UN report: CEOs finding it harder to justify the business case for sustainability
According to the latest report from the United Nations Global Compact (UNGC), businesses “may have collectively reached a plateau in the advancement of sustainability.” The study, which was carried out by Accenture and surveyed more than 1,000 CEOs worldwide, found that while the corporate sustainability movement is broadening with a deeper awareness and commitment, CEOs are finding it progressively harder to justify the business case for sustainability, with 37 percent stating that they were unable to trace a link between sustainability and business value. To overcome this barrier, CEOs are calling for active intervention by governments and policymakers, in collaboration with business, to align public policy with sustainability at global, national and local levels, and also emphasised the need to learn from those companies who are leading the way. Peter Lacy, the Managing Director of Accenture’s Strategy Practice & Sustainability Services, said that “without radical, structural change to markets and systems, CEOs believe, business may be unable to lead the way toward the peak of a sustainable economy." (Guardian Sustainable Business; Edie)
Employees
Bonuses that go to charity can boost job satisfaction and performance
According to a US study, companies which give money to their employees to spend on charities or on their colleagues get better results. The researchers, who referred to these rewards as “pro-social bonuses”, discovered that employees who had $50 to donate to charity reported enhanced happiness and job satisfaction compared with employees who had less to donate or those who were given no money to donate. The findings also revealed that when people spent the money on teammates, team performance improved. Lalin Anik, the lead researcher on the study from the Fuqua School of Business at Duke University, said that “the results across three studies suggest that a minor adjustment to employee bonuses, shifting the focus from the self to others, can create a more altruistic, satisfying and productive workplace.” (Los Angeles Times)
Tax
Google and Facebook face possibility of tougher EU tax and privacy rules
France is proposing a European Union (EU) regulatory regime for digital platforms and applications, as well as a tax regime for digital companies, such as Google and Facebook, to ensure that profits made in the European market are subject to taxation and that the revenues are shared between member states. Fleur Pellerin, the French Digital Economy Minister, said that “what we have in mind is to find the criteria to define the taxable basis that we can attach to European territory.” France wants to bring together the main European countries to create a “level playing field” in the digital economy, in order to allow European technology and telecoms companies to “become a major player in international competition.” (Financial Times*)
Environment
Tetra Pak: Consumer and industry demand for renewable packaging increasing
Research by the Swedish packaging company Tetra Pak has found that consumers are demanding more renewable materials and environmental labelling on the products that they buy. The study ranked the use of bio-based materials and the growing demand for more environmental labelling as two of the most important environmental trends shaping the future of food packaging. 37 percent of consumers surveyed said that they regularly search for environmental logos on food packaging and 54 percent of consumers are influenced by environmental labelling on products, compared with 37 percent in 2011. The research also revealed that the ability to recycle packaging material is regarded as a top priority among food industry stakeholders when developing a product. The research findings follow Tetra Pak’s admission earlier this month that the business is lagging on its recycling objectives and that it needs to triple the amount of recycled packages sold by 2020, from 2010, to meet its 40 percent target. (Edie)
Supply Chain
Up to 40% of UK food wasted because of ‘ugliness’
According to a study commissioned by the UK’s Global Food Security research programme, retailers often refuse to stock edible products if they do not meet shape or blemish standards criteria. The study, Food Waste within Global Systems, states that as a result, up to 40 percent of edible food never reaches supermarket shelves because it is aesthetically unpleasant. The report states that it will not be possible to feed the growing population in the future without effective measures to tackle food waste. Tim Benton, Professor of Population Ecology at the University of Leeds, said that “new approaches and new research will be instrumental in reducing waste, such as smarter packaging for retailers, improved understanding of consumer behaviour, and better weather prediction that will reduce waste at harvest.” (Blue and Green Tomorrow)
COMMENTS