Culture Amp research shows link between climate action and employee engagement
Companies that display a genuine commitment to sustainability have been found to have more engaged employees.
With Earth Day swiftly approaching, the global spotlight shines ever brighter on sustainability initiatives within the corporate realm. Yet, beyond the noble pursuit of environmental stewardship lies a compelling question: does a company’s commitment to sustainability resonate with its employees, and if so, to what extent?
In a landscape where corporate values increasingly influence job choices, a Deloitte survey unearthed a telling statistic: over half (55%) of respondents scrutinise a company’s environmental stance before accepting a job, with 40% willing to switch roles due to climate concerns.
But does this inclination translate into tangible engagement within the workplace?
Research suggests it does. Our latest Culture Amp data examining more than 100 companies actively pursuing climate action through science-based targets revealed a modest, yet discernible, uptick in employee engagement. These companies, distinguished by their commitment to measurable environmental goals, boasted a 2% point increase in overall engagement compared to counterparts of similar size and industry. Notably, this uptick was most pronounced in employee commitment, with a 4% point surge in long-term loyalty observed among staff members.
However, the key differentiator lies not merely in setting targets, but in embodying a genuine dedication to sustainability. Companies perceived by employees as authentically committed to environmental and social impact initiatives saw a remarkable 16% point surge in engagement levels. This authenticity resonated across generations, though younger cohorts, particularly gen Z, exhibited a heightened sensitivity to this aspect of corporate culture.
Alarming though it may be, the majority of organisations remain oblivious to the significance of employee perceptions regarding sustainability commitments. Astonishingly, only 37% of companies in Australia inquire about their workforce’s sentiments regarding the genuineness of their sustainability efforts.
Yet, amidst this disparity, a beacon of hope emerges in the form of actionable solutions. Initiatives such as team service days that grant employees dedicated time for volunteering have demonstrated a profound impact on employees’ perceptions of a company’s commitment to social responsibility. Companies implementing such practices witnessed a notable 15% point surge in employee perception of authenticity, fostering a deeper sense of purpose and connection among staff members.
Environmental urgency means there is an imperative for companies to authentically engage with sustainability initiatives has never been clearer. It is no longer sufficient to merely pay lip service to environmental goals; genuine commitment is the catalyst for meaningful change. By fostering a culture of authenticity and actively soliciting employee feedback, companies can unlock the full potential of their sustainability strategies, driving not only environmental impact but also fostering a workforce deeply engaged in the pursuit of a shared purpose.
Ella McKinley is equitable design lead, sustainability, at Culture Amp.
