Impending Recession Causes CEOs to Reconsider ESG Efforts

Objectivity 3.8 | Credibility 4.6 | Relevance 4.8

Bracing for a recession, CEOs and investors are reconsidering their business strategies as companies are becoming infiltrated with radical activism. A whopping 59% of CEOs admitted they “plan to pause or reconsider their organization’s ESG [Environmental, Social and Governance] efforts in the next six months as they adjust their strategy to prepare for a recession.” Lauren Taylor Wolfe, co-founder of Impactive Capital, said, “We believe that ESG without returns is simply not sustainable.” Additionally, states opposed to funding ESG initiatives are taking action.  Kentucky, Louisiana, Mississippi, South Carolina, and West Virginia are pulling money out of BlackRock, an investment firm committed to ESG.