PWC’s 2024 Global Workforce ESG Preferences Study reveals a notable gap between companies’ focus on Environmental, Social, and Governance (ESG) initiatives and the actual priorities of employees in the Middle East. While businesses emphasise sustainability, employees are more concerned with personal benefits like fair compensation and career growth.
The survey highlights that 92% of respondents would likely stay with their current employer if total rewards were improved, compared to 77% who would remain if ESG practices were enhanced. This discrepancy underscores the difficulty organisations face in aligning their sustainability efforts with employee priorities, which could affect long-term business viability and growth.
However, the report also shows that improving ESG policies and practices can significantly boost employee retention. The proportion of employees “likely” or “very likely” to stay increases from 77% to 82% when ESG practices are improved, while those “unlikely” or “very unlikely” to stay decreases from 6% to 3%.
This suggests that while competitive pay and fair practices are crucial for retaining top talent, integrating ESG elements into the employee experience and organisational culture can foster a more engaged and motivated workforce. This approach can enhance ESG outcomes for both the organisation and society.
Khaled Bin Braik, Consulting Partner and Emiratisation Leader, PwC Middle East said, “ESG is an emotive topic and employees respond to it differently and engage at varying levels. Understanding these sentiments and designing personalised approaches can ensure that employees feel included and play an active role in achieving sustainability goals. This goes beyond just ticking boxes; it’s about creating a work environment where employees feel valued and connected to the organisation’s mission. It’s about embedding ESG into the company culture so employees see themselves as integral to the sustainability agenda and feel empowered to contribute meaningfully.”
The study also advises employers to adopt personalised strategies to engage their workforce effectively and make ESG a collective priority. It introduces four ESG employee personas, sustainability champions, thoughtful teammates, pragmatic allies and new entrants, offering insights into how organisations can tailor their ESG strategies to engage each persona effectively.
