Message from the Chairman

At Leidos, our sustainability efforts tie deeply to our mission of making the world safer, healthier and more efficient.

Next Level Leidos – Our Path to 2030

Next Level Leidos is a first glimpse into our sustainability goals through 2030. During 2021, we partnered with key stakeholders, conducted an assessment and developed a new approach to our environmental, social and governance initiatives. Our go-forward strategy is focused on further cultivating inclusion, advancing environmental sustainability and promoting healthier lives for our employees and communities. We look forward to communicating further developments and progress against our goals as we enter this exciting new period for the company.

Environmental, Social and Governance Highlights

The world faces unprecedented challenges, including the evolving COVID-19 pandemic, racial and social injustice and numerous natural disasters, among others. Leidos is guided by a conviction that we must do what is right every day, especially during these challenging times. We are prioritizing the health and mental well-being of our global workforce, delivering critical environmental and sustainability-driven support to our customers, and creating an inclusive environment where employees are respected, valued and heard.

We are a Fortune 500® technology, engineering, and science solutions and services leader working to solve the world's toughest challenges in the defense, intelligence, civil and health markets.  Our talented employees, nearly 40% of whom have degrees in science, technology, engineering or math (STEM) disciplines, support vital missions for government and commercial customers. Their dedication and performance throughout this exceptional year drove growth, continued strong financial performance and supported their neighbors.

Ethics and integrity are the foundation of our decision-making. As Chairman and CEO, I see firsthand how our employees are committed to upholding our culture of ethics and integrity in their support of our company, our communities and our customers. For the fourth consecutive year, Leidos was named by the Ethisphere Institute as one of the “World’s Most Ethical Companies®.” Newsweek also named Leidos to their 2020 “Most Responsible Companies” list.

COVID-19

In March 2020, Leidos opened a state-of-the-art LEED-certified global headquarters in Reston, Virginia. We quickly adapted to the evolving COVID-19 crisis – shifting to remote work for most employees and prioritizing health and safety above all else.  Additionally, we quickly migrated our customers to working remotely, helping to keep their workforce safe and secure and their operations running smoothly in the midst of a global pandemic. The Leidos Relief Foundation donated more than $2 million to over 600-Leidos employees impacted by COVID-19 and our new Pandemic Sick Leave policy provided a safety net for employees suffering from the disease or caring for family members with symptoms. We also partnered with CDC Foundation to support their “All of Us Crush COVID” Campaign and our employees donated thousands of hours and dollars to non-profits all over the world.

Inclusion and Social Justice

2020 reminded us that we all play a part in creating a more equitable and just world. In January, we added inclusion as our sixth core value in addition to integrity, innovation, agility, collaboration and commitment. We are committed to a culture that fosters a sense of belonging, welcomes all perspectives and contributions and provides equitable access to opportunities and resources for everyone. Inclusion and integrity are intrinsically linked by the responsibility to respect yourself and others. Our employees are empowered to uphold our values, creating a culture that we are incredibly proud of and that makes Leidos truly unique.

Mental Health and Well-Being

In 2017, we launched a campaign to take action against the opioid epidemic. As a team, we enacted many initiatives to tackle the issue — both internally and in our communities. We also challenged other companies to do the same. Over time, our efforts have grown to address not just opioid addiction, but the broader challenges of mental health and well-being. In 2020, we introduced our flagship social purpose campaign: Mission for the Mind: Advancing Mental Health Solutions. The program consists of three focus areas:

We can only be truly healthy when we take care of our physical as well as our mental health. That’s why we are committed to prioritizing the mental health of our employees, their families and the communities we serve.

Environmental Sustainability

Operating sustainably is paramount to achieving our mission and optimizing our performance. This report details actions taken to protect our planet, whether through the work we do for our customers or the steps we take to reduce our own impacts. I am proud to announce that not only did we achieve our legacy greenhouse gas (GHG) emissions reduction goal, we exceeded it, cutting emissions by more than 58% relative to our 2010 baseline. Achieving this goal marked an important milestone on our journey to improve our world and make it a better place for future generations. We also understand that operating sustainability is a continuous journey.

With our mission to make the world safer, healthier and more efficient, we are committed to building a future where our people and technology make a real impact, greatly improving quality of life and promoting inclusive well-being for all people.