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Larry Fink, CEO of BlackRock, yesterday challenged companies Disclose plans to achieve net zero global emissions by 2050 – meaning they don’t emit more carbon than they remove from the environment. Fink’s letter is a clear indication of the rapidly changing attitude of companies towards combating climate change.
But how many companies can actually handle Fink’s challenge? capital, in cooperation with Deloittejust completed a survey in which we asked more than 100 CEOs (mostly large companies), “When does your organization plan to achieve zero global carbon emissions?” The majority of respondents – more than 60% – say to already have a plan to reach zero by 2050. Most of the respondents say they have plans to reach the goal sooner.
However, that leaves almost 40% who still have no plan to achieve “net zero”. Given that BlackRock is the world’s largest wealth manager, the other companies could soon join the growing climate-induced crowd.
Regardless, I believe history will look back to 2020 as the year the big corporation looked seriously at diversity, equity and inclusion. Our new survey confirms that 94% of CEOs identified DEI as a “personal strategic priority target”. More importantly, I think there are two new programs created by CEOs to ensure commitments are in action, not just words.
The first is the OneTen Coalition, a group of companies organized by Merck CEO Ken Frazier and IBM CEO Ginni Rometty, who has made a specific commitment to train, hire and promote a million black Americans to well-paying jobs over the next decade.
The second is Measure Up, a partnership between capital and data companies Refinitiv are urging companies to disclose their ethnic diversity data – which is still rare. We believe that transparency is needed to ensure accountability and drive real change.
David Craig, CEO of Refinitiv, and Charles Phillips, former CEO of Infor, one of the founders of OneTen, joined Ellen McGirt and me on our podcast this week Leadership Next to talk about these groundbreaking programs. You can listen to the podcast here –Apple/.Spotify– Learn more about OneTen Hereand sign up for our Measure Up Here.
More news below.