Federal Bank Ltd

The Board shall have the overall responsibility to oversee and ensure effective implementation of the ESG strategy of the Bank. The Board shall be apprised of Bank's approach, stance, targets, and key initiatives towards addressing climatic, environmental and social risks. [...] Risk Management Committee (RMC) of the Board shall oversee Bank's preparedness for managing environmental, social and climate risks in its operations and portfolios. CSR Committee of the Board shall oversee Bank's corporate social responsibility initiatives which include various projects promoting sustainability. [...] A dedicated ESG team headed by a senior executive shall be the custodian and responsible for coordinating the implementation of the ESG strategy and initiatives. The ESG team shall include members from relevant functional departments. The ESG/E&S Committee shall provide specialized focus, oversight and guidance on the material aspects relating to ESG with cross-functional member participation from relevant departments. [...] The Banks ensures highest level of transparency in all matters involving policy advocacy and generally takes up such matters through trade and industry chambers and associations such as IBA and other similar collective platforms. The Bank ensures that its policy advocacy position promotes fair competition and respect for human rights.

The Risk Management Committee (RMC) of the Board is entrusted with the responsibility of monitoring the ESG and climate risk management initiatives of the Bank. An executive-level ESG Committee headed by the MD & CEO oversees the implementation of ESG-related policies and reviews the performance against the ESG commitments. The ESG committee guides the implementation of the Board-approved policies and ensures that the same is integrated seamlessly across functions. The Bank is also in the process of assessing the portfolio emissions and developing a decarbonisation roadmap for its operations.

The Bank has a robust Whistle Blower Policy termed as Protected Disclosure Scheme (PDS) with a view to enhancing public confidence in the Bank and also in compliance of RBI directions in this regard. The policy aims at establishing an efficient vigil mechanism in the Bank to quickly spot aberrations and deal with it at the earliest. It is disseminated among the employees assuring confidentiality and protection to the whistle blower against any personal vindictive actions such as humiliation, harassment or any other form of unfair treatment. Directors and Employees of the Bank, employee representative bodies, customers, stakeholders, non-governmental organizations (NGO) and members of the public can lodge complaints / disclosures under this scheme. A dedicated e-mail ID is provided for sending complains/ disclosures under PDS. Vigilance Department conducts investigation of all complaints /information received through the PDS and submits report to MD & CEO. The details of the complaints and findings are also placed before the Audit Committee of the Board on a quarterly basis. The scheme is popularised through various measures such as preventive vigilance classes, internal circulars, alerts etc. No personnel have been denied access for giving any information as envisaged in the Protected Disclosure scheme. The PDS Document is made available in Bank's website and Intranet. Website link to Bank's Whistle Blower Policy is https://www.federalbank.co.in/documents/10180/45777/Whistle+Blower+policy/558aea51-1335-4546-9c9a28c5030377a1