A coalition of UK businesses has launched a national research programme to set a clear standard for the private sector’s role in achieving net zero emissions by 2050. However, with corporations responsible for over 70% of the world’s greenhouse gas emissions, it’s only a small step in the right direction, warns Henry White, co-founder and CEO of xUnlocked.
Changing policy
Governments are increasingly focused on environmental legislation to fulfil net-zero promises. As a result, businesses can expect to face more obligations aligned with environmental goals. The European Parliament’s ‘Green Claims’ directive, for instance, mandates specific requirements for businesses around environmental claims they make, while preventing them from making unsubstantiated voluntary green claims to consumers.
This, like many other sustainability laws, brings with it the threat of fines for non-compliance. Possessing green skills, therefore, is no longer simply a ‘nice to have’. It is a business-critical necessity to ensure balance sheets are not hurt by a failure to understand the specifics.
Bridging a growing skills gap
Frustratingly for businesses, strengthening a company’s green skills cannot be done by simply looking to the job market. There is a dearth of talent with the required green skills, limiting an employer’s capacity to make tactical hires which can effect immediate change.
PwC reported that the UK energy sector alone needs 400,000 jobs to help the net zero transition. But it predicts there are only 216,000 workers able to fill this gap – and this is just for the energy sector. Extrapolating this to consider the shortfall across all industries would make uncomfortable reading.
Instead, the best solution lies within a company’s existing workforce. Businesses should look to equip current staff with the tools and knowledge to meet their present and future sustainability goals.
Upskilling the workforce with green skills will not only addresses a critical skills gap. It will also help businesses stand out in the talent market. Research has found almost one in two workers want their company to demonstrate a commitment to ESG. Improving green skills certainly doesn’t need to – and indeed shouldn’t – be viewed as altruistic.
The right skills are tailored skills
Whilst a simple enough concept, green skills admittedly differ from industry-to-industry. For instance, green skills in financial services will be largely different from those required in construction or the energy industry. This is further complicated by the definition changing as climate discourse evolves. It will likely grow to encompass a broad range of factors and requirements.
For businesses setting out their training strategies, this is undoubtedly confusing. To overcome this, training plans should relate to how businesses provide their products or services. For example, an energy company that uses renewable sources instead of fossil fuels, and/or how a business operates and strategises for the future, such as through corporate sustainability or carbon accounting.
The key to building an effective green skills strategy is to take the time to identify which combination of skills is most suitable for an organisation’s progression towards its targets. This could range from achieving its net zero goals, integrating climate change measures into policies, or contributing to the just transition.
Green skills are for everyone
Green skills should not be reserved for any one specific role, or only the most senior employees.. Priority should be given to rolling out the necessary green skills training across the entire workforce.
Democratising the topic is essential to creating a truly engaged workforce. In turn, this will cultivate a company culture which has acting sustainably at its very core. It will also prevent the exclusion of departments who may – on first glance – not have the most immediate need for such training but are, in fact, key to delivering sustainable transformation. Take for consideration, the digital, technology or administration teams.
Firms, especially smaller ones, should potentially partner with professional training providers. These companies can provide valuable insights around the prioritisation of skills, and help design a tailored, effective programme to deliver such upskilling.
It is important to note real change will only come if a professional skills drive is complemented by governmental action. A commitment from government to reviewing and enhancing other green training pathways is how this could take shape. Action could take the form of apprenticeships, traineeships, internships, or skills boot camps. Each of these options would help guarantee a pipeline of talent equipped with green skills needed to move into an entry-level role.
A hopeful future
Businesses, no matter what sector, will look at current events related to the climate crisis and know there is more to be done. But to be able to take action, they need a workforce equipped with the skillset and capabilities to do so. Without this, we will miss out on the opportunity to harness the passion of so many within the workforce who want to make a difference.
The same goes for young talent and future generations. It will be a failure on the part of business and government, if they cannot collaborate to build upon the enthusiasm young people have for fighting climate change.
There is no other option.
