Top CEO Warns Against Neglecting ESG Commitments
Mars' CEO, Poul Weihrauch, has recently emphasized the importance of companies maintaining their environmental, social, and governance (ESG) commitments, stating that if businesses do not continue to push forward with their social and environmental responsibilities, they risk losing a generation of talent. In an interview with the Financial Times, Paul stated that he believes that the younger workforce is more focused on purpose and values, and companies that prioritize profits over their ESG commitments will find it difficult to attract and retain top talent.
In recent years, Mars has been more open about its efforts to reduce greenhouse gas emissions and clean up its supply chains. The company intends to increase its spending on sustainability initiatives, from $1.1bn over the past three years to $2.7bn over the next three years, reflecting its commitment to responsible growth. This investment in sustainability aligns with the values of younger generations, who seek to work for companies with a purpose beyond just making money.
In the interview, Weihrauch acknowledged that ESG commitments have become politicized, but maintains that quality companies are deeply invested in these issues. He believes that the conversation around ESG being at odds with profit is a "nonsense conversation" and that the two can coexist. Weihrauch has also called on politicians to take more responsibility in areas such as providing recycling systems while maintaining a dialogue with "good big businesses that want to drive change."
Mars recruits 25,000 people annually, and the company's CEO believes that its employees, whom they call "associates," will not stay with the company if it doesn't care about ESG or purpose. This highlights how important it is for companies to prioritize ESG commitments, not just for reputation but also for attracting and retaining top talent. As such, Mars' commitment to sustainability and responsible growth will likely be a significant factor in the company's ability to recruit and retain staff in the future.
Mars' focus on sustainability initiatives and responsible growth is essential not only for the company's reputation but also for attracting and retaining top talent, particularly among younger generations. Companies that prioritize profit over their ESG commitments may struggle to compete for talent, as employees increasingly seek to work for companies with a strong sense of purpose and a commitment to making a positive impact on society and the environment.
Reference : https://www.ft.com/content/15ba3866-b444-4c7a-bb6c-7f187b84be07