Workday Climate Goals
Workday's science-based targets, net-zero operations, Frontier membership and multi-year carbon credit offtake agreements, explained.
Workday, the enterprise software company, combines science-based emissions targets with carbon removal purchases. It is a member of Frontier and has signed multi-year agreements to buy carbon credits directly from projects.
Science-based targets and net-zero operations
Workday says it has set science-based emissions reduction targets consistent with keeping global warming to 1.5°C, and that it is aligning with a net-zero future by 2050. The company states that it has reached net-zero emissions across its offices, data centres and business travel, and that it operates on 100% renewable electricity. It also describes itself as one of the first companies to achieve a lifetime net-zero carbon footprint.
Joining Frontier
In 2023, Workday joined Frontier, the advance market commitment to buy permanent carbon removal, alongside Autodesk, H&M Group and JPMorgan Chase. Together, those four companies contributed $100 million in new funds. Workday has said the science shows nature-based solutions will not scale quickly enough on their own, which is why it backs engineered and other durable removal as well. Learn how this works in our carbon dioxide removal guide. You can also read about fellow member JPMorgan Chase.
Offtake agreements for carbon credits
In 2024, Workday reported signing three new offtake agreements to buy more than 300,000 carbon credits over six years. Offtakes are multi-year purchase agreements that give project developers more certainty about future demand. For how they compare with spot purchases, see our carbon removal credits guide.
Workday also says it buys high-quality credits to offset 100% of its natural gas, data centre cooling and business travel emissions.
Nature-based projects
Workday made a $1 million investment in mangrove reforestation in Mexico and Kenya. Mangroves and other coastal ecosystems are covered in our nature-based removal guide.
What to watch
- Credits used to offset operational emissions are different from permanent removals, so the mix matters.
- Delivery of contracted credits over the multi-year offtake period.
- How its approach compares with other software companies such as Microsoft.
Sources
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