Environmental, Social, and Governance (ESG) Excellence
Our commitment to operational excellence and integrity extends beyond renting quality equipment to transparent governance, social responsibility, and environmental stewardship. We advance each of these through our business practices and operations. Though our formal environmental, social, and governance (ESG) reporting is just beginning, the principles of corporate responsibility have long been a part of how we conduct our business.
Our Board of Directors strives to align with sound corporate governance principles. The primary responsibility of the board is the general oversight of risk as well as overseeing and providing guidance on H&E’s business and strategy. The board has five standing committees, and each is responsible for overseeing risks in their respective areas.
- Audit Committee
- Compensation Committee
- Corporate Governance and Nominating Committee
- Environmental, Social and Governance Committee
- Finance Committee
Among the key guidelines adopted by the board are:
- Independence of nine out of 11 directors
- Separation of chief executive officer and executive chairman
- Annual election of directors
- Stock ownership guidelines
- Code of Conduct for directors, officers, and employees
- Insider Trading Policy that includes anti-hedging and pledging policies
- Commitment to a diverse slate of directors with 27% of directors currently considered diverse based on gender, race, and/or ethnicity
- Policy to meet at least quarterly
The ESG Committee of the Board of Directors has oversight for ESG matters, including climate risks and opportunities, human rights, human capital management, community and social impact, and diversity and inclusion. At the operational level, a cross-functional ESG task force of senior management leads work to develop and integrate ESG policies, programs and practices across the Company.
For more information about governance at H&E, please see our annual Proxy filing.
Acting ethically and responsibly and following our Code of Conduct is fundamental to the Company’s core values. The code covers topics that include business conduct, compliance, political activity, conflicts of interest, use of company assets, and safeguarding of proprietary information.
The Company encourages all individuals to immediately report any concerns or suspected violation of this policy, our values, Code of Conduct, global or local policies, or the law. Employees may bring their complaint to their supervisor or compliance officers. The Company prohibits and does not tolerate retaliation against any employee for making a good faith complaint or for participating in an investigation of such a complaint. On our public website and internal intranet, we provide a toll-free number and a link to a secure, dedicated site to anonymously report a compliant or concern regarding H&E's accounting, internal controls, and auditing manners; a suspected violation of the Company's Code of Conduct and Ethics; or other matters.
Customer information and information systems are critical assets to H&E’s operations and our ability to achieve our strategic objectives. As a result, protecting the confidentiality, integrity and availability of this information is imperative to our business success. Our cybersecurity program is led by the chief information officer and overseen by the board, audit committee, and senior management. Regularly scheduled updates are provided to the board and audit committee. Upon hire, employees are trained to identify phishing emails, and cybersecurity training is assigned annually thereafter for all employees.
Responsible Supply Chain
We hold our vendors and suppliers to the standard of fairness, honesty, and ethical business practices and conduct, including all principles outlined in our Code of Conduct, and to full compliance with all applicable laws and government regulations
As an equipment company run by equipment people, our culture is one built on commitment, integrity, cooperation and teamwork. H&E’s social initiatives aim to create a workplace of choice that attracts and retains the talent needed to achieve our business objectives and support the communities upon which we are mutually reliant.
H&E employees drive our business growth and success. Likewise, we strive to drive their professional growth, success, career advancement, and well-being. We do so by providing a workplace in which safety, diversity, inclusion, development, training, competitive pay, and quality benefits are prioritized.
2,375 Total Employees
(as of 12/31/22)
85% Retention Rate
Freedom of Association and Collective Bargaining
We recognize employees’ rights to freedom of association and collective bargaining. Approximately 3.5% of our employees are represented by a collective bargaining contract.
Anti-Harassment and Discrimination
Our Code of Conduct prohibits harassment or discrimination against anyone based on any classification prohibited by law. Allegations of harassment or discrimination are investigated in accordance with applicable laws and human resources policies. Employees are expected to seek advice from the Company’s Human Resources Department when confronted with business decisions involving a risk of violation of these laws.
Diversity and Inclusion
With operations in 30 states that serve more than 43,000 customers, our business spans a diverse marketplace, and we want our team to reflect that diversity. Even more importantly, we want every employee to find our work environment to be an inclusive one in which every employee feels welcomed, included, and valued for their unique perspectives and experiences. The Company is committed to a full spectrum of diversity inclusive of gender, ethnicity, race, sexual orientation, age, disability, veteran status, religion, culture, background, and experiences.
Health and SafetyThe health and safety of our employees is an unwavering core value and is prioritized through our LIVESAFE program, which focuses on employee safety at work, at home, and at play. Behavioral safety is the foundation of our safety culture, which incorporates elements such as job safety observations, near-miss reporting, safety meetings, and ride-along programs, among others. We require all new employees to participate in safety training upon hire and then assign yearly training thereafter for all employees.
H&E has policies and programs for material health and safety risks for our employees and customers, including providing H&E operator and safety training to reduce the risk of equipment-related accidents, available in select locations. Training covers a variety of equipment types, including aerial work platforms, material handling, earthmoving equipment, and more, and meets OSHA, ANSI, and MSHA standards. Learn more about safety training here. We also offer a safety incentive to qualifying employees at branches that successfully adhere to safety measures.
.31 2022 Lost Time Incident Rate
.90 2022 Total Reportable Incident Rate
Wellness and Benefits
We equip our employees with the benefits and tools they need to lead healthy, secure, and balanced lives and to help them perform at their best on the job. We offer an array of comprehensive benefit options, including retirement savings plans, medical insurance, prescription drug benefits, dental insurance, vision insurance, flexible medical spending accounts, life and disability insurance, accident and critical illness insurance, and dependent care programs. We also provide paid time off, bereavement leave, wellness credits, and employee assistance programs. Learn more about our benefit offerings here.
Training and Development
Promotion and advancement opportunities are key factors in retaining our employees. We offer programs to develop and enhance skills improve our business performance, and provide employees with meaningful career opportunities. Training is offered in an array of categories, such as management and leadership, rentals, sales, parts and service, safety, technology, and vehicle operations. In addition to our Talent Pipeline, which affords growth and career development, our talent development program includes a variety of training methodologies including field experiences, on-the-job training, classroom training, and help desk support.
54 Average hours of training and development per full-time employee per year
We believe strong businesses and strong communities depend upon one another. We share our success by giving back to communities and, in turn, they provide us with the talent required to drive our business success. We encourage our branches to pursue outreach opportunities that best meet the needs of their respective communities and the interests of employees. At the corporate level, we focus on the education of disadvantaged children and youth in Baton Rouge, Louisiana, the community where our business was founded and our headquarters is located. In recent years, we have provided philanthropic and volunteer support to two innovative high schools in the area, where children of low-income parents can receive a college preparatory education. We also administer a business and employee assistance fund that supports small businesses and employees in emergency situations and disaster recovery.
H&E recognizes the need to minimize our environmental footprint, conserve natural resources, and, where possible, reduce our carbon impact.
We are committed to evaluating alternative fuel products for our rental fleet as these technologies become available and as customer demand for them increases. Our battery- and electricity-powered equipment currently comprise 35% of the units we rent. Our environmentally friendly fleet includes a range of battery-powered and hybrid equipment such as scissor lifts, boom lifts and material handling equipment.
Our rental fleet is supported by our employee-operated delivery and transportation fleet. We have deployed telematics tracking and strategies to improve the management of our fleet, which has resulted in the reduction of vehicle idle time and fuel consumption.
Water Conservation and Waste Reduction
Though our operations are not water intensive relative to many industries, we recognize that fresh water is a limited resource and work to conserve where possible. In many of our locations, we utilize water recycling in wash bays in order to reduce consumption.
H&E practices responsible waste management, including disposal of hazardous substances. We partner with a waste service to remove and recycle 100% of used motor oil, oil filters and antifreeze.
In all aspects of our business and operations, we always strive to grow and improve. Our ESG journey is no different. We continue to develop programs that will further our efforts and are committed to communicating our progress in a consistent and transparent manner. We welcome your feedback and appreciate your interest.