How do the world's most influential companies fare on social indicators?

The first of its kind "social benchmark" of the World Benchmarking Alliance (WBA) measures how the world's most influential companies, also known as the SDG 2000, are doing in terms of social indicators such as respect for human rights, ensuring decent working conditions and ethical behavior.

The role of global business in achieving the Sustainable Development Goals (SDGs) is indisputable. The SDG 2000 list looks at the world's 2000 most influential companies that will be key players in the world and therefore how they perform against various sustainability indicators.

Measuring various standards and benchmarks serves as an opportunity for companies to show where they stand in the so-called "race to the top", and for others it is an opportunity for motivation or a search for responsibility.

Results

Companies are rated against “The Framework for Social Transformation', which shows the contribution of the most influential companies to social transformation and the application of the principle "no one is left behind or forgotten". The framework includes 12 indicators grouped into 3 main groups: human rights, decent work and ethical behaviour. The maximum number of points in the Social Benchmark is 20, and the results show that the companies' performance averages around 20% in the three categories.

Only about 10% percent of companies, or about 200 companies, are on track to meet the requirements for respecting human rights, providing decent working conditions and ethical behavior. Looking at the best performing companies it can be concluded that they have made an active commitment to respect human rights by implementing at least one of the elements of the due diligence process. These companies show that respect for human rights and awareness of their impact on people are at the heart of socially responsible business behavior.

98% of companies, including the top 10%, show poor results in terms of decent work and in particular the lack of data on the gender pay gap. There is also no data on workplace safety and workplace accidents. In terms of responsible business conduct, 65% of companies do not have a public commitment to protect the personal data of employees and consumers. Regarding taxes, 90% of companies do not disclose corporate tax information in the various jurisdictions in which they operate.

Inequalities and poverty

Do these companies have a role to play in reducing inequality and poverty, or is it the role of states? Given the significant impact these companies have, the conclusion is that companies play a key role through transparency and a commitment to caring for people and protecting resources.

The next Social Benchmark will be measured in 2026. It will be interesting to see what the changes will be and whether increasing regulations will actually improve people's performance and lives, or will we see a drive for compliance and reporting without significant change in how companies operate.