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Comment Synopsis Besides the sustainable gifts, companies are also giving experiential gifts like travel or stay at a hotel to employees, especially as the pandemic subsides, said executives at gifting companies like IGP, Ferns N Petals, Wrapping Happiness and Xoxoday. Getty Images Just like corporate goals, corporate gifting across India Inc is getting more aligned towards sustainability this Diwali. A host of companies like PepsiCo , MakeMyTrip , Livspace and Dunzo , among others, are focusing on sustainability and environment-friendly gifting this year.
With a large section of employees still in remote and hybrid working mode, experiential and utility-driven gifts have also picked up steam, executives at gifting companies like Ferns N Petals, IGP. This NGO provides livelihoods for underprivileged people with disabilities. Cos Turn to Personalised Gifts "More and more companies are switching to more sustainable and eco-friendly utility products that can be used by the entire family There is a reusability aspect to each element, as well as a pro-local business approach, Poddar said.
Hybrid Workforce Besides the sustainable gifts, companies are also giving experiential gifts like travel or stay at a hotel to employees, especially as the pandemic subsides, said executives at gifting companies like IGP, Ferns N Petals, Wrapping Happiness and Xoxoday. For example, reducing the use of packaging materials means lower spending, and improved fuel efficiency also helps with the company's budget.
In a recent example, Walmart keyed in on packaging through their zero-waste initiative , pushing for less packaging throughout their supply chain and for more of that packaging to be sourced from recycled or reused materials. One of the challenges with the environmental pillar is that a business's impact is often not fully costed, meaning that there are externalities that are not reflected in consumer prices.
The all-in costs of wastewater, carbon dioxide, land reclamation, and waste in general are not easy to calculate because companies are not always the ones on the hook for the waste they produce. This is where benchmarking comes in to try and quantify those externalities, so that progress in reducing them can be tracked and reported in a meaningful way. The Social Pillar The social pillar ties back into another poorly defined concept: social license.
A sustainable business should have the support and approval of its employees, stakeholders , and the community it operates in. The approaches to securing and maintaining this support are various, but it comes down to treating employees fairly and being a good neighbor and community member, both locally and globally.
Forum for Sustainable and Responsible Investment. On the employee side, businesses refocus on retention and engagement strategies, including more responsive benefits such as better maternity and family benefits, flexible scheduling, and learning and development opportunities. For community engagement, companies have come up with many ways to give back, including fundraising, sponsorship, scholarships and investment in local public projects.
On a global social scale, a business needs to be aware of how its supply chain is being filled. Is child labor going into the end product? Are people being paid fairly? Is the work environment safe? Many of the large retailers have struggled with this as public outrage over tragedies like the Bangladesh factory collapse , which have illustrated previously unaccounted for risks in sourcing from the lowest-cost supplier. The Economic Pillar The economic pillar of sustainability is where most businesses feel they are on firm ground.
To be sustainable, a business must be profitable. That said, profit cannot trump the other two pillars. In fact, profit at any cost is not at all what the economic pillar is about. Activities that fit under the economic pillar include compliance, proper governance , and risk management. While these are already table stakes for most North American companies, they are not the global standard.
Sometimes, this pillar is referred to as the governance pillar, referring to good corporate governance. This means that boards of directors and management align with shareholders' interests as well as that of the company's community, value chains, and end-user customers. With regard to governance, investors may want to know that a company uses accurate and transparent accounting methods, and that stockholders are given an opportunity to vote on important issues. They may also want assurances that companies avoid conflicts of interest in their choice of board members, don't use political contributions to obtain unduly favorable treatment and, of course, don't engage in illegal practices.
It is the inclusion of the economic pillar and profit that makes it possible for corporations to come on board with sustainability strategies. The economic pillar provides a counterweight to extreme measures that corporations are sometimes pushed to adopt, such as abandoning fossil fuels or chemical fertilizers instantly rather than phasing in changes.
The Impact of Sustainability The main question for investors and executives is whether or not sustainability is an advantage for a company. In practical terms, all the strategies under sustainability have been co-opted from other business movements like Kaizen , community engagement, the BHAG Big Hairy Audacious Goal , talent acquisition, and so on.
Sustainability provides a larger purpose and some new deliverables for companies to strive for and helps them renew their commitments to basic goals like efficiency , sustainable growth , and shareholder value. Perhaps more importantly, a sustainability strategy that is publicly shared can deliver hard-to-quantify benefits such as public goodwill and a better reputation.
If it helps a company get credit for things they are already doing, then why not? For the companies that cannot point to an overall vision to improve in these three pillars, however, there isn't a real market consequence—yet. The trend seems to be making sustainability and a public commitment to its basic business practices, much like compliance is for publicly traded companies. If this comes to pass, then companies lacking a sustainability plan could see a market penalty, rather than proactive companies seeing a market premium.
For some companies, sustainability represents an opportunity to organize diverse efforts under one umbrella concept and gain public credit for it. For other companies, sustainability means answering hard questions about the how and why of their business practices that could have a serious, if gradual, impact on their operations. What Is Corporate Sustainability Reporting?
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Youth training and development, especially of digital skills, can vault this group into the middle class—and help close skill gaps in the rest of the world. Over the past ten years, the cost of electricity from renewables fell about 50 to 85 percent.
Renewables are now gaining ground in developing economies. In sub-Saharan Africa, a region with the lowest energy-access rate in the world, decentralized renewable solutions such as rooftop solar are taking root. Jan Corfee-Morlot et al. Lower emissions and reduced air pollution can improve health and allow more people to participate productively in the economy.
History has some instructive lessons: after passage of the Clean Air Act in the United States, in , reduced pollution increased the labor-force participation rate for affected individuals and had a positive long-run impact on wages. These three goals—sustainability, inclusion, growth—are daunting. Fortunately they can strengthen and reinforce each other. Squaring the circle If only each element of the circle of sustainable, inclusive growth created purely positive reinforcements to the others, the way forward would be clear.
But the reality is that sustainability, inclusion, and growth also counteract. Squaring this circle means combating three sets of potential counterforces, which could be just as powerful as the reinforcing loops. First is the persistent rise in inequality, which could worsen with growth. Already, 70 percent of the global population live in countries where inequality is mounting.
Second is rising resource consumption and emissions. Growth affects inclusion through skill-biased inequality—and its magnitude is set to rise with trends accelerated by the COVID pandemic. Growth in the knowledge-based economy has stoked demand for higher-level cognitive, technological, and socioemotional skills — a demand not matched by the supply of workers with such skills.
As a result, a skill-biased inequality in many countries has sprung up. In the United States, for example, wages for middle-income jobs grew by 1. As the pandemic accelerates digitization and automation, almost all growth in labor demand could occur in high-wage occupations. The number of workers who would need to make occupational transitions by in order to stay employed would increase by up to 25 percent , including—for the first time—many low-wage workers.
Growth counteracts sustainability through greater resource consumption. As growth expands in emerging countries, the problem of an increasing global material footprint could get worse. If increased demand from a globally expanding consuming class is not accompanied by improvements in resource efficiency, this will put an even heavier burden on the planet.
If consumers and businesses shoulder the burden, near-term growth and inclusion could suffer, even though the longer-term benefits are clear. If costs are passed on to consumers, energy prices could rise well before the gains are eventually reaped, and if costs are passed on to businesses, the profitability of whole sectors could suffer. This dynamic sets up the potential for two counteractions: uneven distribution of impact and a challenge to the goal of inclusion.
The energy transition could affect some countries and sectors severely. Oil- and natural-gas-producing economies could see their annual per capita income from these products fall by about 75 percent by the s , according to the International Energy Agency.
Lower-income countries will be disproportionately exposed because they have a higher share of emissions-intensive sectors and will also need to make higher investments relative to their GDP. Those sectors include power, automotive, construction, and others, all of which will be intensely affected, as will supply chains. Lower-income households are disproportionately vulnerable. In Europe, recent rises in energy prices—the vanguard of the energy transition—are falling heavily on low-income households, prompting some governments, including in Spain, to provide subsidies.
And while the transition could lead to some 18 million more jobs in the green economy , according to International Labour Organization estimates, many people, especially lower-income workers, will need to retrain to qualify for these new jobs. However, poorly conceived measures to boost inclusion can have unintended negative consequences that can include distorted product markets, reduced investment, or faster environmental depletion.
For example, in developing economies, free or highly subsidized nonvolumetric pricing of electricity used to pump water can lead to groundwater depletion. Efforts to achieve equality can also backfire if they become a box-ticking exercise, or a quota-driven program, which may fail to address the root causes of inequality. As a result, the goal of achieving a fairer workplace or society may not be achieved, and outcomes may even worsen for certain groups.
As in the pandemic, we will need multiple experiments, unprecedented speed in scaling successful ones, and broad participation across actors. Such a feat cannot be left to enlightened self-interest: if it were that easy, the problem would already have been solved. We see six key challenges that will need to be tackled—with success or failure hinging on how effectively these challenges are met.
How to unlock growth supported by higher productivity of an additional 1. How to reskill and re-employ more than million workers who are in stagnating or shrinking occupations as a result of technological change, including the many millions who will likely be displaced by energy transitions? How to strengthen the social contract by achieving basic needs for median households, including affordable housing, healthcare, and energy—needs that are unmet for many of these families in both advanced and developing countries—in a way that attracts private-sector innovation and supply?
How to support the most vulnerable population segments—for example, the poorest one-fifth of the global population—that struggle with access and affordability in areas such as nutrition, water, energy, education, and financial capital? Answering these six questions would negate the counterforces mentioned earlier and allow the virtuous cycle to flow unimpeded.
The announcement comes as Sharjah Sustainable City prepares to launch Phase 3, with Phase 1 now completely sold out, and Phase 2 swiftly approaching a full sell out of units. With gorgeous designs, spacious layouts, excellent amenities and cutting-edge smart home and energy management technologies, properties in Sharjah Sustainable City offer the best of both worlds — an attractive and future-proof investment that also offers an economical and eco-friendly way of living and a high-quality of life.
As part of the process, the new homeowners are being introduced to all aspects of the pioneering eco-friendly lifestyle that they have chosen to be part of. This includes an overview of the many sustainable features of their smart homes, such as the energy-efficient appliances and rooftop solar PVC panels, as well as a comprehensive guide on how to minimise their energy and water consumption, and reduce and recycle waste in the community.
By launching projects that put safeguarding the environment at the forefront of their priorities, we will ensure better living standards for us and future generations.
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