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Green Companies Have More Productive Employees
Firms that have adopted environmental standards such as ISO 14001 have significantly more productive workers than other firms. This is the key finding of a paper published this month in the Journal of Organizational Behavior. The paper, which is based on a study of 5220 French firms and their employees, also demonstrates that employees at companies following environmental standards tend to be better trained and have a greater degree of interpersonal contact at work — factors that can improve labor productivity.
I've written before that some companies believe their embrace of sustainability helps engage employees in the company's broader mission. Firms see a prominent sustainability program as an aid to employee recruitment and retention and a way of enhancing employee productivity. Indeed, the paper found that companies that had adopted environmental standards enjoyed labor productivity 16% to 21% greater than companies that had not implemented such standards.
Why do green companies have more productive employees? The study points out that implementing environmental standards requires an investment in employee training, which tends to lift productivity. It also notes that ...
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Investors Reward Environmental Results - Not Targets
This study found that energy-intensive companies operating in regions where carbon emissions are taxed can boost their stock prices by reducing carbon emissions. Researchers, at ETH Zurich, a Swiss university, found that merely announcing emissions reductions targets yields no positive effect on share prices.
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Sustainable Life Media is home for business professionals looking to build new value and competitive advantage by innovating more sustainable processes, practices and products. We bring you top stories related to the what, who and how of environmental and social innovation, and help you connect with thought leaders, peers, partners and solutions providers that can help you quickly reach your goals. |
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This work is licensed under a CreativeCommons License. Copyright Sustainable Life Media Inc. 2011 |
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