Unilever merges sustainability and communications functions amid strategic shift

Unilever is integrating its sustainability and external communications departments, marking a significant organisational change as the company recalibrates its sustainability strategy. This follows its recent decision to scale back environmental targets amidst a broader restructuring and cost-cutting programme.

In an internal email shared with employees (as reported by Financial Times) Unilever announced that the roles of chief sustainability officer and global head of communications and corporate affairs will be combined under one leadership. Rebecca Marmot, the current chief sustainability officer with a background in corporate affairs, will assume responsibility for external affairs, following the departure of Paul Matthews, the global head of communications and corporate affairs.

Chief executive Hein Schumacher, who took over leadership last year, is steering Unilever towards what he describes as a more “realistic” approach to sustainability, focusing on fewer, more achievable targets. “Given the increasing extent to which the external policy environment impacts our commercial and sustainability ambitions, I have decided to bring corporate affairs, external communications, and sustainability together under one leadership role,” Schumacher explained in the update.

However, the move has drawn criticism from sustainability advocates. Jonathon Porritt, who advised Unilever on sustainability issues for nearly three decades, expressed concerns about merging the two functions. “Sustainability should always prioritise the interests of the world and its people, alongside the company. No company serious about sustainability should bring these two functions together,” he said.

Unilever has historically been a leader in corporate sustainability, setting ambitious targets after the 2015 Paris Agreement. However, earlier this year, it announced a shift to a more “focused” strategy, citing some previous goals as unattainable. This included extending deadlines and reducing targets for initiatives like virgin plastic reduction and circular packaging.

At a recent capital markets day, Schumacher introduced a new company purpose—“to brighten everyday life for all”—replacing the previous tagline, “to make sustainable living commonplace,” which was championed by former CEO Paul Polman. While acknowledging Polman’s influence in raising awareness, Schumacher said some of the prior targets were overly ambitious. “Even achieving 80% of those targets would have been an extraordinary accomplishment,” he noted.

Schumacher emphasised that the company’s financial commitment to sustainability remains intact, with year-on-year increases in spending, though he declined to share specific figures. He also clarified that Unilever’s strategy now focuses on execution rather than advocacy, reflecting growing regulatory requirements for environmental reporting.

The shift aligns Unilever with other companies reassessing their green agendas. Walmart, Shell, and Coca-Cola have faced scrutiny for revising or missing sustainability goals. Campaigners have warned that Unilever’s recalibration could set a precedent for other corporations to backtrack on environmental commitments.

Despite criticism, Schumacher defended the changes, describing them as pragmatic steps to balance profitability with sustainability. However, industry observers argue that ensuring the combined sustainability and communications role has executive committee representation is crucial for impactful decision-making.

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