More than 40% of senior executives report that they prioritize ESG factors when applying for jobs, well ahead of their more junior peers, and many see a rising role for sustainability in talent attraction over the longer term, according to a new survey released by Economist Impact.

For the report, “Transitioning to sustainability: employee perspectives on workplace practices,” Economist Impact surveyed 630 employees from small, medium, large and global companies in global financial hubs including London, New York, Singapore, Sydney and Tokyo, examining their views on workplace sustainability trends.

The report found a significantly stronger focus on sustainability in career-related decisions among senior executives, with 41% reporting that they consider an organization’s ESG reputation when applying for a role, and more than 43% saying that they would accept a pay cut to work for a sustainability-focused employer, compared with only 24% and 18%, respectively, of junior employees. Economist Impact suggested that the economic factors may be overshadowing sustainability considerations for junior employees, such as the rising cost of living and job insecurity.

Both groups, however, indicated an expectation for sustainability to have an increasing role in talent attraction over the longer term, with 25% of senior and 22% of junior viewing talent attraction as a top sustainability priority over the next 3 – 5 years, up from 18% and 14%, respectively, over then next 12 – 18 months.

Despite the differences in ESG factors on career choice, the survey found strong alignment between senior and junior employees on priorities to achieving a sustainable workplace, with around 80% of both groups agreeing that educating and training employees on sustainable practices is important for meeting goals, and with both groups ranking fostering employee well-being second, and promoting gender parity and demographic diversity in the workplace as the third most important priority.

With education and training identified as a key sustainability priority, the report found a strong interest by junior employees on pursuing sustainability-related skills development, with more than 27% reporting that they are pursuing professional certifications and development courses, 42% participating in internal working groups, and 39% volunteering for sustainability initiatives.

Junior employees also reported stronger concerns for social impact-related sustainability issues within their organizations, with only 36% reporting confidence in protecting workers’ rights throughout supply chains, compared with 45% of their senior peers, and 56.5% of junior employees reporting advocating for stricter policies against harassment and discrimination, compared to 51.7% of senior executives.

The groups also differed on their perceptions of the top barriers to workplace sustainability, with 27% of senior executives citing commercial trade-offs as the top challenge, while 47% of junior employees pointed to inadequate engagement from leadership. The groups aligned on their perceptions of other key barriers, both ranking unclear sustainability roadmaps second, followed by unclear KPIs and sustainability metrics and complex sustainability-related regulatory changes.

The survey found that employees report that their organization’s sustainability initiatives have focused to-date on operational issues, with 54% overall reporting that implemented initiatives include energy-efficient systems, and 52% reporting reduction of resource consumption, while only 26% reported implementing sustainable supply chain solutions.

The report also found that employees anticipate a significant shift in key sustainability drivers over the next few years, with top drivers over the next 12 – 18 months expected to be increasing efficiency and productivity, cited by 50%, followed closely by organizational ESG and net zero objectives at 49%, while the top 3 – 5 year drivers are expected to be sustainability-related innovation advancement (32%) and brand reputation (25%).

Additionally, the report found that organizations are incentivizing sustainability in the workplace in a variety of ways, with 48% of employees reporting that their organizations provide learning and development opportunities on sustainability practices, 53% reporting that they promote environmentally friendly commuting options, and 36% supporting employee-led sustainability groups with resources and recognition, although only 7% report integrating sustainability goals into performance evaluations.

Jonathan Birdwell, Head of Policy and Insights, Economist Impact said:

“Corporate sustainability cannot succeed as a top-down directive alone. While senior executives set ESG strategies, junior employees are closest to operational realities and often hold the insights needed for effective implementation. Companies that engage employees at all levels—by embedding sustainability into job performance, fostering collaboration, and creating opportunities for bottom-up initiatives—will be better positioned to drive meaningful, lasting change.”

Click here to access the survey.