Talent acquisition, development and retention—alongside Employee health, well-being, and safety—are strategic for the sustainability and long-term success of the business. These topics directly affect people’s experience, team performance, and Bracell’s ability to innovate and grow sustainably. For this reason, they are considered material to our approach to sustainability management (learn more about our double materiality assessment in GRI 3-2 List of material topics).

As a growing company, we view human capital as essential for achieving our Bracell 2030 targets and building a safe, healthy, and inclusive workplace. Internally, we have policies, processes, and standard operating procedures that guide our people management practices.

In 2025, we prioritized strengthening our Human Resources  department and standardizing talent acquisition, development and retention practices across sites, while respecting the local conditions of each business (learn more about our training and development initiatives under GRI 404 – Training and education). To support this effort, we implemented a unified system that integrates these processes, enhances cross-site synergies, and creates better conditions for sharing best practices.

Another highlight of the year was the first-time participation of our Northeast Paper operations in the RGE Group Global Engagement Survey, which provides a comprehensive view of organizational climate. This survey is a key tool in our people management approach. Alongside performance reviews, it helps to strengthen our T.O.P.I.C.C. culture and reinforces values such as Ownership and Complementary Teams (see more under GRI 2-6).

In talent acquisition, we carried out training initiatives for communities surrounding our operations. In 2025, we provided training for mechanics, drivers, harvesting operators and nursery workers in São Paulo. A total of 311 people attended training. In Bahia, in partnership with the National Industrial Training Service (SENAI) and the National Service for Rural Training (SENAR), we trained 37 students.

Germinar program

This new program is focused on attracting young researchers. Through Germinar, we have expanded engagement with local universities in the regions where we operate, aiming to encourage academic interest in Bracell’s fields of activity.

Diversity, equity and inclusion remain central to our talent development practices.

Bracell’s training and development strategy includes leadership development programs for all management levels. We also run initiatives designed to prepare operational employees with leadership potential for future management roles. In addition, our Cultivando Potenciais program for non-leadership employees has 50% of available spots reserved for women. This program includes a dedicated development track for women, focused on advancing gender equity at Bracell.

We ended 2025 with women representing 27.7% of leadership positions. This corresponds to 113 women out of 408 leaders. 

This group includes 69 coordinators, 38 managers and 6x senior managers. 

Note: the women in leadership target in our Bracell 2030 roadmap is based on the number of female leaders working directly in our pulp operations. The baseline for this target is 2020. Bracell Papéis operations began in 2023.

 Underrepresented groups

As part of our Diversity & Inclusion (D&I) targets, we also aim to foster a more inclusive work environment for our minority groups, with a target of achieving 90% positive feedback from these employees on respect and equity in the workplace by 2030.

In 2025, we made meaningful progress in awareness and engagement initiatives. We launched anti-racism and anti-ableism learning tracks for all employees.

We also enhanced the governance of these groups’ initiatives through structured action plans designed to make our organization more inclusive. We expanded existing initiatives, such as transforming Diversity and Inclusion Week into Diversity and Inclusion Month, broadening the discussion to cover themes relevant to underrepresented groups.

With key performance indicators defined through our 2024 Diversity & Inclusion Census, we began implementing the first structured initiatives for underrepresented groups across all operations—in Bahia, these initiatives have been in place since 2022.

Bracell’s diversity and inclusion practices (read more under GRI 405-1 Diversity of governance bodies and employees) include measurable targets, a Diversity & Inclusion Committee, and affinity groups focused on gender, race, people with disabilities, LGBTQIAPN+, and generations—the latter launched in 2024 in our Bahia operations. We are a signatory to the Women’s Empowerment Principles (WEPs), a UN Global Compact and UN Women initiative providing guidance on promoting gender equality and women’s empowerment in the workplace, marketplace, and community. Bracell is also actively involved in industry organizations aligned with this agenda.

Afro Fashion Day

For the third consecutive year, we participated in Afro Fashion Day, the largest event devoted to increasing visibility of black fashion in Brazil. At the Bracell-designed spaces, guests created looks using scarves produced by women from the Bracell-supported social project Fábrica de Fardamentos in Bahia. We also showcased a men’s outfit made with viscose fabric, a material derived from the dissolving pulp produced by Bracell.

Diversity within Bracell 2030

In 2025, following a review of the Diversity and Inclusion Census results, we expanded our action plan to further build an inclusive workplace for underrepresented groups—one of the commitments under our Bracell 2030 roadmap. During the year, we also reached 27.7% women in leadership positions, totaling 113 female leaders serving as coordinators, managers and senior managers.

Training & development

Bracell offers employees a corporate learning program with a structured training matrix that builds both soft and hard skills. Through our knowledge hub—the Bracell Learning Institute—we offer development tracks tailored to our forestry, mill, logistics, and supporting operations.

Our training programs are a key differentiator in attracting and retaining talent. Training initiatives are directly aligned with Bracell’s business challenges and support employees’ personal and professional growth, while also reflecting our T.O.P.I.C.C values (read more under GRI 2-6 About Bracell).

Training is offered both in person and online. Learn more about each initiative under GRI 404-2 – Programs for upgrading employee skills and transition assistance programs.

In 2025, we launched a new program, called Geração Futuro, in partnership with SENAI. Primarily designed for the children of our employees, the program provides technical education in the pulp and paper industry, along with scholarships to study English (read more under GRI 404-2).

During the year, we also expanded our Colheita de Talentos program to the municipalities of Garças and Marília, in the state of São Paulo, located near our forestry operations, in partnership with Senai. Originally launched in Bahia in 2021, the initiative has already trained 96 Harvester and Forwarder machine operators for forest operations across eight cohorts. In São Paulo, 77 new operators graduated and 20 were hired by Bracell. 

Impacts and risks

Bracell conducts comprehensive assessments of the potential and actual impacts related to the material topics in our materiality matrix. These assessments address both positive and negative aspects across the economy, environment, and people—including impacts on human rights.

For the topic Talent acquisition, development and retention, the aspects shown in the table below were identified. For each aspect, we work to prevent impacts from occurring and also have measures in place to reduce or mitigate impacts should they occur.

Potential impacts	Actual impacts
No negative potential impacts were identified.	Work-life imbalance: in remote operations located far from urban centers, absenteeism may increase as a result of limitations in chartered transportation, as well as dissatisfaction related to commuting time, overtime and the lack of flexible work arrangements.
	Decline in employee engagement levels: resulting from a potential reduction in favorability scores identified in the engagement survey.
	Higher turnover: due to the rising appeal of other jobs in the market offering better benefits, flexibility, and pay.

Bracell’s Compensation Policy applies to all employees. This policy establishes a minimum wage that is higher than the local minimum wage. The Policy is guided by inclusive principles that promote equal opportunity and diversity across dimensions such as gender, ethnicity, age, religion, sexual orientation, geographic origin, social class, and personal values, while recognizing individual strengths and talents.

Salaries are determined based on several factors, including current labor laws and collective bargaining agreements (read more under GRI 2-30), the role’s weight and importance within the organizational structure, market practices, internal pay equity, external competitiveness, the expertise and skills required for each position, organizational strategies, available budget, and the company’s financial position.

The salary table is updated annually based on compensation surveys conducted by specialized consulting firms, taking into account factors such as competition, region, labor availability, unemployment rates, and market turnover.

The total compensation package offered by the company includes basic salary, bonuses, variable compensation, and benefits, and is designed to be competitive within the market.

In addition, a significant portion of contractors engaged in supporting activities are compensated in accordance with the prevailing local minimum wage. To ensure integrity in these relationships, Bracell conducts rigorous due diligence to verify compliance with labor legislation and applicable collective bargaining agreements. This oversight is conducted through systematic document reviews and the inclusion of mandatory contractual clauses requiring partner companies to fully comply with their legal obligations toward their workforce.

At Bracell, the term “senior management” refers to individuals serving as President, Vice President, Chief Operations Officer, or Head of Operations. As of the reporting year, Bracell’s senior management team comprises 15 members—14 based in São Paulo and 1 in Bahia. In 2025, no directors were recruited from the local community.

At present, Bracell Papéis does not have dedicated executives within its organizational structure. 

Read more under GRI 405-1 Diversity of governance bodies and employees).