Is the “Social” spending remaining despite incoming recession?
In the very interesting article: “2023 Will Test Companies’ Commitment to Social Responsibility” the 3 authors Carolyn Berkowitz, Kari Niedfeldt-Thomas, Diane Quest wonders whether, under the pressure of an incoming recessions, companies will be able to refrain from cutting their “Social” – the S in ESG – investments. As they summarize: “The months and year ahead will test whether American companies will uphold commitments to ESG and corporate social responsibility as we near a recession. The authors, members of three organizations that work with leaders engaged in social impact across sectors and regions, caution against stepping back from these commitments and and cutting costs. They provide four reasons why upholding ESG and CSR are critical to long-term success: 1) Your workforce is making employment decisions based on corporate purpose commitments and actions; 2) your customers make purchase decisions based on corporate purpose commitments and actions; 3) your investors make decisions based on corporate purpose and action; and 4) your company’s reputation is intrinsically linked to corporate purpose and actions.”
