Report Summary

2018 Health
for Humanity
Report
Progress in Citizenship & Sustainability
 2018 Health for Humanity Report 2

Statement from Chairman & CEO

Dear Johnson & Johnson standards of care. Scientific advances lines of healthcare. This year, we expanded
and technological disruption give us the that commitment by joining the Health for
Stakeholders,
opportunity and means to constantly All alliance to ensure that 450,000 frontline
2018 marked a meaningful anniversary for innovate. And the health impacts of climate healthcare workers around the world get
our Company. change provide the urgency for more the training they need.
Seventy-five years ago, we enshrined one of action.
However, none of these achievements
our most enduring values into Our Credo: At Johnson & Johnson, we know that would be possible without our incredible
to put the needs and wellbeing of those we meeting those challenges head on means global workforce. As part of our 75th
serve first. By always prioritizing those we addressing disease along the entire anniversary enhancement of Our Credo,
Alex Gorsky meeting with employees on his visit
serve — something we’ve done since our continuum of health: from prevention to we emphasized our commitment to always to Australia.
founding — we’ve grown from a purveyor interception to cure. We’re making great creating a diverse culture of respect,
of surgical dressings to the largest broadly progress on our preventive HIV and Ebola inclusion and belonging. And, as always, Our Health for Humanity Report
based healthcare company in the world. vaccines. As a committed partner in the we continue our push to have one of the demonstrates how we’ve used our history
At Johnson & Johnson, we believe we’re global fight against tuberculosis (TB), we’re healthiest workforces in the world by of innovation to change the health and
uniquely positioned to bring together delivering on our Health for Humanity 2020 supporting our employees with everything wellbeing of everyone we serve. Our unique
science, people, technology and the ideas Goal to treat the disease by increasing from best-in-class health programs to mix of talent, know-how and values is how
needed to profoundly change the trajectory access to our multidrug-resistant TB investing in their personal and professional we’ll change the world — not just as leaders
of health for humanity. That scale and reach therapy, bedaquiline. growth. in healthcare, but also as global citizens
come with a huge sense of responsibility and champions of transforming lives and
You can also see our commitment to Putting the needs of those we serve
— every decision we make can have an communities.
expanding access in our second annual first also means protecting our shared
enduring impact across the globe. Janssen U.S. Transparency Report. It details environment and natural resources. Our In the meantime, we recognize there is
Our 2018 Health for Humanity Report is all the ways we’re working to secure and Consumer business segment joined 240 always more to do, and we welcome the
an invitation for you to experience the expand patient access while leading in other organizations in the New Plastics challenge to make sure we’re even more
work we do. You’ll see how our ethos of our commitment to visible, accountable Economy Global Commitment to tackle sustainable, innovative and responsible
results, transparency and accountability and responsible drug pricing practices in the urgent environmental challenge of moving forward.
runs through our key focus areas: better the United States. Globally, we make the plastic waste. This initiative expands upon
health for the whole world, investing in same commitment to expand access and it our broader organizational commitment to
our people, responsible business practices helped land us a #3 position on the Access advance environmental sustainability in our
and safeguarding the environmental health to Medicine Index. own operations and in our supply base.
of our planet. Living by these values is We recognize that we cannot solve all the To ensure we’re always investing for the
how we’ve helped to address some of the pressing healthcare challenges alone and future and keeping the long-term view, Alex Gorsky
greatest healthcare needs in modern history are proud to work in close partnership with we’re participating in important initiatives Chairman, Board of Directors
while delivering long-term value for all the healthcare organizations around the world. like the Embankment Project for Inclusive and Chief Executive Officer
stakeholders we serve. In sub-Saharan Africa, for example, we’re Capitalism, CECP’s Strategic Investor
The stakes continue to get higher. A rising piloting a series of collaborations to create Initiative and the U.S. Business Roundtable.
middle class, now in the billions around an affordable, scalable quality care model With these expert partners, we’re helping
the globe, is demanding quality, accessible for the treatment of severe mental illness. to shift the conversation in the financial
healthcare in unprecedented ways. Our That same collaborative spirit informs much markets toward a long-term view and
increasingly aging population is redefining of our philanthropic investment. Take our measurement of the value to society that a
historical support of workers at the front business like ours creates.
 2018 Health for Humanity Report 3

Sustainability Approach
▪▪ Engaging with our stakeholders to
understand and address their views and
expectations.
More
We focus our citizenship and sustainability
efforts where we believe Johnson & Johnson
Resources
can achieve the greatest impact by
leveraging the power of our people, Learn more about our
expertise and global partnerships. progress in citizenship
Our Health for Humanity 2020 Goals are and sustainability in our
aligned with our Company’s purpose and full 2018 Health for
reflect the areas where our stakeholders Humanity Report
expect us to lead. We believe that achieving
these goals is integral to Johnson & Johnson’s
long-term success, and we consider them Watch our 2018 Health for
to be the Key Performance Indicators of Humanity Report Year in Brief
our citizenship and sustainability approach. Highlights Video
Johnson & Johnson is also committed to
supporting implementation of the United
Nations Sustainable Development Goals Review the Health for
through both our Health for Humanity 2020 Humanity 2020 Goals
At Johnson & Johnson, we blend heart, ▪▪ Continuing to raise the bar for ourselves Goals and a separate set of commitments Progress Scorecard
science and ingenuity to profoundly by setting five-year public commitments across five key issue areas where we are
change the trajectory of health for to both improve our performance uniquely positioned to create sustainable
and scalable impact. Review our UN SDGs
humanity. This aspiration includes positively and demonstrate leadership across
Progress Scorecard and
impacting patients and all others who environmental, social and economic
use our products, as well as the health topics relevant to our business;
Sustainable Development
of our employees, our communities and Goals webpage
▪▪ Measuring our transparency about our
the planet. We seek to provide solutions
progress against public commitments;
for some of the world’s most pressing
global public health challenges and ▪▪ Continuing to strengthen our
work collectively — within our walls and governance of citizenship and
externally with partners — to advance sustainability activities across the
better health for all. Our citizenship and Enterprise;
sustainability approach is inextricably ▪▪ Conducting periodic Priority Topics
linked to our vision of a world where a Assessments to ensure that in the ever-
healthy mind, body and environment are changing business environment we
within reach for everyone, everywhere. It's prioritize and focus on issues that are
based on: relevant to our stakeholders and can
impact our business;
 2018 Health for Humanity Report 4

2018 Year in Brief

Highlights of the year

SYMTUZA (darunavir, cobicistat, emtricitabine, and tenofovir Advanced development of a Celebrated Our Credo
alafenamide), the first and only complete darunavir-based revolutionary CAR-T therapy
single-tablet regimen to treat HIV-1 approved by the U.S. FDA 75th Anniversary
for multiple myeloma

Broader use of bedaquiline to treat Johnson & Johnson Consumer Inc. joined the
#3 on Access to Medicines Index MDR-TB patients recommended by the New Plastics Economy Global Commitment
World Health Organization

Launched a pilot program in Rwanda to Expanded partnership with UNICEF with a

improve access to mental healthcare Launched new JOHNSON'S Baby $10 million pledge

Impact made

Our Patients & Consumers Our Employees Our Communities & Planet Our Shareholders

38,994
patients provided access to
16,343
employees trained in the principles of
104,479
health workers educated in 67 countries
56
consecutive years of dividend increases
MDR-TB treatment ENERGY FOR PERFORMANCE

51,503
patients provided access
44.2%
of Manager and above talent movement
31%
electricity use from renewable
$10,775M invested in R&D
to HIV treatment that was across function, energy sources
country or sector lines*

* Represents the proportion of employees in Manager and above job categories who in their career progression movement (including upward promotion, downward demotion, or lateral transfer) crossed
function, country or business segment lines.
 2018 Health for Humanity Report 5

Better Health for All – World Without Disease

As a global healthcare leader, prevention of TB, malaria, NTDs, and other
Johnson & Johnson is at the forefront of diseases common in the developing world.
addressing the world’s most intractable We have met our commitments of donating
diseases. In 2018, we advanced actions to
reduce the burden of prominent diseases “ We are in a golden age in
HIV vaccine science. Currently
we are exploring two different
200 million doses annually and developing
a new chewable, child-friendly formulation
and are on track against our published of mebendazole to treat soil-transmitted
targets, advancing better health for adults active HIV vaccine strategies helminthiasis or intestinal worms. We
and children around the world. as well as evaluating whether continued our work to address dengue.
a trial using neutralizing
antibodies can protect against
Making HIV History HIV. In the next four years, we Transforming Mental Healthcare
Overcoming Antimicrobial
have the potential to change
We continued our advances on several In August 2018, we entered into a Resistance
fronts to combat the spread of HIV and, the game, and bring valuable comprehensive partnership with the
more importantly, to eliminate the disease tools to the public to protect Rwanda Ministry of Health to strengthen We are working on multiple fronts to
through an investigational preventive
vaccine. In 2018, we embarked upon our
communities from HIV.

Professor Glenda Gray

” and expand access to quality mental
healthcare in that country, supporting
fulfill our Antimicrobial Resistance (AMR)
Roadmap commitments. We currently
provide 22 antimicrobial medicines
Imbokodo study — a historic Mosaic- President & CEO of the South African research, improving affordability and
based Preventive Vaccine Regimen for HIV Medical Research Council (SAMRC) availability of essential medicines to treat (including antiviral medicines) in 114
study — in five southern African countries and Protocol Chair of the schizophrenia, and building capacity in countries, of which seven are listed on the
in an effort to identify mechanisms to Imbokodo study
mental healthcare to more accurately World Health Organization’s Model List of
prevent the spread of HIV and lead the diagnose and treat patients. We also Essential Medicines. Much of our work is
way to developing a global vaccine engaged in several other initiatives to focused on multidrug-resistant tuberculosis
effective against the multiple strains of address mental health. (MDR-TB), given our long legacy of fighting
the virus. We advanced several programs 10-year initiative, with the goal of saving an TB and as MDR-TB alone accounts for a
and partnerships in different countries to estimated 1.8 million lives and preventing third of AMR-related deaths.
increase access to HIV treatment or raise 12 million new infections, working Global Health Security &
awareness. An example is “DREAMS, Thina with partners to improve detection of Preventing Pandemics
Abantu Abasha,” which we launched in undiagnosed cases of TB, broaden access In 2018, we announced that Janssen
South Africa as a youth-led initiative aimed to bedaquiline and accelerate R&D to Vaccines & Prevention will participate in a
at empowering youth to substantially discover next-generation TB treatments. new collaboration with the UK government
reduce the rate of HIV infections. and multiple partners from academia and
industry that will result in the UK’s first-
Combating Neglected Tropical ever dedicated Vaccine Manufacturing
Eradicating Tuberculosis Diseases and Innovation Centre. Our work on new
In 2012, Johnson & Johnson brought We continue to target resources to prevention, treatment and care solutions for
forward SIRTURO (bedaquiline), the first combat Neglected Tropical Diseases pandemic influenza, Ebola, Zika and malaria
novel TB antibiotic in nearly half a century. (NTDs) through R&D, product donations continued through 2018.
Since then, we have partnered extensively and partnerships. To facilitate additional
in high-burden countries to provide access research, Janssen shares 80,000 chemical
to and ensure appropriate use of our compounds from its molecular library with
treatment, and to raise awareness about the global research community to help
TB more broadly. In 2018, we announced a collaborators accelerate treatment and
 2018 Health for Humanity Report 6

Better Health for All – Access, Innovation & Community Health

need Janssen medicines get access to them Contributing to Community
in the United States. We also prioritize Health Accelerating Innovation
helping patients gain access to information

“ Through JLABS
Johnson & Johnson has Our Credo defines the concept that “We
and solutions that can improve adherence
been consistently a leader are responsible to the communities in
to treatment regimens and co-creating
in the last four Access to which we live and work and to the world
treatment solutions that meet their needs.
Medicine Indices, bringing community as well.” At Johnson & Johnson,
forward valuable treatments we fulfill this obligation by actively ▪▪ JLABS has supported over 450
Innovating For Better Health engaging in our communities across the
in areas such as TB and companies over more than 6
recently addressing mental We innovate for better health by combining globe. We support the people at the front years, a 44% increase in 2018
health in low- and middle- a strong internal focus on R&D with lines of delivering care, so that communities over 2017
income countries. Its Global strategic external partnerships that can more effectively address the health
needs of the world’s most vulnerable ▪▪ $11.6 billion in financing secured
Public Health Unit is a model emphasize local solutions to meet different
people. Our giving, products, innovation, in 2018 (23% more than in 2017)
among the industry on access healthcare needs across the world. We fuel
planning and results for several innovation through hiring top scientists and and business initiatives help create a better ▪▪ 12 companies now publicly
therapeutic areas, constantly medical and technology experts to advance world and environment for people around traded
challenging itself to do more. our product pipeline, investing in our four the globe.
▪▪ 88% of JLABS companies are
As a company with a strong global Innovation Centers, accelerating Our programs, platforms and solutions are currently in business or acquired
R&D pipeline and a global innovation through JLABS, our network of developed through global leadership and
network capable of further open innovation health sciences incubators, regional and country-level colleagues to
addressing the needs of and managing our corporate venture fund meet community needs while aligning with
those in the most challenging in the life sciences industry. enterprise-wide priorities where
countries, we encourage Innovation extends beyond products — Johnson & Johnson has unique knowledge
Johnson & Johnson to take for example, to digital tools to support and skills to make a difference.
even more action.

Jay Iyer
” patients in clinical trials and connected
health technology innovation that empower
We mobilize partners for the benefit of
our communities through partnership,
Executive Director, Access to Medicine
patients, caregivers, and providers. financial support, activation of our large
Foundation employee base and advocacy for priority
Strengthening Health Systems health issues. We work with our community
partners in a collaborative spirit, based on
We support global Universal Health
mutual trust and aligned values.
Coverage and advanced several actions
Enhancing Access to Healthcare in 2018 to help make this become reality. Our employees are actively involved in
We maintain a range of partnerships, in volunteering in our community initiatives,
As the world’s largest healthcare company,
most cases funded by grants through as well as participating in other community
we are committed to improving access
our Johnson & Johnson Foundation, that engagement programs.
to our innovative medicines, vaccines,
devices and diagnostics in all markets. help engage young people in science and We also support international relief
We continue to uphold our access-driven nursing or midwifery education. In 2018, partners and local affiliates with consumer,
pricing strategies, and Janssen publishes we also continued initiatives to further the pharmaceutical, and medical products in
an annual U.S. Transparency Report adoption of a value-based care approach, times of disaster.
describing how we invest our resources, including supporting ongoing debate
price our medicines, and help people who through dedicated forums in Singapore.
 2018 Health for Humanity Report 7

Our People
created opportunities to help employees in the first annual Credo Day celebration
improve their health and wellbeing and to and brought the Credo spirit to their local
stay safe at work. communities.

“ Our culture is rooted in

the values embodied in Our
Credo, which calls on us to Attracting the Most Talented
We continued our popular TEDxJNJ events
where Johnson & Johnson employees share
personal or professional stories as a source
support our employees across People
of inspiration for others. In 2018, we held
their whole lives — spiritual, To continue to attract and retain the best 20 TEDxJNJ events across 13 countries,
mental, physical and financial. and most diverse people, we launched bringing our total to date to 76 events in 19
Guided by this principle, the Hire.jnj.com platform globally in countries.
we provide thousands 2018, providing data-driven analytics and
We continued to engage our employees Championing Health & Wellness
of individuals with the innovative tools as the basis for a faster,
opportunity to build a varied in our communities, for example, our With HealthForce 2020, our integrated
transparent, more agile process for hiring
and diverse career across Global Pro Bono program expanded to 21 program to support healthy choices and
candidates.
the full spectrum of human participants, who shared their skills to help healthier lives, we continue to promote
health and the opportunity seven nongovernmental organizations in ENERGY FOR PERFORMANCE training
to help advance our purpose Creating Unique Career Latin America better reach their goals. for all employees. Our HEALTHY & ME
of changing the trajectory of Opportunities digital health app is available to most of our
health for humanity.

Peter M. Fasolo
” Our development programs include on-
the-job training, online courses, workshops
Advancing Diversity & Inclusion
employee population in 72 countries and in
16 languages.
To demonstrate our commitment and In 2018, we announced a new global
Executive Vice President, Chief Human and other experiential training. In 2018, we
Resources Officer progress in advancing diversity and employee exercise-program reimbursement
launched a global personal development
Johnson & Johnson inclusion as part of our DNA at to help cover the cost of fitness center
platform called MyDevelopment to
Johnson & Johnson, we launched a membership fees or other exercise activity.
help employees build a healthy career.
campaign to showcase the inclusive
We also delivered critical new learning
Johnson & Johnson community to internal
resources through our on-demand, digital
and external audiences. Learn more here.
platform, Leadership Navigator, to raise the
We owe our success to the thousands of performance and skill level of our people
Johnson & Johnson employees who are Partnered with 230 organizations to advance
leaders around the globe.
Providing Safe Workplaces the training, skills-building and leadership
passionate about our mission to change development of 104,479 of health workers
the trajectory of health for humanity. We held our first-ever enterprise-wide
People join Johnson & Johnson to build Engaging, Empowering & Safety Month to provide a focused period 6,327 37,352 in 67
a purpose-driven career that makes a Inspiring of awareness, education and collaboration Midwives Nurses Countries
difference; they stay with us to help create for improved safety practice, engaging from
In 2018, Johnson & Johnson marked
healthier lives and improve the wellbeing across the Company in our offices, in the
the 75th anniversary of Our Credo and
of those we serve in our communities field, in a lab, or on the production floor.
engaged employees in activities centered
around the world. In 2018, we drove several on opportunities to better live Our Credo
programs to engage, empower and inspire through daily actions. More than 30,000
our employees, and to help them develop employees around the world participated
personally and professionally. We also
 2018 Health for Humanity Report 8

Responsible Business Practices

decision making on treatments. We
invest in a strong anti-counterfeiting and
brand protection strategy to protect our

“ JOHNSON'S fragrances
are designed specifically for
delicate and sensitive skin, so
customers and patients from the impact of
illicit trade.
We improved transparency in consumer
we design products to avoid
products — for example, we redesigned
harsh ingredients and well-
all our JOHNSON’S washes, lotions and
known fragrance allergens.
haircare products and reduced the number
Our baby fragrances have been
of ingredients in our portfolio by more than
reviewed by both independent
50%, disclosing 100% of the ingredients in
groups and safety experts
these products.
— and for the first time are
all listed on the JOHNSON'S
website.
”
Homer Swei
Ethics & Transparency
The Code of Business Conduct and Health
Director of Product Stewardship Care Compliance policies set forth our
Johnson & Johnson Consumer Inc.
Company’s values, which apply to all
employees worldwide. We take a strong
stance against bribery and our policies suppliers, representing our top spend in our
follow recognized anti-bribery and anti- Sustainable Procurement Program. We are
Responsible business practices serve as the corruption laws and regulations. Our also active promoters of supplier diversity
foundation of our Company’s success and Credo Hotline offers a secure channel for — for example, in more than 20 countries,
are imperative to protecting the broader anonymous reporting and serves as our we partner with WeConnect International,
healthcare system and the communities in anonymous whistle-blowing mechanism, a global network supporting women-owned
which we live and work. providing a conduit for all to report businesses.
potential violations. In 2018, we updated
our Statement on Human Rights following a
Product Quality, Safety & rigorous internal review process.
Reliability
We maintain a proactive quality excellence
Responsible Supply Base
culture throughout the Enterprise,
underpinned by our enterprise-wide Our Responsibility Standards for Suppliers
Quality and Compliance Core Objective set forth the expectations we have of all
and supported by training, monitoring, Johnson & Johnson suppliers. We continue
risk assessments and audits. In 2018, we to evolve our processes to monitor supplier
maintained and reinforced our quality compliance with these Standards, using a
programs. We also enhanced product risk-based approach through assessments
safety processes, leveraging the power of and on-site audits. In 2018, we achieved
big data and analytics to support informed our annual target of enrolling 61% of our
 2018 Health for Humanity Report 9

Environmental Health

The label helps make recycling easier by

providing specific instructions on how each

“ With this decision to

accelerate our sustainability
goals, Johnson & Johnson
product can be recycled.

Consumer Inc. is
acknowledging the ever-
increasing urgency of the issue
of plastic waste — and our own
responsibility to work towards
innovative solutions.

Paulette Frank
”
Worldwide Vice President,
Environmental Health, Safety &
Sustainability
Johnson & Johnson

Energy & Carbon Efficiency Waste & Water Management

plastic packaging be reusable, recyclable or
We focus our energy and carbon efficiency At Johnson & Johnson, we aim to
compostable via design, partnerships, and
work on three main areas: reducing energy minimize our impacts on the planet
investments by the year 2025.
demand and maximizing energy efficiency through responsible use of water and
in our operations; shifting to low-carbon minimizing waste generation at source, EARTHWARDS is our approach for
and renewable energy sources to meet while increasing sustainable management encouraging the development of more
the remaining demand; and improving our of waste. We measure water risk with our sustainable products. Focusing on the
influence over emissions in our value chain. proprietary risk assessment model for water lifecycle areas with the highest potential
Our science-based Scope 1 and Scope 2 stress. In 2018, we implemented several impact, we prioritize improvements for
absolute GHG emission reduction targets initiatives at our plants to systematically the largest possible impact reduction.
commit us to ambitious reductions through avoid waste or reduce waste to landfill. When a product achieves at least three
2050. We are continuously developing significant improvements across our seven
our investment and operations towards impact areas, a board of external experts
our aspiration of powering 100% of our Product Sustainability determines if it warrants EARTHWARDS
facilities with renewable energy by 2050, recognition.
In 2018, Johnson & Johnson Consumer Inc.
while advancing green building certification became a signatory to the New Plastics Johnson & Johnson Consumer Inc. also
for new buildings and renovations. Among Economy Global Commitment, thereby adopted the How2Recycle label, starting
others, we achieved LEED Platinum and committing to use more recycled materials with many of our JOHNSON'S products,
Gold certifications in China and Colombia in packaging, reduce reliance on single- including baby lotion, baby shampoo and
in 2018. use packages, and ensure that 100% of baby wash.
 2018 Health for Humanity Report
Progress in Citizenship & Sustainability

Contact us
[email protected]
One Johnson & Johnson Plaza
New Brunswick, New Jersey 08933
healthforhumanityreport.jnj.com
jnj.com

Front Cover: Every day 1,000 adolescents girls and young women are infected with HIV in sub-Saharan Africa, having a disproportionate impact on their
lives and preventing them from fulfilling their potential. That’s why we launched DREAMS Thina Abantu Abasha (Zulu for ‘We the Youth”), a youth-led and
implemented peer-to-peer program, with PEPFAR and UNFPA in some of the worst HIV hotspots to reduce HIV infections among girls 15 – 24 years old. This
is part of our longstanding Company-wide commitment to make HIV history. Learn more at www.jnj.com/hiv. Photo by Jonathan Burton.