It’s getting harder to build or maintain trust with diverse groups these days, so it’s no wonder people are turning to innovative methods to try to boost engagement.

But recent research conducted by GlobeScan and the Corporate Affairs Academy at the University of Oxford, finds that stakeholder engagement ranks among the top five priorities for corporate affairs professionals. At the same time, other GlobeScan research shows that many sustainability experts don’t see stakeholder management as a highly effective lever for advancing sustainability. This disconnect highlights a critical challenge: how can engagement be redefined to deliver trust and meaningful sustainability outcomes?

Corporate affairs practitioners surveyed say the most innovative ways to build trust with diverse groups is to return to the fundamentals, especially with stakeholders who are skeptical and critical: direct, in-person engagement and open dialogue, followed by clear communication and transparency. While digital tools and AI are part of the mix, they’re viewed as less powerful than authentic, human-centered approaches.

What this means

In a world of eroding trust and rising stakeholder expectations, organizations must focus on the quality of stakeholder engagement. By combining the relationship-building expertise of corporate affairs with the leadership of sustainability teams, companies can elevate engagement to drive credibility and impact. This means investing time in face-to-face dialogue to co-create solutions with stakeholders directly and, when possible, in person to ensure engagement not only builds and maintains trust but also contributes to tangible sustainability progress.

Based on a survey of 245 corporate affairs practitioners, February-March 2025.

The post For stakeholder trust, prioritize human dialogue over AI appeared first on Trellis.

The opinions expressed here by Trellis expert contributors are their own, not those of Trellis.​

Despite their talent, a brand wouldn’t charge a sustainability team with launching a new business or product line — so why would it charge a team with implementing a resale program? 

Unfortunately, there’s a common misperception that sustainability teams should lead resale programs because it’s a sustainability initiative, and that the existence of a resale program makes the brand more sustainable, so additional resourcing is not required. 

This results in many resale programs stagnating after launch. Instead, leaders need to allocate resources and support to financially scale successful resale programs to achieve sustainability benefits and align the program’s trajectory with being a driver of new business, customer loyalty, customer acquisition and supply chain resilience. This requires the skills and expertise of teams who are accountable for brand growth and profitability. These teams need to work in conjunction with sustainability teams who can help develop the program guardrails to avoid problematic greenwashing. 

Integrating resale into business and innovation 

Integrating resale into a brand’s core business and brand is paramount to accelerating program growth. Executive approval to enlist a cross-functional team usually is the start, and given competition for increasingly limited resources, it’s critical that brand leadership understands the potential opportunities and value resale can provide:

  • Supply chain resilience: Create an alternative revenue stream that is less impacted by natural disasters and tariffs.
  • Market share: Compete for more price-sensitive customers without sacrificing quality, by simply selling the same items again at a lower price. 
  • Consumer engagement: Interact with existing customers and attract new customers to a brand. 
  • Merchandising: Create the ultimate sale with great prices and exciting treasure-hunting opportunities. 

Additionally, the role of resale as an innovation driver is often overlooked. Jen Yue, SVP of Tapestry & Coach Strategy, illustrates this with Coach’s experience with its circularity programming. “Coach (Re)Loved was the spark that ignited Coachtopia,” a distinct sub-brand designed to operate independently from Coach to “rapidly prototype new products, processes and ideas.” Launched in 2023, Coachtopia doubled its business and reached profitability within a year, ranking as the sixth most-innovative apparel company by Fast Company this year.

Ready, set, go … where?

Once a cross-functional team has been established to lead resale, specific targets, especially revenue and sales, are needed to hold teams accountable. These metrics are nearly impossible to benchmark across peer and competitor resale programs because brands don’t disclose this information. 

This results in most brands hesitating to set financial goals for resale programs because they have no idea what a competitive or reasonable goal would be. H&M recently set a precedent by announcing in its 2024 sustainability report, that sales of secondhand goods had doubled in 2024 to 0.6 percent of total sales, from 0.3 percent in 2022. H&M should be applauded for this transparency. More disclosure of resale revenue goals and progress would help brands gauge their own progress and ideally spark beneficial competition.

But without comparable benchmarks to draw from, brands can use the following approaches to developing resale revenue goals: 

  • Product and category track records: By evaluating the path to profitability of new product and category launches, brands can set realistic financial growth goals and timelines for resale programs. 
  • Industry benchmarks: Use industry-specific reports such as ThredUp’s annual report for secondhand apparel to understand growth rates over time to build a program forecast.
  • Impact forecasting: Use secondhand product footprints and the resale program’s displacement rate to forecast the environmental savings of a resale program under different growth scenarios, helping to inform program financial goals. 

Building a P&L that generates insights

Although a profit-and-loss statement is the most direct way to track the progress of a resale program, there can be unforeseen challenges. In the early years, the lines are often blurry about what should be considered a true cost of the program and it can be unclear and difficult to assign operating costs and expenses. For example, the resale program may not yet have a dedicated team, and instead many people are contributing a portion of their time to getting the program off the ground; or it might use existing systems and warehouse space in a piggy-back approach. 

In general, at the beginning of a resale program, take a simple “apples to apples” accounting approach with clear-cut expenses and sales attributed to it — keeping in mind that the value of the P&L is that it generates insights and learnings about where a program is failing and succeeding so that teams can iterate and adjust.

A challenge specific to resale P&Ls is how to account for the incremental spend of gift cards issued to sellers in the trade-in/buy-back process. The value issued on the gift card is the cost of product acquisition and will be accounted for in the cost of goods sold. When a seller uses the gift card, they may spend beyond the value of the card. 

Adding this revenue to the resale P&L will definitely make the program look financially stronger and more attractive; however, this can be greenwashing the P&L. This is because these gift cards usually can only be used to purchase new items, which perpetuates the linear business model because revenue is being derived from the sale of new items, despite the gift card originating in a circular business model. If the gift card can be used to buy secondhand items, then those transactions can be captured in the resale program sales. 

Expanding the understanding resale value

Along with traditional accounting tools, teams can set up KPIs that measure the additional business values of the program. For example, brands that measure the percentage of resale transactions coming from new customers report this number in the range of 10 to 25 percent. With this data, a business team can compare the cost of acquiring customers through its resale program versus other approaches to customer acquisition. Gaining these insights help build a holistic understanding of the challenges and opportunities of a resale program. 

With a robust understanding of the benefits and challenges of a retailer’s resale program, a committed cross-functional team and a north star to point to, brands are well-equipped to develop successful programs — and expand beyond resale with other circular business models that help build a more responsible business and a more sustainable, circular economy.

The post How to set financial goals for a resale program appeared first on Trellis.

JBS, the world’s largest meatpacker, made its debut on the New York Stock Exchange in June, marking a comeback for a company that in 2020 had paid billions in fines to Brazilian and U.S. authorities to settle sweeping bribery and corruption cases. 

The rebrand included setting ambitious climate goals to appeal to ESG-focused investors: zero deforestation in its cattle supply from the Amazon by 2025 and net-zero emissions in its global operations — which span from Brazil to the U.S. and Australia — by 2040.

Four years later, though, the company’s plans still lack transparency and credibility, according to sustainability experts. Jason Weller, its global chief sustainability officer, told Reuters in January that JBS’s net-zero pledge “was never a promise,” but an “aspiration.” The Brazilian company hasn’t disclosed how much of its greenhouse gas emissions are attributed to land-use changes like deforestation, likely a significant source of its emissions, given that beef production accounts for more than three-quarters of the Amazon’s destruction.  

The meatpacker, which supplies McDonald’s, Walmart and other big retailers, reported small cuts to emissions between 2019 and 2023 and is investing in new tools to monitor its network of cattle farmers in Brazil. But those actions aren’t enough to meet its climate goals, according to environmental watchdogs, sustainable investment analysts and groups that evaluate corporate climate plans. They noted that JBS’s public listing in the U.S. means it can raise more cash from investors to help fund expansion into countries like Vietnam and Nigeria. Since June, JBS’s share price has risen to $15.60, an increase from its debut at nearly $14.

JBS didn’t respond to requests for comment. Chief Financial Officer Guilherme Cavalcanti told The Financial Times in June that it’s in the company’s interest to end deforestation “because we depend on the climate to have pasture for animals.”

Track record

In 2021, JBS was the first global meatpacker to announce a net-zero emissions goal. However, JBS’s net-zero plan now lags behind that of its peers, including Danone, Mars, Nestlé, and PepsiCo, according to an analysis by the NewClimate Institute in June. The think tank rated JBS’s strategy as “very poor,” citing little evidence that the company is embarking on deep emissions cuts. That would require shifting to more plant-based products, reducing fertilizer use and food waste, and eliminating deforestation. JBS hasn’t disclosed whether it will rely on carbon offsets to achieve its 2040 goal.

“Without major innovations to drastically reduce the emissions footprint of meat production or diversifying away from this highly GHG emissions-intensive industry, it is not credible for livestock agribusinesses to claim that they are on a path to deep decarbonization,” the NewClimate Institute said. 

JBS’s targets cover only Scope 1 and 2 emissions, which, even if achieved by 2030, would lead to a 1.1 percent overall reduction compared to 2019. That’s because 97 percent of JBS’s emissions are Scope 3 — the result of tens of thousands of individual farming operations and millions of consumers cooking, refrigerating and disposing of its products.

Biggest challenge: deforestation

JBS slaughters some 76,000 head of cattle a day from farms across the globe. In Brazil, it’s particularly difficult for agribusinesses to link cattle to deforested lands because the animals pass through many different farms before reaching the slaughterhouse, said Pablo Majer, conservation specialist at WWF-Brazil.

“The problem is those indirect suppliers, and meatpackers don’t have information on them,” Majer said. 

Brazil’s federal databases of land records and livestock movements aren’t interlinked and have quality issues, reported Angela Flaemrich, director of stewardship services for Morningstar Sustainalytics, who traveled to Brazil in October 2024 to engage with companies, including JBS, on behalf of institutional investors.

Satellites can show where trees are cleared, but not when cattle move or who owns the land. 

“I think JBS has put in a tremendous amount of work into this,” Flaemrich said, noting that the company traces direct suppliers — i.e., farms that are one step away from the slaughterhouse.

JBS created a Transparent Livestock Platform, which enables direct suppliers to submit information about the sources from which they purchased cattle. 

That doesn’t solve the problem of tracing cattle from birth, however, which would require a nationwide animal identification system using tags affixed to calves’ ears at birth, said Flaemrich. 

JBS has pilots underway, including with the government of Pará. The Brazilian state, which has some of the highest rates of deforestation in the Amazon, aims to tag all the cattle in the state by 2026. JBS said it will invest $43 million over three years to help farmers offset their costs.

Morningstar Sustainalytics gave JBS a “severe risk” rating on ESG issues. Sydney Krisanda, a research analyst, said the company has some strong initiatives to manage carbon within its own operations but continues to receive fines for sourcing cattle from deforested lands in Brazil.  

Political and economic realities

There likely won’t be deforestation-free cattle from Brazil until its largest customers demand it — namely, China, the U.S. and Middle Eastern countries like Egypt.

China buys about 40% of Brazil’s beef exports, Majer said, but the country is more interested in food security than ending deforestation. The U.S., the second-largest buyer, has rolled back its climate agenda under President Donald Trump. While the European Union is requiring traders to prove that cattle, soy, coffee and other imports don’t come from deforested land, the bloc is a relatively small customer for Brazil’s beef companies.

Between 2022 and 2024, the environmental watchdog groups Mighty Earth and AidEnvironment alerted JBS to more than 100 cases of deforestation in its cattle supply chain in the Amazon and Cerrado regions. JBS said the majority weren’t their suppliers, but provided no evidence to support those claims, Mighty Earth said.

Meanwhile, Brazil President Luiz Inácio Lula da Silva is focused on boosting the country’s economy, Majer said. Brazil is the world’s largest exporter of beef and soybeans, and agribusiness accounts for about 25 percent of the country’s annual GDP.

“It’s very tricky to balance these two agendas, economic and the environment,” Majer said.

The post JBS pledged to be net-zero by 2040. It’s far off track appeared first on Trellis.

A little more than three months remain before thousands of companies will need to submit their first disclosure report under two new California laws. Though some questions remain about the process, others were addressed in an update released by the state last week. Here’s what you need to know.

Remind me — what’s in these acts?

In short: Multiple disclosure requirements that — in the U.S. at least — are unprecedented.

Starting next year, U.S. companies that do business in California and have $1 billion or more in annual revenue will have to report Scope 1 and 2 greenhouse gas emissions. Scope 3 will need to be added in 2027. That’s according to the Climate Corporate Data Accountability Act, or SB 253.

A separate bill — Climate-Related Financial Risk Act, SB 261 — mandates disclosure of climate-related financial risks and the steps being taking to mitigate them. The first reporting, based on 2025 data, is due January 1, 2026, with updates required bi-annually. In other words: Your company has around 16 weeks to finalize it’s SB 261 filing. 

SB 261 applies to companies with over $500 million in annual revenue, but even at that level the act is expected to apply to more than 5,000 companies. 

Wait, weren’t these bills supposed to be delayed?

Yes, but no.

A court challenge to the laws was filed by the U.S. Chamber of Commerce, an organization that seems to like nothing more than shooting down climate legislation. The chamber argued that by mandating speech, the acts violate the First Amendment. Not so, said a district court last month: The acts concern commercial speech that of interest to consumers and others.

There was also talk that the state might delay implementation to give companies more time to prepare. But in an update on SB 261 issued last week, the California Air Resources Board (CARB), showing bureaucratic disregard for holiday festivities, reiterated that risk disclosures are due on New Year’s Day, 2026. Emissions reports under SB 253 will follow later in the year, at a date not yet specified.

That said, theere’s still a chance that the deadlines could shift: The Chamber of Commerce has appealed the district court’s decision; a hearing is set for next week.

What else did the board say in its update?

With the deadline looming, the board is filling in practical details for companies that are required to file. On December 1, 2025, the board will make available a public docket where companies can begin to post links to their risk reports. Per the update:

  • Reports can be based on several frameworks, including the widely used IFRS S2 from the International Sustainability Standards Board.
  • Reports can be consolidated at the level of parent companies; subsidiaries need not file as long as their parent company does.
  • Insurance companies are exempt.

Details of what constitutes minimum disclosure requirements for information on governance, strategy, risk management and risks and targets were also included. 

Carbon accounting is one area where that clarity will be welcomed, said Barnaby Lynch, a climate strategist at the sustainability platform Watershed. Until the update, it was unclear whether companies would have to include detailed emissions metrics in their SB 261 report, potentially duplicating the effort of complying with SB 253. Instead, noted Lynch, the board said: “We would like to understand your approach. It can be qualitative. You do not need to include quantitative emissions, at least in the initial reporting period.”

What happens next?

Well, you probably want to get to work. The good news is that carbon accounting providers, including Watershed and Persefoni, are ready to help customers prepare filings. Though many of them target larger companies, plenty of others work with small and medium-sized businesses. Searching for “SB 261” or “SB 253” on LinkedIn will surface pitches from providers looking for your business.

The post What to know about California’s looming new disclosure deadlines appeared first on Trellis.

Climate activist, academic and journalist Bill McKibben’s nonprofit 350.org convinced investors representing $40 trillion to divest from oil and gas companies over the past decade.

Now he’s using his voice and organizing platforms — 350.org and Third Act — to raise awareness about the “explosive spike” in renewable energy adoption around the world, especially electricity from the sun. 

McKibben’s latest book published in August — “Here Comes the Sun: A Last Chance for the Climate and a Fresh Chance for Civilization” — offers a hopeful account of how solar power is lifting up communities in Africa, Pakistan and China and the rural U.S.

“We live on a planet where the cheapest way to make energy is to point a sheet of glass at the sun,” McKibben told me in the latest episode of Climate Pioneers. “That changes the dynamics in many, many ways and should be changing the decision-making for corporations. It certainly is around the world.”

New renewable generation added 585 gigawatts of power worldwide in 2024, up 15.1 percent from 2023. In the U.S., 90 percent of the additions came from renewables, including 39.6 gigawatts of solar power. There’s now enough solar capacity in the U.S. — about 220 gigawatts — to satisfy 7 percent of U.S. electricity demand.

That growth continues in the face of President Donald Trump’s intensifying assault on U.S. solar and wind development through executive orders, tax rule changes and permit revocations, said the 64-year-old author of more than 20 books about climate change.

Here are four highlights from our conversation:

Solar power, the ‘Costco of energy’

The Trump administration’s policies ignore the reality that developers and utilities can add solar and wind power to the U.S. electric grid more quickly than natural gas or nuclear plants — in months compared with five years or a decade, respectively. 

Corporations with climate commitments may sign clean power contracts to make emissions claims, but it’s also cheaper, McKibben said. For example, the levelized cost of solar energy was $61 per megawatt-hour in 2024, compared with $76 per megawatt-hour for natural gas.

“I have no idea why any business would want to pay more for a primary input like energy, especially when their competitors in other parts of the world are going to be paying less and less and less,” McKibben said. “This is a strategy, at the moment, for choking the American economy. We need some businesses willing to stand up and move against it wherever they can.” 

The fossil fuel industry has broadcast the idea that alternative electricity is more expensive, when the reality is no longer true. “We think of it as the Whole Foods of energy, nice but pricey,” he said. “It’s actually the Costco of energy now: it’s cheap, it’s available in bulk, it’s on the shelf, ready to go.”

A nationwide rally to highlight that narrative, Sun Day, is scheduled for the Sept. 21 autumnal equinox. 

Texas, the biggest installer

One place the message is getting through is Texas. Despite Republican lawmakers’ attempts to slow down renewables adoption in the state, Texas installed more solar electricity in 2023 and 2024 than any other state, including California. 

Texas is also installing energy storage technology at the quickest pace in the U.S., motivated to prevent catastrophic blackouts — such as a 2021 winter storm outage that left 4.5 million customers without power, some for days. The storage capacity tripled to 8.6 gigawatts in 2024, and is projected to reach almost 18 gigawatts this year.

“There was important lobbying done, often by corporate players,” McKibben said. “People do have to begin standing up to the fossil fuel industry in one state house after another, and figuring out how to make it easier for this transition to happen.”

Utah, the unlikely disruptor 

Permitting reform is one of the biggest places where corporate support can make an important difference, McKibben said, pointing to Utah as an example of what’s possible.

In early July, Utah Gov. Spencer Cox, a Republican, signed a new law that allows individuals to quickly install small solar arrays — less than 1,200 watts — without having to go through the trouble of getting an interconnection agreement. The legislation, modeled after a policy in Germany that gave apartment dwellers the right to hang solar panels off their balconies, had unanimous bipartisan support. 

China, the first ‘electrostate’

For other inspiring solar adoption stories, look to developing countries such as Pakistan, where citizens built almost half the capacity of the nation’s electric grid on their own in the span of a year — with very little help from the government or utilities. 

But the country poised to benefit the most from solar adoption is China, which McKibben calls the world’s first “electrostate.”

In May, the last month for which data is available, China installed three gigawatts of solar power on a daily basis — roughly three coal-fired power plants. It’s still approving coal plants, too, but solar and wind installations now outpace the growth of fossil fuels.

China has a good use for that low-cost electricity: keeping electric vehicles (EVs) on the road. Close to half the cars sold in China in July came with a plug, threatening the dominance of the U.S. automotive industry.

Both solar and EVs got their start in the U.S., but Trump’s policies put the U.S. at a significant disadvantage during a crucial moment in the low-carbon economy transition. 

“What we’re doing at this moment in this country is serving up our lunch to China. I’m afraid that unless we act very quickly we’re going to be also-rans,” McKibben said.

Watch the whole Bill McKibben conversation. Be the first to read about upcoming Climate Pioneers episodes with senior sustainability professionals from PepsiCo, Yum! Brands and Patagonia by signing up for the Trellis Briefing newsletter.

The post 4 solar power breakthroughs in 2025, from a legendary climate activist  appeared first on Trellis.

Corporate sustainability sometimes feels like an impossible choice: growth or emissions reductions — choose one, and only one.

Thankfully it’s not always this way. In 2024, the total distance traveled by riders using electric vehicles from the shared mobility company Lime was almost double the number two years previous. And the emissions? “Virtually the same,” said Andrew Savage, the San Francisco-based company’s vice president of sustainability.

Trellis talked to Savage about how Lime pulled this off and the challenges that lie ahead as the company approaches a highly demanding 2030 target.

Progress to date

Lime was founded in 2017 and now offers electric bikes, scooters and seated scooters in 280 cities in 30 countries. It claims to be the world’s largest shared electric vehicle business.

The company had its near-term and net-zero targets approved by the Science Based Targets initiative (SBTi) in 2023, the same year it announced that it was profitable. The targets require Lime to reduce absolute Scope 1 and 2 emissions 90 percent by 2030, from a 2019 base year. 

As a growing company, it’s adopted an intensity target for Scope 3 rather than setting an absolute goal: emissions from purchased goods and services, capital goods and upstream transportation and distribution per rider kilometer are targeted to fall 97 percent within the same timeframe.

“That enables us to grow the business,” said Savage. “But we’ve got to grow more efficiently or we’re not going to meet our goal.”

Lime’s 2024 sustainability report includes data showing that the company is tracking ahead of schedule for both goals. Scope 1 and 2 emissions, which include company facilities used to repair vehicles and recharge batteries, have fallen 76 percent since 2019. Scope 3 emissions intensity is down 63 percent.

These cuts have been achieved in parallel with a four-year streak during which the company hit at least 30 percent growth in gross bookings annually.

How to balance growth with emissions

Lime’s biggest emissions challenge during its growth spurt has been Scope 3 emissions, which in 2024 made up 98 percent of the roughly 110,000 metric tons of carbon dioxide equivalent (tCO2e) it emitted. The largest category within the scope by far were capital goods, which include the embodied emissions in vehicles and batteries the company purchases.

Savage summed up the challenge: “How do we simply provide more of a service without needing to buy as many vehicles or parts? That comes down to hardware design, designing for modularity and circularity, designing for longer life.” 

Specific moves include switching to batteries from the South Korean company LG that are manufactured in facilities that run on renewables, as well as standardizing operating procedures so that Lime’s warehouses around the world take the same approach to repairs. Even combating theft plays a role: One change that limited emissions growth was redesigning the vehicles to make the batteries harder to steal.

To cut transport emissions, which made up 13 percent of the Scope 3 total and include energy used moving vehicles to and from warehouses, another battery change has proved critical.

“One of the biggest things that we’ve done is shift to a swappable battery model,” said Savage. “Originally the battery was housed within the vehicle and made to be tamper proof, but it also made it really hard to swap a battery and have them charge. That single act has enabled us to cut the in-market logistics significantly.”

Savage credits a leadership commitment to sustainability for bringing the organization together to cut emissions. 

“It goes back to the notion that we have a business built around emissions-free and sustainable transportation,” he said. “From the top down — including our CEO, Wayne Ting — we’ve set a really clear understanding within the company that this is a priority.” 

Proof point: One of the company’s three top-level OKRs — Objectives and Key Results, a popular goal-setting framework — concerns sustainability. Savage also runs Lime’s Sustainability Council, which meets quarterly and includes Ting alongside the company’s COO, CSO and CBO. 

Hitting and holding a 97 percent cut

Despite its progress, Lime still has a mountain to climb if it’s to hit its ambitious target of slashing Scope emissions intensity by 97 percent by 2030. It’s SBTi net-zero goal then requires the company to hold the intensity at that level until 2050.

Capital goods remain a mighty challenge. For all Lime’s work, emissions from this category have risen 7 percent since 2019. Strategic sourcing of low-carbon batteries and battery covers is a focus, said Savage. He’s tracking developments at ELYSIS, for example, a Canadian startup with a low-carbon method for producing aluminum that counts Apple among its backers

To tackle transport emissions, Lime is transitioning its operational fleet to 100-percent electric, which raises a host of questions. “We just cracked 70 percent,” said Savage. “Does the warehouse have parking? Does the warehouse have electrical capacity? How much does it cost to upgrade to get electrical to where the parking is? Those are some real challenges.”

Lime has also issued a request for proposals from low-carbon logistics operators, added Savage.

“It’s daunting,” he said, “because we need to do virtually everything right.”

The post How Lime is aiming to slash its emissions intensity by 97 percent appeared first on Trellis.

Nobody feels the effects of rising global temperatures than workers exposed to severe heat. 

For construction workers, farm laborers, delivery people and millions of others who get paid to work outdoors, extreme heat has become a normal part of the day that presents increasing risks of heat-related illness or even death. Indoor workers, too, can face similar dangers in buildings that haven’t been designed or upgraded for long periods of extreme heat.

Research from the Workers Compensation Research Institute found a seven-fold increase in heat-related illness on days with temperatures between 90 and 95 degrees compared to days between 75 and 80 degrees. On days over 100 degrees, they’re 18 times more likely. Notably, these injuries are most common with younger and less-experienced workers, suggesting that workers with less experience in navigating extreme heat would benefit from clearer guidance on how to manage it.

A federal policy void

The federal government took steps last year to start addressing these challenges when the Occupational Safety and Health Administration issued a draft heat rule for workers that would require training, on-site shade and water, regular breaks and other measures depending on the temperature. Originally proposed under the prior administration, the regulatory process is still ongoing — despite the Trump administration’s general disinterest in climate policy. 

While it’s uncertain whether or how the current administration will move forward with the policy, its main purpose remains critical: to reduce the risk of heat-related injury and illness for workers. At the same time, it gives businesses a valuable test case for climate adaptation and an opportunity to support smart risk management that contains heat-related costs while also protecting workforces and productivity.

In the absence of a federal standard, several states have implemented workplace heat safety rules, such as California, Colorado and Maryland, and some leading companies have taken measures of their own. Best practices that companies can take include:

  • Training on heat hazards, including how to identify the symptoms of heat stroke and other health issues
  • Scheduling regular breaks or allowing workers to take them as needed, in designated shaded or cool areas close to water and bathrooms, to prevent and monitor for heat-illness symptoms
  • Adjusting dress codes to allow for cooler attire
  • Employer-provided cool water and electrolyte drinks
  • Employer-provided shaded areas at worksites
  • Scheduling work for the coolest times of the day

A costly risk for companies

Beyond looking at policies, unmitigated risk is costly for businesses. The rate of heat-related worker compensation claims in the U.S. Southwest more than doubled on average between 2009 and 2019, according to risk management consultancy Marsh, from 0.1 percent to 0.2 percent of all claims – although that is almost certainly an undercount due to inconsistent reporting and data collection methods. 

Other research has found that heat-related occupational injuries across the U.S. have increased by about a third between 2000 and 2020. Marsh also found that heat exhaustion can affect mental and physical abilities that result in other accidents, noting: “The absence of dedicated regulations leaves workers vulnerable to heat-related health risks.”

The Swiss Re Institute, the research arm of the Swiss risk management giant, has found that between workers compensation, higher medical costs and the risk of litigation, “extreme heat poses a growing threat to the insurance industry.” 

Without clear public policies, businesses can expect an accelerated rise in insurance costs and even the possibility of un-insurability in regions of the country that face dangerously high temperatures. The consequences of extreme heat are already driving the loss of insurance in other parts of the economy, such as utilities unable to secure affordable insurance for transmission lines and other infrastructure in wildfire-prone areas.

Addressing the effects of heat on workers will require a policy foundation that ensures both workers and companies remain protected and productive: workers through safer workplaces and their employers through consistent risk management practices at worksites that facilitate a stable insurance market despite rising temperatures and extreme heat.

The post Extreme heat: 6 steps to help employees manage it appeared first on Trellis.

Agriculture giant ADM has hit its target of deploying regenerative practices on 5 million acres a year ahead of schedule, the company announced this week. The news comes as businesses across food and agriculture, including PepsiCo, Cargill and General Mills, are reporting making headway with similarly ambitious commitments.

How ADM hit 5 million acres 

If you read up on the benefits of regenerative agriculture you can come away wondering why all farmers don’t do it. By limiting till, using cover crops and deploying other regenerative methods, farmers can boost soil health, reduce erosion and improve water retention. The challenge is time and money: Some regenerative methods increase costs for producers and don’t provide returns, e.g., increased yields, for several years.

ADM helps bridge the gap by providing annual payments of up to $40 per acre per crop to farmers who implement regenerative practices. The company prefers to link payments to the outcomes of such methods, such as changes in soil carbon levels. But that requires farmers to bear more risk than some are prepared to take, so ADM also offers “practice-based” payments that can be earned simply by introducing regenerative techniques.

The incentives worked. ADM’s original goal, announced in 2022, was to hit 4 million acres by 2025. The company upgraded that goal by a million acres the following year, and then achieved its new target in 2024, it announced this week in its annual regenerative agriculture report. The large majority of the regenerative acres — 4.7 million — were in North America, where the company purchases wheat, corn and other crops. A survey of 700 farmers in the region found that 90 percent said the program had a positive financial impact on their operations and 98 percent planned to re-enroll.

The business case for regenerative agriculture

ADM did not share the total amount paid to farmers last year, but did disclose that payments ranged between $3 and $40 per acre per crop. Back-of-the-envelope math suggests an outlay that could have surpassed $100 million. 

Two new revenue streams make this possible. Food companies have set their own regenerative targets, and need partners who work more closely with farmers to help implement them. ADM’s biggest partner is PepsiCo, which has helped fund the production of 675,000 acres of regenerative wheat, corn and soy for use in brands such as Lays, Doritos and Pepsi. ADM can also earn a premium on regenerative crops in some markets, such as crops for use in biofuel production in Europe.

A third, non-monetary, benefit is reduced emissions. Because it knows what each farmer in its program is doing, ADM can model the impact on its Scope 3 emissions. The company estimates that emissions from farms in the program were 1 million tons lower in 2024 than they would have been had regenerative practices not been deployed.

It’s worth noting that this reduction, while impressive, still leaves ADM with a mountain to climb if it’s to hit its target of reducing Scope 3 emissions by 25 percent by 2035. The company generated 114 million tons of Scope 3 emissions in 2024, down just 2 percent from its 2021 baseline and up 6 percent on the previous year.

What the rest of the sector is doing

Many companies made regenerative commitments around five years ago and the results so far are encouraging. Cutting emissions has in many areas proved more difficult than anticipated, but several companies are tracking well toward regenerative goals.

  • General Mills made one of the earliest commitments, setting a target in 2019 of 1 millions acres by 2030. It’s currently at 600,000, according to its 2025 sustainability report.
  • Cargill, an ADM rival, said in 2020 that it would deploy regenerative agriculture on 10 million acres by 2030. It has more work to do than some others: Deployment in 2024 was 1.1 million acres.
  • PepsiCo announced a 7 million acre target in 2021, which it subsequently increased to 10 million acres. The company reported hitting 3.5 million acres in 2024.
  • Unilever, Nestlé, Mars and Mondelēz have committed to spending in the region of $1 billion each on value-chain projects that include regenerative agriculture.

These results should, however, be taken somewhat skeptically. Unlike organic agriculture, which is regulated by governments, there is no single agreed definition of what constitutes regenerative agriculture. This complicates comparison of different programs. Precise measurements of the impact of this work is also lacking. Models that translate practices into likely outcomes are widely used, but on-the-ground measurements, which would provide more accurate data, are too expensive to carry out at scale.

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The literary canon dedicated to decoding corporate climate strategy has swelled since legendary author John Elkington coined the term “triple bottom line” in his 1997 book, “Cannibals With Forks.”

His argument that businesses should be judged on three foundational elements — social justice, economic prosperity and environmental quality — reshaped management practices.

Few other corporate sustainability titles have had the same disruptive impact, but here are six bonafide best-sellers that should also be on every sustainability professional’s bookshelf.

“Thinking in Systems”

By Donella Meadows

Thinking in Systems” was published posthumously in 2008, more than 15 years after the late scientist and farmer first circulated a draft. It argues that the world’s biggest problems, including environmental degradation, can’t be fixed in isolation “because even seemingly minor details have enormous power to undermine the efforts of too-narrow thinking,” as one description explains. If you’re in a binge-reading mood, revisit Meadows’ earlier book, “Limits to Growth,” her 1972 warning about the dangers of unchecked consumption.

“All We Can Save”

Edited by Ayana Elizabeth Johnson and Katharine Wilkinson

Marine biologist Ayana Elizabeth Johnson and climate drawdown strategist Katharine Wilkinson co-edited this anthology featuring inspirational and passionate essays by 40 women ranging from Indigenous activists to entrepreneurs. It is meant to inspire, as Johnson told me in September 2020, when the book was originally released: “For people who haven’t yet found their role in climate work, we hope that this book will help them see where they fit in. And for people who are already doing the work, we hope that this will help them feel less alone and bolstered for the next years and rounds and decades of the work that needs doing.”

“Cradle to Cradle: Remaking the Way We Make Things”

By William McDonough and Michael Braungart

First published in 2002, “Cradle to Cradle” was co-authored by architect Bill McDonough and chemist Michael Braungart, both already well-regarded for prioritizing environmental concerns in their work. It was one of the first books to espouse a circular economy in which waste from one process becomes a resource for another. Today, with more than 1 million copies in circulation, it’s the centerpiece of countless university courses in industrial design and the inspiration for a widely used product certification framework of the same name. 

“Drawdown: The Most Comprehensive Plan Ever Proposed to Reverse Global Warming”

Edited by Paul Hawken

This New York Times best-seller from 2017 outlines 100 practical applications for reducing greenhouse gas emissions, ranging from technologies for clean energy generation to simple but profound ideas, such as educating women and girls in low-income countries about regenerative agriculture and land management practices. Don’t expect lists of specific solutions. This is a guide meant to inform potential entrepreneurs and investors, but the research is continually refreshed as part of Project Drawdown

“How to Avoid a Climate Disaster: The Solutions We Have and the Breakthroughs We Need”

By Bill Gates

The Microsoft co-founder and philanthropist’s Breakthrough Energy venture firm has funneled more than $2 billion in 160-plus climate tech startups since 2015. Gates has also personally invested more than $1 billion in nuclear company Terrapower. This 2021 book provides a glimpse into Gates’ investment thesis — he’s looking for ways to decrease the “green premium,” or the cost differential between using clean technologies versus ones that will contribute more greenhouse gases. 

“Net Positive: How Courageous Companies Thrive by Giving More Than They Take”

By Paul Polman and Andrew Winston

Former Unilever CEO Paul Polman teamed up with consultant and author Andrew Winston to argue that it’s possible for companies to give more to the world than they take. “Net Positive” offers many examples of businesses that have made a practice of considering social and environmental impacts as equal partners to revenue generation — ranging from oft-cited exemplars like apparel maker Patagonia and IKEA to companies that get fewer headlines but also deserve credit, such as Kenyan telecommunications firm Safaricom and home improvement retailer Kingfisher. 

What book would you recommend to other sustainability pros? Share your suggestions at [email protected].

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What does it mean to be “carbon neutral”? Is the term past its expiration date?

In the latest episode of Two Steps Forward, sustainability communications consultant Solitaire Townsend and I dive deep into the messy, confusing and often misleading world of corporate carbon claims.

Also in this episode, Soli and I preview Solutions House at this month’s Climate Week NYC.

“Carbon neutral” once carried a certain promise. When Interface, the carpet company, popularized the phrase two decades ago, it felt like a step forward — an early signal that business could take responsibility for its role in the climate crisis. But as Soli and I explore, the term has since morphed into a hall pass for greenwashing, a way for some companies to buy absolution without changing much.

In an age of heightened scrutiny, companies are no longer able to pay for offsets while continuing business as usual. Apple, for example, was recently penalized by a German court for overstating “CO₂ neutral” claims on its Apple Watch, highlighting the legal risks of vague promises. As my colleague Jim Giles reported last week, the ruling probably marks the death knell for carbon neutral as a valid claim.

Carbon neutrality wasn’t always a scam. In its day, it pushed companies to measure their emissions — a radical idea in the early 2000s. Offsets helped funnel billions into conservation, often benefiting Indigenous and local communities. The problem is that what was once a useful bridge has become a crutch. Eliminating the label entirely could inadvertently cut off that capital flow. The challenge is to avoid misuse without starving nature-based solutions of much-needed financial resources.

The three ‘R’s’ of energy

The problems with carbon neutral have in part to do with companies to go with the path of least resistance, even if the least impactful. There’s a parallel with the “three Rs” of waste—reduce, reuse, recycle—which represent a hierarchy of action. Companies (and all of us) often skip right to “recycle” without first going through “reduce” and “reuse” because it’s often simpler and less expensive (or free).

When it comes to carbon emissions, the parallel formulation is “efficiency, renewables and offsets” — that is, use the least amount of energy to get the job done, use the highest percentage of renewables, then offset the balance. Similarly, companies (and all of us) often go right to “offsets,” skipping past the first two parts of the hierarchy.

Do consumers even care?

Do shoppers care about these terms? Soli noted that women, particularly younger women, are more responsive to sustainability claims, especially in categories like food, beauty, and household goods. Still, sustainability is rarely the top decision driver—it works more as a brand differentiator in crowded markets. Misusing claims, however, risks undermining consumer trust altogether.

But much of the action doesn’t show up in products, or at least from the consumers’ perspective. A great deal of a product’s emissions can originate deep in the supply chain, sometimes three or more vendors away from the branded consumer product. A consumer-facing company is likely hardpressed to claim that its suppliers have made significant emissions reductions.

Looking ahead, we believe “carbon neutral” is on the way out, through no compelling replacement has emerged. “Net zero” may be technically accurate but fails to resonate. New phrases —some confusing, such as “climate positive” and “carbon negative” — are being used, but none has yet gained significant traction.

The Two Steps Forward podcast is available on SpotifyApple Podcasts, YouTube and other platforms — and, of course, via Trellis. Episodes publish every other Tuesday.

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