We are committed to sustainable development and to ensure that the ultra-low-cost aviation business generates value for our stakeholders for many years to come.
To meet these commitments, we developed and implemented a sustainability strategy, which has become a fundamental part of the Company’s DNA and is supported by the Volaris Corporate Sustainability Program.
Our Corporate Sustainability strategy is made up seven steps:
Our Corporate Affairs and Sustainability department provides management-level oversight of the corporate sustainability strategy. In 2022, to further enhance our oversight of this strategy, we established the Chief Corporate Affairs and Sustainability Officer (CCASO) role filled by Dionisio A. Pérez-Jácome F.
Through our Environmental pillar, we seek to identify and manage our climate-related risks and opportunities through a comprehensive sustainability strategy to reduce our environmental impact, protect and preserve natural resources, achieve our emissions reduction commitments, and comply with regulatory requirements.
– We aim to employ a methodical approach to reduce jet fuel consumption, conserve energy, minimize waste, and certify our operations to global environmental management standards.
– We also work to provide our customers with sustainability-focused travel experiences, including the option to offset partially their flight carbon emissions.
Through our Social pillar, we aim to strengthen our commitment to the well-being of people. This includes our employees, customers, and the communities in which we operate.
– We prioritize our customers’ and Ambassadors’ safety, health, and rights above all.
– We seek to attract, develop, and retain talented, competent, and professional people.
Our labor practices are designed to support strong labor relationships that reinforce the wellbeing and personal and professional development of our Ambassadors through the Volaris Culture. To that end, we have a series of initiatives focused on promoting a violence-free workplace, fostering the necessary conditions for equal opportunities, and providing appropriate and continuous training.
– We promote equity and inclusion, adhering to commitments to increase gender equality in the Company and in the aviation industry. We train our Ambassadors to uphold human rights values and standards.
– By achieving our business’s main goal, we support our communities. Our efforts to democratize aviation through our route network expansion enable first-time flyers (bus switching, who originally travel by bus) and loyal passengers to unite with friends and families safely, quickly, and affordably on each flight. Over 45% of our routes compete solely against buses.
– We invest in social programs to support the communities where we operate.
– We strive to strictly comply with the highest safety standards and all domestic and international regulations.
– We operate with a mentality that prioritizes customer service, including the implementation of data security and privacy programs to protect our customers’ information.
Through our Economic and Corporate Governance pillar, we develop initiatives that allow us to reduce costs, optimize resources, increase efficiency and reliability, promote transparency and compliance, manage risks, opportunities, and crises, and keep confidential information secure.
– We also aim to maintain clear communication channels with our stakeholders, manage our corporate reputation, and influence the development of public policies that align with our corporate sustainability strategy.
– Moreover, our business values and ethics are reinforced through our anti-corruption, antibribery, and related policies, risk and crisis management systems, and commitment to
transparency in all our processes.
– We maintain strict oversight of our supply chain, cultivating robust relationships with our suppliers and promoting the incorporation of ethical and sustainable practices throughout our value chain.
At Volaris, we understand that the long-term sustainability of our business is contingent on understanding and managing the environmental impact of our operations and associated risks.
We are taking steps to reduce our portion of this impact by tying our operational goals to our efforts to reduce aircraft fuel consumption.
In 2021, we joined IATA’s Fly Net Zero initiative, a commit
ment by the air transport industry to achieve net-zero carbon emissions by 2050 in line with the objectives of the Paris Agreement.
Volaris’ climate change strategy is underpinned by our Integrated Environmental Protection Policy, which establishes the framework to manage our environmental impact and achieve key goals. In 2022, our Integrated Airline Management System IAMS held ISO 9001:2015, ISO 14001:2015, and IOSA certifications.
The day-to-day management of our environmental programs is owned by the collaborative and multidisciplinary group named Green Team, which is focused on monitoring and continuous improvement of Company processes certified under ISO 9001 and ISO 14001.
The Green Team is coordinated by the Operations Engineering department and has representatives from Dispatch, Crisis Management, Fuel, Industrial Safety, Corporate Sustainability, Flight Operations, Cargo Operations, Flight Operations Engineering, Procedures and Standards Engineering, Real Estate Planning, and Crew Control departments.
Volaris is committed to responsible waste management practices, striving to minimize our environmental impact through proper waste disposal, and recycling initiatives through our hazardous and non-hazardous.
Hazardous Waste Management
Volaris’ hazardous waste is generated mainly from aircraft maintenance. We follow all regulatory requirements and have implemented proper waste management practices to ensure the safe handling, storage, transportation, and disposal of these hazardous waste streams.
Non-Hazardous Waste Management
Volaris has solid waste management processes in our corporate offices to separate waste into special containers. In 2022, solid waste management was carried out only at the corporate offices in Mexico City.
We also seek to minimize waste generated from marketing and advertising materials. Ninety-five percent of our marketing outreach is done via digital platforms.
Onboard, our inflight catering service has transitioned to environmentally friendly products.
Since 2021, 100% of single-use plastics materials of our onboard service, such as forks, napkins, soap, bags, and stirrers, are made with biodegradable materials to reduce plastic waste.
Additionally, 98% of the products we offer for onboard sale have biodegradable packages, and we seek to reach 100% biodegradable packaging in 2023.
Moreover, in 2024, we plan to switch to a 100% digital Entre Nubes food menu to reduce paper usage onboard.
We promote recycling and have implemented solid waste recycling in our corporate operations.
On-board Services
At Volaris, we are committed to environmental protection in our on-board services. Our goal for the next 5 years is to ensure that 100% of the packaging for our products and supplies is planet-friendly, meaning they are biodegradable or recyclable, thereby eliminating single-use plastics. Furthermore, replacing the sales equipment on board with super-light service carts and carefully managing product quantities for sale allows us to reduce the weight on our aircraft, optimizing fuel consumption and minimizing environmental impact with each operation.
To efficiently manage our fuel consumption which is the highest cost for our airline and the most critical negative externality of Volaris, when measured by emissions generated by burning fossil fuels, since 2015, we have implemented a Fuel Saving Program, we work on the following front lines:
We reduced our fuel consumption and protected the environment by acquiring the youngest fleet in the market. Our fleet age average is 5.4 years
We implemented Recaro seat models for 80 aircraft (30% lighter, saving approx 32,000 gallons of fuel)
25% lower weight
~15% lower fuel consumption -5,000 CO2 emissions
-50% NOx emissions
Up to -75% sound footprint
Reduced the amount of products with lower demand, cutting additional weight
Aerodynamic devices that reduce fuel consumption by approximately 4% and prevent around 18,000 tons of CO2 emissions
Our business model allows us to operate point-to-point routes, optimize route design, which allows us to avoid stopovers and thus reduce our fossil fuel consumption
We used aircraft APU, approximately 35.7 minutes per operation,equivalent to a reduction of 5.4%, (saving of 15,154 thousand gallons of fuel)
We continued with the efficiency in the necessary fuel load per flight, resulting in less ballast weight and consumption
We understand that air transportation is responsible for approximately 2% – 3% of carbon emissions worldwide and we are taking steps to decrease our Scope 1 aircraft gCO2/RPK.
We are committed to reduce our emissions by 35.4% gCO2/RPK, by 2030 vs. 2015.
Volaris continues to champion SAFs as a key lever to reduce carbon emissions in the aviation industry. However, SAFs is not currently available at scale and competitive prices to replace fossil jet fuel in our operations.
Nevertheless, Volaris seeks to advance the viability of SAFs on a large scale. With the following actions:
Since 2015, we have provided our customers with the option to purchase #CielitoLimpio, an optional product through which they can neutralize part of the environmental impact of their trips. Thanks to these voluntary offsets, certified carbon credits are acquired from the Mexican Carbon Platform (MexiCO2), destined for developing environmental projects to neutralize atmospheric carbon emissions.
Customers who want to contribute to the protection of the environment can buy the product #CielitoLimpio in My trips section after booking their flights. They can also add it by contacting our Call Center or at the airport counters.
To learn more about the projects benefited by this initiative, visit www.mexico2.com.mx.
In 2022, Volaris customers offset 932 metric tons of CO2 through the #CielitoLimpio program.
We recognize the value of people, who are at the core of our sustainable business management, and their well-being, for the success of Volaris in now and the coming years.
This is why we have a person-centered organizational culture, which is governed by five-axis: health, family, professional development, spirit, and social commitment.
Our employees are referred to as “Ambassadors” as they represent our Company, embodying our mission and values to our customers. All our Ambassadors are part of the Volaris Family.
Through the social approach of our Corporate Sustainability Program, we implement the initiatives to strengthen our commitment to the well-being of people.
Our Ambassadors well-being is based on:
Talent attraction and retention:
Compensation and benefits:
Freedom of association and collective bargaining:
Occupational health and safety:
At Volaris, we are all a great family. We strive to create a positive work environment, that ensures equal opportunities, our Ambassadors’ physical and emotional integrity, and their professional and personal development.
are part of our family in Mexico, Central and South America
*Up to December 2022
We are aware that equal opportunities and zero discrimination in the aviation industry are key factors for the sector sustainable development. We implement initiatives in support of promoting inclusive and violence-free workspaces, where the personal and professional growth of all Ambassadors is granted.
These initiatives are:
Person-centered organizational culture
Code of Ethics and Volaris Ethics Line
Diversity and Equal Employment Opportunities Policy , Maternity, Paternity and Use of Breastfeeding Rooms Policy and agreements with daycare centers, and Home Office Policy
Supporting Parents and Ambassadors’ Work-life Balance
Human rights training and professional development programs
Equitable and fair compensation, without discrimination
Safety and biosecurity protocols
Specific goals to increase the representation of women in underrepresented positions and top management positions
Pilot Scholarship Program
In 2021, we signed an industry gender equality commitment, IATA’s 25by2025 initiative to:
Senior positions:
By 2025, increase by 25% the number of women in senior positions or at least, increment the actual structure by minimum of 25% the number of women in senior positions.
Under-represented areas:
By 2025, increase by 25% the number of women in under-represented areas or at least, increment the actual structure by minimum of 25% the number of women in under-represented areas.
IATA Governance roles:
By 2025, work with IATA to increase the number of women appointed to IATA Governance roles to a minimum of 25%.
Aviation is one of the world’s most specialized and regulated industries, so it is essential to train and keep our Ambassadors up to date on operational, safety, administrative, and customer service best practices. Beyond required technical training, we offer our Ambassadors additional development opportunities to improve their capabilities, skills, and knowledge.
The Volaris Competency Model is a set of daily behaviors and skills expected of all Ambassadors.
The Volaris Competency Model was developed with a focus on promoting leadership skills and provides a standardized evaluation framework for the Volaris Talent Cycle, which is the set of seven developmental stages that Ambassadors go through during their time at the Company:
Talent attraction and promotion
Performance and recognition management
Talent review and succession planning
Career paths
Leadership development
Training
Corporate volunteering
We seek to protect the rights of all our Ambassadors, including the right to free association and collective bargaining, so we maintain strong relationships with the Union. In 2022, 78% of Volaris Ambassadors were members of the independent Union of Workers of the Aeronautical, Communications, Similar and Related Industries of the Mexican Republic (STIA).
At Volaris, it is our priority to promote a safe workplace for all our Ambassadors. In consequence, we have a Health and Occupational Safety Plan that covers 100% of our Ambassadors. It is aligned with the applicable health and occupational safety regulations.
In 2022, we complied with all our regulators’ health and occupational safety inspections without any significant fines.
Our priority is the security, health, and satisfaction of all our customers.
We place aviation security and safety as the highest priority throughout all our operations, as both are priorities for our stakeholders and are essential for building customers’ trust, safeguarding our Ambassadors and passengers’ integrity.
We have standardized aviation security processes to allow security personnel to screen our passengers and Ambassadors efficiently and to comply with regulations and protocols.
In addition, our operational Ambassadors are trained to take an active role in identifying, reducing, and eliminating risks related to aviation security threats.
We also address issues such as national and international human rights, customer service, baggage and passenger screening, security event reporting, and confidentiality of sensitive information.
At Volaris, our top priority is safety to ensure the well-being of our customers and Ambassadors at all stages of the flight. To reach this main objective, we have a Safety Management System (SMS) that complies with the ICAO, IATA regulatory frameworks, and national and international regulations.
The SMS enables us to identify and mitigate hazards and safety risks, incorporating methods to identify, evaluate, and mitigate the causes of aviation incidents and accidents.
In 2022, the harmonized accident rate (per million sectors) was zero.
We are part of the Flight Safety Foundation, an association that seeks the participation of various businesses in the industry to anticipate, analyze, and identify safety issues in order to promote best practices.
Thanks to these efforts, in 2022, we were rated again as one of the safest low-cost airlines by AirlineRatings.com, based on seven categories that cover, among other aspects, IOSA Certification, and aviation accidents.
We recognize that by maintaining the integrity of our information systems and protecting customers’ personal information, we seek to maintain our corporate reputation to keep our customers’ trust and to avoid fines related to any violation of data protection regulations that could affect the Company. Volaris is committed to continuously improving our data protection and our customers’ privacy through several efforts.
In 2022, Volaris did not rent or sell customers’ personal data to third parties.
We continued to strengthen our customer privacy strategy by identifying, analyzing, and addressing emerging risks by accounting for current trends, new regulations, and Volaris’ expansion to new markets. We seek to bolster existing controls and, when necessary, implement additional controls to mitigate identified risks related to business continuity and personal data.
During 2022, we did not identify any breaches or leaks of our customers’ personal data. Though we take preventive measures to reduce the risk of cyber incidents and protect our information technology and networks, there is always a risk that we may suffer a major cyberattack that we are unable to repel.
At Volaris, our commitment to ethical marketing is based on communications that promote legality, truth, and honesty. Our top priority is to adhere to current legal standards and foster an environment of fair competition. Furthermore, we strive to promote respect and dignity in the use of images and messages to safeguard the integrity of our customers, communities, and stakeholders. This approach extends to all our communications, where we prioritize message clarity, appropriate language usage, and well-supported information while always respecting copyright and image usage rights.
Our Avión Ayuda Volaris Program is one of the initiatives that creates the greatest social and economic value for all those benefited in the communities where we operate. In coordination with strategic allies, through our operations and the largest route network in Mexico, we transport by air, safely and efficiently, humanitarian aid, organs and tissues for transplant purposes, medical personnel, volunteers, patients, and people who are in some vulnerable situation due to: natural disasters emergencies, humanitarian/migratory crises, health emergencies, emergencies, and medical treatments, as well as making wishes come true programs.
Support in natural disaster emergencies / civil protection.
Support in the transportation of organs and tissues for transplant purposes.
Support in health emergencies and medical treatments.
Support the reuniting of immigrants with their families
Our President and CEO is member of the Governors Council of Airlink, a non-profit organization working with aviation and logistics partners to transport relief workers and emergency supplies for reputable non-governmental organizations (NGOs), responding to rapid-onset disasters and other humanitarian crises around the globe. Their responses to hurricanes, floods, earthquakes, tsunamis, and other disasters have brought life-saving and life-changing aid to some of the world’s most vulnerable beneficiaries. For more information visit: https://airlinkflight.org/
Volaris is the leading airline in passenger transportation in Mexico, thanks to our ultra-low-cost business model, which allows us to offer one of the lowest fares and bring the benefits of aviation to more people.
Since we started flying, we have been committed to ensure that our sustained growth is aligned with the well-being and care of people and the environment. Furthermore, our culture of ethics and legality allows us to be certain that we are on the right path to continue meeting the air transportation needs of our present and future markets, without compromising the availability of the necessary resources to do so.
To achieve this commitment, the Board of Directors and the Senior Management of Volaris have the obligation to focus their functions on the creation of value for the benefit of the Company, for the present and the future, adopting decisions that have a significant impact on the administrative, financial, operational, environmental, social, and legal situation of Volaris.
Peru.
(*) Closing the year with 197 routes and 71 destinations.
transported.
of our routes compete only against buses.
(*) We are the second largest foreign carrier operating to/from the U.S. in terms of number of flights.
total operating revenue.
in revenue from additional services.
on our Board of Directors.
in the FTSE4Good Index.
in the S&P/BMV Total Mexico ESG Index
as a member of the Dow Jones Sustainability Indices (DJSI) -Mila Pacific Alliance Index
We work under a culture of ethics and compliance, which guides all Ambassadors’ behaviors and labor relationships. We have a set of policies and tools to align ourselves with this culture, including the Volaris Code of Ethics, the Volaris Supplier’s Ethics Policy, and the Volaris Ethics Line, as well as other internal policies and guidelines to prevent acts of corruption, conflicts of interest, and money laundering, among others.
Volaris Code of Ethics: We have a Code of Ethics that is available to all Ambassadors, as well as to suppliers and any third party with whom we do business. In this document, we establish our fundamental values, standards, and Volaris Culture, which govern our daily actions and behaviors in the organization.
Suppliers’ Ethics Policy: The purpose of this policy is to establish a framework for collaboration between Volaris and our suppliers, which promotes solid and lasting business relationships and the achievement of mutual benefits. All suppliers working with Volaris must conduct themselves with the highest standards of honesty, justice, and personal integrity.
Anti-Corruption Compliance Policy and Fraud Prevention and Control Policy: This includes compliance with all anti-corruption laws applicable to the Company, including the Foreign Corrupt Practices Act (FCPA). Its objectives are to comply with our responsibilities as a public company listed on the NYSE, to ensure transparent and lawful practices, and to prevent any act of corruption, including fraud, bribery, extortion, and embezzlement.
Immunity Policy: Protects Ambassadors who report any security infringement at Volaris.
Conflict of Interest Policy due to Kinship: Establishes the procedure for avoiding and solving possible conflicts of interest that may arise in the organization.
Son-Grandfather Principle: Allows all Ambassadors to engage in discussions with the superior of their immediate report, in case they feel intimidated by the latter, or if the latter is violating the Volaris Code of Ethics.
Gifts and Benefits from Suppliers or Third Parties Policy: Establishes the guidelines for Volaris’ relationship with third parties, such as suppliers, public officials, among others, to avoid benefits in exchange for preferential treatment or other activities that may lead to a conflict of interest.
Gifts and Benefits to Suppliers and Third Parties Policy: Establishes the guidelines for Volaris to grant gifts to third parties, in order to create good business relationships or to satisfy local customs, without being of considerable value and in accordance with the provisions of the Law. Likewise, it is forbidden to grant gifts or benefits to suppliers or third parties for practices related to bribes, illicit payments, or undue commissions.
Donations Policy: Establishes the guidelines for the delivery, receipt, and management of donations that Volaris allocates to social welfare institutions and individuals through the Company’s social responsibility programs, such as the Avión Ayuda Volaris Program and donations with cause.
Interpersonal Relations Policy: Expands and reinforces the concept of conflict of interest mentioned in the Volaris Code of Ethics and ensures that the correct procedure is followed on how to proceed in the event of a sentimental or sexual relationship with Ambassadors or suppliers.
Eight years ago, Volaris implemented the Volaris Ethics Line Policy. This tool is managed by an external and independent supplier to Volaris, so that Ambassadors, suppliers, and the Union can report or denounce any non-compliance or suspected non-compliance to the Volaris Code of Ethics, the Supplier Ethics Policy, and any related internal policies.
Procedure for reporting to the Ethics Line:
In 2022, the Volaris Ethics Line processed 189 reports. Most of the cases were related to our labor environment and improper use of assets.
We developed a Responsible Supply Chain Management Model to strengthen our relationships with our suppliers and share the importance of ESG issues in generating shared value for our stakeholders.
This is being implemented as a phased approach as we build out our internal processes and systems to track supplier practices, risk, and compliance.
Moreover, we have implemented a Suppliers’ Evaluation and Certification Program to address risk management in our supply chain and help our suppliers to improve their ESG practices, through training and implementation of corrective plans. Both are overseen by our Senior Management through the Sustainability Working Group.
Procurement strategy with ESG topics
Training on sustainability for procurement team
Supplier mapping
Risk management
Integration of ESG criteria to suppliers’ selection and retention
Pledge to comply with the Volaris Supplier Ethics Policy
Clauses on sustainability and human rights protection in certain contract
Supplier sustainability assessment
Monitoring system
Supplier develpment (corrective plans, training)
Recognition and Loyalty Program
Procurement Policy with ESG Criteria
Our procurement strategy aims to promote the supply of goods and services necessary for operational continuity. The strategy has the following priorities:
1. Reduce costs and optimize resources while maintaining the highest standards of operational efficiency in our core business.
2. Responsibly manage the supply chain, through our Responsible Supply Chain Management Model and our Suppliers' Evaluation and Certification Program, which are based on international standards and indicators
3. Adopt mechanisms for enhanced transparency in all procurement operations.
4. Develop resilient practices with our supply chain.
For our Volaris Responsible Supply Chain Management Model we have three phases of implementation:
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