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A recent report from UUÂãÁÄÖ±²¥, Implementing the E of ESG: why in-house lawyers are instrumental, shows that action on climate change is a top priority for both businesses and their employees. ‘There is a clear correlation between how companies score [on ESG] and longer-term financial health, with high-performing companies seeing benefits to brand, reputation, and employee engagement.’

The main benefits of promoting sustainability are well known. But there are many overlooked benefits. One is attracting and retaining talent, something that organisations of all shapes and sizes need to prioritise. That is , who increasingly want to work for organisations that embrace corporate sustainability initiatives.

In the rest of this article, I look at the reasons lawyers want to work for sustainable companies, including their sense of pride, aligning company and personal values, and much more. I also discuss ways that companies can start to move towards a more sustainable culture.

Taking pride in your company

Lawyers, more than most other professionals, have an inherent belief in justice and equality. As a consequence, General Counsel often aim to work for organisations whose values align with their own. Corporate sustainability has become increasingly important to General Counsel, with many respondents to our recent report identifying it as the issue they care about most.

Businesses aiming to improve their talent retention strategy need to prioritise sustainability initiatives. Bridget Jackson, , echoes that point: ‘Our green credentials are increasingly important in attracting and retaining talent. Our people tell us that they’re proud of the way we’ve pioneered new standards in sustainability.’

Pride is vital to any talent retention strategy. Feeling pride in your organisation is one of the most attractive elements of working life. A focus on corporate sustainability improves brand reputation, , and makes employees feel that their work is meaningful.

Pride is attractive. Lack of pride is a deterrent. Consider, for example, that a Gallup study found that  consider a company’s environmental record when deciding on an employer. Consider, too, that a found that 50% of people would consider not working for a company with harmful practices and 26% said they would take a pay cut to move to an employer that works to protect the environment.

Lawyers will , i.e. companies that prioritise sustainability. And lawyers will leave companies that are not focussing on corporate sustainability – many of them will even take a salary reduction to do so.

Simply put, businesses that want to attract top in-house legal talent cannot afford to neglect sustainability. Lawyers want to work for progressive and sustainable companies because they want to align their values and they want to feel pride in the work they do.

The future is sustainable

Lawyers want to work for sustainable companies. That is particularly true of younger lawyers. In the , for example, 28% of UK workers said they would check a company’s practices when applying for a job – and that number increases to 39% for millennials.

The next generation of lawyers are even more concerned about the environment. Indeed, would consider not working for a company that damages the environment. And that is likely to grow in the future, as environmentalism becomes more and more important to the younger generations, across the legal sector and across all industries.

Likewise, a for 2022 showed that the top concern of younger generations was climate change and safeguarding the environment. The study also and retention for the younger generation.

Lawyers want to feel pride in their companies. They want company values to align with their own. And they want companies to act ethically.  In short, they want companies that care.

What can companies and heads of legal teams do?

The benefits of are clear when it comes to attracting the best in-house legal talent. General Counsel can take some simple, practical steps to put sustainability at the heart of their businesses.

Our recent report in partnership with Lawyers for Net Zero, Implementing the E of ESG: why in-house lawyers are instrumental, grouped these actions into three phases depending on an organisation’s level of maturity when it comes to sustainability: 1) First steps; 2) Established roles; 3) Mature climate and ESG leaders.

Here are some of the initial changes that General Counsel could drive in their organisations:

• Procurement – encourage suppliers to submit details of their environmental commitments and make this part of the decision-making process.

• Post-procurement – introduce climate clauses for supplier contracts e.g. use some of the freely available to put requirements around ESG into supplier contracts.

• Marketing and PR – get close to marketing and investor relations early on to ensure claims are robust and backed up scientifically.

• Product design – get involved with how products are designed and packaged; are they being produced effectively? Using recycled materials? Could you even commit to an ethical code of conduct?

• Ensure oversight of initiatives – for example, if you invest in circular packaging, ensure accurate declarations around single use packaging, understand and apply the compliance obligations under the new UK plastic packaging tax (PPT).

• Update and advise the business on policy perspectives and legislation – as the legal team you will be aware of pending legislation and how best the business can comply with requirements.

• Lobbying – depending on your sector, it can be impactful to lobby alongside other companies or groups to influence upcoming legislation around environmental goals and commitments.

• Assess goals and targets – ensure you understand the relevant goals and targets of your organisation, and ask if they are fit for purpose. How can they be made more relevant to each sector of the organisation?

• Seek out training sessions and knowledge development opportunities for yourself and your team. Several participants in our research recommended the Cambridge Sustainability Course.

The above represents some of the actions that . It’s important to remember that these actions need to form part of a broader cultural shift towards sustainability. The future is green and companies that fail to act will get left behind.

Read the full report to see all the practical steps lawyers can take to drive sustainability in their organisation

Our Sustainable Business Toolkit is a great starting point for legal counsel looking for practical resources on sustainable business issues. Full of advice and information on various practice areas such as competition, environment and finance, it includes over 100 practice notes and checklists. Legal counsel can use this content to advise their business on how to approach sustainability issues, help them to identify what they should be doing and how to measure impact, and explain how they can maximise opportunities and minimise risks.

Looking for practical guidance to decrease risk and increase efficiency? Access our Practical Guidance content for free for 7 days, by filling out the form below.