EHS Trends to Watch in 2023 -

16 January 2023

8 EHS Trends to Watch in 2023

What are the biggest trends and movements in the field of environmental, health, and safety (EHS)? And which topics will dominate the landscape in the year ahead? Here’s a look at eight EHS trends to watch in 2023:

1. The EHS function will drive ESG.

ESG is moving up the list of priorities for global corporations, and this shift has huge implications for the EHS function. In 2023, more than half (57%) of EHS leaders strongly agree that they will be responsible for driving ESG initiatives at their organizations, according to Verdantix’s EHS Global Corporate Survey. This is in addition to their current tactical tasks related to safety, environmental management, and compliance.

With a growing list of responsibilities, there is no doubt the role of EHS professional is one of the fastest-changing jobs in the business world. However, the EHS professional’s broad operational knowledge and their ability to execute corporate strategy at the operational level make the EHS professional exceptionally valued.

2. Companies will leverage EHS software to manage their ESG responsibilities. 

As companies increasingly lean on the EHS function to drive ESG initiatives, these professionals are faced with the complex task of gathering, managing, and reporting operational data. Now, they are turning to their existing EHS software tools to help get them through that process.

Ninety-five percent of companies surveyed by Verdantix plan to use EHS software to manage ESG data collection and reporting in 2023. In response, EHS software vendors have been investing heavily in enhancing their systems to meet the evolving demands of ESG. This is good news for customers, since it will lead to greater innovation and advancement in EHS/ESG software features.

3. The focus will be on operationalizing ESG. 

In 2022, customers and investors made it loud and clear that they expect companies to walk the talk when it comes to sustainability. Any brand that wants to remain relevant will need to prove they are committed to the environmental, social, and governance goals they’ve laid out.

Brands that understand this will focus on moving ESG from a high-level, strategic vision to a successful operational plan. This means involving all employees, at all levels, every day in carrying out sustainability efforts and collecting ESG data.

Currently, three-quarters of companies have selected KPIs and targets on most important ESG topics, and more than two-thirds have a multi-year sustainability roadmap in place. However, only 12% of companies said they are utilizing employee training and capacity building on sustainability — leaving plenty of room for improvement in 2023.

4. Health and safety programs will take a more holistic view of worker wellness.

The idea that workplace wellness goes beyond physical health is a relatively new one, but this trend is quickly gaining steam. So much so, that 90% of employers say they’re investing more in mental health and wellness programs for workers in the coming year.

It’s no surprise that this trend comes at a time when many employees are choosing to quit their jobs — or leave the workforce entirely — due to stress and burnout. For this reason, EHS programs that emphasize employee well-being, happiness, and engagement will be a big deal in 2023.

5. Diversity, equity, and inclusion (DE&I) initiatives will be woven into safety programs.

Safety professionals have always strived to create a safe environment for all employees. And while DE&I initiatives are not new, they’re becoming even more ingrained in modern safety programs.

As more women enter traditionally male-dominated industries like manufacturing, for instance, safety professionals are helping to raise awareness about women’s unique PPE needs and the hazards of ill-fitting personal protective equipment.

At least 48% of consumers believe that companies need to do more to advance societal issues like diversity, equity, and inclusion. There has never been a better time to encourage culturally responsive safety practices, which not only strengthen DE&I efforts in your organization but help create a safe and positive work environment for every employee.

6. New ESG regulations will ramp up.

Regulatory bodies around the world are ramping up ESG disclosure requirements for both public and private companies. In fact, the number of ESG reporting provisions has increased by 74% over the last four years, with nearly 400 ESG reporting provisions in effect across 80 different countries today — and we predict that these EHS trends will continue in 2023.

Along with a proposed rule on climate-related disclosures, the US Securities and Exchange Commission (SEC) is also expected to roll out an updated version of its 2020 human capital disclosure rules related to DE&I in the coming year. Meanwhile in Europe, the Corporate Sustainability Reporting Directive (CSRD) is now in effect and will require ESG disclosure on an unprecedented scale.

In response, companies must invest in tools and resources for collecting, measuring, and reporting ESG data, as well as monitoring progress toward sustainability targets. Those that put it off until next quarter, or next year, do so at their own peril.

7. Brands will take action on environmental justice.  

Another item on the 2023 EHS trends agenda: environmental justice. This concept gained traction in 2022 when the EPA established a new national office devoted to advancing environmental justice and civil rights, and it’ll be a major priority for brands in the coming year.

One example that you might have seen in the past is Starbucks’ Coffee and Farmer Equity (C.A.F.E.) Practices. C.A.F.E is the coffee industry’s first set of ethical sourcing standards, “designed to promote transparent, profitable and sustainable coffee growing practices while also protecting the well-being of coffee farmers and workers, their families and their communities”.

Efforts like these will proliferate in 2023 as customers hold brands to a higher standard of social and environmental performance. A Sustainable Brands survey found that 90% of Gen Z consumers expect companies to take action on social and environmental issues, and 72% factor in a company’s Purpose when they shop.

8. Companies will use gamification to make safety training more engaging. 

Another trend that’s emerging in safety — and in safety training specifically — in 2023 is gamification. According to Training Industry, gamification refers to “the process of applying gaming designs and concepts to learning or training scenarios in order to make them more engaging and entertaining for the learner”.

Gamification will be hot in 2023 as EHS professionals search for ways to deliver safety training in a more digestible and appealing way. In the context of safety training, that might look like computer-based safety games where players create avatars and complete challenges to earn points and rewards. Likewise, it may take the form of more traditional tabletop activities like cards or board games.

For instance, the Western Mining Safety & Health Training Resource Center has developed a card matching game called Very Good Day to teach miners hazard recognition and mitigation. This is just one example of how organizations are borrowing elements from popular games to create more interactive learning experiences for their employees.

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Author

Lisam