DIVERISITY & INCLUSION

Britain's financial firms could see executive pay linked to workforce diversity

Senior managers at financial firms could see pay linked to their progress in making their workforces more diverse and inclusive, according to Britain's financial regulators in a discussion paper. UK financial markets regulators the Financial Conduct Authority (FCA) Prudential Regulation Authority (PRA), and the Bank of England (BoE) said increased diversity and inclusion (D&I) improved how companies were run and how decisions were taken, creating a more innovative industry that offers better products to consumers. The paper sets out several policy options, including making senior leaders responsible for D&I and linking remuneration to D&I metrics, setting targets for representation, as well as a new approach to consider D&I in non-financial misconduct. The paper also highlights the importance of data and disclosure for firms, regulators, and stakeholders to monitor progress. (ESG Today; Reuters)

COLLABORATION

Walmart, H&M, IKEA & Kingfisher launch ‘Race to Zero’ initiative for retailers

Leading global retailers H&M Group, IKEA, Kingfisher, and Walmart have announced the launch of the ‘Race to Zero Breakthroughs: Retail Campaign’, a new initiative aimedat driving climate action in the retail industry, and encouraging other retailers to set carbon reduction plans aligned with achieving net-zero and limiting warming to 1.5°C. The initiative is operated in partnership with the World Business Council for Sustainable Development  and the COP26 High-Level Climate Action Champions initiative, as part of the Race to Zero Breakthroughs scheme. Retailers joining the initiative commit to setting science-based targets, working to cut greenhouse gas emissions in half by 2030, and achieving net-zero carbon emissions by 2050 at the latest. So far, just 5% of retail businesses have committed to reducing value chain emissions in line with the Paris Agreement. (Edie; ESG Today)

RENEWABLE ENERGY 

TotalEnergies & Veolia partner to produce biofuels sourced from microalgae

French oil and gas company TotalEnergies has partnered up with waste and energy management company Veolia to begin a four-year research project into accelerating the development of microalgae cultivation using carbon dioxide. The two partners will pool their knowledge to develop a project at the La Mède biorefinery, with the long-term goal of producing biofuel from microalgae. TotalEnergies plan to work on the cultivation and refining of biomass while Veolia will bring its expertise in the water sector to optimise management of the microalgae's aquatic environment and focus on CO2 capture. While the EU aims to get about 25% of its transport fuel needs by 2030 from renewable sources including e-fuels, hydrogen and biofuels, there is growing concern that the use of biofuels sourced from soy cultivation has exacerbated deforestation.  (Biofuels International; Thomson Reuters Foundation)

STRATEGY

KFC UK & Ireland and Pilgrim’s set strategies for reaching net-zero by 2040

KFC UK & Ireland has announced a new commitment to reach net-zero by 2040.. The fast food company will soon pilot its first net-zero restaurant, improving its renewable energy procurement, energy efficiency and adding low-carbon technologies. It will also assess the embodied carbon of its construction materials of its new restauarants and existing locations. In related news, global meat company Pilgrim’s, best known for its chicken products in the US and Mexico and pork products in the UK, has set a global net-zero goal for 2040, with a more ambitious deadline of 2035 for its UK business. The announcement came shortly after JBS, which owns a majority stake in the business, outlined its own commitment to reach net-zero by 2040. (Edie)

EQUALITY

WeChat deletes Chinese university LGBT accounts in new online crack-down

Chinese tech giant Tencent's WeChat social media platform has deleted dozens of LGBT accounts run by university students, alleging some had broken rules on information on the internet, sparking fear of a crack-down on gay content online. Members of several LGBT groups said that access to their accounts was blocked and that all of their content had been deleted. Homosexuality was classified as a mental disorder in China until 2001, when it became legal. However, this year, a court upheld a university's description of homosexuality as a "psychological disorder". The LGBT community has repeatedly found itself falling foul of online censors. The Cyberspace Administration of China recently pledged to clean up the internet to protect minors and crack-down on social media groups deemed a "bad influence", potentially including LGBT groups.  (Thomson Reuters Foundation)

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