EFRAG and the Taskforce on Inequality and Social-related Financial Disclosures (TISFD) Secretariat have entered into a cooperation agreement aimed at advancing the development and widespread adoption of social-related financial disclosures. The agreement marks a significant step toward improving how businesses and financial institutions report on their social impacts, dependencies, risks, and opportunities related to people.
The collaboration between EFRAG and TISFD seeks to promote global disclosure frameworks, enabling companies to better understand and communicate their social-related practices. By aligning their efforts, both organisations will work to enhance market readiness and expand the implementation of financial disclosures that focus on inequality and social issues. The partnership will leverage EFRAG’s expertise in sustainability and corporate reporting, along with TISFD’s global perspective on financial disclosures.
A key element of the agreement is technical alignment. EFRAG and TISFD will share knowledge and collaborate within each other’s working groups to harmonise and improve guidance on inequality and social-related financial disclosures. This will ensure consistency between EFRAG’s EU Sustainability Reporting Standards (ESRS) and TISFD’s broader global framework, helping businesses adopt a unified approach to social reporting.
The cooperation will also focus on providing practical implementation support. EFRAG and TISFD will co-create webinars, guidance materials, and tools to assist companies in disclosing inequality and social-related data, simplifying the adoption process for the market. This will encourage businesses to meet the reporting requirements of both the ESRS and TISFD frameworks.
Furthermore, the partnership will involve joint communication efforts. EFRAG and TISFD will work together on messaging related to the partnership, ensuring consistency in their shared mission while maintaining their independent operations. The focus will be on raising awareness about the importance of transparency in social-related financial disclosures.
This agreement underscores the shared commitment of EFRAG and TISFD to advancing corporate transparency on social issues. Both organisations are dedicated to supporting businesses in responding to growing stakeholder expectations for more equitable and sustainable practices. Through this partnership, they aim to drive positive change in corporate reporting and promote greater accountability in addressing social challenges.