**London**: A recent report indicates a significant divide in sustainability priorities between senior executives and junior staff in global financial centres, revealing a higher commitment among leaders to environmental, social, and governance factors, despite declining company ESG commitment in the US.
A recent report by Economist Impact, conducted in collaboration with Kyocera Document Solutions, reveals a distinct divergence in sustainability priorities between senior executives and junior employees within major global financial centres. The findings challenge the notion that sustainability is mainly a concern for younger workers, instead highlighting a significant interest in environmental, social, and governance (ESG) factors among senior management.
The study surveyed 630 professionals across key financial hubs including London, New York, Singapore, Sydney, and Tokyo. The results indicate that 41% of senior executives consider an employer’s ESG reputation crucial during their job search, contrasting sharply with only 24% of junior employees who share this view. Furthermore, a substantial 43% of senior executives expressed willingness to accept a lower salary in exchange for positions at companies known for their social and environmental responsibility, compared to just 18% of junior respondents.
These attitudes reflect a growing recognition among senior leaders that ESG factors are now integral to career decisions, even as there has been a reported decline in ESG commitment among companies in the US. Conversely, it appears that financial pressures such as rising living costs and job insecurity may be influencing younger employees to prioritise immediate financial stability over longer-term sustainability considerations.
Despite these differing priorities, there is a notable consensus on the importance of workplace sustainability, with 80% of senior executives and 81% of junior employees agreeing that education on sustainable practices is vital for achieving sustainability goals by 2030. Both groups recognise the potential benefits of ESG initiatives for investor relations and productivity, viewing these as key drivers for the next 12 to 18 months.
However, the report does identify significant gaps in leadership engagement. Nearly half (47%) of junior employees cite a lack of strong leadership support as a primary obstacle to effective sustainability initiatives. The findings also reveal differing perceptions of progress on social sustainability, particularly regarding workers’ rights within supply chains. While 45% of senior executives are confident that their organisations uphold human rights standards, only 36% of junior employees, who are often more closely aligned with supply chain processes, feel the same.
To close this perceptual gap, the report advocates for a more inclusive approach to sustainability leadership, suggesting that junior employees be granted greater opportunities to engage in developing sustainability strategies. Jonathan Birdwell, Head of Policy and Insights at Economist Impact, emphasised the importance of collaboration across all levels, stating that “corporate sustainability cannot succeed as a top-down directive alone”. He noted that while executives are responsible for setting ESG strategies, employees at all levels should be involved in their implementation for meaningful change to occur.
As the prioritisation of sustainability evolves in the workplace, the report highlights the crucial opportunity for corporate leaders to embed ESG values into the company culture, transforming them from mere policies into shared responsibilities fostered by transparency and engagement across the workforce.
Source: Noah Wire Services
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