The CSR Newsletters are a freely-available resource generated as a dynamic complement to the textbook, Strategic Corporate Social Responsibility: Sustainable Value Creation.

To sign-up to receive the CSR Newsletters regularly during the fall and spring academic semesters, e-mail author David Chandler at david.chandler@ucdenver.edu.

Showing posts with label DEI. Show all posts
Showing posts with label DEI. Show all posts

Thursday, January 22, 2026

Strategic CSR - Greenhushing

 
Welcome back to the Strategic CSR Newsletter!
The first newsletter of the Spring semester is below.
As always, your comments and ideas are welcome.
 

The other day, I was discussing with a friend the shift in public pronouncements by corporations about their equity and inclusion policies, and whether this reflected a similar shift in behavior (actions in addition to words). My sense is that many organizations are continuing as before (i.e., they are not fundamentally altering their mission and behavior), but are doing so surreptitiously. Perhaps a corollary is what is happening in the sustainability space, as explained in the article in the url below:

"Greenhushing is everywhere. While a rollback in green ambition has received a lot of attention in recent months, many speakers said companies were still pursuing their targets, just without talking about them in public. Peter Bakker, president of the World Business Council for Sustainable Development, said that 91% of companies WBCSD surveyed globally said they are investing the same or more than they were last year in decarbonization. Similarly, Sherry Madera, CEO of the environmental disclosure nonprofit CDP, said its data shows that the majority of companies are either maintaining or increasing their climate ambition. But, she said those conversations are happening behind a closed door. "I don't think companies have the appetite to talk about this as much."

Of course, this reaction might evolve — stages of resistance and then submission, perhaps. In other words, perhaps organizations start out changing their words and labels, but continue their behavior. Then, as the pressure to change continues and new norms (and stakeholder expectations) emerge, behavior eventually follows.

To distort Warren Buffet's well-known quote about bankruptcy — change happens slowly, and then suddenly.

Take care
David

David Chandler
© Sage Publications, 2023

Instructor Teaching and Student Study Site: https://study.sagepub.com/chandler6e  
Strategic CSR Simulation: http://www.strategiccsrsim.com/
The library of CSR Newsletters are archived at: https://strategiccsr-sage.blogspot.com/


Corporations Are Bringing Climate Talk to a Whisper
By Coco Liu
March 4, 2025
Bloomberg

Posted by David Chandler at 8:00 AM

Monday, September 25, 2023

Strategic CSR - Green-hushing

The article in the url below suggests that, in the face of growing polarization around ESG-related issues, companies are engaging in more "green-hushing":

"Executives at U.S.-listed companies mentioned 'environmental, social and governance,' 'ESG,' 'diversity, equity and inclusion,' 'DEI' or 'sustainability' on 575 earnings calls from April 1 to June 5, down 31% from the same period last year. … That is the largest such year-over-year decline and the fifth consecutive quarter of year-over-year drops, following a pickup in these discussions and corporate social efforts in the wake of the police killing of George Floyd in May 2020."

The chart in the article highlights the definite trend that emerged over the last couple of years:

 

Although executives are talking less often about the variety of issues that fall under the ESG umbrella, there does not seem to be any less action (which is encouraging):

"While such instances of 'green-hushing' may be part of a larger strategy for many companies to avoid weighing in on divisive issues, there is little sign that public companies are pulling back from the initiatives themselves, such as DEI employee training and emissions reductions. Companies still regularly voluntarily issue detailed sustainability reports, disclose greenhouse-gas emissions and tie a portion of their executive compensation to ESG metrics. Businesses are also busy preparing soon-to-be-unveiled new climate-disclosure requirements from the Securities and Exchange Commission by creating systems for collecting data and managing future compliance costs."

This reminds me of Walmart, which has long engaged in best-practice sustainability issues in its supply chain, but does not advertise their progress to their customers. Research suggests that customers who see a "green" product assume that it is priced as a premium product, even though it could easily be cheaper. But, Walmart is most concerned about its price sensitive customers and perceptions around value (rather than actual value), so better for the firm to engage in the practice, but not tell anyone about it.

This is opposite to a strategic CSR approach to business. Much better, in my opinion, to stand behind a clear set of values and run the business accordingly. In my mind, that generates greater loyalty to the firm among all stakeholders, which is essential in order to operate the business at its optimal potential.

Take care
David

David Chandler
© Sage Publications, 2023

Instructor Teaching and Student Study Site: https://study.sagepub.com/chandler6e 
Strategic CSR Simulation: http://www.strategiccsrsim.com/
The library of CSR Newsletters are archived at: https://strategiccsr-sage.blogspot.com/


Companies Seek to Avert Backlash, Avoid Talk of Social, Green Issues
By Mark Maurer
June 13, 2023
The Wall Street Journal
Late Edition – Final
A1-2
 
Posted by David Chandler at 9:26 PM
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