As CSR vacancies jump, half of FTSE link pay and bonuses to ESG goals.

Posted: 16 November 2021

By Luke Upton

With the COP26 conference the focus of the world’s attention these past weeks, a timely new report has found that the number of CSR-related job roles advertised in 2021 has increased by 74% since last year, and by 54% when compared to 2019 (pre-pandemic). May 2021 was the second-busiest CSR recruitment drive on record as these vacancies jump, its also revealed that half of FTSE link pay and bonuses to ESG goals.

The industry leading the way when it comes to recruitment of sustainability experts with 23% of all vacancies is Consumer Goods & Services

Chris Poole, Managing Director of Robert Walters UK, who authored the report comments: “Right now, businesses are under more scrutiny than ever. Processes, suppliers, materials, and policies often have more of an impact on consumer actions than a finished product. As governments strive to achieve environmental targets, and the choice widens for customers on socially-conscious products and services – ESG will increasingly become more critical for survival, and not just for investment.”

woman placing sticky notes on wall

Industry changes.

Other industries which have maintained their recruitment drive in this area include Real Easte & Construction, Professional Services, Technology, Media & Telecoms (TMT) and Financial Services – which represents 19%, 13%, 11% and 8% of CSR-vacancies this year respectively.

Perhaps what is most surprising to see is that the Energy & Utilities sector advertised 9% of all CSR-related jobs, followed by 5% from the Public Sector and 2% from Healthcare.

However it is important to note that whilst CSR recruitment may be less representative in such sectors, hiring for this role has increased from near 0% within Public Sector and Energy & Utilities.

Within Healthcare, hiring for CSR-specialists skyrocketed by 100% between 2019 to 2020, indicating that the majority of their hiring spree took place during the pandemic.

Daniel Connors, Associate Director of Robert Walters UK added: The impact of global warming has hit a number of industries hard this year – including financial services and insurance – where the damage caused by recent hurricanes, wildfires, and floods, presents risk factors for location of offices and even towards potential investors.”

A drive to change.

In a move that signals more conversations are being had about sustainability in the boardroom, senior or top-level hires have increased from 7% in 2019 to represent 28% of all CSR-related hires in 2021.

Last week at COP26, 60 of the FTSE100 companies signed up to a pledge to stop their contribution to climate change by 2050. In addition, nearly half of the FTSE100 already link executive pay and bonus structures to environmental, social and governance (ESG) measures – with this expected to rise in the coming years.

London leads the way.

When breaking down the figures by region, London continues to dominate on the hiring front representing 40% of all CSR-related vacancies this year, followed by the North West (9%), and The Midlands (9%).

However other regions are in fact making gains on London, where in the capital the number of CSR-related roles has decreased by 45% in the past year we have seen job vacancies increase exponentially in other areas of the UK including in The Midlands (+400%), North West (+150%), Scotland (+100%), and South West (+33%).

Not surprising to see is the increase is location agnostic or 100% remote roles increasing by +100% in the past year, as the impact of the pandemic combined with a candidate shortage continues to be felt.

Ireland lags behind.

Some 90% of Irish companies consider ESG in their strategic and operational decision-making process, whilst 93% have a dedicated sustainability lead within the firm – of which 66% are at the executive level.

In spite of the focus on ESG, CSR-specific recruitment in the Republic of Ireland so far has remained relatively niche in comparison to other ESG-related roles such as Diversity & Inclusion and Corporate Governance.

In fact, the largest firms in Ireland recorded only 23 CSR vacancies in the first half of 2021 – with the consumer goods and services sector recording the most roles (30%), and an overall tilt to senior roles (35%).

Read more about these insights and how half of the FTSE link pay and bonuses to ESG goals by clicking this link ESG: Mindset Over Must – A Review of Labour Market Trends in an ESG-focussed era.