ESG - Are we failing to deliver a sense of purpose for employees?

In short … yes. Before accepting a job offer, people now ask, “what do you stand for?”. Organizations without a compelling answer will feel the impact. Employees want to align themselves with companies doing the right thing for the planet, society and their communities. Environmental, social and governance (ESG) as a strategy can deliver competitive advantage in both attracting and retaining talent, yet 36% of respondents say they don’t do ANY form of communication in this space. That’s a risk.

People want more than just a job. Financial reimbursements alone are taking a back seat while company culture and values become more important — alongside work-life balance and wellbeing. Existing employees are also more likely to stay with a company committed to ESG. And don’t be fooled into thinking they won’t do their research. They’re well versed in greenwashing and judge employers based on actions, not words — so quick wins won’t work. Purpose and meaning needs to be baked into company culture.

Put simply, authenticity is currency for the next generation. Gen Z was born into a world where fighting for social and environmental change is the norm, and they expect the same of their employer. Organizations without purpose will fall behind as top talent chooses organizations who share their world view. In a future where Gen Zs make up a third of the workforce, social capital is everything. Prioritising ‘purpose’ as highly as ‘profit’ will not only improve the world around you; it will make you a destination for a generation of talent that values authenticity over everything.

Gallagher is a global internal communication and employee experience agency.
From transforming workplace culture to championing the physical, emotional, career and financial wellbeing of employees, everything we do is linked to a strategic business objective — and designed to elevate every aspect of the employee experience.
Our communication consultants help clients communicate their strategy and vision; turn their leaders into engaging communicators; review their internal communication channels; maximize the perceived value of their rewards and benefits packages and accelerate business transformation.
We have offices in the UK, US, Canada and Australia, but we support organizations of all sizes on a global basis.