What’s Next for the “S” in ESG: How Investors Can Shape Worker Financial Benefits

Thursday, January 20, 3pm ET

Moderated by

• Timothy Flacke, Co-Founder and Executive Director, Commonwealth

Research Presenter

• Charvi Gandotra, Senior Innovation Manager, Commonwealth

Panelists:

• Don Baylor, Lafayette Square
• Stephanie Dobson, Putnam Investments
• Georgia Levenson Keohane, Columbia Business School

COVID-19 spotlighted the precarious financial situation of millions of American workers and spurred employer recognition that employee financial security is as crucial as employee health and a fair wage. Evidence also suggests how it impacts core business outcomes, costing employers over $250 B annually, and is therefore material to investors - owners of capital, and asset managers.

However, to date, there are no investor metrics or processes that capture the status of employees' financial security and the financial benefits that employers are offering. With the growth in sustainable investing, “S” (social) metrics remain underdeveloped. Including employee financial security in the "S" factor in ESG investing will improve investing outcomes and strengthen the overall ESG framework. ESG research companies, rating agencies and investors have primarily focused on wages when evaluating the financial security of companies' workers. Adequate wages, while necessary, are insufficient for achieving worker financial security — and the resulting impact on firm and investment performance.

A recent report from Commonwealth and the sustainable investing team at Putnam Investments indicates that financial security — less financial anxiety and distraction, more resilience and greater optimism — is key to firms realizing a financial return on the investment in their workforce.

Join Commonwealth and Putnam Investments for our webinar on January 20, 2022 where we’ll highlight key findings from our joint report and Timothy Flacke will facilitate a discussion with industry leaders on how investors can help shape worker financial benefits. Speakers will detail the current state of employer investment in employee financial security, including recent efforts by employers and their benefits providers; make the case for considering worker financial security within ESG frameworks; and highlight best practices for employers and investors to improve their business practices and investments related to employee financial security.

This webinar is hosted in partnership with Putnam Investments.