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Die Geschichte des Nachhaltigkeitsberichts: So hat er sich entwickelt
Die Geschichte des Nachhaltigkeitsberichts beginnt in den 1980er Jahren – damals gab es die ersten freiwilligen Umweltberichte. Seitdem hat sich viel getan – bis hin zu einer Berichtspflicht. Lesen Sie, welche Meilensteine und Treiber den ESG-Bericht geprägt haben und wie sich die Berichte in Tiefe und Qualität entwickelt haben.
Geschichte des Nachhaltigkeitsberichts von 1980-2000: Die Ära der Umweltberichte
Die Geschichte des Nachhaltigkeitsberichts geht bis in die 1980er Jahre zurück. Für den Einstieg in diesen Blogartikel gehen wir aber noch etwas weiter zurück. Dadurch erkennen wir, warum das Thema Nachhaltigkeit und ESG plötzlich so populär wurde.
Wir beamen uns sozusagen an den Anfang der 1970er Jahre. Die Welt war geprägt von schnellem Wandel und tiefgreifenden gesellschaftlichen, wirtschaftlichen und politischen Entwicklungen. Der Kalte Krieg dominierte die internationale Politik. Die Ölkrise machte den Menschen die Abhängigkeit von fossilen Brennstoffen und deren Endlichkeit bewusst. Das wirtschaftliche Wachstum und die Industrialisierung hielten weiter an. Gleichzeitig verschlechterten sich jedoch die Umweltbedingungen beispielsweise durch verschmutzte Luft und Gewässer.
Genau in dieser Zeit wurde ein Buch veröffentlicht, das weltweite Aufmerksamkeit erhielt. Titel: “Die Grenzen des Wachstums”. Herausgeber: der Club of Rome, eine Vereinigung von Wissenschaftlern, Ökonomen, Geschäftsleuten und ehemaligen Politikern. Dies war ein Wendepunkt. Der Club of Rome spielt eine zentrale Rolle dabei, dass die Themen Umweltbewusstsein und Nachhaltigkeit erstmals global wahrgenommen wurden.
Aber hier müssen wir direkt etwas bremsen: Es hat sich nicht gleich alles geändert. Erst nach und nach sind dem Bewusstwerden auch Taten gefolgt.
Es gab aber bereits die ersten Vorläufer des Nachhaltigkeitsberichts. In den 80er Jahren veröffentlichen Chemiekonzerne sogenannte Umweltberichte über ihre Aktivitäten im Umweltbereich. Diese waren freiwillig und dienten vor allem der Imageverbesserung, da die Branche starker Kritik ausgesetzt war. In den 90er Jahren folgten kleinere und mittlere Unternehmen (KMU), die sich für Umweltthemen engagierten.
Von der Ganzheitlichkeit heutiger Nachhaltigkeitsberichte waren die damaligen Berichte aber noch ein Jahrzehnt weit entfernt. Erst dann setzte sich die Berücksichtigung aller ESG-Aspekte durch – also von Umwelt, Sozialem und Unternehmensführung.
Bevor wir unsere Zeitreise fortsetzen, blicken wir auf ein paar Highlights aus den Jahren der Umweltberichte:
- 1979: Die erste Weltklimakonferenz unter dem Dach der UN findet in Genf statt.
- Ende 1980: Viele Chemiekonzerne veröffentlichen Umweltberichte.
- Anfang 1990: Einige kleine und mittelständische Unternehmen ziehen nach und veröffentlichen ebenso Umweltberichte zu Marketing-Zwecken.
- 1995: Mit der Einführung der EMAS werden vermehrt Umwelterklärungen erstellt (gleichzusetzen mit Umweltberichten).
Geschichte des Nachhaltigkeitsberichts von 2000-2010: Großkonzerne berichten
Unsere Reise durch die Geschichte des Nachhaltigkeitsberichts geht mit der Jahrtausendwende weiter. Im Vergleich zu heute war die Aufmerksamkeit für das Thema Nachhaltigkeit und ESG überschaubar. Aber es gab wichtige Entwicklungen, die es in den nationalen und internationalen Fokus rückten.
Bereits 1997 wurde das Kyoto-Protokoll unterzeichnet, 2005 trat es in Kraft. Es war das erste internationale Abkommen, das verbindliche Ziele zur Reduzierung der Treibhausgasemissionen festlegte. 2002 beschloss Deutschland, wie auch andere Staaten, eine „Nationale Nachhaltigkeitsstrategie”.
Zusätzlich zum öffentlichen Interesse gaben auch neue Technologien dem Thema Nachhaltigkeit Aufwind. Zur Jahrtausendwende stieg die Windkraft zur wichtigsten aller erneuerbaren Energien auf. Zehn Jahre später wurde sie von der Solarenergie an der Spitze abgelöst. Der gesamte Vormarsch aller erneuerbaren Energien war nicht zu stoppen.
Während das Thema Nachhaltigkeit an sich an Bedeutung gewann, wirkte sich dies noch nicht stark auf die ESG-Berichterstattung aus. Bis 2010 veröffentlichen hauptsächlich große Unternehmen einen freiwilligen Nachhaltigkeitsbericht – sie erkannten die steigende Aufmerksamkeit für das Thema.
Zwei Ereignisse sorgten hier jedoch für einen bedeutenden Impuls. Die Global Reporting Initiative (GRI) veröffentlichte ihre ersten Leitlinien. Sie gaben Unternehmen einen Rahmen, um über ökologische, soziale und wirtschaftliche Aspekte zu berichten. Die Leitlinien wurden über die Jahre zu den GRI-Standards (ab 2016) weiterentwickelt. Außerdem kam das Thema Sustainable Finance auf. Dabei wurden spezielle Indizes mit Unternehmen erstellt, die nachhaltiger handeln.
Bevor die Geschichte der Nachhaltigkeitsberichte richtig an Fahrt aufnimmt, schauen wir noch auf die wichtigsten Meilensteine aus dieser Zeit:
- 1999: Die GRI-Leitlinien werden veröffentlicht, zeitgleich gewinnt das Thema Sustainable Finance an Bedeutung. Die Ära der Umweltberichte ist damit vorbei und es fließen zunehmend soziale und ökonomische Aspekte in die Nachhaltigkeitsberichte ein.
- 2000: Die Non-Profit-Organisation Carbon Disclosure Project (CDP) wird gegründet. Sie hat das Ziel, dass u.a. Unternehmen Umweltdaten wie Treibhausgasemissionen sowie Wasserverbrauch veröffentlichen, und verwaltet inzwischen die größte Datenbank dieser Art weltweit.
- 2003: Mit der EU-Modernisierungs-Richtlinie tritt die erste gesetzliche Berichtspflicht in Europa in Kraft.
Geschichte des Nachhaltigkeitsberichts von 2014-2019: Boom an Rahmenwerken
Ab 2010 begann ein regelrechter Boom an Regularien zur ESG-Berichterstattung. Damit einhergehend wurden zahlreiche Berichtsstandards und Rahmenwerke entwickelt, die Unternehmen eine standardisierte Methode zur Offenlegung von Nachhaltigkeitsaspekten boten. Dies führte dazu, dass die Berichte einheitlicher und übersichtlicher wurden und die Transparenz stieg.
In den Standards war eine ganzheitliche Betrachtung von Nachhaltigkeit verankert. Typischerweise ging es im Umweltbereich um CO2-Emissionen, Energieverbrauch und Abfall. Soziale Aspekte waren etwa Arbeitsbedingungen, Menschenrechte und Gemeinwesen. Unter Governance fielen Themen wie Unternehmensführung und ethische Geschäftspraktiken. Unternehmen fingen an, ihre Nachhaltigkeitsziele und ihre Fortschritte klarer zu definieren und zu messen.
Viele Unternehmen erkannten, dass nachhaltige Praktiken nicht nur gut für das Image sind. Sie können auch wirtschaftliche Vorteile bringen, wie beispielsweise Kosteneinsparungen, Risikominderung und eine verbesserte Wettbewerbsposition. Welchen Business Value das Thema Nachhaltigkeit erzielen kann, lesen Sie im Blobeitrag “Warum ist Nachhaltigkeit für Unternehmen wichtig?”.
Auch zum Abschluss dieses Jahrzehnts wollen wir auf ein paar Highlights schauen. Dieses Mal geht es um wichtige Frameworks und Regularien:
- 2014: Die EU-Richtlinie zur nicht-finanziellen Berichterstattung NFRD (Vorgänger der CSRD) und ihr deutsches Umsetzungsgesetz CSR-RUG (folgte 2017) gelten. Damit werden große börsennotierte Unternehmen mit bestimmten Kriterien, wie etwa über 500 Mitarbeitende, berichtspflichtig.
- 2016: Die Nachhaltigkeitsziele der UN, die 17 SDGs, treten in Kraft und sind seitdem ein beliebtes Rahmenwerk für Berichte.
- 2017: Das TCFD-Framework wird veröffentlicht. Es stellt gerade für die Finanzbranche und kapitalmarktorientierte Unternehmen gute Empfehlungen für die Berichterstattung über Auswirkungen des Klimawandels dar.
- 2018: Ein weiteres Framework: die SASB-Standards. Heute sind sie Teil des ISSB, das Standards zur globalen Vergleichbarkeit schafft.
Übrigens: Wenn Sie einen Überblick über Standards und Frameworks benötigen, schauen Sie sich unser Factsheet dazu an.
Geschichte des Nachhaltigkeitsberichts von 2019-2024: Die EU und der Green Deal
Die Geschichte des Nachhaltigkeitsberichts kommt nun langsam zu seinem Ende. Allerdings nur in diesem Blogbeitrag. Auch in den kommenden Jahren wird sich in diesem Bereich sicherlich viel tun. Wir wollen aber nicht spekulieren, sondern uns hier lieber genauer anschauen, was seit 2019 passiert ist.
Die Ausgangslage: Es gab eine Berichtspflicht. Die betraf allerdings nur etwa 500 Unternehmen in Deutschland. Bei den Angaben hatten Unternehmen einige Freiheiten. Kritik gab es vor allem an der schlechten Vergleichbarkeit.
Der neue Ansatz: Die EU wollte mit ihrem Green Deal nicht nur die ESG-Berichterstattung optimieren und vereinheitlichen, sondern die ganze Nachhaltige Transformation der Wirtschaft vorantreiben. Das zentrale Ziel: Europa wird bis 2050 der erste klimaneutrale Kontinent.
Um dieses ehrgeizige Vorhaben umzusetzen, schnürte die EU ein umfangreiches Paket mit Richtlinien und Maßnahmen. Dazu gehörten beispielsweise die Richtlinie zur Nachhaltigkeitsberichterstattung von Unternehmen – die CSRD – und die europäische Lieferkettenrichtlinie CSDDD. Im Zuge der CSRD-Berichtspflicht wurde sogar erstmals ein einheitliches europäisches Rahmenwerk, die ESRS, entwickelt, das den Unternehmen klare Vorgaben hinsichtlich des Inhalts und der Form macht.
Hier ein Überblick über wichtige Regularien der vergangenen Jahre:
- 2019: Der Green Deal der EU wird beschlossen.
- 2020: Die EU-Taxonomie gilt und definiert, welche wirtschaftlichen Aktivitäten als nachhaltig eingestuft werden können.
- 2022: Die CSRD wird beschlossen und erhöht die Zahl der berichtspflichtigen Unternehmen ab 2024 nach und nach auf zirka 50.000 in Europa bzw. etwa 15.000 in Deutschland.
- 2023: Das deutsche Lieferkettengesetz LkSG tritt in Kraft und verlangt von Unternehmen einen Bericht zur Nachhaltigkeit in ihrer Lieferkette.
- 2024: Das europäische Lieferkettengesetz CSDDD wird beschlossen. Die Berichte sollen zusammen mit dem CSRD-Bericht erfolgen und die Nachhaltigkeitsberichte damit inhaltlich nochmal ausweiten.
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Why the CSRD is more than bureaucracy
Despite the many requirements, working on the CSRD report creates a profound awareness of genuine sustainability. Even if the CSRD is primarily a bureaucratic obligation, it also conceals valuable opportunities for business. Read this article to find out what these are.
The first companies have already published their CSRD report, and many more have yet to do so.
In Germany alone, around 15,000 companies are affected by the new EU directive on sustainability reporting.
And if we look a little further: Across Europe, a total of around 50,000 companies will have to report in accordance with the CSRD in the coming years.
What is the aim of the CSRD?
The CSRD is primarily intended to improve the transparency and comparability of sustainability reports, but also to close gaps in previous reporting obligations.
To understand this, it helps to look back at the past of sustainability reporting.
Sustainability reporting used to be voluntary for companies, was subject to no or only a few rules and often ended up as a kind of marketing brochure.
The first EU directives then put a stop to this.
However, the CSRD now goes one step further.
On the one hand, a whole host of companies are affected by the new reporting obligation, from small and medium-sized enterprises to large corporations.
Across Europe.
And in some cases even beyond the EU.
On the other hand, there are stricter rules: All disclosures must now be verifiable and signed off by auditors. The CSRD also requires significantly more and more in-depth quantitative and qualitative data.
This should make the reports more comparable.
In this way, the EU wants to drive forward the sustainable transformation of the economy.
At the same time, the CSRD is a sensible response to the growing expectations of investors, customers and society as a whole.
Companies are increasingly being held accountable for their sustainability performance – and more and more often, sustainability efforts also form the basis for economic success.
In a nutshell: CSRD makes sustainability transparent and comparable, creating the basis for us to steer our economy towards a more sustainable future in a targeted manner.
“That sounds all well and good,” you may be thinking, “but what’s the point of all the pink clouds if I’m sitting here at my desk and can’t see sustainability for all the data?”
Awareness arises from bureaucracy
PwC recently published a study according to which the majority of the companies surveyed were confident: Yes, we will be ready for our new reporting obligations by the deadline.
The respondents were mainly listed companies with an annual turnover of over one billion.
However, we know from our own experience that small and medium-sized enterprises in particular are groaning in the face of the work involved in preparing and implementing the CSRD.
They tend to have mixed feelings about the CSRD.
“The CSRD is just another useless bureaucracy that will create a burden, stress and work and tie up considerable resources, but ultimately won’t change anything at all.”
This and similar criticism of the new directive is often voiced.
And yes – of course there is a lot of bureaucracy behind the new laws and reporting obligations relating to sustainability.
A lot of data has to be collected, a lot of time is spent on preparation and implementation and a lot of employees are involved.
However, in our work with our customers, we see time and again that anyone who writes sustainability reports and takes an in-depth look at the topic of sustainability also recognizes the potential of CSRD.
More than just a bureaucracy monster: 6 potentials of CSRD for your company
Despite (or perhaps because of!) the many requirements, working on the CSRD report creates a profound awareness of genuine sustainability.
So even if the CSRD is primarily a bureaucratic obligation, it conceals valuable insights and potential.
And let’s take a look at them now.
1. the CSRD promotes a better understanding of one’s own risks and opportunities
Before the actual CSRD report is prepared, the double materiality analysis is carried out.
Here you determine:
- How do sustainability aspects influence your company?
- What impact does my company have on the environment and society?
Background: The ESRS, the CSRD framework, lists over 1,000 possible data points for the report.
In the end, however, only selected data points such as ESRS 2 and those whose associated impacts, risks and opportunities (IROs) you have determined to be material are required to be reported.
On the one hand, the double materiality analysis gives you clarity as to what belongs in your CSRD report.
On the other hand, it also gives you a very helpful picture of how your company relates to the environment and society. You also get a crystal-clear overview of the risks your company could still face – where undiscovered opportunities for the future of your company lie dormant – and how your company is developing.
Find out more in our article “The double materiality analysis in 7 steps”.
2. the CSRD brings economic benefits, supports innovation …
The majority of decision-makers surveyed in a Noerr study assume that ESG will bring about change in the company.
However, the transformation of business models in turn requires comprehensive adjustments to product development, internal processes and management.
This is where the wealth of data you collect and analyze for CSRD provides useful insights.
Where are resources still being wasted without this being noticed?
Which processes that “we’ve always done this way” could be optimized – and thus promote not only sustainability but also efficiency?
Where do we need to rethink in order for the sustainable transformation to succeed?
These are just a few situations in which ESG data management lays the foundation for a sustainable future.
Ideally, you should not write your CSRD report just for the sake of it, but rather take something away from it for the success of your company.
3. … and strengthens the resilience of your company
Let’s take a concrete example: ESRS E1, the “climate change standard”.
Here you have to report, among other things,
- how your company has a positive and negative impact on the climate,
- which climate protection measures you implement,
- what risks and opportunities arise from climate change,
- and how to adapt your company to climate change.
The smaller the company, the greater the likelihood that the issue of climate change will not necessarily be a high priority due to time constraints – i.e. it will be postponed for the time being without the CSRD.
However, the first consequences of climate change are already making themselves felt.
And will occur more frequently in the future.
Heavy rain, floods, heatwaves, droughts and fires can paralyze production facilities, lead to staff absences, cause supply chain delays or destroy transport routes.
55% of managers surveyed in Germany in a Capgemini study estimate that climate change will cause the majority of operational disruptions in the coming years.
So it only makes sense to look at what climate change means for your company and how you can counteract it.
And in the course of CSRD, you approach such and similar considerations in a very structured way.
4. solid sustainability reports create trust
Investors and other stakeholders are now looking very closely at what your company is doing in terms of sustainability.
Sustainability reports are a great way to communicate your status quo and your ambitions in this area.
The best way to do this, however, is with a reporting standard that specifies uniform requirements for all companies concerned in order to ensure maximum comparability.
As we wrote at the beginning, CSRD transforms sustainability reports into transparent and, above all, verifiable documentation of your sustainability journey.
And if we want to look at things from a negative perspective: Intentional and grossly negligent errors in the CSRD report are punishable by, among other things, “naming and shaming” – i.e. public disclosure.
If your company violates its CSRD reporting obligations or attempts to falsify data, this can ruin its reputation and trust.
In this respect too, it is therefore worth seeing the CSRD as an opportunity and implementing it conscientiously.
You can find more information on the possible sanctions in our article “The cost of mistakes in reporting and implementing sustainability.”
5 The CSRD report as a repository for fact-based sustainability communication
Once you have identified stakeholders, determined opportunities and risks, set up strategies and collected ESG data from all possible areas as part of your CSRD obligation, you have one thing in addition to the report: a very useful repository of information.
This, in turn, is ideal for any sustainability communication outside of the report.
After all, this is also becoming increasingly important.
Here we would like to quote a Capgemini survey once again: 77% of consumers surveyed are changing their purchasing behavior in favor of more sustainability.
66% are even specifically looking for sustainable products.
Conversely, 36% of the companies surveyed also stated that Our customers are not interested in sustainability!
This shows a major perception gap that needs to be closed.
The best way to do this is with comparable reports that are checked by a third party (you guessed it: the CSRD…).
This is what 34% of consumers surveyed in a Deloitte study would like.
Fact-based sustainability communication is also beneficial when it comes to recruiting talent and employee satisfaction.
According to the EIB Climate Survey 2023, 56% of people surveyed value an employer that thinks and acts sustainably.
According to a Gartner survey, a strong ESG culture even boosts employee engagement by up to 43%.
6 ESG data facilitates access to credit
It’s not just investors and the public who are demanding ESG measures, but also banks and credit institutions.
Just as a disability insurer is interested in whether you prefer to solve crossword puzzles or skydive in your free time when taking out insurance, financial institutions are now increasingly looking at ESG risks when granting loans.
The list of questions is based on the CSRD, among other things.
This means that if you are already collecting ESG data for the CSRD anyway, you will have it to hand more quickly when applying for financing.
Read more about this in our article “ESG in financing: This data decides on loans”.
Conclusion: CSRD is worthwhile in many respects – and it doesn’t have to be complicated at all
Let’s summarize once again.
CSRD helps you to identify risks and opportunities for your company in a targeted manner.
It provides your company with economic advantages and can even become a driver of innovation.
Furthermore, it strengthens your company’s resilience in the long term if you take a close look at sustainability.
Externally, CSRD promotes the trust of your stakeholders and serves as a basis for general sustainability communication, which in turn appeals to customers and employees.
Last but not least, the data once collected will help in future when granting loans.
It’s exciting to see the wide-ranging effects of this report, which seems so dry at first, isn’t it?
And the best thing is that CSRD doesn’t necessarily have to be a nerve-wracking challenge.
With software and advice at eye level, VERSO will guide you step by step through the CSRD process.
For example, with our new AI-supported module for audit-proof double materiality analysis.
Or with our all-in-one solution for ESG management and ESG reporting – including carbon footprint and supply chain transparency.
Feel free to contact us!
* This information is summarized editorial content and should not be construed as legal advice. VERSO accepts no liability.
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Earth Overshoot Day:
3 tips for sustainable resource management
Earth Overshoot Day marks the day on which we humans have used up all the natural resources we are entitled to for the year. Earth Overshoot Day shows us that we must take action! In this blog post, you will find lots of information about Earth Overshoot Day as well as three tips for more sustainable resource management in your company.
Let’s imagine that: At the beginning of August, we have already spent our entire annual salary.
We should now be planning our big summer vacation – but no, there’s not a single cent left.
From now on, we’ll have to live on credit and somehow get by until the end of the year.
Not a nice idea, is it?
The scary thing is: This is exactly how we are treating our planetary resources – and this is what Earth Overshoot Day stands for.
In 2024, Earth Overshoot Day falls on August 1.
All the natural resources that we humans are actually entitled to this year have been used up.
From this day onwards, we will be living at the expense of the future – for another 5 months.
A bitter day?
Absolutely, there’s no denying it.
But it doesn’t help to bury our heads in the sand.
Let’s use the day as a reminder: let’s act now and push Earth Overshoot Day as far back as possible!
Following the information about Earth Overshoot Day, this blog post therefore contains three tips on how you can make your company’s resource management more sustainable.
These simple measures, which every company can implement, actively contribute to environmental and climate protection.
Definition: What is Earth Overshoot Day?
Earth Overshoot Day has been calculated since 1971.
In German, it is also known as Earth Overshoot Day or World Exhaustion Day.
It marks the date on which humanity’s demand for ecological resources and services in one year exceeds what the earth can regenerate in that year.
This is how the WWF describes it, for example.
The overshoot days are calculated globally and nationally – the total global consumption of resources is used or the consumption of a specific country is extrapolated to the global availability of resources.
The calculations for the overshoot days are based on the concept of the ecological footprint.
It describes the biologically productive area on earth that is necessary to enable a person’s lifestyle and standard of living.
In short, it documents how much nature we have and how much we need.
Earth Overshoot Day is calculated by the Footprint Data Foundation, York University and the Global Footprint Network.
Earth Overshoot Day earlier and earlier
It’s no big surprise: Earth Overshoot Day is always earlier, and it has steadily moved forward over the past 50 years.
Since the 2010s, however, it has settled around the beginning of August.
It all started in 1971: the first Earth Overshoot Day came as a worrying Christmas present under the Christmas tree, so to speak.
It fell on December 25, but at least we were still almost on target.
However, the consumption of resources continued to increase and so did Earth Overshoot Day.
As early as 1974, it moved to November, from 1987 to October and in 1999 it was in September for the first time.
Since 2005, Earth Overshoot Day has been in August and is steadily approaching July.
In 2018 and 2022, Earth Overshoot Day was already on August 1, the earliest date to date.
Each time it was a little later the following year.
In 2024, it will fall on August 1 for the third time.
The coronavirus pandemic and specifically the year 2020 represent a notable break in the statistics.
Global lockdowns and restrictions, the decline in production and transportation had a drastic impact on people and the economy.
But energy and resource consumption and CO2 emissions also fell significantly and the Earth Overshoot Day slipped back to August 16.
However, the effect did not last long and was no longer strongly felt the following year.
If you follow the development of Earth Overshoot Day closely, you will have noticed the fluctuations.
From time to time the day is later than in the previous year or it is adjusted retrospectively.
This can also be related to optimizations in resource consumption.
However, the reasons are usually more precise calculation methods and improved data sets.
Overshoot Day for Germany
Calculated for Germany alone, Overshoot Day is even earlier.
In 2024, it already fell on May 2.
This means that if every country consumed resources like we do in Germany, everything the planet can offer and regenerate would already be used up by that day.
In other words, if everyone lived like we do, we would need three Earths.
Compared to previous years, not much has changed with regard to Germany’s Overshoot Day.
It is consistently at the beginning of May – except for the outlier in 2020 due to coronavirus.
So we haven’t got worse in Germany, but we haven’t really improved either.
However, it is also worth taking a look at other countries for comparison.
The three earliest Country Overshoot Days in 2024 were in:
- Qatar: February 11
- Luxembourg; February 20
- United Arab Emirates: March 4
The three countries for which the respective Country Overshoot Day was calculated for the latest date are:
- Guinea: December 27
- Moldova: December 28
- Kyrgyzstan: December 30
And to conclude the comparison, let’s take a look at three G12 countries:
- USA: March 14
- France: May 7
- China: June 1
What Earth Overshoot Day means for your company
Earth Overshoot Day is first and foremost a wake-up call to humanity.
The initiators want to show that our actions can lead to unpleasant consequences.
And these consequences will also be felt by companies, or are already being felt.
One example is extreme weather events such as droughts or floods, which are occurring more frequently and more intensively as a result of climate change.
They show how vulnerable global supply chains are.
The consequences are often crop failures, shortages of raw materials or blocked transport routes.
All of this is already leading to bottlenecks in supply and production – and the trend is currently increasing rather than decreasing.
3 tips for sustainable resource management in your company
Resource consumption affects us all.
Even as private individuals, we can make a difference.
The WWF lists various ways for end consumers to live more sustainably and thus push back the date of World Exhaustion Day.
“Buy green, consume less and eat less meat” is the succinct but effective recommendation for private individuals.
However, one of the biggest levers for saving resources worldwide is the economy.
Anyone who now thinks that sustainability is just something for a clear conscience or regulatory reporting obligations is mistaken: sustainable management brings business value, creates competitive advantages and strengthens the future viability and resilience of companies.
Many measures can save you money.
These three tips will help you get closer to sustainable resource management:
The three big Rs – Reduce, Reuse, Recycle
One of the most effective methods for establishing sustainable resource management in a company is the circular economy.
It starts with the big three Rs: Reduce, Reuse, Recycle.
It is about reducing the use of resources and materials, reusing products and reusing the materials from one product in another product.
One approach is an internal recycling process in which production waste is collected, processed and reused.
This can significantly reduce waste and thus the amount of raw materials required.
In addition, recycled or bio-based materials can be ordered from suppliers.
Resources can also be saved during shipping.
For example, packaging that can be reused.
But also in transport itself.
There are special pooling systems for pallet cages and Euro pallets – a reusable system for load carriers, so to speak.
Empty runs by truck should also be avoided.
But savings can also be made quite simply in the office.
For example, in water or energy consumption.
Refillable printer cartridges produce less waste.
Or you can switch completely to a paperless office.
Incidentally, the three big Rs are just the beginning: the circular economy goes a big step further and focuses on the 10 Rs. The concept and many other interesting facts about the circular economy can be found in this blog post “How the circular economy works and what it can achieve in Germany“.
Save energy and use it more efficiently
Energy is an important resource for every company – which is why it makes sense to start here.
The range of measures to save energy and use it efficiently is very broad.
It starts with obvious and simple steps:
- Use LED instead of halogen lamps
- Install motion detectors for the lighting
- Adjusting the brightness of screens downwards
- Use laptops instead of desktop computers
You should also take a systematic approach here – an energy management system in accordance with ISO 50001, for example, is helpful.
Although individual measures can lead to savings, they can also cause problems in other areas.
Therefore, look at the big picture and start looking for energy guzzlers.
Air conditioning, heating and ventilation often offer opportunities for optimization.
Important: Also check whether there is a state subsidy for the replacement.
Or have you ever thought about hosting your website?
With tools such as the Website Carbon Calculator, you can calculate the CO2 footprint of your company website in no time at all.
In the blog post “How to communicate your sustainability on your website“, we provide simple tips under point 6 on how to make your website more sustainable without any design or coding knowledge.
Another way to save energy: your company can become an electricity producer itself.
Photovoltaic systems are not only suitable for building roofs, but also for parking lots.
Not only do you generate green electricity and cover part of your energy requirements, you also create a source of shade.
You can also participate in local wind farms.
Sensitize and train employees
Employees are the key to a company’s success.
This applies not only to purely financial success, but also to the implementation of ESG initiatives.
It is therefore important to sensitize the entire team to sustainable action and train them accordingly.
This firmly anchors sustainability in the corporate culture.
During workshops, you should emphasize waste separation and avoidance and give tips on saving water and energy.
If everyone, or at least many people, adapt their behavior a little, a lot can be achieved.
One question that everyone should ask themselves, for example: Do I really need to print out this document or will it suffice in digital form?
One major lever is the transport sector.
Switch to public transport for business trips within Germany.
At the same time, your company can reward environmentally friendly behavior – for example with rental bikes or a subsidy for public transport.
Is your company doing enough in terms of sustainability?
Here’s how to find out
A sustainability report is a good measurement tool for companies in terms of ESG and implementation.
It allows you to determine the status quo and see your development over the years.
On this basis, you can develop or adapt measures and targets.
The CSRD reporting obligation may even mean that your company is obliged to prepare a sustainability report.
VERSO provides you with comprehensive support for this task.
With the VERSO ESG Hub, you can collect all relevant data and create a meaningful sustainability report.
The Climate Hub also calculates the corporate carbon footprint. And the VERSO Sustainability Experts will support you throughout the entire process. Would you like to acquire even more knowledge about ESG and sustainability yourself? Then it’s worth visiting our VERSO Academy. In the online courses, you and your colleagues can learn all about sustainability in the company – now with a brand new course for specialists and managers.
* This information is summarized editorial content and should not be construed as legal advice. VERSO accepts no liability.
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What specialists and managers should know about sustainability
ESG regulations, sanctions and real environmental threats are putting companies under increasing pressure.
This means that sustainability must now be implemented in companies.
And in such a way that it does not become a bureaucratic monster.
Because sustainability is not a spoilsport, but can create real business value.
Read here to find out how this works and what you need to know as a specialist or manager.
Sustainability starts with specialists and managers
Sustainability ambitions must come from the management level.
Then it can create real business value with competitive advantages, cost savings and resilience.
At management level, the importance of the topic must be understood, priorities set and strategic decisions made for sustainability.
For specialists and managers, this means getting to grips with the topic of sustainability, acquiring knowledge and at least understanding the basics.
We give you 4 tips to help you successfully drive forward the sustainable transformation in your company.
4 tips for starting the sustainable transformation
1. find out about the role of companies in sustainability
Climate change is real.
The first effects are already being felt.
Extreme weather events are more extreme and occur more frequently.
There is a lot to be done to ensure that this planet remains liveable for future generations.
But what role do companies play in this?
Where are the most serious problems and how can we solve them?
You should be clear about this before you put sustainability on the agenda.
Because only then will you be able to win over your employees to the issue and only then will you have the know-how to implement measures with real impact.
2. familiarize yourself with the most important ESG regulations
With the Green Deal, the EU is bringing many laws and directives to the table that oblige companies to be more sustainable.
These include the CSRD reporting obligation, the CSDDD supply chain law and special regulations such as the EU Taxonomy, the SFDR regulation for the financial sector, the CBAM carbon border adjustment mechanism and the EUDR deforestation regulation.
In addition, there are also laws in Germany that require companies to deal with sustainability at all ESG levels, such as the German Supply Chain Act LkSG.
Of course, you don’t need to know all the directives and laws in detail.
However, an overview of the implementation deadlines, what needs to be done and which roles are required in the company is essential.
3. communicate sustainability transparently and without greenwashing
Regardless of whether you have to publish a sustainability report due to the CSRD obligation or would like to report on your sustainability activities voluntarily: Communicating sustainability is a fine line between correct and misleading.
What is communicated can quickly verge on greenwashing, and the CSRD also requires very comprehensive statements that have to be watertight.
Successful and legally compliant communication requires a good understanding of sustainability, of the company’s own activities, of sustainability communication and of the regulatory framework.
4. develop a sustainability strategy and use it to leverage potential for your company
The topic of sustainability and the associated laws and guidelines are often referred to as a “bureaucracy monster”.
But that doesn’t have to be the case: take a strategic approach to the topic and integrate sustainability firmly into your corporate strategy.
This will open up real opportunities for your company.
Because sustainable management makes your company resilient and fit for the future and opens up new business models and competitive advantages.
How do you get started? With knowledge building!
Now it’s time to get started!
At the VERSO Academy, we have the ideal course for you to gain knowledge on all these topics: You will efficiently learn everything important that specialists and managers should know about sustainability in the shortest possible time – tailored to your needs and potential.
After the training course, you can get started with the sustainable transformation straight away. Sounds good?
Get the 25 % Early bird discount – redeemable as soon as the course is bookable:
* This information is summarized editorial content and should not be construed as legal advice. VERSO accepts no liability.
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How the circular economy works and what it can achieve in Germany
Circular economy and circular economy are terms that you come across more and more often in the context of sustainability. What is behind them, why is the circular economy presented as an important system change and what would it look like in everyday life?
Circular Economy and circular economy are terms that you come across more and more frequently in the context of sustainability.
What is behind them, why are Circular Economy as an important system change and what would that look like in everyday life?
We have for you a brief insight with the most important topics compiled.
One really small. Dbecause the whole is so ramified and comprehensive that we could probably write a whole book about it.n couldnten
Circular economy and circular economy – what are they?
Circular economy and circular economy – what are they?
Let’s start with a classic definition.
Because – spoiler – the terms “Circular economy” and “Circular Economy” are often used synonymously, but are strictly speaking different.
Circular Economy
Circular economy describes an economic model in which resources and products are used for as long as possible within a closed cycle.
Once they have reached the end of their useful life, they are not simply disposed of, but returned to the cycle – i.e. made usable again.
The reference point is ISO 59004:2024.
It describes the basic principles and concepts of the circular economy, but also provides assistance for implementation in the company.
Circular economy is defined here as:
“Economic system that takes a systemic approach to maintaining the cycle of resources by recovering, preserving or enhancing their value while contributing to sustainable development.”
The WWF‘s definition is somewhat clearer and more direct:
“‘Circular Economy‘ [ist] a regenerative system, powered by renewable energy, which replaces the current linear industrial model ‘Take – produce – dispose‘ replaced.
Materials are instead retained in the economy, products are shared, while waste and negative impacts are avoided.
CE creates positive effects and benefits for the environment and society and works within planetary boundaries.
It is made possible by rethinking the current understanding of growth and consumption.”
A helpful overview of all relevant standards relating to the circular economy can be found at the German Institute for Standardization (DIN).
For companies subject to CSRD, ESRS E5 (Resource use and circular economy) is also important in this context.
Circular economy
“Circular economy“ means exactly the same thing in theory.
In Germany, however, the circular economy actually only means avoiding waste: “The circular economy within the meaning of [the Circular Economy Act] is the prevention and recycling of waste“.
If we talk about the circular economy here in Germany, the correct term would be “circular economy”.
After all, we like to make life difficult for ourselves with unwieldy terms.
However, when the term “circular economy” is used at EU level (e.g. on the website of the EU Commission or EU Parliament), it always refers to the circular economy in the true sense of the word.
Why do we need a circular economy?
Global consumption of raw materials has tripled since 1970.
We live and do business as if we had unlimited resources at our disposal.
Earth Overshoot Day – the day on which all resources are used up globally for the year – is taking place earlier and earlier.
What is no longer needed is disposed of and replaced by something new.
And then it disappears from the scene for us.
But it ends up somewhere else.
Europe exports around 3,000,000 kilograms of plastic waste to countries in the Global South every day.
This is sometimes referred to as “Garbage colonialism” labeled.
And it doesn’t stop with plastic.
Growing mountains of old clothes, scrap metal, batteries, tires – our waste is piling up in other parts of the world.
On top of this comes the extraction of ever more resources for products that are produced in abundance worldwide.
Far too often, extraction and production go hand in hand with environmental damage and the violation of human rights.
The CSRD and supply chain directives such as the LkSG, CSDDD, CBAM and EUDR are intended to gradually prevent the latter.
However, what we actually need is a new economic system that tackles the underlying problems at the root.
Curtain up for circular economy.
Linear Economy vs. Recycling Economy vs. Circular Economy – from the 3 Rs to the 10 Rs
Our current economic system is a one-way street.
It is therefore also known as “linear economy”.
There are already initial attempts to counteract the high consumption of raw materials and the throwaway mentality.
The focus here is on currently mainly on the so-called 3 Rs:
- Reduce – Reduce use of resources and materials through greater efficiency in product manufacture/use
- Reuse – Reuse of products that are still in good condition
- Recycle – Reuse materials in products of the same or lower quality
This gives rise to the recycling economy.
However, recycling only puts a slight damper on things.
In the end, there is still far too much waste piling up in mountains of garbage.
Only 7.2 percent of our materials are reused after use.
Circular Economy goes a big step further and relies on 10 R:
- Reduce – Reduce use of resources and materials through greater efficiency in product manufacture/use
- Reuse – Reuse of products that are still in good condition
- Recycle – Reuse materials in products of the same or lower quality
- Refuse – Avoid overconsumption by optimizing or innovating products and eliminating products
- Rethink – Rethinking product use and manufacturing processes
- Repair – Repair and maintenance of defective/damaged products
- Refurbish – Refurbishing discarded products so that they can still be used
- Remanufacture – Reuse of product parts in new products with the same function
- Repurpose – Reuse of product parts in new products with a different function
- Recover – Burning materials with energy recovery
The European Commission also lists 7 very similar pillars of the circular economy:
- Sustainable supply chains
- Ecodesign of products and services
- Industrial and territorial ecology, i.e. cooperation and exchange between companies
- Functional economic organization; i.e. sharing the benefits of products with others instead of owning your own products
- Responsible consumption
- Extend product service life
- Recycle
So much for the theory.
Now you’re probably asking yourself: what will it all look like in practice?
After all, a lot has to change for the circular economy to become a reality.
We need new processes and more durable, fully recyclable materials.
Not to mention a change in mindset.
Circular economy in practice
Action plan for the circular economy and national circular economy strategy
As part of the Green Deal, the EU 2020 has “Action Plan for the Circular Economy”, which aims to achieve a “carbon-neutral, ecologically sustainable and pollutant-free circular economy” by 2050.
Initial measures such as the extension of ecodesign regulations, the right to repair and the Green Claims Directive are already in force.
The “National Circular Economy Strategy (NKWS)” is based on the EU action plan.
This is intended to create a future framework strategy for measures and targets to implement a circular economy in Germany.
The German government is working closely with industry and society on this.
The overarching objectives of the NKWS are:
- Climate protection
- Protection of biodiversity
- Reducing species extinction and environmental pollution
- Securing the supply of raw materials
- Reduce GHG emissions
Model Germany Circular Economy
As the NKWS is still a work in progress, WWF Germany, together with the Öko-Institut, Fraunhofer ISI and the FU Berlin, has developed a roadmap for the circular economy in Germany – the “Model Germany Circular Economy (MDCE)“.
This comprehensive paper shows which measures, political strategies, targets and instruments could be used to achieve a circular economy by 2045.
Here is an overview of the most important findings.
The advantages of a circular economy compared to business as usual
- The supply situation is easing for 29 out of 36 critical raw materials, and for 9 raw materials more than 50 percent of Germany’s demand could be reduced or covered
- A CO₂-equivalent savings of up to 26 percent (186 million tons) are possible
- We need 27 percent less raw materials (179 million tons), total material consumption is down by 26 percent (329 million tons)
- We need 30 percent less land (8.5 million hectares)
- The MDCE scenario could also be used to reduce emissions that are difficult to avoid
- The modeled circular economy would avoid 26 percent (147 billion euros) of the climate damage costs caused by direct emissions – with indirect emissions 10.7 billion euros
What is currently hindering the circular economy
- Passing on environmental costs (externalization)
- Lack of infrastructure for circular products and processes
- Lack of investment (e.g. in research and development) for a circular economy
- Lack of transparency with regard to the transfer of information and data in the value chains
- Long-term path dependencies due to investments in linear technologies
- Lack of common standards for circular products
5 key strategies for implementing a circular economy
- Reduce resource flows
- Substitute materials
- Slowing down resource flows
- Intensify product use
- Closing resource cycles with high quality
Consumers, companies and politicians share responsibility
The circular economy must be considered from two perspectives:
- Behavior-based solutions – sustainable design of consumption
- Technology-based solutions – on the technical and production side
The paper emphasizes that the necessary changes in behaviour do not lie solely with consumers.
Both approaches require “political and entrepreneurial need for action that goes far beyond information instruments and should be controlled by regulatory and market-based instruments.“
10 guiding political principles for the success of the circular economy
- Prioritize absolute reduction of resource consumption
- Set binding resource targets along the lines of climate targets
- Shaping the structural change triggered by the circular economy with specific policy instruments
- Creating conviction for comprehensive CE in social alliances
- Understanding education and knowledge transfer as the key to transformation
- Setting incentives for a change in values in companies
- Expanding the state’s role model function in procurement
- Strengthening regional value chains in Germany
- Provide financing and research & development for the transformation to a circular economy
- Germany must assume greater international responsibility
Conclusion: We still have a long way to go!
Looking at our current economic model and the MDCE draft, it is clear that we still have a lot of work to do to achieve a truly sustainable transformation.
It can only succeed if we all – consumers, companies and politicians – work hand in hand.
Let’s get started!
Read more:
- Model Germany Circular Economy – Full paper with proposed measures for environmentally intensive sectors
- Circularity Gap Report 2024 – Information and roadmap for a global circular economy
- Information portal on the NKWS
- German Circularity Index 2024 – an overview of the circular economy progress of German companies
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Diversity in companies: Why and how?
No company can avoid the word “diversity” these days. But diversity is much more than just adding “m/f/d” to a job advertisement. Read this article to find out why diversity is so important in companies, what it actually brings and what you can do to promote diversity in your company in a targeted manner.
Why do companies need diversity?
Every person is different
Let’s start by defining what “diversity” actually means.
Because – spoiler – diversity is more than just sexual orientation and skin color.
To be more precise, there are seven dimensions of diversity.
These are almost unchangeable characteristics that every person has.
After all, each of us has a different personality and a different history:
- Age
- Ethnic origin & nationality
- Gender & gender identity
- Physical & mental abilities
- Religion & worldview
- Sexual orientation
- Social background
According to the Diversity Charter, these seven diversity dimensions have the greatest influence on whether we feel included or excluded in society.
In theory, the Basic Law and the General Equal Treatment Act already stipulate that no one should feel excluded.
Diversity is also important for many companies in the context of sustainability reporting.
Diversity in the company is surveyed in the ESG report
Above all ESG regulations, the ESRS – the CSRD reporting framework – has required disclosure of the diversity strategy since 2024.
ESRS S1 in particular asks how your company lives and promotes inclusion and diversity.
However, diversity was already an ESG reporting criterion before that.The German Sustainability Code, or DNKemphasizes the importance of diversity and has included it in its 20 criteria for report content.
Companies must state how they comply with the General Equal Treatment Act.
They should also show how they promote equal opportunities, pay everyone appropriately, avoid discrimination, make a positive contribution to the integration of minorities and promote the compatibility of family and career.
Of course, the globally recognized reporting standard of the Global Reporting Initiative (GRI) also deals with the topic of diversity.
The focus here is primarily on GRI 405.
Here you report, among other things, on the distribution of gender, age or the proportion of people with disabilities among employees and management.
There is also GRI 406, which relates to incidents of discrimination and asks how your company investigates or prevents them.
Diversity in the company as a cross-section of society
The diversity dimensions also show how different we all actually are.
If we zoom out to Germany, we get an incredibly diverse picture of society.
Now a question for you: With this image in mind, is it close to reality if the company is made up of 80% white, 30 to 50-year-old, Christian or atheist, heterosexual men?
Or would it not be much better, conversely, if a company reflected the diversity of society?
Advantages of diversity in companies
Of course that would be much better.
And there is even solid evidence for this.
We have compiled a small selection for you below.
A study by StepStone and the Handelsblatt Media Group shows that a diverse management team boosts employee motivation.
According to the study, 77% of job seekers are also more likely to apply to companies that are tolerant and diverse.
Not to mention the fact that your company has access to a much larger talent pool if you value diversity when recruiting.
The survey also revealed that 80% of respondents see diversity in management as a major positive influence on the economic success of companies.
One of the reasons for this is that diverse teams bring a wide range of different experiences, perspectives, ways of thinking and problem-solving approaches to the table.
Incidentally, this also means that decisions are made up to 87% faster – and not only with half as many meetings as in homogeneous teams, but also with 60% better results!
Diversity in companies is also considered one of the most important drivers of team engagement. Deloitte found in a study that millennials are 83% more likely to be engaged when the company promotes diversity and inclusion.
No wonder none of the employees feel excluded!
In short: diversity in the company makes the company more attractive, increases employee satisfaction and productivity – and ultimately strengthens competitiveness.
According to another Deloitte study, diverse, inclusive companies perform up to 35% better than their competitors.
Sounds good?
We think so too.
But you should be aware of this: If you want to reap the benefits of diversity, you need to promote diversity in a targeted manner.
Here are a few practical tips from our People team to help you achieve this!
7 tips for diversity in companies
1. diversity starts at the top
Diversity in companies starts in the boardroom.
Make sure that the management team is diverse.
This involves obvious criteria such as origin, age or gender, but cognitive diversity also plays a role.
The management level should also exemplify diversity itself.
Train your managers to use inclusive language and promote a diverse workforce.
2. make job advertisements appealing to everyone
This starts with the classic “m/f/d” or “all genders” reference in the job advertisement.
You should also include a diversity statement that emphasizes once again that everyone is welcome here.
Use a gender decoder to check whether men and women feel equally addressed in your job advertisement – because certain words only address one gender.
Incidentally, it is also interesting to know how men and women read job advertisements.
Women tend to want to fulfill all criteria and often do not apply if they do not fulfill one criterion.
So find the right balance in the level of detail in the job description.
Feel free to encourage applicants with a separate note to apply even if they do not fulfill every single point.
Last but not least: Make sure to write the advertisement in a screen-reader-friendly way.
3. also live diversity in the recruiting process
Involve as many different employees from different departments as possible in your recruiting processes.
Not only the HR team, but also specialist departments or future colleagues and superiors.
On the one hand, you will notice more quickly who harmonizes well with the team and who is needed.
On the other hand, different perspectives ensure less bias and more openness to diversity.
Speaking of bias: offer recruiting staff regular recruiting and interview training.
These training sessions should identify and reduce potential bias (which we all have!).
Give all applicants a chance.
And don’t necessarily base your selection on who is exactly the same as the rest.
It’s much more exciting to see who would complement the team well. What skills, what personality, what character is still missing?
4. create guidelines on diversity
If you want to create more diversity in your company, you may have to adapt guidelines and processes.
As just mentioned, this starts with the job advertisement, which should not exclude anyone and should appeal to everyone.
Other options are
- Allow religious holidays that are not prescribed by law
- Offer childcare or establish partnerships with daycare centers
- Offer more paid sick days than required by law
5. offer flexible working time models
Remote working, part-time models and generally flexible working hours enable employees with children, for example, to juggle everything.
But employees with a different working rhythm also benefit from this.
This is because they can adjust their working hours to when they are most productive – within the framework of legal regulations.
A tip: Work with calendars and certain status options.
Anyone who has a blocker in their calendar or is not available according to their status should not be contacted or assigned tasks.
6. create a working environment in which everyone feels comfortable
Design the workplace in such a way that everyone feels comfortable and can work well.
This includes, for example
- Barrier-free design of the workplace, but also of the toilets or kitchen and – sounds obvious, but is rarely considered – the entrance to the company!
- Retreats or quiet zones for undisturbed work
- Options for individual ergonomic workplace equipment, especially at the desk
7. check the implementation of diversity and have an open ear
Make sure that diversity in the company is not just on paper, but is actually practiced in everyday life.
Make sure that all employees are aware of the guidelines and rights.
Provide (anonymous) surveys and feedback opportunities.
This means that anyone can submit suggestions for improvement, but also draw attention to discrimination and disadvantages.
The Whistleblower Protection Act, for which companies must set up a whistleblower system anyway, is also essential for this.
Always remember: your employees see problems and potential that you probably don’t know about because you are not specifically affected!
Diversity in companies is a process – it pays to keep at it!
Diversity cannot be implemented overnight and certainly not top-down.
Take one step at a time.
Follow best practices and examples from other companies, but be sure to adapt them to your company with the help of your employees.
The first port of call is the Diversity Charter’s resources – e.g. its tips for diversity management in large companies, SMEs, the public sector and associations.
Over time, you will create a company where everyone feels welcome.
We wish you every success!
* This information is summarized editorial content and should not be construed as legal advice. VERSO accepts no liability.
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Sanctions at a glance: The cost of mistakes in reporting and implementing sustainability
A slap on the wrist and, if it becomes public, a brief outcry from the public: until a few years ago, companies didn’t have to worry too much if they put sustainability on the back burner or engaged in greenwashing. This is now a thing of the past. Read here about the consequences if the new requirements are not implemented correctly – and get tips on how to do it right!
Some simply lack an overview of their own data.
Others are overwhelmed by the numerous requirements of the new ESG regulations.
Still others underestimate the effort involved and start far too late.
And then, of course, there are companies that try to cover up their lack of commitment to sustainability with falsified information.
The possible reasons for inadequate implementation of the new regulations in sustainability, climate and supply chain management are as varied as the people who implement them for their companies.
Until a few years ago, there were hardly any consequences.
There might have been a shitstorm and a few calls for a boycott, but over time – or a lot of PR work – these soon petered out.
However, with the introduction of the new regulations and guidelines for sustainable business practices, which are being rolled out across Europe as part of the Green Deal, this is now a thing of the past.
Errors and misrepresentations can be expensive.
How expensive exactly?
We have summarized this for you in this article – including recommended reading to help you get it right!
Sanctions for EU taxonomy, CSRD and SFDR
As far as uniform sanctions are concerned, the trio is unfortunately still rather incomplete.
This is because the three directives have yet to be transposed into national law.
Each EU member state must independently determine the extent to which it wishes to sanction errors in financial and non-financial reporting.
In line with the CSR-RUG – the predecessor of the CSRD – errors in reporting in accordance with the CSRD, SFDR and EU taxonomy will presumably also be penalized in accordance with §331 and §334 HGB.
In figures, this means
- Prison sentences of up to 3 years
- For members of authorized representative bodies or supervisory boards of a corporation: prison sentences of up to 3 years; companies face fines of up to 2 million euros or twice the economic benefit they have derived from the incorrect report – whichever is higher.
- For capital market-oriented companies: Fines of up to 10 million euros, 5 percent of annual turnover or twice the economic benefit – the highest amount is also chosen here.
On top of this – as the fermented icing on the cake, so to speak – there may also be legal action for breach of competition law, exclusion from public procurement procedures and “naming and shaming”, i.e. public disclosure including loss of reputation.
loss of reputation.
Important to know: Only intentional errors and errors due to gross negligence are punishable.
Incidentally, the Auditors’ Association wants to relax the CSRD for auditors: With a cap on the amount of liability and limited liability for gross negligence.
However, this demand has been heavily criticized – so there is still some way to go here.
From 2025, the first court proceedings will show the exact direction of sanctions for breaches of the EU taxonomy, CSRD and SFDR. Read more:
Sanctions for LkSG and CSDDD
CSDDD
After a long back and forth, an agreement was reached in March 2024 on the CSDDD; the European supply chain law.
Here, too, there is still some time before it is transposed into national law.
However, the liability and sanction framework in the event of a breach of the due diligence obligations for people and the environment enshrined in the CSDDD is already clear.
Affected companies are liable for all damages that occur along the upstream supply chain due to inadequate or missing risk prevention or remedial measures – unless these are caused by a business partner.
In other words:
- If your company knows about irregularities and ignores them, supervisory authorities can impose fines of up to 5% of global turnover.
- Civil liability will also be introduced.
Those affected can therefore assert claims against your company with the help of NGOs or trade unions, for example. - There is also the threat of naming and shaming and exclusion from public procurement.
LkSG
In contrast to the CSDDD, there is no civil liability under the German Supply Chain Act.
However, there are expensive fines if the legal obligations are not complied with.
Under the LKSG, these include environmental and human rights due diligence obligations towards indirect suppliers and, if known, also towards direct suppliers.
Under the LkSG, risks must also be identified, documented and then eliminated or at least minimized.
Otherwise there is a risk of fines of up to 8 million euros.
For companies with an annual turnover of more than 400 million euros, the fine increases to up to 2% of annual global turnover.
And: companies can be excluded from public procurement. Read more:
- Factsheet: CSDDD vs. LkSG
- Factsheet: Risk management in the supply chain
- Practical guide: LkSG compliance
- Checklist: ESG requirements for procurement
- Webinar: Implementing due diligence obligations in the supply chain
- How VERSO supports you with the implementation of CSDDD and LkSG
EU ETS and CBAM sanctions
EU ETS
With the EU Emissions Trading System (EU ETS), the EU aims to cap the emissions of the member states.
Companies only have a certain amount of freedom to emit emissions – otherwise certificates must be purchased.
Non-compliance could result in fines:
- 100 euros per metric ton of CO2 equivalents emitted without a certificate
In order to avoid certificate prices on the one hand and sanctions on the other, some companies relocated their production to non-EU countries (“carbon leakage”).
The CBAM was therefore also introduced as part of the EU ETS reform.
CBAM
Since January 2024, the CBAM reporting obligation has applied to all companies that import certain emission-intensive goods from non-EU countries.
The so-called “climate tariff” supplements the EU ETS – and entails a whole range of possible sanctions:
- Transitional phase: If the CBAM report is incomplete, contains incorrect information or is not submitted at all, or is not corrected after being requested to do so, a penalty of 10 to 50 euros per ton of unreported emissions will be imposed.
- Implementation phase: In accordance with the EU ETS, fines of EUR 100 per tonne of CO2 equivalent are imposed for missing certificates.
- Anyone importing CBAM goods without the status of authorized user must expect even higher penalties.
- In addition to the financial sanctions, it is also possible that the “Authorized Declarant” status will be withdrawn – the company concerned would then no longer be allowed to import CBAM goods from 2026.
Good to know: As a CBAM applicant, you will have noticed that there was a delay in activating the registration options.
As a result, the first CBAM reports could not be submitted on time.
According to the Federal Environment Agency, however, this delay will not be penalized. Read more:
Sanctions with the EUDR
Supply chain officers and buyers must prepare for even more sanctions.
At the end of 2024, the directive for deforestation-free supply chains – the EUDR – will come into force.
If you place products on the EU internal market that have been produced without deforestation, you could face the following penalties under the directive:
- Skimming off profits unlawfully made as a result of non-compliance with the EUDR
- Fines in proportion to forest damage and value of goods, but at least 4 % of annual turnover
- Seizure of goods or products
- Temporary import bans
- Exclusion from public funds and public tenders
- Inclusion in a public list incl.
Information on the violation
Also important: If you do not have the relevant geo-information and proof of origin for your goods, you will no longer be allowed to import them into the EU once the EUDR comes into force.
Keep this in mind now if you are ordering goods that you want to import into the EU internal market from 2025. Read more:
Sanctions under the Green Claims Directive
There is already a whole range of regulations on environmental claims and environmental labeling systems on the market.
The Green Claims Directive will be added shortly.
It is specifically aimed at advertising claims that make a product or company appear more sustainable than it actually is.
False green claims are punished as follows:
- Fines of at least 4% of the annual turnover
- Exclusion from public procurement
- Recovery of the revenue that your company has generated through the false statements.
Read more:
Save money and nerves with VERSO
To ensure that companies do not approach the sustainable transformation too carelessly, the EU provides for “effective, proportionate and dissuasive” measures in any case.
In view of the possible sanctions, we are happy to believe this – and help you to correctly implement the guidelines and regulations that apply to you.
Not only our top software, but also our experienced consultants and our specialized partners are at your side.
Feel free to get in touch with us!
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ESG regulations oblige executives: What management boards, supervisory boards and management should do now
If companies want or need to tackle the issue of sustainability and ESG, it only makes sense to do so holistically. Holistic in the sense that the entire company must be behind it. First and foremost the managers and supervisory bodies. We explain the to-dos for the top management level.
Why is it important for managers to take an in-depth look at ESG and sustainability?
Firstly, so that the sustainability team has the backing and resources to implement effective measures.
But ESG regulation also demands decisions and transparency on sustainability issues from management boards, supervisory boards and management.
We will now delve deeper into the requirements that ESG regulation places on managers. Click here for 5 specific tips for compliance.
This information is editorial content that should not be construed as legal advice. VERSO accepts no liability.
Requirements, obligations and effects of ESG laws
Several ESG laws and guidelines impose obligations on management boards when it comes to sustainability.
The demands on the board level are similar in all cases.
In short, this means that regardless of whether or when your company is affected by which ESG law, company management must now address ESG objectives.
Here you will find an overview of the individual requirements that are relevant for management boards, supervisory boards and management in the currently applicable ESG laws.
The Corporate Sustainability Reporting Directive (CSRD) with the ESRS
Firstly, the
CSRD, with its European Sustainability Reporting Standards (ESRS), already places clear obligations on the board level with regard to the review of the
sustainability report:
- Monitoring the reporting process
- Ensuring the independence of the auditors
- Forwarding of the audit result for the report to the Supervisory Board
- Creation of capacity for new positions in the ESG team and the development of risk management
- Enabling transparent data collection
- Release of reports for handover to auditors
So much for the review of the report at the end.
But even during the reporting process, the Management Board is called upon to act – particularly in the ESRS 2 standard, which is mandatory for all companies and to which all strategic aspects of the topic standards are linked.
The governance section of this standard is explicitly aimed at the management board and company management.
The following are the To Dos that can be derived from this for the management level: Building ESG expertise: it is not just the ESG team that needs to be familiar with sustainability issues: The CSRD stipulates (ESRS GOV-1) that you must explain who among the executives and controlling bodies is responsible for ESG issues and oversight of the reporting process.
The status of the expertise of these persons with regard to sustainability aspects is also queried. Integration of sustainability into the remuneration model: In ESRS GOV-3, the company management must disclose whether there are incentive systems for remuneration in the company, how these are structured and whether sustainability performance is integrated into them.
So consider how you can adapt your remuneration policy to incentivize the long-term thinking and management of your colleagues. Integrate ESG into due diligence and risk management processes: Include ESG in all due diligence, corporate decision-making and risk management processes: This is because the CSRD requires boards to set out how they inform themselves on ESG issues (including a list of risks, impacts and opportunities that senior management have addressed).
They must also consider how they take these sustainability aspects into account in strategic decisions and due diligence and risk management processes.
If managers and supervisory bodies fail to meet their obligations, the consequences are not just reputational damage or subsequent filings: the CSRD can also result in fines.
The Supply Chain Due Diligence Act (LkSG)
The German Supply Chain Act currently affects companies with 1,000 or more employees.
Companies must prove that due diligence obligations are being complied with in their supply chain.
For this purpose, a comprehensive report must be submitted to the Federal Office of Economics and Export Control (BAFA).
The LkSG has a direct impact on the highest company levels.
This is because it concerns risk assessment and risk minimization in a company’s supply chain.
Decisions for or against business partners, suppliers, expansions into other countries – these are important strategic decisions that go beyond the remit of purchasing.
They may not require the involvement of the board level at the beginning of the process – e.g. during risk analysis.
However, later on – e.g. when it comes to risk minimization measures – the management, Executive Board and Supervisory Board are always required.
After all, risk minimization also affects the company as a whole and ensures its future viability.
Violations of the LkSG are punished as administrative offenses.
This means that sanctions can be imposed not only on companies, but also on the individuals involved.
The acting persons in the company are the management – they can therefore be held responsible.
In addition, the supervisory board must also monitor LkSG compliance in its control and advisory function.
If it fails to do so adequately, the supervisory board is also liable.
The consequences are fines (depending on the violation and severity) of up to EUR 100,000, up to EUR 500,000 or up to EUR 800,000 per violation.
In special cases, a stricter regulation, the turnover-based penalty, may also apply.
The European Supply Chain Directive (CSDDD)
The Corporate Sustainability Due Diligence Directive (CSDDD) is the European equivalent of the German Supply Chain Act.
It is currently envisaged that it will not have a greater impact on German companies than the German LkSG already does.
Nevertheless, there are also requirements here that impose ESG obligations on the management board level: Accordingly, companies must disclose a strategy that is compatible with the 1.5°C target of the Paris Agreement.
This ESG strategy should not only contribute to the climate targets on paper.
It must be demonstrated that the variable remuneration of the Management Board is partly dependent on the efforts to implement a climate plan.
The regulation explicitly obliges management to act not only in the interests of the company, but also to take sustainability aspects into account.
In addition, the CSDDD obliges the management to establish and monitor measures for the fulfillment of due diligence obligations.
The management must then also report on this to the Executive Board.
Other ESG obligations
Although the EU has recently passed some laws specifically in the area of sustainability, there are also other laws and voluntary commitments that require ESG commitment from board members and executives.
Below you will find two specific examples:
- Shareholder Rights Directive: According to the directive, the remuneration structure of the Management Board of listed companies must be geared towards the sustainable and long-term development of the company.
The aim is for the Supervisory Board to also take social and ecological aspects into account when setting salaries. - German Corporate Governance Code: The GCGC is a voluntary commitment by the business community and provides listed companies with standards for good and responsible corporate governance.
Here, too, the remuneration structures for Management Board members must be aligned with ESG aspects.
5 Measures for management boards to prepare for ESG obligations
You now know that the management board, supervisory board and managing directors must all take responsibility for sustainability in companies.
There is a lot to do – to get you from reading to doing, here is a list of measures and topics that the management level should implement – regardless of which law the company is or will be affected by and when. 1. get yourself (and your team) ready to go
- Determine who on the Management Board is responsible for sustainability and set up internal committees to take sustainability aspects and requirements into account in your strategies.
- Define the responsibilities for implementing the ESG strategy and ESG objectives.
Form an ESG team.
Equip it with the necessary knowledge for implementing the sustainability strategy and for reporting.
2. carry out an ESG update of your corporate strategy
- Integrate short and long-term ESG goals into the corporate strategy.
This will prevent conflicts of interest and give the topic the importance it deserves.
Ensure that sustainability is a fixed and central component of your corporate strategy.
You will benefit from long-term business success. - Evaluate whether the company’s purpose, vision and values are in line with your sustainability strategy.
- Discuss in the team whether the remuneration structures (especially for managers and supervisory bodies) should be aligned with sustainability aspects.
On the one hand, this is required by all ESG regulations; at the same time, studies (Via Tomorrow) show that these practices are already widespread and highly effective.
3. keep an eye on your ESG risks
- Take a look around you: How are other companies or stakeholders dealing with ESG risks?
What sustainability measures are they implementing?
How does your company compare? - Carry out a materiality analysis with your ESG team.
This will allow you to identify the opportunities, impact and risks of your company in terms of sustainability.
Take the first countermeasures for the most urgent risks. - Identify your opportunities and position yourself for the future.
Update your ESG risk and opportunity assessments regularly, just like other topics.
Include sustainability aspects in your regular risk management.
4. support your ESG team
- Empower the team to set up the processes for reporting and control mechanisms.
- Gain a rough overview of the frameworks, methods and EU regulations.
This will enable you to make well-founded decisions for the implementation of the sustainability strategy.
5. stay on the ball
- Establish a process within top management to regularly reassess ESG issues and improve your strategy.
Regularly coordinate ESG and sustainability issues within the board and management: ESG issues are related to financials.
Establish a regular exchange between the operational ESG team and the management level. - Good sustainability management requires a lot of knowledge.
Not only in the ESG team.
As mentioned at the beginning, sustainability is an issue for the entire company.
Therefore, make sure that all employees receive regular training on the ESG topics relevant to them and are integrated into the ESG processes and measures.
After all, you can only make a difference if everyone is on board.
And don’t forget the top level: management, the Executive Board and the Supervisory Board also need up-to-date sustainability knowledge – to comply with the law, but also to be able to make good corporate decisions.
Meet your ESG obligations with VERSO
Especially in the initial phase, it is not easy to get into action – too many unanswered questions, little efficiency in the processes, hardly any experience with sustainability in the team.
What are sensible measures?
What exactly should a sustainability strategy look like?
How do we approach the materiality analysis efficiently?
Trust us, we have been doing this for a long time – for more than 10 years to be precise.
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Guide: How do I develop an effective sustainability strategy for my company?
Developing an effective sustainability strategy makes companies fit for the future and secures competitive advantages. This guide shows you step by step how to create a long-term plan for the future with social and environmental practices.
Developing a sustainability strategy is essential to make your company fit for the future.
The crucial point here is that you can tackle the key issues in a targeted and structured manner on the basis of the strategy.
In other words, minimize negative impacts, drive positive developments, reduce risks and seize opportunities.
This results in 5 clear advantages for your company:
- Competitive advantages
- Strategic planning
- Better image
- Greater customer loyalty
- Greater attractiveness for talent
We present these benefits to you in more detail in the blog post “5 reasons for a sustainability strategy“.
Now we want to show you how to develop an effective sustainability strategy step by step.
We want to dive deeper into the development of such a roadmap for the sustainable transformation of your company.
This guide will take you through the entire process.
We look at how you can
- Identify key issues,
- Define suitable measures and goals
- and ultimately arrive at an effective strategy.
This gives you a holistic focus on ESG issues and the implementation of environmental, social and governance aspects.
How do I develop a sustainability strategy for my company?
“Lack of concrete goals and KPIs” – this is one of the biggest obstacles to sustainable transformation in companies, as the Bertelsmann Stiftung’s Sustainability Transformation Monitor 2024 shows.
The lack of resources – both monetary and human – also plays a major role.
A sustainability strategy provides the solution here.
It contains concrete goals and key figures to monitor progress.
And it focuses on the most important issues so that human resources can be deployed efficiently.
However, there are other important steps in the development of an effective ESG strategy, which we will now take a closer look at.
1. status quo and key topics
To know where you want to go, you first need to know where you stand.
This is also the case when you are developing your sustainability strategy.
You determine the current state of your company using a status quo analysis.
This is your first data collection in the ESG area, so to speak, and should therefore be carried out thoroughly.
The data and information form the basis for your future sustainability efforts.
These topics, among others, play a role in determining the status quo:
The first time, the status quo analysis usually involves a great deal of effort.
Numerous departments have to be involved.
In some cases, the data is not available in the required form or has not yet been collected.
The VERSO ESG Hub simplifies and optimizes data management, as it is aligned with the ESG requirements of standards such as ESRS, GRI and DNK.
The analysis of the current status serves as the basis for the following materiality analysis.
Here you determine which sustainability issues are most important and where the greatest impacts, risks and opportunities (IRO) lie.
If you publish a sustainability report in accordance with CSRD, you must carry out a double materiality analysis here.
A simple materiality analysis is also sufficient for a DNK report.
Both procedures involve a certain amount of effort – the VERSO Sustainability Experts are therefore available to support you.
The results of the materiality analysis are your fields of action and the specific IROs.
2. define SMART objectives and suitable measures
Based on the key topics, you define targets and KPIs for monitoring as well as suitable measures to achieve the targets set.
You are at the center, so to speak, when you develop a sustainability strategy.
When defining objectives, rely on science-based support.
For example, use the GHG Protocol (Greenhouse Gas Protocol) or projects within the framework of the Paris Climate Agreement as a guide.
You can find industry-specific assistance from the Science Based Targets Initiative (SBTi), for example.
Make sure that you set yourself SMART targets.
This method originates from project management.
SMART is the acronym for Specific, Measurable, Achievable, Reasonable, Time-bound.
The goals in the area of sustainability should not be detached from the corporate goals.
Otherwise, conflicts of objectives can quickly arise.
Instead, it is a good idea to integrate your ESG goals into the overall strategy.
After the objectives, the headache continues – now it’s a question of what measures you want to use to achieve these objectives.
Involve your employees, but also other stakeholders and experts.
They are more likely to recognize solutions as they are more directly affected by the problems.
Be aware that not all measures can be implemented company-wide.
For some, it makes sense to implement them throughout the entire company.
However, other measures are more specific and are only suitable for a particular department.
You should formulate such measures directly with the employees concerned.
3. create an awareness of sustainability throughout the company
Sustainability is a company-wide team project.
All departments are needed, for example, to implement measures, define new targets and provide data for ESG reporting.
For this reason, it is also important to create a shared awareness of sustainability.
The best time to build this is when you are developing your sustainability strategy.
With a vision and mission for the sustainability area, you can give the topic the necessary importance.
These questions will help you to develop a meaningful statement that evokes emotions and motivates your employees:
- What is our vision of the future?
- What do we want to achieve as a company?
- What future do we see for our company?
- What values do we have as a company?
To give sustainability the importance it deserves in your company, you should not see it as a separate strategy.
Instead, integrate the topic into the overall strategy.
This will allow you to anchor the ambition to lead your company into a more sustainable future in all areas and processes of the company.
And very importantly: talk about your company’s ambitions.
Get everyone on board.
Communicate the vision and mission.
Explain what drives you and what you want to achieve.
This will create a shared awareness of sustainability.
4. it’s time for implementation: control is the be-all and end-all
The development of your sustainability strategy is complete – now it’s time to implement it.
You should see ESG management as a process.
It will take many years until you achieve your medium and long-term goals.
You need to take a long breath.
You will probably even have to adjust your measures and targets as new findings and developments (regulations, products, business models) emerge over time.
By constantly reviewing and measuring your measures using suitable KPIs, you can keep control of your progress and the entire process at all times.
Deviations from the target become apparent at an early stage and you can make adjustments.
A tool such as the VERSO ESG Hub is also ideally suited to this challenge and simplifies your sustainability management enormously.
Transparency is also an important factor during implementation in order to further increase awareness of sustainability among stakeholders and employees in particular.
Motivation is quickly diminished if you are only involved at the start but then hear nothing more about the topic.
It is therefore also important to talk openly about the results to date – both negative and positive.
This promotes trust and understanding, increases motivation and facilitates collaboration.
Develop a sustainability strategy: VERSO supports you!
VERSO supports you with expertise and software in the strategic implementation of sustainability in your company.
Our VERSO Sustainability Experts will accompany you throughout the entire process – from stocktaking and materiality analysis to sustainability management and reporting.
The VERSO ESG Hub offers you a comprehensive solution for holistic sustainability management.
And if you want to acquire further knowledge, you can attend training courses at the VERSO Academy.
This allows you to implement your sustainability strategy independently – but still receive reliable support.
Does that sound like what you’re looking for?
Feel free to contact us for more information.
* This information is summarized editorial content and should not be construed as legal advice. VERSO accepts no liability.
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Why is sustainability important for companies? Facts & Figures 2024
Sustainability is becoming increasingly important – not only for private individuals, but also for companies. This article shows why you should not regard sustainability as a mere compulsory exercise.
5 facts why sustainability is important for companies
ESG issues (environmental, social and governance) are playing an increasingly important role in business.
And rightly so: sustainability and sustainable action bring many advantages to a company – as various surveys show.
Sustainability is therefore important because:
- it ensures the continued existence of the company
- it ensures economic success in the future,
- it increases employee motivation,
- it strengthens customer loyalty to the company
- and because it creates new jobs.
ESG has developed into a topic that has become increasingly important for both private households and companies.
For companies, sustainability is no longer just a label that can be marketed nicely.
In addition to ethical aspects, it also brings major economic benefits – for example in the recruitment of employees, customer loyalty and, as a result, greater economic success.
However, in order to implement sustainability efforts in a targeted manner, companies should not implement loose measures, but rather develop a sustainability strategy – with concrete goals, measures and key figures for monitoring.
Sustainability ensures economic success
Sustainability is no longer limited to sorting waste in the office, but has a strong influence on many fundamental sectors of a company.
Therefore, the switch to sustainable business practices can of course be time-consuming and cost-intensive.
But the effort is worth it, as these four studies show:
- 95% of respondents to the Ramboll’s 2019 Sustainability Survey stated that ESG is an important factor for long-term economic success.
The reason: consumers are increasingly buying regional and ecologically valuable products. - 45 % of the KPMG 2022 CEO Outlook executives surveyed (globally) stated that ESG measures improve their company’s financial performance.
- 67 % of the Sustainability Monitor 2024 companies surveyed recognize added value in CSRD for the further development of the company.
- 55 % of the KPMG 2024 U.S. CEO Outlook executives surveyed expect to see a significant ROI from their ESG initiatives in the next three to five years.
Sustainability secures the future of companies
However, ESG commitment not only ensures that the company is in a good financial position.
It is becoming increasingly clear that the climate crisis and its consequences are becoming a real threat to established business models and that business as usual is no longer sustainable.
Conversely, this means that sustainable transformation ensures the long-term survival of companies.
- 55 % of the Capgemini of the German companies surveyed recognize that something has to change: they consider climate change to be the main cause of future disruptions to operations.
- 61% of the managers surveyed worldwide in the same study are of the opinion that a lack of sustainability strategy will become an existential risk in the long term.
Stronger customer loyalty through sustainable business practices
Satisfied customers are usually also loyal customers – as shown by a survey by Capgemini Study Sustainability in CPR 2020:
- Three quarters of the companies surveyed from the consumer goods industry and retail sector stated that the inclusion of sustainability increases their customer loyalty.
- 79 % change their purchasing behavior in favor of more sustainability.
- 66% even select products and services specifically according to how sustainable they are.
This is in stark contrast to the 36% of large companies that were also surveyed in this study – and stated that sustainability does not play a major role for their customers.
In the study, Deloitte examined The Sustainable Customer 2023study, Deloitte investigated what consumers want from companies when it comes to sustainability.
The result: more transparency and honesty, among other things.
34% would trust a brand more if its ESG measures were verified by an independent third party – as the new Green Claims Directive aims to achieve.
Sustainability – the key to motivated employees
However, satisfaction must not only come from outside, but also from within.
After all, motivated employees do more for their company.
A company with a sustainable focus can provide precisely this additional motivation boost – and also give itself a real advantage in the search for talent:
- 67 % of the employees surveyed for the report Sustainability in CPR report stated that the integration of ESG issues in the company had increased employee motivation.
- The EIB Climate Survey 2023 found that 56% of people surveyed value an employer that thinks (and acts!) sustainably.
- For almost a fifth of the younger job seekers surveyed in this study, sustainability is even the criterion when choosing an employer.
- And an HR survey by Gartner found that a strong ESG culture can increase employee engagement by up to 43%.
Sustainability creates jobs
All of these factors play a role in economic success.
However, the benefits of a sustainable economy can also be seen in the economy as a whole.
According to a study by Deloitte, Germany will generate around 12 billion euros in additional gross value added per year by 2030, creating 177,000 new jobs in the process.
In addition to economic successes, 5.5 million tons of greenhouse gases will also be saved each year.
* This information is summarized editorial content and should not be construed as legal advice. VERSO accepts no liability.
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