns should they suspect or become aware of any illegal or unethical activities. This can be done through the Ayala Land Business Integrity Channels.
Related Party Transactions Policy
This policy aims to define related party relationships and transactions, and set out guidelines and categories that will govern the review, approval, and ratification of these transactions by the Board of Directors (Board) or Shareholders. This ensures that related party relationships have been accounted for and disclosed in accordance with International Accounting Standard 24 on Related Party Disclosures and in accordance with the rules of the Securities and Exchange Commission on Material Related Party Transactions.
The policy was revised in August 2019 to comply with SEC Memorandum Circular No. 10, Series of 2019, providing the Rules on Material Related Party Transactions for Publicly-Listed Companies, which took effect on 25 April 2019.
The revised policy was approved by the Related Party Transactions Review Committee and ratified by the Company’s Board of Directors on August 13, 2019. The policy was further enhanced and approved by the Board of Directors on October 19, 2021.
Conflict of Interest Policy
Ayala Land also ensures that its independent directors hold no conflict of interest with the Corporation. Independent directors are required to submit to the Corporate Secretary a letter of confirmation stating that they hold no interest in companies affiliated with the Corporation and the management or controlling shareholders of the Corporation at the time of their election or appointment and/or re-election as independent directors.
The Corporation requires directors and key management personnel to abstain and/or inhibit themselves from participating in discussions on a particular agenda item when they are conflicted.
Before entering into a related party transaction, the Management shall report to the Audit Committee each new or proposed related party transaction for review and approval. The Audit Committee shall review all the information reported by the Management and shall consider all of the relevant facts and circumstances available. The Audit Committee shall approve related party transactions before their commencement. However, material or significant related party transactions will have to be endorsed by the Audit Committee to the Board for approval.
Materiality thresholds applicable to related party transactions are to be defined and endorsed by the Audit Committee to the Board. The Board may, at its option, require that a related party transaction it has approved be also submitted to the stockholders for consideration and ratification.
Insider Trading Policy
In accordance with the Corporation’s Insider Trading policy, covered persons are prohibited from trading Ayala Land securities during the following designated blackout periods, whether or not in possession of material non-public information:
- Five (5) trading days before, and two (2) trading days after, the disclosure of quarterly and annual financial results; and
- Two (2) trading days after the disclosure of any material information other than quarterly and annual financial results.
Covered Persons
All directors, key officers, employees, consultants, advisors of the Corporation, and members of their immediate families who are living in the same household.
Reporting of Trades of Covered Persons
All members of the Board of Directors and key officers, including the Controller, Chief Audit Executive, Chief Risk Officer, Treasurer, Corporate Secretary, and Assistant Corporate Secretary, shall report their trades to the Office of the Compliance Officer within three (3) business days from dealing such securities. This shall be subsequently reported to the SEC and PSE in compliance with existing rules and regulations.
All other covered persons shall likewise report their trades (if any) of the Corporation’s securities to the Office of the Compliance Officer, quarterly, within ten (10) days from the end of each quarter, by sending an email to compliance@ayalaland.com.ph.
Violation of this policy shall be subject to disciplinary action under the Corporation’s Code of Conduct, without prejudice to any civil or criminal proceedings which the Corporation or regulators may file for violation of existing laws. Insider trading under the law may be subject to penalty for damages or fines and/or imprisonment.
Business Gifts Policy
Ayala land recognizes the Filipino culture of giving and accepting gifts as part of its way to express gratitude to others. The Company, however would like to limit the value of such gifts with reasonable propriety