Skip to content
  • MyNewMarkets.com
  • Claims Journal
  • Insurance Journal TV
  • Academy of Insurance
  • Carrier Management
Insurance Journal - Property Casualty Industry News

Featured Stories

  • Former Ironshore, Lexington CEO Kevin Kelley Dies
  • Lemonade Posts Another Quarterly Loss
  • Articles
  • Jobs
  • Markets

Current Magazine

current magazine
  • Read Online
  • Subscribe
  • Login
  • Front Page
    • National
    • International
    • Most Popular
    • Magazine
    • Forums
    • Blogs
    • Videos/Podcasts
    • Newsletters
  • News
    • Most Popular
    • National
    • International
    • East
    • Midwest
    • South Central
    • Southeast
    • West
  • Magazines
  • Research
  • Directories
  • Jobs
  • Features
    • Events
    • Forums
    • Market Directories
    • Quotes
    • Polls
    • Rankings & Awards
    • Insurance Giving Back
  • Subscribe

Companies Boost Social and Climate Reporting Amid ESG Backlash

By Ross Kerber | October 31, 2024
Email This Subscribe to Newsletter
  • Article

Many U.S. companies have stepped up reporting on environmental and social matters in recent years even with sustained pressure from conservative politicians, data reviewed by Reuters shows.

The trend shows the importance investors and regulators now place on environmental, social and governance (ESG) issues, analysts said, amid rapid global warming and shifting workforce demographics. Some political conservatives call the attention misplaced or worry the disclosures could give activists leverage to force companies to make unnecessary changes.

“Most ESG problems are business problems. I’m an accounting professor. I can tell you that if you pick any company’s 10K and look at the risk factors, they are full of E and S problems,” said Shiva Rajgopol, who teaches at Columbia Business School.

The data contrasts with a some high-profile cases where companies have dialed back ESG efforts such as working less with industry climate efforts and cooperating less with an LGBTQ+ advocacy group.

Many executives may be taking a wait-and-see approach until national elections on Nov. 5 set a new balance of power in Washington, D.C., starting next year, Rajgopol said.

“If you’re a company and something is getting you into trouble with some constituents, it’s simplest to back away from doing things that seem risky for now and just stay put and wait until January and then reassess,” he said

Which party holds the White House and Congress could energize or squash efforts to restrict ESG investing, a cause that has lagged to date.

Be Counted

The share of S&P 500 companies making workforce data by race and gender public rose to 82.6% as of Sept. 1 from 5.3% in 2019, according to DiversIQ, which tracks diversity data for investors, consulting firms and corporate clients.

The number of U.S. companies sharing environmental data, meanwhile, has also grown, with 85% of large-cap U.S. companies disclosing details of their greenhouse gas emissions at the end of last year, up from 54% disclosing in 2019, according to ESG investment advisor HIP Investor.

Obtaining public disclosures on ESG data has been a focus of pro-ESG activist investors including Democratic public pension officials. The disclosure uptick also shows boards responding to new rules like the European Union’s Corporate Sustainability Reporting Directive, said Ken Rivlin, partner at law firm A&O Shearman.

Many companies also made public commitments around climate, pay equity and workforce, details they cannot easily shift with the latest news cycle.

“Establishing corporate policy in reaction to the latest pro- or anti-ESG news story is not a recipe for success,” Rivlin said.

Keep the Reports Coming

Various conservative politicians and social media figures have targeted companies’ diversity efforts including their links to LGBTQ+ advocacy group Human Rights Campaign, which surveys companies on issues including same-sex partner benefits and transgender healthcare.

In August, home improvement retailer Lowe’s said it would no longer participate in the survey and restructured diversity efforts. A Lowe’s representative said at the time it would continue to report workforce diversity and pay-gap data that investors had asked for.

A Ford representative said via email that “we will continue to disclose our human capital management and DEI data” in an annual sustainability report, but did not provide further details.

Despite the departures, more than 1,400 companies participated in this year’s survey, to be released in January, up slightly from 1,384 in the most recent survey issued in November 2023, HRC said.

Companies “know that this is what their workforce and consumers demand,” said HRC President Kelley Robinson.

Jeremy Tedesco, senior counsel for the Alliance Defending Freedom, which calls itself a Christian law firm and opposes many corporate ESG efforts, said pullbacks like those by Lowe’s and Ford stand in contrast to several years ago when many companies rushed to align with climate and social-justice activists.

Successful lawsuits targeting corporate diversity policies based on the 2023 U.S. Supreme Court ruling on college admissions could accelerate corporate changes, Tedesco said. “Unfortunately companies went too far and there’s a lot of course-correction,” he said.

On the Back Foot

Many corporate climate disclosures stem from pressure from top fund firms backing shareholder resolutions. Since around 2021, however, investors have cut their support including State Street’s Nasset-management arm.

Like other investors, State Street said companies have already made significant changes. “Disclosure has dramatically improved, especially related to E and S issues over the past five years,” said Ben Colton, State Street’s stewardship chief. “I’d imagine we’ll continue to see this kind of disclosure,” he said.

Copyright 2025 Reuters. Click for restrictions.

Was this article valuable?

Thank you! Please tell us what we can do to improve this article.

Thank you! % of people found this article valuable. Please tell us what you liked about it.

Here are more articles you may enjoy.

Parrish Named CEO of Howden US, Is Sued by Former Employer Marsh
Berkshire Insurance Units Report Lower Q2 Operating Income Overall
Hiscox Agrees to Acquire US Specialist Insurtech
Homeowners Insurers Still Boosting Rates; Top Carriers Ranked: AM Best

Written By Ross Kerber

More From Author

The most important insurance news,
in your inbox every business day.

Get the insurance industry's trusted newsletter

Email This Subscribe to Newsletter
  • Categories: National NewsTopics: diversity, environmental social and governance (ESG), ESG investing, ESG reporting
  • Have a hot lead? Email us at newsdesk@insurancejournal.com
More News
Minnesota Cities Consider Government-Run Marijuana Shops
Tesla Secures Texas Rideshare Permit for Robotaxi Operation
Why Experts Say States Need to Get in the Business of Floodplain Buyouts
Zurich Insurance Reports Record H1 Profit of $4.2B, Driven by Middle Market, Specialty
More News Features

Read This Next

  • Companies Boost Social and Climate Reporting Amid ESG Backlash
  • 'We'll Have to See How This Plays Out,' Says CEO Berkley on MGA Competitors
  • Mayo Clinic Sued for Allegedly Forcing Security Guard to Get Vaccination
  • Fla. Insurance Agent Charged With Premium Theft Now in Prison, Has Paid Restitution
  • Bird's Eye View: Parallels from Piloting Planes to Leading an Agency

Insurance Jobs

  • Sales Agent - Encino, California
  • Insurance Account Executive/Manager Wanted Flexible Hours, Potential Equity - Dix Hills/Deer Park, NY
  • Senior Risk Control Consultant, Field - Blue Bell, PA
  • Sr. Analyst, Product Management, PI - Hartford, CT
  • P & C Billing Administration System (BAS) Developer - Flint, MI
MyNewMarkets
  • DIY Home Inspections Are Taking Over, Firms Say
  • Six Things to Know About Umbrella Insurance
  • What to Know About Construction and Environmental Liability
  • How Embedded Insurance Supports Real Livelihoods in the Growing On-Demand Economy
  • How to Keep Third-Party Events from Becoming First-Party Losses
Claims Journal
  • California Blaze Burning for Week Chars Thousands of Acres
  • France Contains Wildfire But Heat Wave Set to Intensify
  • Lemonade Posts Another Quarterly Loss But Car Growth Continues
  • Missouri's 2025 Insured Losses From Severe Weather Approaching $2 Billion
  • Prudential in $100M FTC Settlement Over Unit's Healthcare Promises
Academy of Insurance education
  • August 7 EPLI Basics
  • August 14 Managing and Insuring Reputational Risk
  • August 19 How To Write: Flood
  • August 21 Workers' Comp Crash Course

Insurance News

  • News by Region
  • News by Topic
  • Yesterday

Site Search

Features

  • Insurance Markets Directory
  • Forums
  • A.M. Best Company Ratings
  • Industry Events
  • Agencies For Sale
  • Newswire
  • Insurance Jobs
  • Rankings & Awards

Connect with us

  • Email Newsletters
  • Magazine Subscriptions
  • For Your Website
  • RSS Feeds
  • Twitter
  • Facebook
  • LinkedIn
  • Do Not Sell My Info

Insurance Journal

  • Submit News
  • Advertise
  • Subscribe
  • Reprints
  • Link to Us
  • Contact Us

Wells Media Group Network

  • Insurance Journal
  • MyNewMarkets.com
  • Claims Journal
  • Insurance Journal TV
  • Academy of Insurance
  • Carrier Management
© 2025 by Wells Media Group, Inc. Privacy Policy | Terms & Conditions | Site Map