Doing wellby doing good
Corporate Sustainability Report 2020

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The world is now more interconnected
than ever — a fact that was reinforcedby the pandemic. While COVID’s impact
wasn’t felt equally, it’s incumbent on
all of us to work together to rebuild.
Amid this moment of recovery, there’s
opportunity to create an economy andsociety that work for all of us.
At Mastercard, we’re combining ourcompassion with our strengths inbusiness — innovation, inclusivity,
flexibility and trust. That work
continues, now with greater urgency.

Several years ago, we set sciencebased targets to focus our efforts
to address climate change. We’rebuilding on that with our recent
pledge to achieve net-zero emissions
by 2050, and creating the PricelessPlanet Coalition to plant 100 million
trees over five years.
In 2020, we met our goal to bring
500 million people into the digital
economy, but we can’t stop there.
We raised that commitment tobring 1 billion people, 50 million
small businesses and 25 million
women entrepreneurs into thedigital economy by 2025.
To tie the environmental and social
pieces all together and accelerate ourefforts, we issued a Sustainability
Bond. We formally linked executive
compensation to three real andmeasurable sustainability priorities.
These efforts illustrate how serious
we are about making real change.
Why do we do this kind of work? It’s
because we know we succeed when
the world succeeds. Added to that,
we know inclusion and diversity are
major strengths of our business.

Those principles are opportunities
to drive impact and will continue toguide us as we keep raising the barfor ourselves in building an inclusive,
sustainable digital economy.
At the root of sustainability is theword sustain — to hold up. We allneed to sustain each other as schools,
shops and economies reopen and we
can come together again.

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ESG

CEO Letter

Over the past year,
we’ve all dealt
with the many
complex challenges
the world faces.
But we can’t just
wait for change tohappen. We must
drive that change.

03

Sustainability isn’t possible without
everyone’s involvement — that
includes major businesses like ours.
Making sustainability initiatives
commercially viable helps them
become a part of everyday commerce
and mainstream business practices.
This is where companies like
Mastercard are uniquely positioned to
do our part.
We’ve navigated through the
pandemic together. We should move
forward together to create change.

Michael Miebach
CEO, Mastercard

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CEO letter
Highlights
Our response to COVID-19
In Solidarity

01 02 03 04 05
ABOUT
MASTERCARD

INCLUSIVEGROWTHOUR PEOPLE
AND CULTURE

ENVIRONMENTAL
STEWARDSHIPETHICAL ANDRESPONSIBLE
STANDARDS

Our purpose
manifesto

Financial security

Talent attraction
and recruitment

Operational
footprint

Ethics andcompliance

Development
and retention

Environmentallyconscious solutions

Privacy anddata protection

Sustainability
Innovation andnew technologies

Data science forsocial impact
Future of workers
Community support
and giving

CultureSafety and security

Employee benefits,
well-being and rewards

Human rights
Responsible sourcing
and supplier diversity

Assurance letters
Sustainable
development goals
The report covers the 2020 fiscal year, spanning Jan. 1 to Dec. 31, 2020. In some cases, we include data and information about programs and activities
relevant to our corporate sustainability key areas of impact that occurred in the 2021 fiscal year, as noted.

TCFD index
ESG data table

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ESG

Highlights

Highlights• Tied executive compensation to ESG
goals and priorities, including carbon
neutrality, gender pay parity andfinancial inclusion.1• Issued a sustainability bond tosupport significant progress alreadymade toward maximizing carbon
reduction, supporting environmental
choices for customers, and fostering
inclusive growth.1

INCLUSIVEGROWTHOUR PEOPLE
AND CULTURE

ENVIRONMENTAL
STEWARDSHIPETHICAL ANDRESPONSIBLE
STANDARDS

Reached financial inclusion
target of bringing 500 million
unbanked people into thedigital economy.

Invested in new policies,
programs and tools toenhance work-life experiencefor employees globally, including
tools to support mental wellbeing and financial support for
adoption, surrogacy or fertility
treatments for employees
globally and tools to support.

Committed to reaching netzero greenhouse gas (GHG)
emissions by 2050 across ouroperations and value chain,building on our existing sciencebased targets.1

Updated our Code of Conduct,adding language regarding
Mastercard’s commitment
to respecting and promoting
human rights and our Data
Responsibility Principles.

Expanded the PricelessPlanet Coalition to nearly
60 companies to regrow 100
million trees over five years.1

Published our Board-approved
Human Rights Statement
detailing our commitment
to respecting and promoting
human rights.

Increased commitment tobringing a total of 1 billion
people and, 50 million micro andsmall merchants into the digital
economy worldwide — andproviding solutions to 25 million
women entrepreneurs by 2025.
Mastercard and the Mastercard
Impact Fund disbursed over
$80 million in charitable
donations in 2020.

Women employees earn
$1.00 for every $1.00 men
employees earn.2
Our STEM-based Girls4Tech™
passed the million-girl markin 2020, prompting us to commit
to engaging 5 million girls
by 2025.

Over 10 million cards produced
for issuance since 2018 withapproved sustainable materials
using Mastercard’s Sustainable
Card Materials Directory.

In 2021.
2
Based on our most recent annual pay
equity analysis.
1

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Mastercard focused on
helping individuals andbusinesses by ensuring that
our network remains secure,resilient and reliable, andby applying our technology,
philanthropy and datascience expertise to rebuild
healthy communities andensure that economic
growth is inclusive.

• $250 million in financial,technology, product and insightassets over the next five years to
support the financial security andvitality of small businesses andtheir workers.
• $25 million seed money
to establish the COVID-19
Therapeutics Accelerator with
the Bill and Melinda Gates
Foundation and Wellcome to
speed the development of andaccess to therapies.
• $10 million challenge issued bydata.org for ideas that use data
science to advance inclusive growth
and recovery around the world.
data.org was founded by the
Mastercard Center for Inclusive
Growth and the Rockefeller
Foundation in January 2020.
• $10 million in April 2021 todirectly address critical COVIDrelated needs in India including
access to hospital resources,
access to additional oxygen
supplies, and continued supportof the company’s employees
across the country.

Our company• Had no COVID-19-related layoffs
in 2020.
• Introduced a COVID-19 global
employee benefit for up to 10
business days of additional paid
leave for sickness, childcare oreldercare.
• Covered 100% of costs of COVID-19
testing for all employees andprovided access to free COVIDrelated telemedicine consultations
for U.S. employees.
• Provided employees with flexibility
to decide where and how they workand put precautionary health andsafety measures in place atall offices.
Our customers• Engaged with several hundred
national and local governments
globally to help digitize relief
programs and support recovery
planning, such as the secure delivery
of social disbursements.
• Accelerated contactless payments
to help people stay safe and healthy
by championing an increase inlimits, making signatures optional,
accelerating no-touch transit anddriving QR acceptance.

• Provided recovery insights forcustomers to navigate the rise in
e-commerce, fine-tune operations
and prioritize investments.
• Offered free cybersecurity
vulnerability assessments
and identity theft protection
to businesses, as well as freecybersecurity rating assessments
to all health care organizations.
Our communities

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ESG

Our response to COVID-19

Our response
to COVID-19

Mastercard has committed up to$300 million in the fight against
COVID-19, which includes:

03• Partnered with the Mayors Fundof LA, the City of Los Angeles andAccelerator for America to create
the Angeleno Campaign, a financial
assistance program aimed atproviding direct relief for Angelenosin need.
• Launched collaborations withpartners like UberEats, iFood andLyft to provide meals and essential
services for frontline workers andvulnerable communities.
• Extended access to our signature
STEM curriculum, Girls4Tech™,
through a suite of new online,
creative educational resources
designed to help parents andteachers engage and inspire kids
ages 8–12.

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In Solidarity

It is the culmination of recent discussions acrossthe company, and is built upon our firm convictionthat Black lives matter. In Solidarity is also apublic declaration that there is no place for racism
or discrimination at Mastercard — or anywhere
else. Although it grew out of the murder of George
Floyd and the ensuing social injustice protests in
the United States, this long-term companywide
initiative is the first step in addressing similar issues
in countries elsewhere around the world.

MarketSociety• Embracing inclusive leadership
through a global training programfor all employees that is anchoredin The Mastercard Way.

• Conducting a review of payments
and adjacent ecosystems for biases,
inequities and weaknesses in how weserve the varied needs within Black
communities, from the affluent tothe underserved.

• Pledging $500 million over five
years to help close the wealthand opportunity gaps faced byBlack communities in the U.S.,
drawing on assets from acrossthe company — including ourtechnology, partnerships, products
and services.

• Bolstering our Black employee
recruitment through new andexpanded partnerships with historicallyBlack colleges and universities (HBCUs)
and key organizations, including aheightened focus on diversity within
our new-hire programs globally.
• Growing our Black leadership at the
VP level and above by 50% by 2025.
• Engaging in ongoing Open Circle
discussions on the progress of the plan;
opportunities for individuals to share
their stories; education; increased
support for Business Resource Groups;
and personal counseling resources.
In addition, the Mastercard Day of
Solidarity has become an annualCommunity Day.
• Investing in Black colleagues by
increasing participation in formal
training, mentorship, sponsorship,skill development, and health andwell-being programs.
• Increasing transparency in our
workforce with annual reportingon Black and other minority
representation in managerial
positions, interview slates and hiring,where geographically possible.

• Respecting and promoting humanrights in the use of our network,
particularly in relation to issues
impacting the Black community
and using our Human Rights
Statement as the guidepost for
future network policies.
• Expanding our annual spending
with Black suppliers by more than
70% to $100 million annually by 2025.
• Reviewing our brand work throughthe lens of racism and bias, witha view to enhancing our alreadystrong performance.

• Taking a leadership role inpublic policy and advocacy
efforts on police reform andcriminal justice reform.

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ESG

In Solidarity

In Solidarity was createdin 2020 in response to
the systemic racismthat continues in ourworld, particularly in the
United States. It includes
a concrete set of actions
across three pillars: people,
market and society.

People02• Building on our employee
volunteerism to devote even moretime to organizations and activities
that most directly impact Black
communities around the world.
• Deepening our partnership with
the National Urban League by
launching the Entrepreneurship &Workforce Resource Partnership.
• Enhancing our community
partnerships with other leading
civil rights organizations andexpanding our Master Your Cardfinancial literacy program in Black
communities.
• Examining how racism andbias, LGBTQ+ issues and otherinclusion dimensions factor into
our government engagement andcompany advocacy work globally.

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04

ABOUT
MAS TERCARD

05
ESG

Mastercard is a global technology company
in the payments industry. Our mission is toconnect and power an inclusive, sustainabledigital economy that benefits everyone,
everywhere, by making transactions safe,
simple, smart and accessible.
For more about Mastercard, please visit our site.
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OUR PURPOSE MANIFESTO

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03

Our responsibility is to let basic
human decency serve as our guide, toinnovate with purpose, and to unlock
potential for people everywhere.
We strive to bolster trust at
every touchpoint, to use data for
good, and to build networks thatempower society.

We nurture the entrepreneurial spirit
and show the world that borders
aren’t boundaries for partnership,
because of the exponential powerof people coming together.
We see beyond what technology canbuild, to how passion can transform
economic growth into inclusive,
sustainable growth.

We are rewriting the future as we go.
Our connection with each other fuels
us to connect the world.

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ESG

And when we believe and build
together, it creates pricelesspossibilities for everyone.

About Mastercard

We see a connected world
where humanity unites,
prosperity is possible andopportunity is open to us all.

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Sustainability

03
04

We are applying our technology,
products, services, insights andpartnerships, along with our people,
to address urgent social, economicand environmental challenges on
a commercially sustainable basis,
helping ensure that people can reach
their full potential, that economic
growth is inclusive, and that theplanet can thrive.
Sustainability at Mastercard
involves reducing our carbon
footprint and offering consumers theopportunity to do the same. It means
creating pathways to foster inclusive
growth for underserved communities
around the world.

AWARDS

Mastercard is honored to have earned
recognition for our environmental,social and governance work.
We received the following awards, among others, in 2020:• 100% on Disability: Disability
Equality Index (DEI) — Best Places
to Work for Disability Inclusion

And it involves organizing ourselves
around sound and ethical businesspractices that are guided by clear
and sustainable purposes.
To learn more about oursustainability governance frameworkand stakeholder engagement,
please visit pages 48–50 in our
2021 Proxy Statement.

ESG

About Mastercard

At Mastercard, we understand howinterconnected the world is, and we’veseen firsthand how our commitment toenvironmental and social responsibility
is directly connected to our continuing
success as a business.

05• 100% on Human Rights Campaign
Foundation Corporate Equality
Index — Best Places to Work for
LGBTQ Equality• Bloomberg’s Gender Equality Index• CDP Supplier Engagement
Leaderboard• Ethisphere’s World Most
Ethical Companies• Forbes’ World’s Best Employers
for Women• Fortune’s Blue Ribbon Companies• Fortune’s Change the World list
• Fortune’s World’s Most
Admired Companies• FTSE4Good Index• DiversityInc’s Top 50 Companies
for Diversity• JUST Capital’s JUST 100 Listand Industry Leader• Dow Jones Sustainability
North America Index• Newsweek’s America’s Most
Responsible Companies

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MATERIALITYASSESSMENT

High-impact topics

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ESG

Diversity, Equity and Inclusion

About Mastercard

Mastercard periodically conducts
a formal environmental, socialand governance (ESG) materiality
assessment that captures views
from internal and external
stakeholders on ESG topics.
This formal assessment ensuresthat our ESG efforts prioritize key
areas of impact important to ourexternal stakeholders and our longterm business success. In the years
between formal assessments, we
refresh our results as needed.
In 2020, we completed a formal
assessment that incorporated theresearch and guidance provided
by the Global Reporting Initiative(GRI) and Sustainability AccountingStandards Board (SASB). The
assessment was conducted inpartnership with Business forSocial Responsibility (BSR),a global nonprofit businessnetwork and consultancy
dedicated to sustainability.

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Ethics and ComplianceAs part of the process, weinterviewed internal executive
leadership as well as external
stakeholders, such as investors,
nongovernmental organizations(NGOs), customers and suppliers.
We also collected input from internalsenior leadership across the businessand in all regions.
We found that perspectives
from both external and internal
stakeholders are aligned. Therewas general agreement on thehigh-impact issues and on the risingnumber of medium-impact issues.
A handful of topics emerged that
required adjustment, such as thirdparty risk management, sustainableconsumption and climate resilience.

Financial Inclusion and Security

Privacy and Data Protection

Safety and Security

Talent Recruitment, Retention
and Well-Being

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MASTERCARD FOUNDRY

Innovation andnew technologies

However, the impacts of thepandemic, combined with
the increasing sophisticationand convergence of emerging
technologies, also present a unique
opportunity to build a more resilientand ethical post-pandemic world.
Mastercard is constantly
experimenting, co-creating andde-risking new technology with ourpartners to develop scalable products
and services that will accelerate theirbusiness growth.

We are using our expertise inbuilding systems and networks toconvert emerging technologies andtrends into innovative commerce
solutions and experiences. We look for
new ways to leverage them to improvebusiness-to-business transactions
and spur strategic growth, thereby
increasing value for our customers andpartners and helping them empowerbusinesses and consumers.

• Artificial Intelligence• Biotechnology• Blockchain• Consumer Behavior• Cryptocurrencies• Cybersecurity• Mixed Reality• Nationalism• Quantum Computing• Regulatory• Robotics• Social Norms• Startup Innovation

PORTFOLIOS

03• Commercial• Customer Experience• Data & Services• Emerging Consumer Solutions• Merchant• Strategic Growth

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CAPABILITIES• Experience Centers• Experience Design• Experience Research &Insights• Innovation Management• Partner Experience• Product Lifecycle
Management• Research & Development

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ESG• AI & Sonic Drive-thru• Community Pass
• Loyalty Link
• Mastercard Farmer
Network• Payment on Delivery• Provenance• Track BPS

About Mastercard

COVID-19 has widened economic
inequalities and demonstrated thatbusinesses slow to adopt digitization
are more vulnerable.

Accelerating the future of commerce
through experience and innovation.
We power Mastercard’s ability tocreate and deliver differentiatedproducts, services and experiencesthat unlock customer value and drive
business growth.

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LABS
• Labs as a Service• Nairobi Lab

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PRODUCT HIGHLIGHTSCOLLABORATIONWITH PARTNERSSIGNAL-SPOTTING
AND RESEARCH AND
DEVELOPMENTIn Mastercard’s five globally locatedInnovation Labs, our R&D team
explores disruptive technology andcutting-edge trends in new domains
through applied applications.
Our research agenda iscollaborative and purposeful,balancing creativity with delivery
to build the future of commercewith our partners. Mastercard’s cloudfirst approach enables engineers towork with speed and address market
needs at scale.
We have a well-establishedpatent program that supports these
activities, providing incentives forall employees wherever they sit, torethink and reimagine the potential ofthe digital economy. These efforts led
to Mastercard being recognizedas #143 in the IPO 300, a listing of
the top 300 companies who acquired
U.S. patents in 2020, and we are
one of the leaders in blockchainrelated patents among financial
services companies.

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Provenance Solution
Modern supply chains are increasingly
complex, fragmented and opaque,as businesses expand their reach toconsumers globally. The Mastercard
Provenance Solution provides end-toend visibility by leveraging blockchain
technology, delivering real-timetraceability and bridging gaps between
data silos. This allows decision-making
based on a shared record.

Finicity Open Banking Solutions
Finicity, a Mastercard company,
was founded to help individuals andfamilies use their financial data to
gain better insights and improve theirfinancial health. Banks, lenders andfintechs can use Finicity Lend products
to help consumers get access to credit
and improve their credit scores byleveraging expanded data sources,
leading to greater financial inclusion.

Pay on Demand
Mastercard formally launched Pay on
Demand in Uganda in partnership withAirtel Africa, Asante and Samsungto accelerate digital inclusion in theunderserved region. Pay on Demand
unites financial institutions, originalequipment manufacturers andtelecoms in order to reach underserved
people in emerging markets. It enables
those people to finance devices,
thereby broadening their access tosmartphones, which in turn allows
them access to financial services
such as credit.

Track Micro Credit Program
The Mastercard Track Micro Credit
Program commercially launched in
Egypt in 2020, empowering small
retailers by giving them access to credit
and helping them break the cycle ofcash dependence. The global platform
enables financial institutions to extend
credit to small retailers in developing
markets by leveraging supply-chain
data and fast-moving consumer goods
companies’ distribution channels.
This helps small retailers to grow by
seamlessly integrating credit into their
existing sales cycle, helping to accessand build credit, and frees small retailers
and suppliers from a reliance on cash.
The program includes scalable trainings
and tools around financial literacy andproduct education. It was created inpartnership with the Mastercard Center
for Inclusive Growth.

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ESG

About Mastercard

Labs as a Service (LaaS) teams
consult with our customers to better
understand their business challenges
and develop custom solutions to
support their digital transformation
efforts. In 2020, these engagements
included support for financial wellness
and financial inclusion. We are exploringnew products that could encouragesavings to improve financial healthand build credit scores as part of our
financial inclusion commitments. We
are partnering with clients who aremaking a meaningful difference.
Mastercard Accelerate helps fintechs
connect with technology partners tofind end-to-end solutions and countless
methods for bringing new services tocommunities in need. Accelerate’s Start
Path program offers this support topromising companies with readinessto scale. We provide fintechs with asuite of tools and resources and accessto Mastercard’s executive network to
maximize their commercial success andability to shape the future of commerce.
In 2020, 33 new companies joined theStart Path program, bringing total
partnerships to nearly 250, including
approximately 75 woman-led startups.

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I NCLUSIVEGROW TH

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The COVID-19 pandemic, its economic
repercussions and the global unrest causedby racial injustice created an inflection
point for society in 2020, highlighting how
we need to build a more sustainable andinclusive digital economy that works foreveryone, everywhere.
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Mastercard has beenworking toward building an
inclusive digital economy
over the last decade.

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Our commitments to financial inclusion
and inclusive growth proved prescient in
2020, as COVID-19 exacerbated socialand economic inequalities and furthered
the case for accelerating access to andfull participation in the digital economy.

2017–20192011–2013
Mastercard introduced the Master
Your Card community education
program to help consumers andsmall businesses learn how to get
more from their money by using
electronic payments technology.
Mastercard launched a “Cost ofCash” study and co-chaired theWorld Economic Forum’s financial
inclusion steering committee.

2014–2016
We created the Mastercard
Center for Inclusive Growth,“the Center,” a philanthropic hub
within the company that produces
actionable insights, invests in social
impact programs and engages
a community of leaders — all inservice of advancing equitable andsustainable economic growth.

In 2018, Mastercard dedicated$500 million of its savings generated
by the U.S. and European tax reforms
to advancing inclusive growth, so wecreated the Mastercard Impact
Fund, an independent nonprofit
entity. Administered by the Center,the Impact Fund’s mission is toprovide funding in areas related
to inclusive growth.

Inclusive Growth

2020

ESG

In April of 2020, having met our goal ofbringing 500 million unbanked people
into the financial system, we doubled
down on our commitment to financial
inclusion, pledging to bring an additional
500 million people into the digital
economy, for a total of 1 billion people
by 2025. We also pledged to connect
50 million entrepreneurs to the digital
economy, while providing solutions to
25 million women entrepreneurs to help
them grow their businesses.

In 2019, Mastercard organized the first
Global Inclusive Growth Summit.

In 2015, Mastercard committed tobringing 500 million people into thedigital economy by decade’s end.
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012020 HIGHLIGHTSCOVID-19 frontline relief
Collectively, Mastercard and theMastercard Impact Fund havecommitted more than $33 million inphilanthropic grants to address boththe health and financial impacts of the
COVID-19 pandemic. This commitment
includes $25 million as a founding
partner of the COVID-19 Therapeutics
Accelerator, alongside the Bill andMelinda Gates Foundation and theWellcome Trust.
Small-business support
Mastercard has made a five-year,$250 million commitment to providing
small businesses impacted by the
economic fallout of the pandemic withfinancial tools, technology, products,
funding and insights, to help themsurvive and thrive. Support includes
free cybersecurity checks and fraudassessments as well as assistance inmoving to digital storefronts.

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Racial equity
As part of In Solidarity, Mastercard
pledged $500 million over five
years to help close the wealth andopportunity gaps faced by Black
communities in the U.S. We also
promised to take a leadership role inadvocating for criminal justice reforms
and to enhance our partnerships withcivil rights groups and communitybased organizations leading the work
across the U.S.

ESG

Inclusive Growth

By harnessing our innovation,technology, people, capital andtrusted network, we strive tohelp build a global economy that
promotes greater financial security
for individuals and their families;
enables small businesses to grow andcreate jobs; uses an evidence-based
approach to economic development;
and closes persistent opportunity
gaps for women and minorities.
We envision an economy that is built
for all and benefits all.

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A path forward
We know that this moment calls formore than incremental change. It calls
for systemic change that examines
the fundamentals of how oureconomies do and don’t work for all
segments of society. The Mastercard
Center for Inclusive Growth, inpartnership with the Centre for
Public Impact, developed Built forAll, a global framework outlining
how public, private and civic sectors
must collaborate to mobilize actionand ensure a future of sustainedprosperity, equal participation andresponsible stewardship.

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Financial security

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ESG

Inclusive Growth

Building on our history of financial inclusion, we
have helped millions of individuals and small
businesses stay resilient during the pandemic,
partnering with governments, financial service
providers and NGOs. Digital transformation has
helped existing partners pivot to remote work,
shift to e-commerce and rapidly deploy relief
during COVID-19.

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HELPING GOVERNMENTS
SUPPORT THEIR CITIZENSIn 2020, Mastercard worked withgovernments worldwide, providing
systems and services to help
protect people and businesses
and allow efficient and equitable
distribution of aid. We helped delivervital welfare payments to alleviate
hardship, credit lines to keep small
businesses going, and economic
stimulus to mitigate the impact of
COVID-19 and accelerate recovery in
its wake. More than half of the nearly
250 initiatives launched in more than
50 countries during the year weredirectly related to COVID-19 relief.

For example, a program in Los
Angeles leveraged Mastercard’s services
and technology to raise funds throughour Donations Platform and then load
more than 38,000 cards with almost$37 million in emergency funds. This
COVID-19 relief helped roughly 105,000
residents. The Angeleno Campaign
provided direct assistance over just a
few months to families experiencing
extreme financial hardship due to thepandemic shutdown.

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DIGITIZING AND
MODERNIZING FINANCIALSERVICE PROVIDERS• A $2.5 million grant to Community
Reinvestment Fund helped createa digital application process forfederal aid. This alleviated muchof the application burden forsmall businesses, supporting the
disbursement of $5.8 billion inloans through the federal Paycheck
Protection Program (PPP). Over2,400 businesses that benefited
from the loans could not access
PPP through traditional financial
institutions.

05• A million-dollar COVID relief grant
contributed to the enablement of
the nonprofit Grameen America,
and the 52,000 low-income
woman entrepreneurs it serves
across the U.S., to go 100% digital,from weekly check-ins to loan
disbursements and repayments.
Going forward, all new loans will
be funded directly via prepaid
disbursement cards. The grant also
helped fund critical relief activities,
including loan forgiveness, payment
holidays and digital repayment fees.
Since 2015, Mastercard grants havecontributed to Grameen’s efforts
to support nearly 135,000 womenwith more than $1.7 billion insmall-business loans.

Our grants helped CDFIs and NGO partners
pivot to remote work during the pandemic
and helped rapidly deploy billions of dollars
in relief to small businesses in need.

• We committed to deploying$20 million into CNote Promise
Accounts, an insured cash
management solution with impact.
Through this commitment, funds
will be deposited into CDFI banks
and Low-Income Designatedcredit unions to provide fundingthat will expedite the recovery
of underserved communities andwoman- and minority-owned
businesses across the U.S.

ESG

Inclusive Growth

Our early investments in digitaltransformation for Community
Development Finance Institutions(CDFIs) scaled quickly in 2020 as
CDFIs became a lifeline for micro andsmall businesses. Our grants helped
CDFIs and NGO partners pivot toremote work during the pandemic andhelped rapidly deploy billions of dollars
in relief to small businesses in need:04• Our partnership with the global
nonprofit Accion, which helps
8 million people and 3 million small
businesses, quickly adapted to thepandemic in 2020. We have now
reached eight financial providers
and more than 35 fintechs, helping
micro- and small-business owners
worldwide to digitize their products
and services to support themselves
and their customers. In response to
COVID, new projects included a shift
to e-commerce platforms adopting
remote customer service supportand reimagining group lending fora no-contact world.

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DIGITAL-FIRST RESOURCESFOR SMALL BUSINESSESIn addition to the hardware andsoftware requirements, small
businesses also needed the technicalguidance and support to rapidly shift
to an all-digital economy.

Digital tools for microand small businesses
In response to the challenges small
businesses have faced during the
pandemic, Mastercard created Digital
Doors, which provides small businesses
with online access to e-commercecapabilities, products and educational
resources to empower and protect
them by ensuring that they have theright tools for digital transformation.

Through Digital Doors, we hosted aseries of educational webinars, including
many devoted to promoting minorityowned small businesses and theirproducts and services. We also provided
free access to several Mastercard tools,
such as those for risk assessment, ID
protection and diagnostics, to help small
businesses recover faster and stronger
from the pandemic. More than 3,700
individuals and small businesses took
advantage of these tools in 2020.

03
04
05
ESG

Mastercard Farmer Network (MFN)
helps smallholder farmers who
typically live on the margins of theeconomy by giving them a way to pay
and get paid electronically, generate
digital sales records, and store money
digitally. It is now available in India,
Kenya, Tanzania and Uganda. As of
March 2021, the network had given
approximately 500,000 registeredfarmers direct access to buyers,
increasing price transparency andspeeding payments. Overall crop
sales through MFN increased 263%
in 2020.

Inclusive Growth

Tech-enabled training
and mentorship
Getting small businesses digital-readyoften meant finding the right mentors.
In partnership with Mercy Corps, theCenter for Inclusive Growth createdMicroMentor, a digital platform
matching small-business owners acrossthe Middle East and North Africa withmentors. From MicroMentor’s initiallaunch in April 2019 to January 2021,
nearly 1,600 mentors and more than
4,800 entrepreneurs engaged on theplatform. In 2020, with the Mercy
Corps and Global Cyber Alliance, we
expanded the platform to Indonesia.

02

We also have a number of options
designed specifically for micro-commerce
economies in marginalized communities.
Community Commerce, which digitizes
low-value transactions for shopkeepers
in informal convenience stores, offers asafe and secure way for consumers andmicro enterprises to receive, store andspend funds digitally. More than 140,000
individuals used it in 2020 to buy goods,
creating digital transaction records andhelping these small-business owners togain access to credit and achieve greater
financial resilience.
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?

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DESIGNING PRODUCTS ANDSERVICES FOR UN- AND
UNDERBANKED PEOPLE

Enabling access to critical services
through digital infrastructure
Mastercard’s Community Pass is adigital platform designed to connect
people to essential life services thatcan fuel inclusive growth. Nearly
900,000 individuals were registeredon this secure platform in 2020.
Community Pass connects users to
the digital economy and helps thembetter access education, healthcare, humanitarian aid, agricultural
marketplaces and micro-commerce.
Eliminating manual, paper-based
processes reduces the potential for
errors and fraud while improving data
and visibility for service providers.

An educational payments
platform in Uganda
Kupaa allows parents, schools andgovernments to make and track
digital payments using a mobile app.
It also gives schools in marginalized
communities a way to maintain realtime data. Despite school shutdowns
caused by COVID, the platform was
expanded to three new school districtsin 2020, bringing the total numberof schools registered to 560. Nearly
1,300 education stakeholders, such asteachers and bursars, went throughKupaa orientation in 2020. UNICEF
included Kupaa in its digital education
framework in 2020.

Access through inclusive
digital identity
The digital “Inclusive ID” acts as asecure, formal identity service, without
relying on names or photos or storing
sensitive personal data. Instead,
Inclusive ID creates secure, biometrictokens that are small, irreversible
and unusable without the individual’spresence and permission. They canbe stored on a local device or smart
card or as a QR code. These biometrictokens protect privacy and reduce thepotential for misuse. Inclusive ID works
in both online and offline environmentswith touchless capture to significantly
reduce health risks.

Digitizing health records for
tracking vaccinations
Wellness Pass is a platform for
digitizing paper-based immunization
records via a secure chip carddeveloped by Mastercard and the
Global Vaccine Alliance. It’s also
an application that enables record
portability and proper treatment,even in offline health centers. Wellness
Pass includes electronic notifications,allowing service providers to help morechildren in marginalized communities
stay current with their immunizations.
In June 2020, we announced that
Wellness Pass will be adapted toinclude pandemic intelligence andvaccination verification.

Inclusive Growth

We continued developing products,
tools and educational programs
designed to solve problems forunderbanked and marginalized
individuals and communities.

ESG

Mastercard’s Community Pass is adigital platform designed to connect
people to essential life services thatcan fuel inclusive growth.
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A program for financial coaching
Master Your Card (MYC) is an
educational program that helps
marginalized people and smallbusiness owners build solid financial
foundations by teaching them the ins
and outs of the financial system.

02
03
04

During 2020, MYC sponsored virtual
events, expanding our reach andmessage to more than 38,000
people, and engaged with more than
3,000 individuals and entrepreneurs
directly. Eight new financial topics
also were added to our library, andwe launched two free online learning
platforms designed for those aged 7
to 21. MYC youth initiatives include a
student program teaching financial
literacy in 200 schools in underserved
communities in New York and St. Louis.
The MYC/EVERFI program has reachedmore than 40,000 students sincelaunching in 2016.

05
ESG

Inclusive Growth

A suite of low-cost, digital-first
financial solutions
In 2020, we expanded our partnershipwith MoCaFi, a Black-owned fintech,
to better serve financially vulnerable
communities. Together we launched
the MoCaFi Direct to Consumer
debit card, which includes key mobilefirst banking features and will help
cardholders access capital at scale.
We also launched Mastercard
Money Connect Solutions, which helps
increase financially vulnerable families’
access to financial products while
reducing their costs. This digital suite ofsolutions integrates with our partners’
existing apps or websites, including
MoCaFi, facilitating the distributionof key services in a secure, more
affordable and convenient manner.
Those digital services include mobile
check-cashing, bill payments, personto-person payments, cross-border
remittances and money management.

A gamified savings program for kids
It’s never too early to teach kids
about finance to help them build
solid foundations for future success.
In September 2020, in partnershipwith the Goalsetter app, Mastercard
launched the Cashola Card — a debitcard with parental controls. The cardallows users to make encrypted peerto-peer payments and includes an
app that teaches financial concepts.
Goalsetter is part of Mastercard’sStart Path program and is a partner
supporting our In Solidarity andfinancial inclusion efforts within the U.S.

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Data sciencefor social impact

04

USING MASTERCARDINSIGHTS FORSOCIAL IMPACT
We partner with governments
and NGOs to incorporate data
and data analytics into theirdecision-making processes.
Mastercard volunteers participatedin a July datathon in Chicago that
uncovered COVID-19’s economic
impact by industry, neighborhoodand business size. The findings havebeen shared with a broad set ofgovernment and public stakeholders
to help attract capital to priority
neighborhoods in Chicago.
Our insights from another datathon
helped the nonprofit Accion and
Bolivia’s largest microcredit bank todrive financial inclusion. We provided
actionable steps for the bank to
expand its digital footprint, improving
marketing strategies and empowering
employees through data insights.
The partnership has helped themicrofinance institution become moredata-driven by building an internal
data science team and championing
data-driven decision-making acrossthe organization.

05
ESG

We also supported governments,
customers and multilateralorganizations worldwide with ourdata analysis services by providing
insights into trends and improving
focus within key economic sectors
such as tourism — via our Economics
Institute. Our analytical platforms,
which include Spending Pulse andTourism Insights, helped governments
identify changing consumer trends,
while our advisory services helped
create sustainable plans for economic
growth and recovery based on thesetrends. These insights informed
governments’ actions on businessand unemployment disbursements,
recovery planning, and fiscal stimuli
targeted to encourage spending on
tourism. For example, our tourism
partnership with the Georgian
National Tourism Administration is
helping Georgia rebuild a healthier,more resilient and inclusive tourism
industry, after experiencing less thana third of visitor volume in 2020,
according to government estimates.

Inclusive GrowthAs outlined in our Data
Responsibility Principles,
Mastercard believes data
science can be used to
improve the lives of millions
of people by tacklingsociety’s most significant
challenges. We work withorganizations from all over
the world to do just that.

03

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SCALING THE FIELDOF DATA SCIENCE FOR
SOCIAL IMPACT

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05
ESG

DATA-DRIVEN TOOLS ANDRESOURCES FOR LOCALDECISION-MAKERS
Tools for more inclusive
and equitable growth
The Inclusive Growth Score andtoolkit is a suite of tools to help
community leaders evaluate and fundeconomic development initiatives
in underserved communities. The
Inclusive Growth Score is an interactive
online index that provides insights
into social and economic growth at
the census-tract level, visualized ona map. The index is based on timely
and granular economic and location
data and calculates scores using bothproprietary and open-source data topromote social and economic growthin underserved communities acrossthe U.S. We also supported thedevelopment of two economicequity resources in partnershipwith the Urban Institute: a Guide for
Cities to create equitable technology
programs and a spatial-equity
data tool that will help cities tokeep equity at the forefront when
deploying new technologies.

Inclusive Growth

We are committed to building a
global network of data-driven
solutions to help make economic
growth inclusive and sustainable
for everyone. The data.org platform,
launched by the Mastercard Center
for Inclusive Growth and theRockefeller Foundation, introduced
the $10 million Inclusive Growthand Recovery Challenge in January
2020 to crowdsource scalable andsustainable data science solutions forsocial sector organizations.
The challenge drew more than
1,250 entries from 108 countries.
Eight winners were selected basedon their exceptional use of data
science to advance global inclusive
growth. Winners included plans topromote women’s financial inclusion
using AI and a way to open accessto renewable-energy markets
for women entrepreneurs.

Furthering criminal justice reform
Mastercard partnered with
Georgetown University Law
Center’s Active Bystandershipfor Law Enforcement (ABLE)
Project, a holistic program centeredon training, accountability andtransparency. Mastercard isproviding a platform for ABLE
via our City Possible and Signature
City programs. Additionally, ouremployees serve as advocatesfor ABLE, introducing othercorporations and community
groups to ABLE’s work.

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Future of workers

In emerging markets, digital economies face
an urgent need to prepare and skill theirworkforces to meet labor market demand.
Mastercard generated new frameworks,
partnerships and insights to help workers
achieve economic mobility and find better
opportunities in a changing labor market.

Empowering Black entrepreneurs
and communities
As part of our In Solidarity efforts,
we are supporting the developmentof entrepreneurship centers andworkforce development pathways
to foster job creation and economic
opportunity in collaboration with
the National Urban League. This
program builds on a previous $5 million
commitment to support 5,000 Black
entrepreneurs by 2025.
Pathways to job mobility in the U.S.
In partnership with the Brookings
Institution, we produced two tools to
help vulnerable workers transition tobetter local jobs. Using the Mobility
Pathways tool, workers, firms andpolicymakers can compare jobs by
wage level and current demand and,through a “mobility index,” identify
paths to better jobs. Another tool helps

local officials identify andevaluate job vulnerability acrossthe U.S. in 380 metropolitan areas.
Local leaders can use the data todevise ways to enhance workers’
resilience to economic shocks. Officials
in Texas, Idaho and Colorado are using
these insights for their COVID-19
recovery strategies.
Building digital skills in Indonesia
through training
In 2019, Mastercard committed toempowering 100,000 Indonesiansby 2023 with the skills necessary to
succeed in the digital economy. In
partnership with the Government ofIndonesia, we provide digital knowhow, including STEM and cybersecurity
training and mentoring, to students,
young adults entering the workforce,entrepreneurs and midcareer
professionals. In 2020, nearly 18,000
Indonesians were directly engaged andupskilled through the program.

Portable benefits
The rise of the independent, orgig, worker has had a significant
effect on the global economy, butwhile the flexibility may suit certain
nontraditional workers, the work
doesn’t come with the same rangeof benefits usually available tofull-time employees. This has led to alarge and growing number of workers
losing out on benefits during the
pandemic, and the trend will probably
continue afterward. Current benefit
systems are not designed aroundmodern employment patterns,
and expose the vulnerabilities thatcome with intermittent and flexible
work arrangements.
Mastercard has partnered withleading benefits providers like Stride tobuild a portable benefits solution thatmakes health, dental and life insurance,
personal financial management tools,
and perks more readily available to gig
and nontraditional workers. Stride isembedded in financial products thatprovide independent workers withaccess to benefits in this new work
era at a low cost.

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ESG

Inclusive Growth

The nature of work ischanging rapidly. In developed
economies, these shifts
have created challenges toworkers’ financial security
and upward mobility.

01

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Helping people achieve financial
security includes helping themmeet basic needs — particularly
during times of crisis.
We are supporting communities inneed through charitable giving toorganizations focused on helping
people rebuild their lives in timesof crisis and recovery. We are also
leveraging our technology and network
to channel aid quickly and securely.
During the pandemic, Mastercard
coordinated with partners, including
Uber Eats, iFood and Lyft, to provide
meals and essential services forfrontline workers and vulnerable
communities, while also helping
small businesses navigate the crisis.
We donated nearly $30 million in
COVID-19 and other disaster relief,
including $1 million jointly with
PepsiCo to support medical workers
at White Plains Hospital, one of
our hometown medical centers in
Westchester, New York.

Total Giving*$50,472,000

Community

COVID-19 &Other Disaster Relief$29,978,000

Match Employee Giving$5,633,000

Other Community$14,861,000

Data Science
for Social Impact &Economic Development$12,905,000

Financial Security &Future of Work

$16,791,000$80,168,000* Includes Mastercard’s and the Mastercard Impact Fund’scharitable donations disbursed in 2020 and does not include
non-cash donations. The Mastercard Impact Fund is anindependent not-for-profit entity created by Mastercard in
2018. The Fund was created after Mastercard dedicated$500 million of savings generated by the U.S. and European
tax reforms to inclusive growth.

The Mastercard Foundation works
with visionary organizations toenable young people in Africa and in
Indigenous communities in Canada toaccess dignified and fulfilling work.
In 2018, the Foundation launched its
youth employment strategy, Young
Africa Works, to enable 30 million young
men and women to access dignified andfulfilling work by the end of this decade.
It is one of the largest foundationsin the world, with approximately$40 billion in assets as of April 2021.
To date, it has committed nearly$4.4 billion to programs that support
the advancement of financial inclusionand education to create a more inclusive
and equitable world. The Mastercard
Foundation was created in 2006
through the generosity of Mastercard’s
shareholders when Mastercard becamea public company. Since its inception,
the Foundation has operated as anindependent organization with its
own board of directors and president
and CEO.

05
ESG

Inclusive Growth

Community
support and giving

04

In 2020, Mastercard paid over$177 millionof dividends to the Mastercard Foundation.

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EMPOWERING A
NETWORK TO GIVE
In 2020, we also continued our support
for our longtime partners and theirworthy causes:• Since our partnership with theWorld Food Programme (WFP)
began in 2012, Mastercard, its
partners and its cardholders havedonated more than $37 million
in over 30 countries, primarily tosupport school feeding programs.
In 2020, more than $4 million was
donated to support WFP. For many
children around the world, a daily
school meal is often the only regular,
nutritious meal they receive, andwith the onset of COVID-19, WFP
had to quickly adapt its program
to ensure that children were still
able to receive meals while schools
were closed.

• Mastercard is a proud partnerof Stand Up To Cancer (SU2C)
and continued our support oftheir groundbreaking cancer
research in 2020 by donatingover $5.5 million together withcardholders. During a year inwhich consumers were spending
increasingly online and seeking
touch-free payments in-store, welaunched a program whereby every
time a Mastercard cardholder madeonline purchases or contactlesspurchases in-store at qualifying
grocery stores, drug stores, andrestaurants, as well as for transit,
Mastercard made a donation to
SU2C, up to $4 million. Over the
past decade, Mastercard has
donated over $55 million to
support SU2C.

05
ESG

Inclusive Growth

Mastercard donations technology
allows for consumers to give tomeaningful causes through everyday
spending and provides customers
with a way to embed the feature
into their services. Mobilizing its
network of partners and consumers,
Mastercard enabled the collection of
more than $25 million in 2020 throughmore than 170 donation-driven
marketing campaigns and consumer
donation technology initiatives. With
the COVID-19 pandemic hitting in early
2020, more than $11 million was raised
exclusively to support COVID-19 relief
efforts, frontline pandemic workers,
and small and micro enterprises facing
financial hardship.
An important driver of thispurpose-driven solution is empowering
giving with our infrastructure andtechnology through the Mastercard
Donate ecosystem.
This suite of digital solutions
empowers giving and enables seamlessand secure donations, integrating
giving into people’s everyday
lives — whether they’re shopping
online, paying at the point of sale,withdrawing money from an ATM,or using their mobile banking app.

04

Mastercard enabled the collection of
more than $25 million in 2020 throughmore than 170 donation-driven
campaigns and initiatives.

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OU R PEOPLE
AND CU LTU RE

05
ESG

Our goal is to create a robust, inclusive andresilient workforce by prioritizing employees’
development and well-being — physical,
mental and financial — and by keeping
decency at the core of all we do.
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Talent attraction
and recruitment
Our evolving business strategy andemerging priorities shape the skills weneed to deliver value to our customers
and society now and into the future.
In addition to the expansion of
our talent through acquisitions,
we adjusted our hiring efforts in2020 to reflect this need for new
skills and increased specialization.
We positioned ourselves for the future
by investing in our engineering talentpipeline and career paths.
We also moved to accelerate our
inclusion strategy throughout thehiring process. We are enhancing our
end-to-end talent program in partby increasing awareness of diversity
within existing new-hire programs
across the company. For more detail,see the ESG table on page 62.

03
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ESG

Our People and Culture

Mastercard’s people strategy is
evolving, especially in the wake of
COVID-19. In 2020, we continued
to draw on our business strategy to“Grow, Diversify, Build,” as well as on
our brand strength, to attract andretain the best talent. This strategy
enables an empowered workforce
that can adapt to whatever the future
brings, and that supports the successof our business.
We’ve built a thriving culture
in which our employees know wevalue innovation and collaboration,
and where each person has anequal opportunity for success. The
development and execution of regional
action plans help keep our focus onequality, inclusion and diversity inall the localities where we operate.
We are increasing awareness of
unconscious bias by introducing
and incorporating training andresources into our workplace. We arealso examining various policies andpractices for opportunities to realize
greater inclusion and to remove
potential barriers to success.
Through In Solidarity, we have madea series of commitments to spur us
and others to champion equality andinclusion and provide a level field for all
people at Mastercard and far beyond
our corporate walls. Read more about
these commitments here.

02

COVID necessitated a fully remotehiring process in 2020. Recruiting in a
virtual environment meant we reliedmore on Mastercard’s brand as aleading global technology company.
Additionally, our traditional onboarding
processes were adapted with a seriesof virtual 2020 New Hire Bootcamps.
We surveyed all newly hired employees
to determine the success of the virtual
onboarding process and found that
94% of respondents felt it met or
exceeded their expectations.

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ESG

CAMPUSATTRACTION

MIDCAREERATTRACTIONEXECUTIVE DEVELOPMENT
AND SUCCESSION

Through our youth employment
and apprenticeship partnerships,
Mastercard creates uniqueemployment opportunities forunderserved youth and young
adults in select markets in the U.S.,
Ireland, and India. We believe these
programs enhance our talent pipeline,
increase the diversity of our workforce
and create sustainable, positive social
impact. The duration of our youth
employment and apprenticeshipprograms ranges from a few weeks
to a few years, with an emphasison enhancing career readiness,learning new technology-related
skills, providing financial support
for postsecondary education, andbroadening community engagement.

Mastercard nearly doubled ourtraining class size for new-graduate
hires in 2020. We developed new
ways to find graduate talent ina virtual environment, including
technology-focused virtual problemsolving events, a “Tech Talk” series
with topics such as front-end
architecture and big data, andtechnical interview prep workshops.
Our paid-internship programs
also went virtual. In addition,
our efforts include an 18-month
new-hire program for recently
graduated talent and an 18-monthrotational leadership development
program for new graduates withadvanced degrees.
Through In Solidarity, we
committed to bolstering Black
employee recruitment throughnew and expanded partnerships
with historically Black colleges anduniversities and other organizations
that help us connect with diverse
talent, like InRoads.

We have a number of programs
to recruit employees looking torelaunch or reinvent their careers.
Those programs can be adapted tofill specific skill needs, help upskill theentire organization, or boost diverse
talent acquisition. One 16-week“Relaunch Your Career” programin 2020 focused on upskilling andretraining in four important areas tohelp women and men returning to
the workforce feel confident about
their new jobs.

Mastercard safeguards thecompany’s future by developing
internal talent. Planning for the
next CEO is an open and integral
part of everyday senior leadershipdevelopment. We encourage andnurture those who have C-suite
aspirations to switch geographies
and to move between line jobs,
where they gain hands-on experiencebuilding their senior leadership skills.
We also look internally to develop
future country leaders by identifying
talented individuals and preparing
them to be flexible general managers.
We train these senior executives in
The Mastercard Way to support ourculture’s continued evolution. We
equip them with skills to reconcile
dilemmas, lead through uncertainty
and navigate the real-life challenges
associated with both business andpeople management.

Our People and Culture

YOUTH EMPLOYMENT AND
APPRENTICESHIP PROGRAMS

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Development and retention

03
04

Mastercard provides on-the-job training
and development for every employee —all of it virtual in 2020.

ESG

Our People and Culture

We emphasize and develop
skills for the future such as
agility, collaboration and flexibility
through our talent and leadershipdevelopment programs.
Our leaders are trained to rolemodel those behaviors to help
sustain our culture. A wide arrayof educational options gives every
person multiple opportunities toenhance their skills and advancetheir careers.
We’ve embedded inclusion
principles into every development
curriculum, so our colleagues think
and act inclusively. Mastercard
believes people’s distinctive
backgrounds, experiences and waysof thinking help us deliver innovative
products and solutions that are
as diverse as the consumers andmarkets we serve.

05

LEARNING PROGRAMSAND OPPORTUNITIESMastercard’s new Learning
Academies, opened in 2020, arechanging how we train and develop
our employees. The Academies
support our corporate businessstrategy and priorities, and offer
programs aligned to regional priorities.
This provides a consistent experienceand global access to our learning
ecosystem, regardless of which area
an individual works in. We have a richportfolio that includes everything fromskill-refreshing courses to college andgraduate degree credit.
We have updated our careerframeworks, creating a new
hybrid role by bringing together
our product and engineering teams.
This new career path complements
our existing operations and technology
path, designed to ensure thatsoftware developers have a definedcareer-advancement path.

Our top leadership development
programs in 2020 reached 11% of theworkforce, including 100% of newgraduate hires and 35% of global
people managers. In response to
the pandemic, we created our firstever virtual programs by digitizing
content. In another first, hundredsof program alumni participated in aseries of virtual events to reconnect
with peers, review key concepts anddiscuss leadership topics. We also
provided our people managers withextra training to help them manage
their employees during the pandemic.

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DIVERSITY AND FUTURE
TALENT PROGRAMS

04

NEW PROGRAMS

05
ESG

Our People and Culture

We supplement our employees’
talent and expertise with mentorshipprograms that give mentees tools
and resources to help build andenhance their skills, inspire personal
growth, overcome dilemmas, foster
inclusion and support well-being.
We also use community engagement
through various pro bono programs tobuild and enhance employees’ skills sothey can contribute to social impact
and, in turn, become well-rounded,purpose-driven leaders.
We advanced our efforts tomaintain a fair and equal workplace forall employees by increasing leadership
opportunities in our company for
women and underrepresented
employees. Nearly 20% of ourwomen employees around theglobe participated in opportunities
explicitly designed to develop ourdiverse employee populations throughmentorship, pro bono work and otherprograms focusing on social impact.
This training also helps emerging
leaders find their voice as they
continue to advance their career path.

Women’s Mentoring Series
Woman VPs, SVPs and EVPs act
as mentors in this 12-month global
program for women at the senior
analyst and manager levels. It is
designed to grow and retain our
foundational bench of female
talent deep in the organization. The
program began in March 2020 witha focus on career-building. Curated
content was shared monthly withthe mentors and mentees, followedby questions and discussion to help
direct the conversation.

Board Buddies
Mentors who have served on corporate
and nonprofit boards are matchedwith rising leaders who are justbeginning their nonprofit board
service, in a one-year program forsenior women and Black leaders.
Mentors, known as “Board Buddies,”
prepare mentees for board service,equipping them with tools andresources so they are ready to serve.
This informal peer support grouphelps our leaders who are engaged in
nonprofit board service to navigate thenonprofit board journey.

Boards for Impact
This program helps connect talented
Black leaders from Mastercard with
nonprofit organizations in need ofstrong, diverse talent while also
increasing Mastercard’s community
engagement. Serving on boards forthese nonprofits helps our people
develop key skills to become wellrounded, purpose-driven leaders.
Mastercard employees serve on anumber of boards, ranging fromthe arts to legal assistance.

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Culture

INCLUSIONAND DIVERSITY

The Mastercard Way sets thestandard for the health and well-beingof our culture of decency.

CY

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Relentless focus
on our customers
RI
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ESG

Our People and Culture

THE MASTERCARD WAY

TH OU

It fosters a shared set of values andbehaviors across the company and isdesigned around the idea that being
inclusive and a force for good — in
the workplace and beyond — unlocks
potential for ourselves, our communities
and our business. Mastercard’s
approximately 21,000 global employees
share a sense of urgency and ownership,balanced by thoughtful risk-taking, todrive a relentless focus on our customers
as the heart of The Mastercard Way.
In 2020, adherence to it was added tothe performance review process forall employees.
We introduced The Mastercard Way
Index in our 2020 Employee Experiencesurvey in order to understand employees’
perception of how behaviors aredemonstrated from day to day.
Survey scores were up from 2019 for
23 of 24 questions. Overall employee
engagement favorability increased to85%, up two points from 2019.
Career development questions
increased four points to an overallfavorability of 80%, while 93% of
employees in 2020 said they were
proud to work for Mastercard.

Mastercard believes that treating
everyone fairly and equallystrengthens our company. We
have committed to creating a global
workforce, including our management
and leadership teams, that mirrors
the wider world. We seek diversity ofthought, background, experience andability. Inclusion is integrated into every
facet of the employee life cycle. We eventeach it as a leadership skill.
Nine Business Resource Groups(BRGs) provide channels through which
employees can develop programs andinitiatives and increase awareness about
inclusion and diversity. Approximately athird of our workforce belongs to these
employee affinity groups, which help
innovation flourish within our company.
Each of the 100-plus global chapters is
open to all employees.

01

BRGsLive
For this initiative, our nine employee
affinity groups created virtual hangouts
to keep people connected during thequarantine. From volunteer opportunities
to live dance parties complete with a DJ,
there was something for everyone. These
hangouts continue to foster community
and a sense of belonging among our
employees, whether they are back in
the office or still working remotely.
Read more about inclusion anddiversity at Mastercard on our site.

Underpinning all of this is our culture of decency.
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AGILITY

Project Possible
We activated employees across thecompany to help support customers
and cardholders through the pandemiccrisis with an initiative called ProjectPossible. Volunteers had the opportunity
to stretch their skills and development byworking on high-priority projects within
the company, including e-commerceand digital optimization, contactless
payments, and government engagement.
One project helped to raise and disburse
COVID-relief funds donated via the
Mastercard Donate ecosystem, while
another developed automated data andanalytics on the impact of COVID-19 on
contactless payments.

Total Giving

COMMUNITYENGAGEMENT
Mastercard employees want toenrich the communities where they
live and work, and in 2020 nearly 92%
said we encouraged their efforts to
do so. We help by supporting theircharitable donations with matching
gifts of up to $15,000 per employee
annually, and their volunteerism, suchas mentoring underserved students.
Full-time employees are allowed up
to five paid days per year for eligible
volunteer work. Additionally, employees
who volunteer at least 40 hours per
year with a single organization may
apply for up to $2,000 in grants for it.

Our people havevolunteered morethan 300,000 hours
since 2015. In 2020,
more than 29% of
our people supported
more than 5,100
organizations —with monetary gifts,
which Mastercard
matched, or throughnearly 55,000
volunteer hours.

Employeephilanthropy$4,568,000

Retireephilanthropy$562,000Board ofDirectors
philanthropy$98,000

Volunteer
Incentive
Program$155,000

Political Action
Committee(PAC) match*$250,00005
ESG

Our People and Culture

Innovation is an everyday part ofMastercard culture, which encourages
our employees to act quickly, think
differently and innovate faster thanever. During COVID, our innovation teams
conducted customer interviews virtually.
They found ways to assess current
uses accurately and determine futureneeds for our products, overcoming
issues created by customers struggling
with technology, space, noise and otherdifficulties because of the lockdown.

04$5,633,000* Employees who make PAC contributions areallowed to direct Mastercard corporate funding(noncharitable) to the charities of their choosing.
32

01
02

Girls4Tech™
Our STEM-based Girls4Tech™ hit
an important milestone in 2020, having
reached 1 million 8- to 16-year-old
girls since launching in 2014. That
prompted us to commit to engaging
5 million girls by 2025. The program
grew from 31 to 35 countries andadded about 660 new mentors,
for a total to date of nearly 5,300
Mastercard employees participating.
We digitized the curriculum toredress educational gaps early in the
pandemic. We’ve also expanded theofferings, creating program extensions
including “Girls4Tech™ & Code,” a20-week coding and mentoring
program, and “Girls4Tech™ Cyber & AI,”a deeper dive in these hot skill areas.
The ultimate Girls4Tech™ goal is to
showcase that it takes all kinds of skills
to pursue a STEM career and to create
the leaders of tomorrow.

Our STEM-based Girls4Tech™ hit an importantmilestone in 2020, having reached 1 million
8- to 16-year-old girls since launching in 2014.
Pro bono
Various pro bono initiatives help
Mastercard employees to be a force
for good. In 2020, we expanded these
initiatives to include ones specifically
aimed at social justice and social
impacts. As part of our In Solidarity
commitments, we added programs
aimed at racial justice as well. Those
included a virtual pilot program for
Mastercard employees to share theirtime and expertise supporting Blackled nonprofits focused on racial justiceand equality.

In addition, more than 530
members of our latest launch class of
new-graduate hires joined “Launch forSocial Impact,” participating in threemonth assignments with nonprofits
around the globe.

03
04
05
ESG

Our People and Culture

Mastercard Impact Corps
The Mastercard Impact Corps,
which launched in 2019, aims tohave an enduring impact on thecommunities where we live and do
business. Mastercard people regularly
donate their time to individual andteam-based volunteering, pro bonoplacements, and STEM mentoring.
The Impact Corps helps employees use
their skills for social good by providing
a framework for delivering meaningfulcommunity impact at scale.

STEM internshipThis two-week program in Gurugram,India, teaches underprivileged students
in 8th through 10th grades about
Mastercard, Payments 101, soft skills
and project work. Nearly 100 students
have gone through the internship since
it began in 2015.

33

01

Employee benefits,
well-being and rewards

02
03
04
05
ESG

Our workspaces are designed to besafe, secure, and free of harassment
and discrimination for everyone.
Caring for our people’s well-being
in 2020 necessitated fortifying
their physical health and safety andprotecting their mental health while
they worked remotely. It meant paying
particular attention to their feedback
about areas where they needed
extra support. We listened, and areincorporating those needs into ourwell-being and safety strategies. We
took several steps to demonstrate
our willingness to help in ways big andsmall. There were no pandemic-related
layoffs in 2020. We implemented a
flexible COVID leave policy.

We also implemented protective
measures so employees would feelsafe when they returned to the office.
Our priority was the individual safetyof our employees, which compels us tobase all decisions on data, science andgovernment guidelines. We indicatedto employees in May 2020 that “we’re
ready when you’re ready,” meaningthat we want them to be comfortable
when they return to the workplace. We
made modifications to enhance safety,
including temperature scans, enhanced
air filtration systems and a reduction
in capacity. Survey feedback shows our
employees do feel safe in the office withthe precautions we have instituted.

Our People and Culture

Mastercard considers our employees’
health and well-being to be paramount,especially in a time of global crisis.
Informed by employee feedback,
we introduced a phased reopening
plan in 2021 with added flexibility andopportunities to meet in person andcollaborate with one another. For the
majority of our workforce, this will
mean splitting time between working
in the office and working remotely.
Given that some sites may be readywhile others are not, each location will
determine its specific return-to-officeschedule while maintaining the globallyconsistent return-to-work framework.
Though our plans will continue to
evolve, we will ensure that employees
always feel safe and supported
while maintaining health andsafety protocols.

34

COMPENSATION

01

BENEFITS
color earn $1.00 for every $1.00 white
employees earn, as of September
2020. The median pay for people ofcolor as of Sept. 30, 2020, is 92.4%of the median for whites in the
United States. While these overall
numbers are promising, we arelooking deeper into each segment
within people of color to identify
opportunities in our senior talentpipeline to further narrow the gap.

Closing the pay gap
We are moving toward pay equity
across all measures. Based on our
most recent annual pay equity
analysis, women employees earn
equal pay for equal work — $1.00 for
every $1.00 men employees earn.
Globally, the median pay for women
as of Sept. 30, 2020, is 92.4% of
the median for men. In the UnitedStates, Mastercard employees of

RETIREMENT
Our new Investing in You program
reflects Mastercard’s commitment
to our people and their futuresby enhancing their readiness for
retirement. All employees globally havethe opportunity to receive a matching
contribution of $1.67 for every $1
contributed on the first 6% of basepay. The end result: When employees
contribute 6%, we match theircontributions with an additional 10%.

Our holistic benefits mean Mastercard
employees — and their families — canaccess appropriate support when
and where they need it. In 2020, weinvested in new policies, programs andtools to enhance everyone’s work-life
experience. Our global New Parent
Leave benefit supports adoption andchildbirth for all employees who become
parents by adoption or childbirth in all
geographies — regardless of gender,
sexual orientation or caregiver status.
It provides a global standard of
16 weeks of 100% paid leave andmaintains 100% of bonus eligibility
during this time. We also beganproviding financial support for adoption,
surrogacy or fertility treatments toemployees globally, if not covered byan employee’s medical insurance.

03
04

Physical• 1:1 virtual health coaching• Global fitness challenges• 100% coverage of COVID-19 testing costs• Free telehealth consultations for U.S.
employees
Mental• Introduced open enrollment for mental
health insurance• Launched series of mental health webinars
for people managers• Introduced mental and holistic healthplatforms with associated apps05
ESG

Our People and Culture

Mastercard’s compensation
philosophy sets employees up forlong-term financial success. We offer
competitive pay and stock-based
performance incentives. Pay packages
throughout the company are alignedwith our stockholders’ interests toensure solid performance now and in
the future. We continue to proactively
assess our compensation practices
against a variety of factors, including
living-wage levels for the locations inwhich we operate.

02

Professional• Curated, self-directed learningand development• Virtual mentoring
Societal• Added Juneteenth to holiday calendar• Launched pro bono programs for social
justice and social impact
Financial• Free financial planning assistance• Immediate vesting for company match
Social• Live and virtual social events• BRG socials• Global Kids Club
35

04

01
02
03
04

ENVIRONMENTAL
STEWARDSHIP

05
ESG

Mastercard is mobilizing against climatechange directly through our business,
as well as by committing to net-zeroemissions by 2050 and supporting our
suppliers’ decarbonization efforts.
We’re developing innovations that regenerate natural
resources and reduce carbon footprints. And we’re leveraging
our network effect — giving consumers tools to measure theirown footprints and make donations to Priceless Planet.
36Operational footprint

In support of this commitment,
we tied our executive compensation
to ESG goals in 2021, including carbon
neutrality, or the 100% offset of ouroperational CO2 emissions. Specificallyfor our supply chain emissions, wework closely with our suppliers — withthe aim of helping them reduce theiremissions as well.
These targets reflect our longterm commitment to monitor andimplement best practices to reduce
emissions throughout the company,
drive operational energy efficiency
and further engage suppliers invalue chain decarbonization. In the
future, Mastercard also will review
opportunities to invest in carbon
removal projects, including naturebased solutions and technologies andservices that reduce carbon impact
while supporting broader economic
and social development goals.

2 016 –2 02 0
MTCO2 e02

2016

99,214

Scope 1

4,486
5%

03

Scope 2

2017

71,504

04
05

6,587
9%
2018

57,687

4,828
8%

2019

56,898

4,758
8%

2020

55,7593,221
6%2025 TARGET

94,72895%

64,91752,85991%

52,141

92%

52,538

92%

94%

ESG

SCOPE 3 EMISSIONS
2 016 –2 02 0
MTCO2 e2016849,277
Scope 320172025 TARGETOur net-zero goal for 2050 builds
upon existing science-based GHG
reduction commitments alignedwith the United Nations Business
Ambition for 1.5°C pledge. We were
the first in the payments industry togain Science Based Targets initiative(SBTi) approval for our GHG goals in
2018. In 2020, we updated our GHG
goals to align with a 1.5-degree Celsius
climate trajectory. We are working
toward these SBTi-approved goals to
reduce total Scope 1 and 2 emissions
by 38% and Scope 3 emissions by
20% by 2025 from a 2016 baseline,
and to maintain or increase thoselevels of reduction until 2025, at which
point we will set new SBTi goals witha new baseline year. After we havedecarbonized as much of our emissions
as possible, we will utilize carbon
removals to bring our operationalemissions to net zero.

01

Environmental Stewardship

Mastercard’s global action plancalls for continuing the reduction ofgreenhouse gas (GHG) emissions in
our operations and bolstering efforts
to decarbonize our supply chain.

SCOPE 1 AND 2 EMISSIONS

490,7062018

495,9622019

503,0122020

366,143

37

01
02
03
04
05
ESG

Environmental Stewardship

OPERATIONS
Mastercard operates 175 facilities
around the world, and we’recommitted to ensuring that all ofthem are run in an environmentally
responsible manner, including thosethat are leased. All Mastercard-owned
properties in the U.S. are fitted withsolar panels, and all owned properties
in the world are LEED-certified.
When securing new leases,
Mastercard prioritizes locations withgreen certifications, and includes
requirements for renewable energy
and other sustainability measuresin all lease renewals. We have
implemented the U.S. Environmental
Protection Agency’s new ENERGYSTAR Tenant Space program aspart of our commitment to green
buildings. In 2020, our San Francisco

and Miami offices were among thefirst to be certified by the EPA, andthe first in their respective cities. We
also certified our space in Chicago.
In 2020, Mastercard became thefirst technology company to receive
the Green Lease Leaders Gold-level
recognition.

Nearly 90% of our global workspacemeets regional or international green
certification standards.

Data centers
Two-thirds of our owned data centers
have on-site renewable energy, in
keeping with our 100% renewableenergy commitment. Continual
upgrades and new energy-saving
projects help us meet or exceed ourtargets in all our owned spaces. We
monitor power-use effectivenesslevels for our operated data centers,
and in 2020 we began monitoring andgathering data at our co-locations —facilities where Mastercard rents
space for services and other computing
hardware but does not manage
the operations.
38

01

RENEWABLE ENERGY
We are committed, whereappropriate, to investing in new
renewable energy projects that bringmore power to the grids on which we
operate. For example, Mastercard
has entered into long-term renewableenergy arrangements in key countries
that will contribute to our global netzero ambitions, and where possible will
provide ancillary co-benefits, such as
the creation of pollinator habitats.

While we also use unbundled
renewable energy credits as part ofour approach, we are focused on
reducing our use of these typesof credits over time. Mastercard
purchases Renewable Energy Credits(RECs) through verified sources toensure that the RECs we buy are thehighest-quality credits available.

We also purchase, whenappropriate, renewable energy inthe countries in which we operate inaccordance with RE100 guidelines inan effort to place renewable energy
on the grids on which we operate.

8,066
8.3%

86,162
88.5%

3,146
3.2%

03
04
05
ESG

Environmental Stewardship

We continued to use 100%
renewable electricity across ourglobal operations in 2020, which
will support our efforts to achieve
net zero by 2050. Mastercard joined
RE100, the global corporate renewableenergy initiative, to reinforce andformalize our commitment to using
100% renewable energy.

02

RENEWABLE LOAD BREAKDOWN
2 02 0
MWH
Renewable energy credits
On-site renewables
Direct renewable procurement

39

01
02

SUPPLIERENGAGEMENT
Our proprietary Environmental
Development Initiative offers resource
materials, best practices and direct
dialogue between our Environmental
Sustainability Team and supply-chain
partners, with the goal of helping big
and small companies improve theirenvironmental sustainability.
Carbon accounting
Mastercard asked our capitalprojects provider to collaborate witha sustainability consultant in 2020
to better understand the carbon
impacts of our global real estate
projects. The consultant analyzed
the embedded carbon in hundreds ofprocured materials. The findings will be
used to strengthen the sustainability
requirements of our procurement
standards and reduce our supply-chain
emissions. These collaborative efforts
will grow in number and scope as wemove toward our net-zero goal.

Mastercard has received an “A” rating for
Supplier Engagement from CDP since 2018.

83%

of our global procurement
spend invited to report to
the CDP

58% responded
51%

have approved
science-based targets*

84%

reported Scope 1
and 2 emissions*46%

reported Scope 3
emissions*40%

allocated emissions
to Mastercard*

22%

identified opportunities
to collaborate*

04
05
ESG

Environmental Stewardship

Taking an innovative andcollaborative approach to suppliersustainability has made Mastercard
a leader in the field, as demonstrated
by the “A” rating for Supplier
Engagement we’ve maintainedsince 2018 from CDP. On averagefor the past few years, the emissions
associated with our supply chain
have amounted to more than 70% of
our total carbon footprint. As such,continued support for setting andachieving GHG goals is being provided
to suppliers.
We’re supporting them in several
ways. Sustainability requirements are
now included in the onboarding process
for suppliers, as well as in all proposal
requests and supplier contracts. We
have committed to engaging directlywith specific suppliers who account forthe majority of our supply-chain GHG
emissions — in 2020, we identified andinvited suppliers who collectively were
contributing 86% of our supply-chain
GHG emissions to report to the CDP.

2020 KPIs

03* Percentage of those responded.

40

01
02
03

EMPLOYEEENGAGEMENT

05
ESG

Our work in other areas was more
successful in 2020. We continued torecycle 100% of our electronic waste.
Eight sites across North America
held personal protective equipment(PPE) recycling drives via TerraCycle
to mitigate waste from singleuse masks and gloves. More than
56,000 pounds of used furniture was
donated or recycled to schools andnonprofit organizations.

Environmental Stewardship

Mastercard’s commitment toeliminating damaging plastic waste
and reducing our employee carbon
footprint in the workplace remains
strong, despite significant challenges
brought on by the pandemic.
We held several events to engage our
employees, including a virtual EarthWeek in April 2020, with daily activities
tailored to address COVID challenges.
In 2020, before the pandemic,
we set our waste-diversion goal at
85% across our owned sites, with an
eventual goal of zero waste in ourowned facilities in the U.S. Although
office waste dropped markedly during
the lockdown, we were forced to return
to single-use plastics for the health andsafety of our workforce. As a result,
we fell short of our goal, with only
73% of global waste in owned facilities
diverted from landfills.

04

Work-from-home emissions
During the pandemic, employees
were not commuting, nor were
they traveling for business, thereby
reducing Scope 3 emissions. While
Mastercard does quantify emissions
from commuting, we have notyet quantified work-from-homeemissions. We are developing an
estimation methodology, but we do
not anticipate modifying our 2025
SBTi-approved goals as a result.

41

01

Environmentallyconscious solutions

02
03

Informing consumers about theirpersonal impact on the environment

Encouraging consumers to makemindful spending choices

Environmental Stewardship

Mastercard selected the global
environmental organizations
Conservation International and World
Resources Institute as our forestry
partners to lead the mobilization andcoordination of tree-planting efforts.
With the help of these organizations,and supported by an independent
advisory council, all restoration efforts
under the Priceless Planet Coalition
will adopt and adhere to rigorous
science-based best practices for
project selection, implementationand monitoring. Our first projectcommitments are to restore
landscapes in Kenya, Brazil andAustralia, with restoration activity
taking place throughout 2021.

05
ESG

We are activating our technology,
expertise, global partners and networkof nearly 3 billion consumer andcorporate cardholders to take collective
action to preserve the environment.
We have embedded sustainability
into the fabric of our business, and it
is reflected in various products andservices we now offer globally.
In January 2020, we formed thePriceless Planet Coalition, with thecommitment to regrow 100 million
trees in Earth’s most vulnerable forests
to maximize carbon capture for climate
benefit, restore wildlife habitat, andprovide financial opportunities for local
communities and indigenous people.
Membership had expanded to 40
companies by the end of 2020. As of
May 2021, we are proud to say thatour partner total is now nearly 60.

04

Equipping consumers withenvironmentally friendly card
materials

Empowering consumers tocontribute to nature-based
solutions

42

01
02
03
04
05
ESG

ENCOURAGING AND EMPOWERING CONSUMERSEQUIPPING CONSUMERS

We’re leveraging our partnerships
and global infrastructure investments
to make environmental impact
education accessible to more people
worldwide. Mastercard’s own studies,and those of independent researchers,
have found that consumers are
increasingly concerned about theirindividual environmental impact but
may not know how to measure it.
Nearly 70% of consumers we surveyed
in 2020 said it’s important to preserve
the earth’s resources. They also want tounderstand how their behavior affects
the planet.
To help inform consumers of theirenvironmental impact, we introduced
a carbon calculator, powered by theDoconomy Åland Index, that integrates
seamlessly with the Mastercard
network. It allows us to calculate thecarbon footprint of any purchase madeusing a Mastercard-branded card. Ouradvanced application programming
interface (API) relays this information
to the issuer, who in turn shares itwith consumers.

Mastercard provides consumers
with tools to take real action to
improve their environmental impact,because our vision doesn’t end witheducation. We’re providing insights
through our products — like maintaining
a diet consisting of more plant-based
foods and installing energy-efficienthousehold facilities — that can help
influence and improve consumers’sustainable behavior.

Mastercard launched the Sustainable
Materials Directory in July 2020,encouraging wider adoption ofcertified, eco-friendly materials bycard manufacturers in order to equip
consumers with more sustainably
produced cards. The directory offers
financial institutions resources tolearn more about those alternatives,connects them to card manufacturers,
and ultimately enables them toenhance their sustainability initiatives
with a systemic change to their
supply chains.
In 2020, the number of sustainably
made cards produced grew by morethan 70% over 2019, demonstratinga drive toward global adoption.
Mastercard has approved 42 different
card products to replace first-use
polyvinyl chloride (PVC) plastic,
including recycled, recyclable, biosourced and biodegradable materials.
More than 80 financial institutions
have issued the environmentallyfriendly cards, which are made by
26 vendors so far.

We also enable consumers tocontribute to solutions that benefit ourenvironment, such as linking rewards
programs to the Priceless Planet
Coalition’s work. Cardholders may
direct their reward points to PricelessPlanet, with the value of their points
being directed to our forest restoration
projects using Mastercard’s rewards
platform technology and Give with
Rewards. In addition, issuers andconsumers can use the Mastercard
Donate platform to facilitate donations
toward reforestation.

Over 10 million cards have been produced
for issuance since 2018 with approved
sustainable materials using Mastercard’s
Sustainable Card Materials Directory.

Environmental Stewardship

INFORMING CONSUMERS

43

05

01
02
03
04

ETHICAL ANDRESPONSI B LES TANDARDS

05
ESG

Mastercard’s deep commitment toethical operations and legal complianceshapes every interaction with our
employees, stakeholders and customers.
Our operations are built around decency,
integrity and respect.
44

Ethics andcompliance

In 2020, we updated the Code, adding
language regarding Mastercard’s
commitment to respecting andpromoting human rights and our
Data Responsibility Principles.
We require that our CEO and othersenior officers abide by a Supplemental
Code of Ethics, which we refreshedin 2020, that reflects our heightened
expectations for them to lead byexample, particularly in avoiding
conflicts of interest.

Our Chief Compliance Officer(CCO) leads and oversees our
Ethics and Compliance system,
which encompasses a broad setof integrated programs.
The CCO reports functionally to
the Audit Committee of the Boardof Directors, and administratively to
the Chief Administrative Officer.
The CCO provides updates to the
Audit Committee quarterly or more
frequently, as needed. Reports cover
performance matters such as thestatus of investigations, newinitiatives, training programs andresults of assurance activities.
Every Mastercard employee isenrolled in a mandatory, in-depth
curriculum of online compliancetraining, which includes more thana dozen courses on subjects such as
the Code of Conduct, anti-moneylaundering measures, trade sanctions,privacy compliance, information
security, preventing insider trading, andworkplace conduct, including sexual
harassment and discrimination.
Mastercard participates in the
Risk Clarity survey, conducted by athird party and designed to take thepulse of our ethics and accountability
culture globally. The survey assesses

ETHICS HELPLINE &NON-RETALIATION POLICY
Our Mastercard Ethics Helpline,
hosted by an independent third
party, is a confidential, aroundthe-clock service for reporting
activity suspected of violating thelaw, our Code of Conduct or any
other company policy. We promptly
investigate all concerns throughour relevant internal investigative
functions, and we bring in external
support such as outside counsel as
needed. To increase transparency
regarding our investigative process
and associated outcomes, twice ayear we provide our employees witha Summary of Investigative Activity
that contains investigative metrics andselected anonymized case profiles.
To encourage the use of the Helplineand other avenues for raising ethicaland legal concerns, we have a NonRetaliation Policy. Anyone found inbreach of the Non-Retaliation Policy
will be subject to disciplinary action,
up to and including terminationof employment.

01
02

KNOW YOUR CUSTOMER
We have made innovativeadvancements aimed at preventing
our products, services andtechnologies from being used forlaundering money, financing terrorist
operations or evading economic
sanctions. We comply with applicablelaws and regulations and implementrisk-based anti-money laundering
policies, procedures and controls.
These include Know Your Customer —or KYC — processes, which are applied
to all customers before and during thebusiness relationship. Our risk-based
sanctions-compliance program includes
policies, procedures and controls thatare designed to prevent us from having
business dealings with prohibitedcountries, regions, governments,
individuals and entities.

03
04
05
ESG

Ethical and Responsible Standards

Our approach to
ethical operations
starts with our Codeof Conduct, which isoffered in multiple
languages and iscertified annually by
our employees and ourBoard of Directors.

WORKING TO
ENSURE COMPLIANCE

an organization’s culture of integrityby measuring the attributes thatmost strongly indicate reduced risk of
misconduct. Our employees’ responses
are anonymous, and are benchmarked
against other global companies thatparticipate in the survey. We use theseresults to drive improvements thatreinforce our ethical culture.

45

01
02
03

ANTITRUST AND
COMPETITION LAW

ANTI-CORRUPTION

04
05
ESG

REGULATORYCOMPLIANCE
Mastercard is committed tocomplying with all applicable laws
and regulations. We are subject toan increasingly rigorous landscape of
regulatory oversight and compliance thatis further affected by the diversificationof our products and services.
Mastercard takes reasonable steps
to implement policies, proceduresand programs designed to promotecompliance with applicable laws andregulatory obligations. We coordinate
globally while acting locally, and leverage
our expertise and relationships tomanage the effects of regulation
on Mastercard.

Mastercard is committed toa fully competitive marketplace
and to complying with antitrustand competition laws globally.
We encourage open and dynamic
markets that drive innovation and value
for our company and our customers.
By focusing on creating innovative
products and services, we attract
and retain those customers.
We continue to enhance Mastercard’s
Antitrust and Competition Law
Compliance program through risk
assessments and mitigation strategies.
We emphasize the importance of
this topic by training all employees,
providing simple guidance documents,and ensuring that controls are in place.
The Antitrust and Competition Law
Policy, including translations into
12 languages, is reviewed andupdated annually.

Ethical and Responsible Standards

We comply with anti-corruption
laws around the world, including the
U.S. Foreign Corrupt Practices Act(FCPA) and the U.K. Bribery Act.
As part of our comprehensive anticorruption compliance program, westudy external enforcement actions
and internal business operations,and use what we learn as input into
our risk assessment that guides ourprocedures and the implementationof internal controls. We train all
employees on our anti-corruption
and related policies, procedures
and controls. We have also built amonitoring program that includes thelatest testing technologies, such as
artificial intelligence, to help spot andremediate noncompliance within our
global operations to ensure that ourcontrols are operating effectively.

46

01
02
03

FRANCHISE

The Franchise works to ensure
a balanced ecosystem where allparticipants may benefit and retain
the ability to differentiate against theircompetition. We achieve this throughthe following key activities:
Participant onboarding
Defining ecosystem roles andresponsibilities for each participantand ensuring that they meet thenecessary prerequisites to partake inand contribute to the network.
Operating standards
Defining operational, technical andfinancial standards to which network
participants must adhere. Identifying
changes and emerging roles in theecosystem to achieve efficiency, quality
output and a high level of performance,
while reducing confusion and/or failure
to comply with industry regulations.
Safety and security
Establishing the core principles
essential to network participants,
including safeguarding consumer
protections and integrity so as toincrease confidence in any transactions
on the network.

Responsible stewardship
Setting standards for performanceto support ecosystem growth andoptimization to improve quality
over time. Protecting the ecosystemwith proactive monitoring toensure participant adherence
to operating standards.

05
ESG

Issue resolution
Addressing financial or nonfinancial
disputes in a timely and orderly fashionthat benefits the entire global networkof participants.

In 2021, we extended
existing Specialty
Merchant Registration
requirements.

We also work with law enforcement
and nongovernmental organizations byinvestigating referrals for illegal activity
and actively participating in various
forums, including:

The banks that connect merchants to our
network will need to certify that the seller ofadult content has effective controls in place tomonitor, block and, where necessary, take down
all illegal content.

Ethical and Responsible Standards

Mastercard’s Franchise enables
value exchanges between parties
through a collaborative and secure
payments ecosystem. Our corecommitment is to enable consumers
and businesses to access theirfinancial assets and engage incommerce, expanding their liberty,
connectivity and individual agency.
While we respect the rights ofindividuals to transact privately
with others, such transactions mustbe lawful. Our Franchise requires
anticipating threats and combating
fraud. We hold all stakeholders in our
network to high standards. We requirethat our stakeholders avoid engaging
in or facilitating any activity that isillegal or that damages the goodwill,
reputation or integrity of Mastercard
and, if such activity is detected, wework with our partners to take action.
Stakeholders may also raise andreport grievances to the Franchisefunction, and the team will investigate
and take appropriate action.

04• Child Exploitation: Internet Watch
Foundation (IWF) and the Nationaland International Centers for
Missing and Exploited Children(NCMEC)• Intellectual Property: International
Anti-Counterfeiting Coalition (IACC)• Pharmaceuticals: Center for Safe
Internet Pharmacies (CSIP)

47

01

Privacy anddata protection

02
03
04
05

An
o

ation’s data p
z
i
ra
an
c
g
r
01

es
tic

Accountability

YO U OW N I T

02YO U CO N T RO L I T

Innovation

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de

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Transparency & Control

The following data responsibility
principles guide how data can beleveraged in a responsible andsecure way to drive innovation
while protecting individuals. Central
to our data innovation strategy
is the continued advancement ofy t h e ri g ht

dua
iv i

e

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nd

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04
W E P ROT EC T I T

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03
YO U B E N E F I T F RO M
THE USE OF IT

m us

Mastercard’s dedication to decency
extends to how we handle data.
We believe that privacy and dataprotection are fundamental humanrights, and this belief informs all ofour business decisions, including how
we handle the personal informationof our employees, customers andcardholders. Our long-standing
commitment to privacy, data
responsibility and security has
established Mastercard as atrusted partner.
With the global pandemic, life has
become increasingly digital, with thepotential for more health-related
information collected and shared. As
the amount and types of generated
data increase, so too does thecomplexity of ensuring that personal
information is handled responsibly
and securely.
Our responsible data practices
prioritize privacy as a key innovation
enabler. At Mastercard, developing
competitive products and services
goes hand-in-hand with earningand cultivating the trust that’s
been placed in us.

Ethical and Responsible Standards

OUR PRIVACY COMMITMENT

ESG

Integrity

Security & Privacy

f
so

i

Social Impact

our Artificial Intelligence (AI)capabilities. We have established an AI
Governance framework to ensurethat the impact from our use of AI
continues to be beneficial and alignedwith our data responsibility principles.

48

2. You control it
We believe that individuals havethe right to understand andcontrol how their data is handled.
Anyone — at any time and at no
cost — can opt out of having theirpersonal information used formarketing, data analytics and otherprograms using our simple online
system. We strive to use personal
information only in a legitimate, fairand inclusive manner, with full respectfor each person’s choices.
Furthermore, individuals have theright to access, correct, modify ormove their personal information via
our online portal, which is currently
available for all users located in
Brazil, the European Union, andthe United States, and will soon
be accessible worldwide.

3. You benefit from the use of it
We believe that an individual’s
personal information should be used
to make their life easier and richer.
We are committed to responsible
data-driven innovation, both within
our organization and as a significant
player in the data ecosystem. For
instance, Mastercard has developed
a suite of Open Banking Solutions to
add value to our business partners andallow people to benefit from innovative
payment services, while keeping
individuals at the center of all we do.
We regularly work with policymakers
and industry bodies across the globe
to enact strong privacy protections
for individuals, while still enabling
businesses to operate globally and use
data for responsible innovation.
4. We protect it
We believe that privacy must be
embedded in the design of every
one of our products and solutions.
We innovate by placing the individual
at the center, protecting andrespecting their privacy and personal
information along the way. This is
cutting-edge product innovation thatstarts in the design process at ideationand moves through development anddelivery. We limit the data that wecollect to what’s needed to get the job
done, and we look for ways to encrypt
or de-identify personal information
while making sure each product is still
convenient and easy to use.

Privacy by Design also means weare working to protect and respecthuman rights and freedoms moregenerally. For instance, we monitor andseek to correct for bias, discriminationand other potential risks or harms toindividuals or groups, and we promotefairness, inclusion and diversity acrossour data practices.
As an example of Privacy by Design,
our Mastercard: The Shift to Digitalleveraged aggregated and anonymized
data to create actionable insights
in response to the pandemic. These
insights helped governments andbusinesses to navigate the shift todigital payments, minimize the impactof the pandemic, and plan for economic
recovery, while fully protecting people’s
privacy and personal information.
As another example, Mastercard
announced the new Enhanced
Contactless (Ecos) specifications inJanuary 2021, applying the latest
quantum-resistant technologies todeveloping the next generation ofcontactless payments. Ecos leverages
new technology to deliver enhanced
privacy, security and trust when
account information is shared between
the card or digital wallet and thecheckout terminal.

02
03
04
05
ESG

Ethical and Responsible Standards

1. You own it
We believe your personal
information is just that — personal.
Individuals own their personal
information, and have a right tounderstand how, when and where it
is used and shared. We explain clearly
how we handle personal informationin our Global Privacy Notice, which iscomplemented by specific notices forcertain products and activities.

0149

ACCOUNTABILITY

02

DATA GOVERNANCE
Data Intermediaries, the EU Agency
for Cybersecurity (ENISA) AI Expert
Group, the EU Commission Expert
Group on Business-to-Government
Data Sharing, the Singapore Data
Protection Advisory Committee, andthe IEEE Steering Committee on AI
Risk Impact Assessments.

GLOBAL DATARESPONSIBILITY
IMPERATIVE
Mastercard’s Global Data
Responsibility Imperative is a
public commitment to ethicaland responsible data practices
that enable data innovation whilehonoring individuals, their data
rights and the trust they placein Mastercard.
The Imperative’s six principles
are designed to enable us andother like-minded organizations to
optimally navigate the challenges
and opportunities of the digital
economy, so it works for everyone,
everywhere. These principles aremeant to complement — and not be a
substitute for — regulatory compliance.
This underscores Mastercard’s belief
that responsible data practices are
sustainable business practices.

03

The Board of Directors, including the Audit
Committee, and senior management are
updated annually, or more frequently as
needed, by several of Mastercard’s senior
executives who are responsible for driving ourcompanywide commitment to best practices
in privacy, data governance and data security.
Chief Data Officer
Oversees Mastercard’s efforts
to maintain a responsible, ethicalenterprise data program that adheresto our high standards for data quality,
curation and governance.
Chief Privacy Officer
Leads our compliance with worldwide
laws and regulations regarding how
we collect, use, share, store andtransfer data, and manages our
relevant engagements withregulators and policymakers.

04
05
ESG

Ethical and Responsible Standards

We believe an individual’s data must
be kept secure and used responsibly.
We employ rigorous standards toensure the protection, safety andsecurity of data within Mastercard andwith all our partners and vendors.
Mastercard complies with all
regional and local regulations,
including the General Data Protection
Regulation (GDPR) in the European
Union, the Lei Geral de Proteção
de Dados (LGPD) in Brazil and theCalifornia Consumer Privacy Act(CCPA). In particular, we’ve embraced
the GDPR as an opportunity toenhance our global data practices byextending its high consumer protection
standards to all users.
Twice a year, Mastercard’s security,
privacy and information practices arereviewed by United States financial
regulators for compliance with therequirements of U.S. financial privacy
laws. Mastercard is also one of the very
few companies that have implemented
Binding Corporate Rules in Europe andachieved APEC Cross-Border Privacy
Rules certifications.
In addition, we actively participate
in privacy and data thought-leadershipgroups and regulatory expert groups
around the globe, including theOECD’s privacy expert group andits Network of Experts on AI, theWorld Economic Forum Taskforce on

01

Data Protection Officer
Leads our Global Privacy Compliance
Assurance program to ensure that
Mastercard continues to adhere
to global General Data Protection
Regulation (GDPR) standards and local
privacy requirements. Additionally,
the Data Protection Officer oversees
the protection of personal data andthe handling of privacy requests fromindividuals to exercise their rights.
Chief Security Officer
Develops and oversees the
programs, policies and controls wehave implemented to reduce andprevent logical and physical risks toour people, intellectual assets andtangible property.

50Safety and security

01
02
03

As societies digitize at an accelerated pace,cyberattacks have become increasingly
prevalent. As a result, cybersecurity has becomea prerequisite for trust in our economies, fuelingthe need for security programs and solutions.

05
ESG

T
IDEN I FY

SECURING OURECOSYSTEM

Ethical and Responsible Standards

PREVENT

04

In the digital world, each digitalconnection and interaction is anotherpoint of vulnerability, an opportunity
for criminals, a potential fraud incident.
In such a boundless digital environment,
we are taking steps to secure against
cyberattacks and build trust with ourcustomers and consumers. Our worldclass portfolio of global cyber capabilities
adopts a multi-layered approach designed
to make transactions and interactions
more convenient, more seamless, andmore secure every step of the way.
EX

PERIENCE

DETECT

51

EXAMPLES OF KEY SOLUTIONS

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NuDetect
NuDetect improves authorization
decisions by mitigating fraud before
a purchase is processed. It leverages
passive biometrics and behavioral
analysis to distinguish authentic
users from potential fraudsters,
based on their online, mobile app andsmartphone interactions. Every year,
NuDetect monitors hundreds of billionsof data points worldwide.
Tokenization
Our tokenization platform, Mastercard
Digital Enablement Services (MDES),
reduces fraud by creating dynamic,
unique card numbers, or tokens, thatcan be used for mobile point-of-saletransactions or purchases made in-app
or online. Mastercard has continued toscale MDES and MDES for Merchants.
In 2020, we processed over 7 billion
transactions through MDES, six times
more than in 2018.

Identify:
Services used to identify genuine
consumers, devices and companies.
Identity Check
Mastercard Identity Check reinvents
online payment authentication andprovides consumers with an optimaluser experience when shoppingon any connected device. Nextgeneration authentication helps
reduce fraud, false declines andunnecessary friction — meeting theneed for simple and secure payments.
Our network facilitates rich dataexchange and authenticates billionsof secure transactions every year.
Digital Identity
Our Digital Identity solution enables
consumers to prove their identity
easily and securely while maintaining
control of what personal data
elements are shared. Our solution
is based on a consumer-centric
framework that provides guiding
principles, promotes trust andunderstanding, and restores controlof personal data to the individual.

Detect:Solutions that aim to stop
cyberattacks, reduce fraud anddetect weaknesses.
Safety Net
Safety Net, an AI-powered global
catastrophic cyberattack detection
solution, monitors transactions
continuously, screening hundredsof millions of transactions daily. By
instantly isolating systemic threats
and blocking fraudulent transactions,
Safety Net limits the financial andreputational damage of large-scalefraud. It stopped more than $10 billion
in cyberattacks in 2020.
Decision Intelligence
Decision Intelligence uses AI and
Mastercard’s global transaction data
to enable smart transaction approvalin real time. The platform distills
thousands of data points, such asaccount spending, device informationand fraud profiles, into a single
decision score that helps issuers finetune their authorization decisions. It
detected fraudulent transactions ofapproximately $3 billion in 2020.

Experience:
Services enhancing physical and digital
experiences to grow commerce.
Contactless
The contactless technology provides
the simplicity of a “tap and go”
experience, along with a platform forsafe digital payments on smartphones
and other enabled devices. In response
to COVID-19, we introduced higher
contactless no-PIN limits globally tosupport the increased use. We saw
strong acceleration of contactlesstransactions in 2020, as more than
80 markets grew contactlesspenetration by at least 10%
year-over-year, driven by consumer
demand for increased speed, safety
and cleanliness at checkout.

ESG

Ethical and Responsible Standards

Prevent:
Solutions and services to prevent
fraud and secure infrastructure,devices and data.

Rapid dispute resolution
Mastercard’s Ethoca identifies
problems before they enter the
chargeback process. With nearly 14,000
participating merchants and banks,
Ethoca runs one of the largest global
collaboration networks in the world,
helping businesses fight fraud, prevent
disputes and improve the consumer
experience. In 2020, Ethoca prevented
over 9.5 million chargebacks.
52

01

SECURING MASTERCARD

These efforts include:• Innovating with governments tosecure our ecosystem.
• Innovating with commercial partners,
including developing cutting-edge,
low-cost biometric cards.
• Shaping society’s thinking on cuttingedge topics with programs on AI,
cyber, and digital identity.
• Shaping industry thinking throughprograms such as the Virtual Cyber
and Risk Summit.
• Partnering to organize cybereducation through collaborations
such as the Oxford Cyber Futures
online program.

As members of the broader global
community, we are working toharmonize and unify security
standards in the digital economy.
• We promote cross-borderconnectivity and data flows
through our work with the Global
Data Alliance.
• We drive alignment on industryleading best practices andstandards around current andemerging technologies such as
EMV, Contactless, Ecos, IoT,
Digital ID, and AI. For example, weannounced our model for digital
identity in 2019, and at the heart ofthis model are our 10 Principles ofDigital Identity, which focus on data
rights, ownership, confidentiality,
consent, and other factors.
• We work with the CyberPeace
Institute and Better Identity
Coalition to establish globally
accepted cybersecurity practices.
• We seek out opportunities to workin close concert with the G-7, D-10,
G-20 and NIST.

Mastercard’s core security programs
protect our systems and reducerisk with a range of tools, including
an enterprisewide vulnerability
management program and specialized
infrastructure that strengthens ourphysical and virtual systems. We are
actively identifying, responding to, andmanaging threats, both cyber andphysical, reducing risk and enabling
our business partners to focus on ourability to operate successfully in any
logical environment or physical locality.
Our Security Threat and Response
Management serves three purposes:• Vulnerability Management works
with various lines of business in acollaborative effort to provide acomprehensive, integrated approach
to vulnerability management that will
substantially improve our capability
to define, detect and quickly andefficiently mitigate or remediate
vulnerabilities within our environment.
• Enterprise Resilience reduces
Mastercard’s risk by creating a global
culture of preparedness througheducation, awareness, planning andpractice while fostering partnerships
to work together efficiently whenadversity strikes.

03
04
05

• Security Event Management
protects all Mastercard assets,physical and logical, and ensuresthat business across the globe
can be conducted safely andsecurely. This is achieved througha centralized aggregation point(Fusion Center) where intelligenceis gathered and collated and acoordinated situational response isformulated; through the constantmonitoring of world events andour network (via our Security
Operations Center) to ensure swift
prevention, detection and mitigationof threats to our environment andits people, facilities and events; andthrough advanced techniques forinvestigating and responding to
global threats across Mastercard.

ESG

Ethical and Responsible Standards

In addition to our extensive
cybersecurity solution suite,
Mastercard drives actions, behaviors
and technologies that make ourecosystem more secure as part of a
global response that is coordinatedand collaboration-based.

02• We are co-founders of the Payment
Card Industry Security Standards
Council (PCI Council).
53

01
02

04

The Fusion Center facilitated theannual Threatcasting workshop, whichhelps to identify potential threats forthe next decade, and we collaborated
with internal and external participants
to assess how to disrupt, mitigate andrecover from these predicted threats.
Analysis and response
Our security program is regularly
audited by U.S. and international
agencies, including on-site
assessments. We also host frequentcustomer assessments andpenetration tests, both on-site andremotely. The methodology, andour resulting annual certifications,satisfies multiple industry-recognizedframeworks, including those of:• The U.S. National Institute ofStandards and Technology’s (NIST’s)
Special Publication 800-115:“Technical Guide to Information
Security Testing and Assessment”• Open Web Application Security
Project (OWASP) methodology• Payment Card Industry (PCI)
standards• Penetration Testing Execution
Standard (PTES)• International Organization forStandardization (ISO/IEC 27000)

05
ESG

Ethical and Responsible Standards

Mastercard Fusion Center
The Mastercard Fusion Center leads
and synchronizes Mastercard global
resources to anticipate, identify
and mitigate fraud and cyber andphysical security threats in order toprotect Mastercard and contributeto the financial ecosystem’s security.
Our operations are modeled on
government and law enforcement
centers — business teams fromacross Mastercard and external
partners work together to improve
regular information-sharing andcrisis response.
The integration of multiple teams
into the Fusion Center enables
faster detection and preventionof threat incidents and faster
response time to mitigate incidents
through efficient cross-organization
collaboration. In 2020, we bolstered
the preparedness of our Fusion
Center by adding more business
units and our European Cyber
Resilience Center (ECRC) in Belgium.
The ECRC is a technological hub forcollaboration between membersof the public and private sectors
and regulators to support resilienceand combat cyber threats to thepayments ecosystem in the region.

03

54

FOUNDATIONAL PRINCIPLES

Human rights

Stakeholder engagement
Mastercard’s job includes listening,making connections and developing
solutions that are relevant andsustainable. We welcome the views of
our diverse stakeholders, both internaland external, who help identify thehuman rights issues that are mostsalient to our business and help us
achieve the biggest impacts.

Connecting people to opportunity
Both our business strategy and oursense of social responsibility push us toensure that people and organizations
have access to our networks, tools
and solutions. We do this by fostering
inclusive growth; working towardfinancial inclusion; partnering withother organizations; and working tosupport more socially, commercially andenvironmentally sustainable solutions
across all our work.

Promoting good governance andrespect for individual choice
We believe upholding the highest
standards of ethics and responsibility is
crucial to being successful. We have long
maintained a strong commitment toethics, compliance, transparent financial
reporting and strong internal controls. We
strictly adhere to the rule of law and do
not accept use of our services for illegal
activity by our customers. Our respect
for law creates a reliable standard for
enforcement and maintains a balance
between protecting people’s humanrights and protecting people’s rightsfrom government infringement.

Our approach to data
Mastercard places the individual at theheart of our commitment to data privacy
and protection. We conduct regular impact
assessments of our practices to ensure that
we mitigate any risks to people’s privacy,
security and human rights.
Our network
We partner with others to prevent our
products, services and technologies frombeing used in furtherance of human rights
abuses, including money laundering, terrorist
financing and evasion of sanctions. We also
work with others to monitor, detect andprevent transactions that are illegal, such as
abuse of intellectual property rights, child
exploitation, illegal internet gambling andillicit pharmaceutical sales.

01
02
03
04
05
ESG

Ethical and Responsible Standards

In recognition of how interconnected
the world is and how we contributeto that interconnectivity, we expect
our employees and partners of all
kinds — from suppliers and customers
to peer organizations — to share ourcommitment to respect and promote
human rights. This includes seeking toaddress violations of human rights within
the spheres of our work, while harnessing
the power of our network to promote
human rights around the world.
In 2019, we undertook an assessment
to help identify and prioritize the humanrights most correlated with our business,where we have the greatest leverageand to which we can contribute thegreatest value. The assessment, which
we conducted with the assistance of athird party, incorporated the guidance
provided by the UN Guiding Principles on
Business and Human Rights. The results
informed our Board-approved Human
Rights Statement in April 2020.

Culture of decency
Mastercard’s commitment to humanrights is founded in our belief that
we must bring basic human decency
to everything we do. Decency andmutual respect are the foundation
for the kinds of relationships thatdrive innovation, which sets the stage
for open-minded and thoughtful
collaboration with others. Decency
helps ensure that we challenge
perspectives, not other people, ina respectful and direct manner, toachieve the best outcomes.

KEY AREAS OF IMPACT

Our people
We are committed to providing asafe and healthy workplace, free fromdiscrimination, harassment and retaliationby employees or our suppliers, contingent
workers or business partners. All Mastercard
employees receive training on these policies
and on our expectations for a cultureof decency and respect.
Our supply chain
Our suppliers are contractually bound bystandards of ethical conduct when dealing
with workers, their suppliers, customers andother third parties. They are contractuallyrequired to meet or exceed our highstandards for privacy and security,
and we conduct periodic reviews of oursystems and theirs to ensure compliance.
55

01

Responsible sourcing
and supplier diversity$100 million
We pledged to increase our annual
spending with Black suppliers bymore than 70% by 2025.

Mastercard is incorporating inclusionand diversity throughout our global
supply chain. We are building strong,ongoing relationships with small and/or diverse businesses through our
initiative. As part of our In Solidarity
commitments, we pledged to increase
our annual spending with Blacksuppliers by more than 70%,
to $100 million annually, by 2025.
We also encourage our prime,
direct suppliers, also known as Tier 1,
to establish their own diverse supply
chains. We require participating prime,
direct suppliers to report informationand data on their use of small anddiverse suppliers, which are considered
Tier 2. Our Tier 1 and Tier 2 spending
with diverse suppliers was more than
12% of our total U.S.-based spendingin 2020.

03
04
05
ESG

Ethical and Responsible Standards

Mastercard is committed tosourcing responsibly and using
a diverse set of suppliers. Our
Supplier Code of Conduct details
our expectations and requirements
regarding child labor, freedom of
association, compensation, working
hours and conditions, discrimination,
health and safety, environmental
sustainability, and more. We also
outline the steps Mastercard takes
to ensure that our business andsupply chains are free from slavery
in our Modern Slavery and Human
Trafficking Statement, and thatthey respect human rights in our
Human Rights Statement.

02

56

01
02
03
04
05
ESG

“Sustainability has long been embedded
into the DNA of Mastercard as we
recognize the vital role it plays in the
future success of our business. This
report demonstrates how we leadwith decency, invest in innovation, build
trusted partnerships, and lead throughaction, all in pursuit of a more inclusive,
sustainable world where everyone canreach their potential.”
Kristina Kloberdanz
Chief Sustainability Officer, Mastercard

57

ASSURANCE LETTERS

01
02
03
04
05
Page 2

To: The Stakeholders of MasterCard
Apex Companies, LLC (Apex) was engaged to conduct an independent verification of the greenhouse gas (GHG)
emissions reported by MasterCard for the period stated below. This verification opinion declaration applies to therelated information included within the scope of work described below.
The determination of the GHG emissions is the sole responsibility of MasterCard. MasterCard is responsible for the
preparation and fair presentation of the GHG statement in accordance with the criteria. Apex’s sole responsibility wasto provide independent verification on the accuracy of the GHG emissions reported, and on the underlying systems
and processes used to collect, analyze, and review the information. Apex is responsible for expressing an opinion on
the GHG statement based on the verification. Verification activities applied in a limited level of assurance verification
are less extensive in nature, timing, and extent than in a reasonable level of assurance verification.
Boundaries of the reporting company GHG emissions covered by the verification:•

Operational Control•

GlobalTypes of GHGs: CO2, N2O, CH4, HFCs
GHG Emissions Statement:•

WRI/WBCSD Greenhouse Gas Protocol Corporate Value Chain (Scope 3) Accounting and ReportingStandard (Scope 3)

Reference Standard:•

ISO 14064-3:2019 - Greenhouse gases -- Part 3: Specification with guidance for the validation andverification of greenhouse gas statements

Level of Assurance and Qualifications:•

Limited•This verification used a materiality threshold of ±5% for aggregate errors in sampled data for each of theabove indicators

GHG Verification Methodology:
Evidence-gathering procedures included, but were not limited to:•Interviews with relevant personnel of MasterCard and their consultant;•

Review of documentary evidence produced by MasterCard;•

Review of MasterCard data and information systems and methodology for collection, aggregation, analysis
and review of information used to determine GHG emissions; and•Audit of samples of data used by MasterCard to determine GHG emissions.

•

Scope 2 (Location-Based): 52,538 metric tons of CO2 equivalent•

is not materially correct and is not a fair representation of the GHG emissions data and information; and•Scope 2 (Market-Based): 268 metric tons of CO2 equivalent••

Scope 3:has not been prepared in accordance with the WRI/WBCSD GHG Protocol Corporate Accounting andReporting Standard (Scope 1 and 2), and WRI/WBCSD Greenhouse Gas Protocol Corporate Value Chain
Accounting and Reporting Standard (Scope 3).

Statement of independence, impartiality and competence

Business Travel (air and rail travel): 7,373 metric tons of CO2 equivalent

Apex is an independent professional services company that specializes in Health, Safety, Social and Environmental
management services including assurance with over 30 years history in providing these services.

Data and information supporting the Scope 1 and Scope 2 GHG emissions assertion were in most cases
historical in nature and in some cases were estimated.

No member of the verification team has a business relationship with MasterCard, its Directors or Managers beyond
that required of this assignment. We conducted this verification independently and to our knowledge there has been
no conflict of interest.

Data and information supporting the Scope 3 GHG emissions statement were in some cases estimated rather
than historical in nature.

Apex has implemented a Code of Ethics across the business to maintain high ethical standards among staff in their
day-to-day business activities.

Period covered by GHG emissions verification:•

January 1, 2020 to December 31, 2020

Criteria against which verification was conducted:•

March 11, 2021
This verification statement, including the opinion expressed herein, is provided to MasterCard and is solely for the benefit ofMasterCard in accordance with the terms of our agreement. We consent to the release of this statement by you to CDP in order tosatisfy the terms of CDP disclosure requirements but without accepting or assuming any responsibility or liability on our part to CDP
or to any other party who may have access to this statement.

It is our opinion that MasterCard has established appropriate systems for the collection, aggregation and analysis ofquantitative data for determination of these GHG emissions for the stated period and boundaries.

Waste Generated in Operations: 486 metric tons of CO2 equivalent

Employee Commuting: 7,723 metric tons of CO2 equivalentDavid Reilly, Technical Reviewer
Principal Consultant
Apex Companies, LLC.
Santa Ana, California

Based on the process and procedures conducted, there is no evidence that the GHG emissions statement shown
above:

Scope 1: 3,221 metric tons of CO2 equivalent

Fuel- and Energy-Related Activities: 6,485 metric tons of CO2 equivalent

Mary E. Armstrong-Friberg, Lead Verifier
Principal Consultant
Apex Companies, LLC.
Cleveland, Ohio

Verification Opinion:•

Purchased Goods & Services, Capital Goods, and Upstream Transportation and Distribution: 344,076 metrictons of CO2 equivalent

Attestation:

ESG

Assurance Letters

VERIFICATION OPINION DECLARATIONGREENHOUSE GAS EMISSIONS

Page 3The verification team has extensive experience in conducting assurance over environmental, social, ethical andhealth and safety information, systems and processes, has over 20 years combined experience in this field and an
excellent understanding of Apex’s standard methodology for the verification of greenhouse gas emissions data.

World Resources Institute (WRI)/World Business Council for Sustainable Development (WBCSD)
Greenhouse Gas (GHG) Protocol Corporate Accounting and Reporting Standard (Scope 1 and 2)

58

SUSTAINABLE DEVELOPMENT GOALS

01
02

SDGs

EXAMPLES

03

Mastercard was approved as a signatory of the UN’s Women’s Empowerment Principles (WEPs). From achieving pay equity in 2020 to supporting
female small-business owners and startups, Mastercard is committed to gender balance both inside and outside of Mastercard. External efforts
included leading the 30% Club and Financial Alliance for Women, and partnering to advance gender equality with Gavi, the Vaccine Alliance and USAID.
Internally, Mastercard unified parental leave and started publishing the global gender pay gap.

04

Mastercard’s signature science, technology, engineering and mathematics (STEM) program, Girls4Tech™, reached its initial goal of educating 1 million
girls. The program has a new and inspiring ambition to reach 5 million girls by 2025. The program, which launched in 2014, offers activities andcurriculum built on global science and math standards. It incorporates Mastercard’s deep expertise in technology and innovation, enabling students todiscover a range of STEM careers, such as fraud detective, data scientist and software engineer.
Mastercard expanded its worldwide commitment to financial inclusion, pledging to bring a total of 1 billion people and 50 million micro and small
businesses into the digital economy by 2025. As part of this effort, there will be a direct focus on providing 25 million women entrepreneurs withsolutions that can help them grow their businesses.
Mastercard has committed up to $300 million in the fight against COVID-19, including $250 million over five years to provide small businesses withfinancial tools, technology, products and insights to help them survive and thrive.

05
ESG

Sustainable Development Goals

Mastercard is in a unique position toconnect and power an inclusive, digital
economy that benefits everyone,
everywhere, by making transactions
safe, simple, smart and accessible.
By their nature, many of our programs
and solutions are supportive of
the SDGs, and we believe that it isimportant to continue to drive privatesector awareness, collaboration andaction in this area.
We are proud that through thepower of our network, we are able
to make real sustainable change byhelping individuals, financial institutions,
governments and businesses realize
their greatest potential.

Mastercard is working with city and state leaders around the world, providing access to anonymized and aggregated data-driven insights free ofcharge, to help them assess the impact of COVID-19 on their communities and optimize their recovery plans. Mastercard’s City Possible programsupported local responses to the COVID-19 pandemic with data insights, innovative aid distribution channels, and small-business support in places likeLos Angeles and Madrid. Since debuting with just 16 founding members in November 2018, City Possible has now expanded to 220 city members andcandidate cities.
Our insights into trends and improving focus within key economic sectors such as tourism have informed government action on business andunemployment disbursements, recovery planning and targeted fiscal stimulus to encourage tourism spending. For example, we announced the launchof a four-year “Partnership for the Digital Economy,” covering various strategic areas of development in line with the French government’s strategic
public policy regarding digitization and growth of the economy, including tourism and financial inclusion. Similar Digital Country Partnerships exist with
Azerbaijan, the Czech Republic and Panama.
Mastercard is working to mitigate the effects of climate change through our business directly and by mobilizing our trusted network. We’ve set a goalof reaching net-zero emissions by 2050, which builds upon existing SBTi-approved greenhouse gas (GHG) reduction goals. In light of these goals, we
continue to use 100% renewable electricity across our global operations and support suppliers with their own GHG reductions.
Launched in January 2020, the Priceless Planet Coalition unites the efforts of consumers, financial institutions, merchants and cities to fight climatechange through the restoration of 100 million trees over five years — together with climate science and forest restoration experts Conservation
International and World Resources Institute.
Through In Solidarity, a companywide initiative to promote equity and justice, we promised to enhance our partnerships with civil rights groups
and community-based organizations in the U.S. For example, in partnership with the National Urban League, we launched the Entrepreneurship &Workforce Resource Partnership with a $5 million donation. The partnership will draw on Mastercard’s analytics and technology, Mastercard Labs andother resources to support 5,000 black entrepreneurs by 2025.
The Mastercard Center for Inclusive Growth and The Rockefeller Foundation announced data.org as a platform for partnerships that will continue tobuild the field of data science for social impact. As part of the announcement, data.org launched a new $10 million impact challenge to crowdsource
scalable and sustainable data science solutions for nonprofit, civic and government organizations.

59

TASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURES (TCFD) INDEX

01
02
03

Strategy and risk management
Preparing for and responding toclimate-related risks and opportunities
and helping our customers andcommunities develop the capacity
to respond to future changes are key
aspects of our business strategy. It willtake time and considerable strategic
thought to ensure that the actions wetake today will create a more equitable,
sustainable and resilient future for all.
In 2020, we completed a qualitative
scenario analysis to identify potential
climate-related physical and transition
risks and opportunities as our businessand people transition to a low-carbon
and adaptive economy.

This analysis included multiple
International Energy Agency (IEA)
and Representative Concentration
Pathways (RCP) scenarios and time
horizons to evaluate future states,
noting that at this point it is not clear
which one is the most likely. To assess
the transition risks and opportunities
for our market and business, we usedhigh-, medium- and low-emission
scenarios focused on five key regions— the United States, Europe, Africa,
the Middle East, and Asia Pacific —across two time horizons, short-term(2025) and medium-term (2040).
These time horizons roughly align with
our GHG targets and consider nearterm and long-term. To assess thephysical impacts of climate change on
certain facilities, including our global
and regional headquarters, key data
centers and key supplier locations,
we evaluated potential threats tobusiness-critical sites under futureclimate projections based on theIntergovernmental Panel on Climate
Change’s (IPCC’s) Representative
Concentration Pathways (RCP).

Risks were analyzed across several
time horizons including a future
mid-term projection (2035) anda future long-term projection(2060). This qualitative analysisof 12 sites is part of our broader
process to evaluate threats and risk
mitigation opportunities across ourglobal operations, supply chain andrevenue sources. Each of the 12 sites
was examined by looking at sevenpotential risks resulting from thephysical impacts of climate change.
The RCP8.5 scenario was selected
because it represents a businessas-usual, worse-case scenario
climate emissions trajectory modeland provides an upper-boundary
condition to support our analysis
and risk-management measures.
This preliminary analysis indicatesthat we could see increasing risk ofchronic climate stressors (increasing
temperatures, sea level rise) andacute climate events (flooding,drought, extreme temperatures) ata majority of the sites by 2060. Such
potential risks are not forecasts andare not necessarily indicative of future
performance. They also do not take
into account potential risk-mitigation
or adaptation efforts and assume
that such sites continue to operate
through the dates specified.

Current opportunities include:
sustainable and resilient programs
and services, such as the PricelessPlanet Coalition, and carbon calculator
tools such as ours, which is poweredby the Doconomy Åland Index;
accelerated digitization of transactions;and resilience services, such as support
for disaster needs. Current transition
risks include: impacts to travel patterns
and inequitable global growth.
We are using the results of theinitial analysis to inform our key
functions, including risk, strategy
and government engagement.

04
05
ESG

TCFD Index

Governance
Our Nominating & Corporate
Governance Committee oversees
sustainability matters, including thoserelating to environmental stewardship.
A cross-functional team of executives
in sustainability, facilities, enterpriserisk management, enterprise resilience,legal, finance and sourcing work
together to identify, assess and manage
climate-related risks and opportunities.

Metrics and targets
We have made several notablecommitments to combat climatechange, including:• Net-zero emissions by 2050
• SBTi-approved GHG goal to reduce
total Scope 1 and 2 emissions by
38% and Scope 3 emissions by
20% by 2025 from a 2016 baseline• RE100, which reinforces
our achievement of procuring
100% renewable electricity• Regrowth of 100 million trees over
5 years through the PricelessPlanet Coalition

60

TASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURES (TCFD) INDEX

01

Additionally, in line with TCFD’s recommendations, we publicly disclose our climate-related information through our annual CDP Climate Change response. We have provided a table mapping TCFD’s
disclosure recommendations to our CDP responses.
TCFD CORE ELEMENTTCFD DISCLOSURE REQUIREMENT (COMPLETE)

CDP 2021 CLIMATE CHANGE

04

Degree of board oversight(a) Describe the board’s oversight of climate-related risks and opportunities.

C1.1b

05
ESG

Metrics & targets

Management’s role(b) Describe management’s role in assessing and managing climate-related risks andopportunities.

C1.2, C1.2a

Climate-related risks and opportunities(a) Describe the climate-related risks and opportunities the organization has identified overthe short, medium, and long term.

C2.1a, C2.3, C2.3a, C2.4, C2.4a

Impacts of risks and opportunities(b) Describe the impact of climate-related risks and opportunities on the organization’s
businesses, strategy and financial planning.

C2.3a, C2.4a, C3.1, C3.1d, C3.1e
C3.1f, C3.2a, C3.3, C3.4, C3.4a

Resilience of the organization’s strategy(c) Describe the resilience of the organization’s strategy, taking into consideration different
climate-related scenarios, including a 2°C-or-lower scenario.

C3.2, C3.2a

Climate risk identification process(a) Describe the organization’s processes for identifying and assessing climate-related risks.

C2.1, C2.2, C2.2a

Climate risk management process(b) Describe the organization’s processes for managing climate-related risks.

C2.1, C2.2

Integration with other risk-management processes(c) Describe how processes for identifying, assessing and managing climate-related risks areintegrated into the organization’s overall risk management.

C2.1, C2.2

Identify risk-assessment metrics(a) Disclose the metrics used by the organization to assess climate-related risks andopportunities in line with its strategy and risk-management process.

C4.2, C4.2a, C4.2b, C9.1

Identify GHG emissions(b) Disclose Scope 1, Scope 2 and, if appropriate, Scope 3 greenhouse gas (GHG) emissions,and the related risks.

C6.1, C6.3, C6.5

Identify targets and risk metrics(c) Describe the targets used by the organization to manage climate-related risks andopportunities and performance against targets.

C4.1, C4.1a, C4.1b, C4.2, C4.2a,
C4.2b

TCFD Index

Risk management

03

TCFD DISCLOSURE REQUIREMENT (SHORT)

Governance

Strategy

0261

ESG DATA TABLE

01

The following table discloses information about our ESG programs, policies and metrics mapped to the following voluntary reporting frameworks and initiatives: The Global Reporting Initiative (GRI);
the Sustainability Accounting Standards Board (SASB) Software & IT Services industry standards; and the World Economic Forum (WEF) Stakeholder Capitalism Metrics (SCM) core themes. The metrics
reported are based on relevance to our business and our current disclosures, aligning to our ESG materiality assessment.
DESCRIPTION

FY 2020

FY 2019

FY 2018GRISASB

WEF SCM

General102-1

Purpose, mission and values

Purpose Statement; Who We Are

102-16

Activities, brands, products and services

2020 10-K

102-2

Markets served

Who We Are

102-6

Location of headquarters

Purchase, New York

102-3

Countries of operations

Global locations

102-4

Ownership and legal form

2020 10-K

102-5

Scale of organization

2020 10-K; 2021 Proxy102-7

Significant changes to the organization and its supply chain

Financials and SEC filings

102-10Operational and financial results

2020 10-K

201-1

Total tax paid

2020 10-K; U.K. Tax Strategy

201-1

Statement from senior decision-maker

Page 2102-14

Key impacts, risks and opportunities

Page 10; 2020 10-K

102-15

Risk and opportunity
oversight

Stakeholder engagement, including memberships

2021 Proxy; several references throughout report102-13, 102-21, 102-40,
102-42, 102-43, 102-44

Stakeholder engagement

Reporting practice

Page 24
102-45

Defining report content, topic boundaries and period

The report covers the 2020 fiscal year, spanning Jan. 1 to Dec. 31, 2020. In
some cases, we include data and information about programs and activities
relevant to our corporate sustainability key areas of impact that occurred in
the 2021 fiscal year, as noted.

102-46, 102-50

List of material topics

Page 10102-47

Restatements of informationNone

102-48Changes in reportingNone

102-49Date of most recent report2019 Corporate Sustainability Report published August 27, 2020

102-51

Reporting cycle

Annual102-52

Contact point for questions regarding reportsustainability@mastercard.com

102-5304
05

Governing purpose

ESG Data Table

Mastercard

2020 10-K

03

ESG

Organization nameEntities included in the consolidated financial
statements

02

Employment andwealth generation
Community andsocial vitality

Stakeholder engagement

62

ESG DATA TABLEDESCRIPTION01

FY 2020

FY 2019

FY 2018GRISASB

WEF SCM

General02
03

Claims of reporting in accordance with the GRI
Standards

This report has been prepared in accordance with the GRI Standards:
Core option

102-5404

GRI content index

Pages 62–69

102-55External assurance

Page 58

102-5605
ESG

Ethics and Compliance

Pages 45–47

Values, principles, standards and norms of behavior

Page 45; Code of Conduct; Supplier Code of Conduct102-16

Governing purpose

205-2

Ethical behavior

Page 45; Ethics Helpline

102-17

Ethical behavior

Anti-competition

Page 46102-25Anti-corruption

Page 46; Code of Conduct

205-2

Employee completion of annual compliance and ethics
training (% of total workforce)
Grievance mechanism for employees, third parties andpublic at large

Employees and Board of Directors received training
about anti-corruption (%)
Monetary losses as a result of legal proceedings
associated with anti-competitive behavior regulations

100%

100%

100%

100%

100%

ESG Data Table

Governance

Ethical behavior

100%

Mastercard discloses all material legal proceedings in our SEC reports.

TC-SI-520a.1

Public policy and political contributions

Political Activity and Public Policy Statement

415, 415-1

Governance Structure2021 Proxy Statement102-18, 102-19,
102-23, 102-24

Executive-level responsibility for ESG topics

2021 Proxy Statement102-20Composition of the highest governance and its committees

2021 Proxy Statement102-22, 405, 405-1

Board of Directors

2021 Proxy Statement405, 405-1

Women

29%

27%

27%

Men

71%

73%

73%

Asian

43%

Black

7%

Latino

7%

White

43%

Sustainability experience86%

Women/men and ethnicity totals do not include unknown. Denominators include unknown. Senior management includes Senior Vice President and above.

Quality of governing body63

ESG DATA TABLEDESCRIPTION01

FY 2020

FY 2019

FY 2018GRISASB

WEF SCM

GovernanceManagement committee

2021 Proxy Statement

02
03405, 405-1

04

21%

20%

Men

79%

80%

05

Internationally based

38%

43%

ESG

Average age

52

53

Racially or Ethnically diverse

44%

ESG Data Table

Women

Remuneration policies and disclosure2021 Proxy Statement102-35, 102-36, 102-37

Annual total compensation ratio

2021 Proxy Statement102-38Risk management

2020 10-K

102-33Business continuity risks related to disruptions of operations

2020 10-K

TC-SI-550a.2

Approach to identifying and addressing data security risks,
including use of third-party cybersecurity standards

Pages 48–54; Privacy and data protection report

TC-SI-230a.2

Privacy, data protection and security
Policies and practices relating to user privacy

Pages 48–54; Privacy and data protection report;
Mastercard Binding Corporate Rules;
Our commitment to privacy
Pages 48–50; Privacy and data protection report;
Mastercard Binding Corporate Rules;
Our commitment to privacy

418

Risk and opportunity
oversight

TC-SI-220a.1,
TC-SI-230a.1
TC-SI-220a.1

Monetary losses as a result of legal proceedings associatedwith user privacy

Mastercard discloses all material legal proceedings in our SEC reports.

TC-SI-220a.3

Data security: monitoring fraud

Pages 51–54

TC-SI-230a.1

Responsible Sourcing and Supplier Diversity

Pages 40, 56; Supplier Code of Conduct102-9

SocialTotal Employees

21,00018,600

Employees in # of countries outside of U.S.

63% in 82 countries

61% in 82 countries

Female

38%

39%

39%

Male

61%

61%

61%

Female

32%

33%

33%

Male

68%

67%

67%

14,800102-7, 102-8, 405, 405-1

TC-SI-330a.3

Dignity and equality

TCI-SI-330a.4

Employees by gender (global)

Senior management by gender (global)

Women/men and ethnicity totals do not include unknown. Denominators include unknown. Senior management includes Senior Vice President and above.

64

ESG DATA TABLEDESCRIPTION01

FY 2020

FY 2019

FY 2018

SocialGRISASB

WEF SCM

02
03

Employees by ethnicity (U.S.)

04

5.6%

5.5%

5.6%

Hispanic or Latino

8.4%

8.3%

8.4%

05

Asian

22.3%

20.6%

19.9%

ESG

All other people of color

1.8%

2%

1.7%

White

59.5%

60.6%

64.4%

Black or African American

6.4%

4.2%

4.5%

Hispanic or Latino

11.1%

11.2%

10.7%

Asian

13.3%

14.8%

15.1%

All other people of color

0.9%

1.8%

1.7%

White

66%

67.4%

68%

Female

31%

29%

Male

69%

71%

Senior management by ethnicity (U.S.)ESG Data Table

Black or African American

Country managers by gender (global)

Undergraduate interns

Page 28

Female (global)

42%

47%

Male (global)

57%

49%

Asian (U.S.)

42%

37%

Black or African American (U.S.)

5%

11%

Hispanic or Latino (U.S.)

9%

16%

All other people of color (U.S.)

3%

1%

White (U.S.)

39%

32%

Recruitment

Pages 27–28% of global final candidate interviews that include women

78%

71%

% of global final candidate interviews that include men

81%

80%

% of U.S. final interviews that include a candidate of color

81%

83%

% of U.S. final interviews that include a white candidate

73%

79%

77%
81%

Women/men and ethnicity totals do not include unknown. Denominators include unknown. Senior management includes Senior Vice President and above.

65

ESG DATA TABLEDESCRIPTION01

FY 2020

FY 2019

FY 2018

SocialGRISASB

WEF SCM

02
03

Senior management recruitment

Pages 27–28% of global final candidate interviews that include women

81%

67%

% of global final candidate interviews that include men

90%

88%

% of U.S. final interviews that include a candidate of color

73%

82%

% of U.S. final interviews that include a white candidate

80%

84%

HiringPages 27–28% of global hires that were women

38%

40%

41%

% of global hires that were men

62%

60%

59%

% of U.S. hires that were people of color

50%

45%

42%

% of U.S. hires that were white

46%

55%

58%

% of global hires that were women

44%

33%

38%

% of global hires that were men

56%

67%

62%

% of U.S. hires that were people of color

36%

42%

37%

% of U.S. hires that were white

64%

58%

63%

University hires

Page 28% of global university hires that were women

39%

42%

% of global university hires that were men

61%

58%

% of U.S. university hires that were people of color

61%

61%

% of U.S. university hires that were white

38%

39%

% of global career moves experienced by women

39%

40%

40%

% of global career moves experienced by men

60%

60%

60%

% of U.S. career moves experienced by people of color

39%

38%

38%

% of U.S. career moves experienced by white

59%

60%

61%

% of global career moves experienced by women

36%

35%

35%

% of global career moves experienced by men

64%

64%

65%

% of U.S. career moves experienced by people of color

35%

36%

38%

% of U.S. career moves experienced by white

62%

61%

61%

70%

04
05

79%

ESG

ESG Data Table

Senior management hiring

Career moves

Senior management career moves (laterals and promotions)

Women/men and ethnicity totals do not include unknown. Denominators include unknown. Senior management includes Senior Vice President and above.

66

ESG DATA TABLEDESCRIPTION01

FY 2020

FY 2019

FY 2018GRISASB

WEF SCMSocial02
03

Equal pay

Page 35

Page 50

Women-to-men pay equity (global)$1.00 to $1.00$1.00 to $1.00

Median pay for women (global)

92.4%

92.2%

05

People-of-color-to-Caucasian pay equity (U.S.)$1.00 to $1.00$1.006 to $1.000

ESG

Median pay for people of color (U.S.)

92.4%

93.0%

Employees subject to collective bargaining
agreements (U.S.)

00

Employee engagement

Page 31–33

Employee engagement favorability

85%

Employee health, safety and well-being

Pages 34–35

Benefits

Pages 35; Employee benefits

Ratio of CEO’s compensation to median employee’s
compensation

210 to 1

Training and education

Pages 29–30

Employees given performance and careerdevelopment reviews

100%

Human rights

Page 55; Human Rights Statement; Code of Conduct;
Modern Slavery & Human Trafficking Statement

Inclusive growthPage 13–25

Mastercard’s giving

Pages 24, 32

Total Mastercard giving$80,172,000$0.996 to $1.000

004

102-41
TC-SI-330a.2
Health and well-being

168 to 1

401-2, 401-3, 403-6
167 to 1

Dignity and equality
404, 404-2

100%

100%

404-3
410, 412, 412-1, 412-2$50,476,000

COVID-19 and other disaster relief$29,978,000

Match employee giving$5,633,000

Employee matching gifts$4,568,000

Board of Directors matching gifts$98,000

Retiree matching gifts$562,000

Volunteer incentive program$155,000

PAC match$250,000

Other community

Dignity and equality

ESG Data Table

Community405-2$14,861,000

Data science for social impact and economic
development$12,905,000

Financial security and future of work

$16,791,000

Women/men and ethnicity totals do not include unknown. Denominators include unknown. Senior management includes Senior Vice President and above.

67

ESG DATA TABLEDESCRIPTION01

FY 2020

FY 2019

FY 2018GRISASB

WEF SCM

Environmental
Environmental management

Pages 36–41

Net-zero target

Mastercard committed to net-zero emissions by 2050.

Carbon neutrality

TCFD implementation

Climate change

We committed to achieving carbon neutrality, or the 100% offset of ouroperational CO2 emissions, in 2021.
Our target calls for a 38% absolute reduction in Scope 1 and 2 greenhousegas emissions by 2025 from our 2016 base year, and a 20% reduction in
Scope 3 emissions over the same period.
We aligned with the Task Force on Climate-related Financial Disclosures(TCFD) recommendations and have included a separate index that reflects
our governance, strategy and risk management, and metrics and targets
related to climate.

Greenhouse gas emissions

Page 37

Scope 1 GHG emissions (MTCO2e)

3,221

4,758

4,828

Scope 2 GHG emissions (MTCO2e) (location-based)

52,53852,141

52,859

Scope 2 GHG emissions (MTCO2e) (market-based)

268

162

3,399

Data centers

32,45531,29529,798

Offices

22,31923,64926,644

Travel

985

1,955

1,246

Scope 3 GHG emissions (MTCO2e)366,143

503,012495,962

Purchased goods and services(i)344,076396,270

395,684

Fuel- and energy-related activities

6,485

8,452

11,779Waste generated in operations

486

1,288

339

Business travel

7,373

53,73849,174

Employee commuting

7,723

43,26438,986

Greenhouse gas intensity (MTCO2e/$revenue)

0.0000036

0.0000034

0.000006

Energy management

Page 38–39

Total energy consumed (MWh)107,320

109,718

114,944

Data centers

61,86250,522

40,481

Offices

45,45859,196

74,463

97%

97%

98%

03
04
05
ESG

ESG Data Table

Science-based target

305

02

Climate change
305-1, 305-5

Breakdown of Scope 1 + 2 GHG emissions (MTCO2e)

Grid electricity (%)(i)

Includes purchased goods and services and capital goods.

305-2, 305-5

305-3, 305-5

305-4
302
302-1, 302-4

TC-SI-130a.1

TC-SI-130a.1

68

ESG DATA TABLEDESCRIPTION01

FY 2020

FY 2019

FY 2018

GRI

SASB

Environmental

03

100%

100%

100%

On-site creation

3.2%

3%

2%

Direct procurement

8.3%

10%

11%

05

Unbundled renewable energy credits

88.5%

87%

87%

ESG

Page 38
1.5

TC-SI-130a.3
1.55

1.41

TC-SI-130a.3

Waste management

Page 41

Waste generated (lbs)

1,037,603

3,111,778

2,294,341

306-2

Waste diverted (lbs)

760,657

2,470,640

1,766,001

306-2

Percentage of waste diverted

73%

80%

77%

306-2

306

Water management
Water consumption (cubic meters)

04

ESG Data Table

Average PUE(ii)

(ii)

02

Renewable energy (%)

Data centers

TC-SI-130a.1

WEF SCM

303
120,504

Vocalink’s PUE was included in 2020 and 2019. For previous years, it was not included.

130,253

128,549303-569