The "S" in ESG, closer look

The S in ESG stands for Social and at its core is about human rights and equity. “Directly or indirectly, companies affect what happens to employees, workers in the value chain, customers and local communities, and it is important to manage impacts proactively.”?- UN Global Compact

The Social pillar, to be actionable, has to be defined in the context of company's business operations, global supply chains, and local communities. The ESG Social performance indicators can include things like diversity, income equality, philanthropy, and practices of suppliers.

With a new U.K. disclosure mandate and expected additional SEC disclosure rules, companies could face a competing demands for the ESG information. However, the comprehensive EU’s requirements will force many multinational companies with operations in Europe to ensure that their disclosures are consistent.

https://www.dlapiper.com/en-us/insights/podcasts/beyond-the-curve-podcast/the-s-in-esg-taking-a-closer-look-at-diversity