HR leaders have 'critical, but often overlooked' role, says expert
Business leaders across the world have long been encouraged to take climate action as the world grows hotter amid an era of "global boiling."
The pressure on businesses, however, is not only coming from government leaders and environmental advocates, but also from in house.
Recent findings in New Zealand have shown that at least a third of young employees think their organisation's environmental efforts are "very important" to them.
Ella McKinley, Equitable Design Lead at Culture Amp, said HR leaders have a "critical, but often overlooked, role to play in climate action."
"This is a real opportunity area for HR professionals to improve employee experience by embedding sustainability values," McKinley told HRD.
Culture Amp's recent findings revealed that a genuine commitment to sustainability can boost employee engagement by 16%.
"HR leaders can't afford to overlook this sizable benefit that genuine sustainability can offer to engagement," McKinley said. "For companies looking to attract and retain generations entering the workforce, a genuine commitment to sustainability can go a long way."
To embed sustainability in a workplace culture, McKinley suggested the creation of an environment-focused Employee Resource Group or affinity group.
"This provides an avenue for passionate employees to contribute to sustainability and escalate ideas to senior management," she said.
Another way to demonstrate authentic care is by extending mental health resources to employees struggling with climate anxiety or facing climate emergencies, according to McKinley.
"Employees around the world are increasingly facing climate impacts like floods, wildfires, and heatwaves. People leaders are at the frontline of supporting these employees and providing them access to physical and mental health resources," she said.
But the rise of sustainability practices can also raise the risk of greenwashing among organisations.This is when an organisation misleads stakeholders to believe they are doing more to protect an environment than they are.
"It can be deliberate or accidental where claims are unintentionally overblown or misrepresented," McKinley said.
She warned that fundamental greenwashing leads to reputational damage and a loss of trust in company claims. It also has an impact on employee engagement.
"What is often overlooked is the internal impact on employee engagement. A breakdown in trust between employers and employees can lead to lasting impacts which can be hard to repair," she pointed out.
To avoid greenwashing, it is important that organisations are clear on their "why" and "how" their environmental initiatives are linked to their mission and values.
"By rooting sustainability in these company foundations, they send a clear message that their commitment is genuine and ongoing," McKinley advised.
"The next step is committing to providing annual disclosure of carbon emissions and other impact metrics."
McKinley underscored that sustainability targets won't always be met, but regular communication can maintain trust even if organisations fall short of their goals.
"Every company should start with setting ambitious sustainability targets and publicly reporting against these, but this is just the beginning," she said. "Genuine sustainability requires a cultural shift to valuing the environment."
