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Editorials

 

Shareholder Values

 
"Of the 1,003 investors surveyed, nearly half (49%) said that over the next 12 months they were likely to invest in a company or mutual fund looking to provide solutions for environmental problems."
--
Allianz Global Investors
   
(USA) January 2008

"88% of respondents felt
that it was either “fairly” or “very” important for companies to take environmental, social and governance issues seriously'"
--
F&C Investments
   
(UK) May 2008

84% of Canadian shareholders agreed with this statement: "[The] financial community should pay more attention to social and environmental performance when valuing companies."
-- GlobeScan
   
(Canada) February 2004

 
 * Submitter: ImageWorks PR [View SourceWire PR Company Listings]
Press Release

UK companies are becoming more responsible, but are the public convinced?

For publication or broadcast after: 00.01 17 July 2006

British companies are becoming more socially and environmentally responsible but employees don’t think messages about these improvements are getting through to the public, according to new research by ISR.
.
The research by the global employee research and consultancy firm, explores four Corporate Social Responsibility (CSR) indicators – business integrity, environmental responsibility, social responsibility and public image. It examines the attitudes of 172,800 employees to reveal whether they think business practices in these areas are improving. The views of employees from the UK, US, France, Germany and the Netherlands are included in the research.

CSR on the up in the UK but public regard is in decline
Overall the research shows that the number of UK employees who report that their organisation acts with integrity and is socially and environmentally responsible is on the up. In contrast, since 2001 the number of employees who think that their organisation is highly regarded by the general public has declined.

The data from the research show that:

• 72% of employees think that their firm operates with integrity in its external dealings, this figure stood at 67% in 2001.
• 73% of employees think that their organisation is environmentally responsible, this is up from 66% in 2001.
• 72% of people think that their organisation is socially responsible in the community, compared to 66% in 2001.
• 51% of employees think that their organisation is highly regarded by the general public, which is a fall from 2001 when 55% of employees held this view.

Although there has been a fall over the past five years in the number of employees who think their organisation is well regarded by the public, the data reveal that this position could be beginning to improve. In 2004 only 48% of people thought that their organisation is well regarded. This has risen to 51% but remains 4% below the 2001 figure.

How does Britain compare to other countries?
Despite improvements over the past five years, Britain is still lagging behind other major economies on some of the CSR indicators examined in the research. In particular, it reveals that British businesses could do more to convince their employees that they are environmentally responsible.

In Britain fewer people than in all the other countries examined think that their organisation is environmentally responsible, with 73% saying that this is the case. In the US 82% of employees believe their organisation is environmentally responsible, and in the Netherlands 76% report that this is the case.

With only 51% of people in Britain thinking their organisation is highly regarded by the public, this is lower than any of the other countries examined. By comparison 71% of employees in the Netherlands think their organisation is highly regarded, putting them ahead of all the other countries included in the research.

Commenting on the research, Nick Tatchell, Senior Project Director, ISR said:

“Genuine CSR is about sustainability – fostering respect for our environment and the renewal of communities. This research investigates CSR from the perspective of the employee. As UK companies in general improve their business practices, they will find that their CSR activities are less likely to differentiate them from other companies in the eyes of current and future employees. This research also reveals a two fold opportunity for responsible organisations: to redouble efforts to become more environmentally responsible, and to give employees an opportunity to share their CSR experiences with the public, be they customers, potential recruits or other external stakeholders.”

For more information or to arrange an interview please contact Liz Marshall, ImageWorks PR on 020 7277 3366 or 07796697593.

Notes for editors

1. ISR is a leading global employee research and consultancy business. It has been in operation for over 30 years and works with some of the world’s leading organisations. www.isrinsight.com
2. The research was presented at an ISR seminar on 12th July 2006 at the Institute of Directors, London.

3. The questions that employees responded to included:
• In my opinion this company is socially responsible in the community
• I believe this organisation is an environmentally responsible company
• This company is highly regarded by the general public
• This company operates with integrity in its external dealings.

 

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Disclaimer: This website does not make investment recommendations. Nothing in this site should be interpreted as a recommendation or solicitation to buy/sell any securities or investments. Investing for the Soul is a source of general information and resources for spiritual investing, ethical investing, and socially responsible investing (SRI). Investors should consider their actions thoroughly and consult their financial advisers and other professionals, prior to taking any investment action. This website does not necessarily agree with the opinions expressed in articles on its pages or offered on the web pages to which it might be linked. Such opinions are the responsibility of the writers themselves. Furthermore, this site does not offer or provide any warranties, representations, guarantees, implied or otherwise, as to the accuracy, legality, copyright compliance, timeliness or usefulness of the information, materials or services on this, or other sites, to which it is linked.

 

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