Procter & Gamble Responds to Help Its Employees and Neighbors

The Procter & Gamble Company said that it is deeply saddened by the loss of life and utter devastation brought about by Hurricane Katrina. “We are part of this community, and this disaster has hit our families, our friends and our community very hard,” said Bonnie Lemoine, External Relations manager for P&G in the State of Louisiana. P&G has more than 550 employees at coffee production sites, storage facilities and sales operations in the New Orleans region. More than 90% of P&G employees live in the St. Tammany, St. Bernard or Orleans parishes. So far, the company has confirmed the safety of all but 14 of its employees. But, several P&G employees have lost immediate family members and many have lost their homes. P&G is continuing to pay all of its employees affected in the region. It has also instituted a $5,000 employee no-interest loan program to enable employees to immediately access cash. The Folgers and Millstone coffee businesses along with the North American business have put up $250,000 to seed an employee relief fund. This fund will provide grants directly to employees to aid in their rebuilding efforts. The New Orleans plant organization has secured more than 50 trailers that will be used as temporary housing as soon as residents are permitted to return to the area. A special hotline has been set up for P&G employees in the affected area to get information and inform the company about their safety (866-345-0395). “We’re desperately hoping to hear from the remaining 14 employees who are still unaccounted for in the region,” said Ms. Lemoine. “Our employees come first. Their well-being and safety is our top priority.” P&G has also contributed $1 million in product and cash donations to The American Red Cross and America’s Second Harvest. Pampers diapers and wipes and other personal care products are in high demand. Vicks Vapo Rub is being shipped to help rescue workers overcome the odor of decaying bodies. The Iams Company, a P&G subsidiary, is providing food for sheltered and stray animals in the area. “We are working with officials to ensure our products are delivered when and where they are needed. We want to avoid the donation gridlock we are seeing in some places,” said Ms. Lemoine. In addition, the company has created a fund to accept employee donations that will ultimately go to community organizations in New Orleans. The Folgers, Millstone and North American business have agreed to match all donations by employees, retirees and friends of P&G. Despite their own hardships, more than 80% of the P&G employees located in the region are involved in volunteer efforts in the many shelters set up around the community. Further, many of the employees who still have homes are furnishing living space for displaced families. The company is still assessing the financial impact of Katrina on the business. It will likely take another week or two to complete the assessment.