Westpac named as global ESG leader
Westpac Bank has been named among the world’s best companies for reporting of environmental, social and governance (ESG) issues.
According to research by The Global ESG Monitor, which analysed companies in Europe, US and Australia, Westpac was found to be the fifth-best company in the world for its handling of ESG.
The first four companies were all European firms; there were only two non-European firms in the top 10 which were Westpac and US brand Walgreens. Looking at Australia specifically, other ESG leaders included Woodside Petroleum, Newcrest Mining and South32.
Australian companies were found to be leaders in making their ESG objectives clear in integrated reports and reporting ESG impacts in separate reports. However, they fell down on reporting names of stakeholder groups they engaged with, describing and defining boundaries in a supply chain and disclosing in-depth details.
Over 75% of Australian separate sustainability reports failed to disclose how stakeholders were identified, 41% failed to report how they engaged with stakeholders and 38% failed to provide a list of stakeholder groups.
Mark Paterson, principal of Currie, a corporate sustainability specialist which co-authored the report, said: “Global standards make stakeholder dialogue a priority for sustainability reporting, yet a weakness in reporting common to all regions is transparency around stakeholder involvement.
“You need look no further than Rio Tinto’s destruction of Australia’s cultural heritage at the Juukan Gorge rock shelter to see what can happen when a company does not listen and respond to stakeholders’ concerns about its impacts.”
Top Australian companies for ESG reporting transparency
|
Australian rank |
Company |
Points |
Report Format* |
|
1 |
Westpac Banking Group |
47 |
S-NFR |
|
2 |
Woodside Petroleum Ltd |
42 |
S-NFR |
|
3
|
Newcrest Mining Ltd |
40 |
S-NFR |
|
South32 |
40 |
S-NFR |
|
|
Amcor Ltd |
40 |
S-NFR |
|
|
6 |
ANZ Banking Group |
38 |
S-NFR |
|
7 |
National Australia Bank Ltd |
37 |
S-NFR |
|
8 |
Woolworths Ltd. |
35 |
S-NFR |
|
QBE Insurance Group Ltd |
35 |
S-NFR |
|
|
10 |
DEXUS |
34 |
S-NFR |
*I-NFR = integrated non-financial report, S-NFR = separate non-financial report
AUTHOR
Laura Dew
Recommended for you
As advisers risk losing two-thirds of FUA during the $3.5 trillion wealth transfer, two co-founders underscore why fostering trust with the next generation is vital to retaining intergenerational wealth.
As advisers seek greater insights into FSCP determinations, what are the various options considered by the panel and can a decision be appealed?
Amid the current financial adviser shortage, advice firm Link Wealth is looking to expand its financial literacy program for high school students across the country.
TAL Risk Academy has updated its range of ethics courses to help financial advisers meet their CPD requirements following adviser feedback, including interpreting FSCP determinations.
