COP26 Takeaways: Climate Change in Your HR Strategy
COP26 takeaways make clear that HR must lead climate change integration into workplace strategy to drive employee engagement, retention, and long-term culture change.
In a world dominated by the pandemic for almost two years, it's essential not to ignore another critical topic: climate change. It was a major global focus, recently highlighted by the COP26 event held in Glasgow, where world leaders discussed achieving net-zero emissions by mid-century.
But how important is climate change to the employee experience, and how can HR embed it into business strategy and company culture?
Why Are COP26 Takeaways Relevant to Your Business?
Climate change is a global concern, and everyday actions can help address it. However, businesses must collectively drive change and become role models in this fight — and HR plays a pivotal role.
A 2020 report found that 83% of employees did not think their company was doing enough on environmental issues, and 80% said their employer's environmental values weren't aligned with their own. Meanwhile, 65% of job seekers said they were more likely to work for a company with a strong environmental policy.
Climate Change as Part of the Employee Experience
In the workplace, climate change falls under the broader umbrella of ESG (environmental, social, and governance factors), which plays a key role in attracting and retaining employees. With the ongoing threat of the Great Resignation, incorporating climate change into your strategy is essential for engagement, competitive advantage, and a strong employee value proposition (EVP).
How Should HR Be Involved in Climate Change Initiatives?
HR should partner with the business to ensure climate change is embedded in both business and HR strategy. Encouragingly, environmental concerns are increasingly appearing on the corporate radar. A Willis Towers Watson survey of 121 organisations found that 43% already have a clear climate risk strategy, 36% are developing one, and 97% believe their people are essential to delivering it effectively.
But talk isn't enough. HR must demonstrate genuine commitment to environmental matters and clearly communicate how employees fit into the broader strategy. HR is essential to driving this strategy and embedding it into the employee experience.
Further data from Willis Towers Watson revealed that 92% of organisations believe climate strategy should form part of the EVP, yet only 13% had implemented it. Only 52% said HR is involved in delivering a climate strategy — meaning 48% have left HR out entirely.
How Do You Encourage Employees to Commit to a Climate Strategy?
There's no single formula for building employee buy-in, but Willis Towers Watson highlights several crucial focus areas.
HR must inspire climate thinking as part of company culture and everyday behaviours. This can be incorporated into interviews to ensure new hires demonstrate genuine commitment, as well as into policies, appraisals, training, and feedback processes to embed it organisation-wide.
Additionally, HR can incentivise employees to adopt climate-supportive behaviours and invest in upskilling the workforce. Does your company have someone at the leadership table focused on sustainability or environmental risk management (ERM)?
All these efforts can be driven by HR and supported across the business.
What Can HR Do Now?
Several practical steps can help HR build momentum around climate change and embed it into your brand:
- Gain leadership commitment — HR cannot build a climate-focused culture without senior management and Board buy-in. Educate leaders on industry practices and requirements, and consider linking climate metrics to C-suite pay and reward.
- Obtain employee feedback — Understand how your people view climate change and want to contribute. Include environmental factors in your employee engagement survey, and run environmental-focused pulse surveys to gauge current awareness and needs.
- Appoint stakeholders and milestones — Once feedback is gathered, identify the gap between employee expectations and current initiatives. Work with stakeholders to build an HR roadmap with short- and long-term objectives, assigned actions, and review dates.
Appeal to the Future Workforce
By 2029, an estimated 72% of the global workforce will consist of Millennials and Gen Z. These generations are notably more invested in climate action and expect employers to take a visible stance toward net-zero emissions.
Taking a strategic role in embedding environmental factors into HR strategy helps build a resilient culture over time and strengthens talent attraction and retention.
Now is the time for HR to lead on environmental initiatives, weave them into business strategy, and involve employees at every level. It's no longer acceptable to defer climate change as a future goal. True success depends on motivating people to embrace change and contribute to COP26's aim of net-zero emissions. Ultimately, only people can drive real climate progress — and since HR looks after people, this responsibility sits firmly within your remit.
Frequently Asked Questions
What are the main COP26 takeaways for HR leaders?
COP26 highlighted that businesses must become role models in the fight against climate change, with HR playing a central role in embedding environmental goals into culture, EVP, and employee engagement.
Why should climate change be part of HR strategy?
Employees increasingly expect employers to have strong environmental values. Surveys show most job seekers prefer companies with credible climate commitments, making it vital for attraction and retention.
How can HR gain employee buy-in for climate initiatives?
HR can embed climate thinking into interviews, policies, appraisals, and training, while using surveys to understand employee views and incentivizing supportive behaviors.
What immediate steps can HR take on climate change?
HR should secure leadership commitment, gather employee feedback through engagement and pulse surveys, and appoint stakeholders with clear milestones to build a climate roadmap.
Why does climate strategy matter for future talent?
By 2029, Millennials and Gen Z will make up 72% of the global workforce, and these generations strongly prioritize employers with genuine climate commitments.