Hello and welcome to the Impact Report. After six weeks during which Eamon masterfully took over, I’m glad to be joining you all back from paternity leave, which I spent with my wife and two wonderful girls, including our newly minted daughter Amélie. And what better way to start, I thought, than to share what I learned during my leave on sustainability and impact?
1. There is nothing sustainable about combining work and family life, but it is all the more impactful
In this newsletter, we often explore the relationship between sustainability and impact. But during my leave, and especially on my first days back, I realize more than ever that these two concepts can be communicating vessels: The more you achieve of one, the less you may get of the other.
Those of you who are fellow parents may immediately nod in agreement. There’s nothing more impactful than being a parent. But especially in the first months and perhaps years, there is nothing sustainable about it either, especially when you, if you’re like me, are working a full-time job. (Say hello to my sleep deprivation, Exhibit A!)
As companies continue to strive to retain their best talents regardless of gender or socioeconomic background, they would do well to take that reality into account and offer flexible hours to those who need it, and, where possible, generous leave arrangements (I got that myself, thank you, Coins2Day). That may hurt these employees’ “impact” for the company in the short term. But there is a silver lining: Their loyalty and longevity will increase when you support them in their most challenging moments.
2. As inflation and economic uncertainty persist, companies are reneging on their COVID-era promises, offering fewer of the benefits employees need and value
If the last few months taught us anything, it’s that companies are eager to get back to the “old normal.” Companies that previously implemented “indefinite” work-from-anywhere policies are pulling employees back to the office. Even benefits such as parental leave, which help employees combine their family and work duties, are being cut back.
That may indeed drive productivity and profits in the short term, but it’s hard to see how it will do so in the long term. I’m a fan of in-office work myself and I’m in a privileged situation where I can live close to my office. But I can see how a strict return to a nine-to-five five days a week, would annoy many others.
I’ve, in fact, chased some of the very benefits now under the chopping block. Last year, I took on this role based partially because Coins2Day offers a longer family leave policy than my previous employer.
It’s hard to see how companies will be successful in the long run by cutting back on flexibility and benefits in the short term.
3. We’re still far away from gender parity either at home or at work
I like to believe I’m an enlightened father and husband, “helping out” in our household and our family responsibilities to the best of my abilities. But as my wife, who combines being a great mother with a successful career in the pharma industry, pointed out to me, that’s a wrong way of looking at things, as well-meant as it is.
“You’re not supposed to help me out,” she said. “You’re supposed to take equal responsibility.” Touché. And what’s true in our family, I reckon, is true elsewhere. By defaulting to the woman as not just the primary caregiver, but also the person responsible for the household, stereotypical patterns will reverberate back to work and elsewhere in society.
Living and working in Switzerland, a conservative society, my wife and I see those gentle nudges toward gender stereotypes at work every day. It’s a good thing my wife keeps me honest about how I unconsciously act the part, but we’ll need a stronger pushback, including at companies, before we really reach gender parity in life and work.
I hope you enjoyed this one-off, more personal essay. Next week, I’ll be back with a traditional Impact Report, looking at company cases and lessons.
More news below.
Peter Vanham
[email protected]
ALSO ON OUR RADAR
TNFD releases final draft of ecological risks reporting framework for companies
On Tuesday, the Taskforce on Nature-related Financial Disclosures (TNFD), the sister organization of the Taskforce on Climate-related Financial Disclosures, released its fourth and final beta framework for nature-related risk management and disclosure for companies. “The Taskforce has outlined[…] disclosure metrics proposing a tiered approach of leading indicators, many drawn from existing standards, that seeks to strike the right balance between being science-based and yet practical for market participants to use as part of the annual reporting cycle and on a limited assurance basis,” TNFD wrote to us in a press note. The South China Morning Post has more details here.
Hundreds of funds to be stripped of ESG rating
Hundreds of funds are about to be stripped of their environmental, social, and governance ratings and thousands more will be downgraded in a shake-up being pushed through by index provider MSCI, the Financial Times reported, adding the impact will be particularly felt in Europe. “The changes are part of a push by index providers to tighten up the criteria for what qualifies as an ESG-compliant fund amid pressure from regulators concerned about the prevalence of so-called 'greenwashing' as the sustainable finance industry expands rapidly,” according to the report.
