As the International Chamber of Shipping (ICS) explains in their Leadership Insights newsletter story, Environmental, social and governance (ESG) performance is quickly becoming a differentiator in the maritime job market.
ccording to ICS, fortunately, as the demands around ESG have increased, so has the availability of resources for companies looking to begin or improve their ESG reporting. Additionally, young people in particular look for greater social and environmental impact in their work, ICS notes.
The key metrics maritime companies should be monitoring are crew wellbeing, diversity and inclusion (especially within boards), talent retention, fleet efficiency, and reduction of carbon footprint, emissions, and other forms of pollution which cause harm to marine life and the health of our oceans.
… said Gina Panayiotou, ESG Manager at West of England P&I Club to ICS Leadership Insights
Moreover, she noted that shipowners seeking clear guidance and supporting documentation on ESG will find assistance in the various reporting standards, such as the GRI and the EU’s new ESG reporting framework the Corporate Sustainability Reporting Directive (CSRD).
As previously stated by Gina Panayiotou, there is undoubtedly a significant moral case behind sustainability and ESG, but a better understanding of it can demonstrate how the business case is equally strong.
Demonstrating action and objectives in these areas can serve as a differentiator when it comes to securing new business, especially as cargo owners and retailers focus more on the environmental and social impact of their supply chains, ICS highlights.
Additionally, as mentioned, ICS supports the idea that a focus on ESG may also prove beneficial when it comes to recruiting the next generation of talent in the maritime industry.
Young people in particular, want to work for companies that have a focus on sustainability, but also experienced, high performing professionals are looking for employers or associations that they are comfortable working with.
… commented Andreas Brachel, Head of Environmental Claims at Gard Club, at the recent Salvage and Wreck conference in London
Furthermore, Nina M. Hanevold-Sandvik, Vice President, Casualty and Major Claims at Skuld added that the insurance firm had over 150 applicants for a sustainability related position for a newly educated person.
There are all kinds of surveys these days showing that people who are graduating from university really want to work at employers that offer sustainability as part of the work
… she said.