Better Health for All

Lululemon's Centre for Social Impact (later lululemon Gives) achieved its goal of providing 10 million people with access to resources and experiences that improve physical, mental, and social wellbeing by 2025.

The company has partnered with nearly 300 organizations since 2021 to advance inclusive access to wellbeing globally. Its products do not have significant negative health impacts, and a lawsuit did not allege adverse health effects from PFAS. Lululemon actively works to address systemic inequities, with partnerships like The Trevor Project specifically targeting LGBTQ+ youth, and programs reaching over 3 million people for mental health support, 700,000 students, and 1.4 million individuals through community-led organizations. The company has extensive mental health initiatives, including an 11-member Mental Wellbeing Global Advisory Board, an Employee Assistance Program, and lululemonCARE mental health training. It committed $3 million to The Trevor Project and NAMI for LGBTQ+ youth suicide prevention and invested $1 million over three years in the Peace on Purpose program, training 3,000 UN humanitarian aid workers in-person and reaching 30,000 digitally with mindfulness and self-care tools.

Fair Pay & Worker Respect

In 2023, Lululemon's supply chain faced scrutiny for multiple labor practices.

Reports indicated possible forced labor connections in the Xinjiang region, and in Bangladesh, anti-union activities, excessive overtime, and retaliation against union leaders were reported at a supplier factory. Despite these issues, Lululemon's social compliance program received accreditation from the Fair Labor Association in 2024.

Fair Trade & Ethical Sourcing

Lululemon's social compliance program was accredited by the Fair Labor Association in October 2024, recognizing its commitment to responsible supply chain practices

, strong supplier relationships, and comprehensive social compliance monitoring . As of March 2023, the company's supplier list, updated every six months and accessible on its website and the Open Supply Hub, provides details such as factory names, locations, worker numbers, and sourcing channels . In October 2022, Lululemon committed to sourcing animal-derived fibers like down, wool, alpaca, and cashmere from certified ethical and humane sources , with 100% of its down certified to the Responsible Down Standard . However, in November 2024, organizations called for Lululemon to set concrete fair wage goals , disclose responsible purchasing practices , and and provide a transparent timeline for achieving fair wages across its supply chain . In January 2024, Good On You rated Lululemon 'Not Good Enough' for ethical practices , citing concerns about labor conditions, including a lack of evidence for living wages , and animal welfare policies regarding animal-derived materials .

Honest & Fair Business

Lululemon is currently under investigation by Competition Bureau Canada, which opened an inquiry in May 2024, for alleged greenwashing related to its 'Be Planet' campaign.

This follows claims that the company made "false, misleading and/or unsubstantiated representations" regarding its environmental impact , with its Impact Report revealing a 100% increase in climate pollution since the slogan's deployment. Additionally, a shareholder derivative action lawsuit was filed in November 2024, alleging that Lululemon officers and directors made "false and misleading" statements about its DEI efforts in SEC filings and and failed to combat discrimination. Regarding transparency, Lululemon scored 51.92% on the Fashion Transparency Index in 2023. For whistleblowing, Lululemon Australia has a policy that allows anonymous disclosures via an Integrity Line , protects against retaliation , and aims to launch investigations within seven days and complete them within 60 days. In terms of third-party verification, 57% of labor code of conduct assessments for supplier facilities were conducted by approved third parties.

Kind to Animals

Lululemon is a founding member of the Mylo Consortium, a cross-industry initiative focused on developing animal-free material alternatives, and has invested in sustainable materials through this membership

. The company also engages with organizations like the Textile Exchange to advance best-in-class raw materials standards, including the Responsible Down Standard .

No War, No Weapons

Lululemon has no defense or arms-related activities in its core business, and its AI systems are used for e-commerce and product creation, not military applications.

The company's Vendor Code of Ethics is based on international standards, including the UN Guiding Principles on Business and Human Rights (UNGPs), and the company is committed to aligning with them. Oversight of the Human Rights Policy is handled by the Corporate Responsibility, Sustainability, and Governance Committee, with some aspects overseen by the Audit Committee. Lululemon performs due diligence on conflict minerals in accordance with the Dodd-Frank Act and has a Conflict Minerals Policy, but a specific percentage of its supply chain certified conflict-free is not provided. The company also conducts regular assessments of human rights and environmental risks across its operations and value chain, and has a policy to disengage from third-party relationships in cases of significant human rights impact or severe harm.

Planet-Friendly Business

Lululemon has SBTi-validated near-term 2030 climate targets

, with Scope 1 and 2 targets aligned to a 1.5°C pathway and achieved consistently since 2021 . Scope 3 intensity targets are aligned to a well-below 2°C pathway , with a 29% reduction achieved in 2024 against a 2018 baseline . The company does not use carbon offsetting . For major materials, 28.71% of polyester and nylon sourced is recycled or renewable. Lululemon achieved a 14% intensity reduction in single-use plastic packaging from a 2021 baseline in 2024 , but will not meet its 2025 target for a 50% reduction . The company uses climate scenario analysis (RCP 2.6, RCP 8.5, IEA NZE 2050, IEA STEPS) to map potential risks and opportunities and plans to update this analysis in 2025 . Transparency in the supply chain is high, with 99% of Tier 1 and Tier 2 suppliers completing Higg FEM self-assessments . Additionally, 54% of Tier 2 suppliers by volume have participated in a Carbon Leadership Program to set carbon targets .

Respect for Cultures & Communities

Lululemon has 4 formal partnership agreements with indigenous or local community groups, including a collaboration with the Matriarch Movement

and partnerships with community-led organizations such as BC Wheelchair Sports Association, Still I Run, and Women In Sports Empowered Hong Kong. The company has no reported cultural appropriation incidents. FPIC processes are not applicable to Lululemon's operations.

Safe & Smart Tech

In May 2024, Lululemon Athletica Canada denied a consumer's data access request, citing legal exceptions, though it was found to be within its rights under the Personal Information Protection Act.

The company states its commitment to compliance with major privacy regulations, including GDPR and CCPA. Lululemon's cybersecurity program, detailed in its 2025 10-K filing and 2024 annual report, includes board oversight through a sub-committee, a CISO-led incident response team, and a robust cybersecurity framework.

Zero Waste & Sustainable Products

Lululemon sourced 77% recycled polyester and 11% recycled or renewable nylon in 2024.

The company achieved a 14% intensity reduction in single-use plastic packaging from a 2021 baseline in 2024. , though it retired its 50% reduction target for 2025. Lululemon is actively integrating circular design principles by developing guidelines with circular.fashion, offering training to product teams, and conducting circularity trials. The company has implemented several waste reduction initiatives, including a box reuse program that saves over one million boxes annually, operating zero-waste distribution centers for specific waste streams, and launching pilots for textile recycling and cut-waste with suppliers. For hazardous waste, Lululemon phased out PFAS in 2023 , requires suppliers to comply with its Restricted Substances List (RSL) and ZDHC MRSL , and achieved ZDHC Accelerator Level certification in 2025. It also reported 100% of Tier 1 and 97% of beyond Tier 1 supplier facilities complying with wastewater discharge permits. Supplier waste requirements include adherence to RSL, ZDHC MRSL, ZDHC wastewater testing, and assessment through the Higg Facility Environmental Module.