Sustainability credentials can be a powerful recruitment tool
Businesses depend on their ability to recruit and retain talent. Sustainability represents a powerful alternative incentive for start-ups lacking resources to remunerate employees on the same scale as larger competitors.
23 November 2022 • 4 minute read
Employee engagement, retention and attraction are all stronger in companies with environmentally and ethically conscious business practices. Demonstrating that you care about your operations' impact on society and the planet dials into people's sense of purpose, delivering recruitment leverage.
"Sustainability policies are central to your brand and employer value proposition," says Chris Gray, ManpowerGroup director. "While salary and benefits are leading priorities, many jobseekers want an employer that is clear about its purpose and the positive impact it can have."
Sustainability policies are central to your brand and employer value proposition.
In the post-pandemic landscape, personal values have become employment must-haves. Manpower's 2022 international What Workers Want survey reveals that 64% of employees want their work to have a positive impact on society.
Corporte responsibility chimes with an upcoming generation of purpose-driven employees. PwC's report, Putting Purpose to Work, shows that millennials are 5.3 times more likely to stay when they have a strong connection to their employer's sense of purpose. And TotalJobs research found that two-thirds of millennials would consider not working for a company that damages the environment.
"This is not just the preserve of youth," points out Chris. "Workers of all ages and experience levels are increasingly tuned into the challenges of the international climate emergency and the pressures it's placing on society."
But many businesses are failing to recognise this. According to PwC, 83% of employees rank meaning in work in their top three priorities, but only 53% of business leaders echo that statement. "The risk for employers is that if they don't define the purpose of their organisation – or communicate it ineffectively – they will miss out on reaching the many jobseekers who are making it a priority," says Chris.
This disconnect allows astute start-ups to differentiate themselves by aligning with their employees' concerns. Research by Deloitte shows that climate change and protecting the environment are leading worries for millennials and Gen Z, while TotalJobs reports that a third of UK employees want their employers to cut carbon emissions.
"Start-ups need to think about what purpose means to their business and how they will embrace it," says Chris. "Understanding their impact on the environment is essential from a sustainability perspective. This means issues such as how much of their energy is from renewable sources, how they can minimise the waste they produce, and how they can make more sustainable decisions about work travel."
Advertising your sustainability activity is a critical recruitment and retention tool. "Be clear about what you seek to achieve through any sustainability programme, how you're going to measure and report on it, and how that information will be shared internally and externally," advises Chris.
PwC found employees favour hearing about the impact of their company's activities through client, customer and employee stories and leadership messages. These are most effective when delivered through team leaders, social media, company website, and company-sponsored events.
Another medium is awards and accreditation, such as ISO 14001; the Sustainable Business Awards; or B Corp certification. B Corp SMEs, for example, report an average staff attrition rate of 10%, compared to 16-20% for the general SME population.
Whether it's working towards such accreditation, or instituting greener practices, get your employees involved. TotalJobs found that 89% of workers supporting environmental causes as part of their role felt engaged at work. Pursuing sustainable practices and innovations in the workplace makes employees feel their priorities are recognised and contributes towards your start-up's resilience, robustness, and sustainability.
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