|
Listen to this story:
|
- Majority Pivot: 80% of companies are reworking ESG strategies amid changing political and regulatory landscapes.
- Communication Overhaul: Over half are shifting language, with many dropping the term “ESG” entirely.
- Backlash Intensifies: 90% foresee continued or increasing resistance—especially toward climate commitments.
Amid regulatory shifts and growing political scrutiny, 80% of major corporations are actively revising their ESG strategies, according to a new report from The Conference Board.
The primary response? Messaging. 52% of sustainability executives report reworking their sustainability communications, with many stepping away from the term “ESG” altogether.
“Recent policy shifts have turned up the heat on ESG, which had already been facing mounting scrutiny. In most cases, the backlash hasn’t made companies back down, but rather pushed them to recalibrate how they approach, communicate, and integrate these issues into their businesses,” said Andrew Jones, author of the report and Principal Researcher at The Conference Board.
Tariffs are compounding the pressure. 66% of respondents say new trade measures will hinder progress on sustainability goals, and nearly half (45%) anticipate delays in sustainable investment decisions.
RELATED ARTICLE: Companies Advance ESG Strategies Despite Data Quality Challenges: Deloitte Report
Backlash isn’t subsiding—it’s growing. A striking 90% of executives expect ESG resistance to persist or intensify over the next few years, up from just 63% in 2023. The most targeted areas include climate-related commitments like net-zero goals and ESG-specific terminology.
Responsibility for the backlash is shifting. Whereas activists and advocacy groups topped the list two years ago, today’s executives point to federal policymakers as the primary drivers of anti-ESG sentiment.
The findings stem from a March–April 2025 survey of 125 sustainability executives at large U.S. and multinational firms.
Follow ESG News on LinkedIn