The B-schoolers embracing lower pay

From: POLITICO's The Long Game - Thursday Mar 03,2022 05:02 pm
Mar 03, 2022 View in browser
 
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By Jordan Wolman

THE BIG PICTURE

Students don't think business is doing enough to address environmental challenges.

If businesses want to attract top talent, they better step up on climate.

That’s not coming from us. More than 2,000 business students in 30 countries across six continents said as much in a new report from Yale University and the Global Network for Advanced Management.

Fifty-one percent of the students surveyed said they would accept a lower salary to work for an environmentally responsible company, up from 44 percent in Yale's inaugural 2015 survey. Twenty-six percent of respondents said they would not accept a job with a company that has weak environmental practices, up seven points from 2015.

Yet only 20 percent of student respondents said businesses are making sufficient efforts to address global environmental challenges, roughly the same as seven years ago.

Business students are split on accepting a pay cut to work for a more environmentally friendly company.

Most business students firmly believe climate change is an issue in their arena. About three-fourths of respondents said they believe global warming to be a business issue — even more than those who characterized the problem as a health issue or a moral one. But they also ranked environmental and social concerns behind traditional business issues like finance, operations, and sales and marketing as topics that executives need to be on top of.

"[S]tudents seem unlikely to advocate that sustainability concerns become the new top priority for business leaders, but that these concerns be clearly added to the list of existing priorities," the report authors said.

Interestingly, while more than half of respondents said the conditions of the planet are “poor” or “very poor,” concern dropped off when thinking locally. Only one-third thought their own countries had poor environmental or social conditions, a response that held roughly steady across the world.

And while 52 percent of respondents rate themselves as “very” or “extremely” worried about global warming, only 31 percent of students believe others at their school are similarly concerned — a number that drops when students consider people in their workplaces and further plunges to 11 percent when students think of people in their country.

Most business students say they do not know enough about environmental sustainability.

Another clear trend: Business students want more — more experiential learning focused on sustainability, more sustainability-focused case studies, and more career services focused on sustainability jobs.

Ultimately, the report concluded that business schools should emphasize opportunities to integrate sustainability topics, and that corporations need to improve their sustainability practices — if for nothing else than to attract top talent. It also called on business students to be the catalyst for change within business schools.

“It would be easy for the heads of today’s corporations and business schools to read contradictions into these opinions, and throw up their hands at a lack of a clear direction,” the report said. “However, we believe the nuance in these opinions reflects the growing maturity of sustainability as a concept in business, and of future leaders’ understanding of it.”

 

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WHAT WE'RE CLICKING

A new report out today from the nonprofit As You Sow assesses the progress of 55 of the largest American corporations regarding their greenhouse gas reduction targets. Spoiler alert: A lot of them flunked.

— Hydrogen is once again on the move as a potential source of clean fuel. Four Western states announced an ambitious partnership to create a "hydrogen hub," the Colorado Sun reports.

 

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