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The future of recruiting includes ESG initiatives

Whether or not a company acknowledges how much their social, environmental and governance (ESG) decisions impact the world around them, candidates are taking notice. Most job seekers will pass over a company that is not taking steps to improve how they show up outside of their business metrics for an organisation that does.    This…

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Mar 18, 2022

Whether or not a company acknowledges how much their social, environmental and governance (ESG) decisions impact the world around them, candidates are taking notice. Most job seekers will pass over a company that is not taking steps to improve how they show up outside of their business metrics for an organisation that does. 
 
This article will explore if ESG is the future of the workforce. 
 

How ESG alignment provides more value

ESG is the new-age measurement for organisation and social responsibility. A business is inextricably intertwined with environmental, social and governance concerns. Therefore, presenting a strong stance on each can add more value for both your organisation, its employees, stakeholders and those who are considering your company for a job. 
 
But first, here is a brief explanation of what each aspect of ESG represents:
 
  • Environment: Concerns related to environmental energy and resources your business uses, the waste produced and the result of maintaining this lifestyle outlines the E in ESG. This is especially important when it comes to climate change and carbon emissions. 
  • Social: Social criteria are occupied by how a company operates within the social sphere with which it interacts. This social circle includes all stakeholders, as well as the social impact your business may have on its community (e.g. volunteering, hiring practices, fair treatment policies, etc).
  • Governance: Corporate governance implications include all of the laws and regulations your business must follow, the internal culture it fosters, systems best practices and so forth to govern itself and stay compliant. 
 
When these criteria are kept in check, balanced and aligned with the expectations of its community, everyone benefits from the business — no matter how connected or directly involved they may be. 
 

Why is being conscious of ESG important for a business?

From a candidate’s perspective, environmental and social are more important and top of mind. How a business interacts with its environment both from a conservation perspective and a communal perspective will have a big impact on how attractive it is to job seekers. 
 
Be prepared to disclose more information than you would have in the past. Publicly traded businesses are required to report on their level of ESG annually, and candidates are increasingly more interested in how businesses are taking initiative. 
 
Companies need to highlight how they are contributing to ESG efforts. Candidates and stakeholders want to see everyone is putting in their best effort to make a change in the world.
 

How to implement ESG strategy

The best way to implement ESG is to follow through with promises made. Candidates will be looking into how the companies they’re applying to are taking action, the policies they are putting into place and the outcomes of their efforts. The promises set forth by an organisation should be available for job seekers to easily uncover. 
 
Businesses need to be genuine about creating positive social, environmental and governance impacts with metrics, surveys and proof of action. ESG deeds can look like paid volunteer days, donating to organisations, reducing the waste used overall by the company (cutlery, plates, cups, paper, pens, etc.), or creating behaviours to be a better citizen.
 

Is the future ESG?

Now with the government’s involvement in ESG efforts instead of each individual business having to make the decision themselves, organisations are being held accountable for their actions and impact on the community. No longer is ESG a “nice to have,” it is a must. 
 
If you’re hiring roles in the social, environmental, and governance sectors of your business — or just getting started, Salt & Shein is here to help recruit. 
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Mar 18, 2022

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