Less Than 1 in 3 Boards Have a Strong Understanding of ESG Risks Affecting Their Companies: PwC Survey

A PwC survey found that over two-thirds of US corporate boards lack a strong understanding of ESG risks. Only a quarter understand carbon emissions, and even fewer grasp climate risk or strategy. Despite some reduction in focus, over half of directors still include ESG on their agendas and link it to company strategy. Female directors are more likely to see the financial impact of ESG. However, most boards admit to lacking a strong understanding of sustainability matters. Talent management and data security receive the most attention, while climate change and human rights are discussed less frequently. However, on a positive note, boards are becoming more prepared for mandatory ESG disclosures and support tying executive compensation to non-financial metrics like diversity and environmental goals.

Survey: https://www.pwc.com/us/en/services/governance-insights-center/library/annual-corporate-directors-survey.html

Resource: https://www.esgtoday.com/less-than-1-in-3-boards-have-a-strong-understanding-of-esg-risks-affecting-their-companies-pwc-survey/