From Managing People to Managing Emissions: How Leading Human Resources Firms are Minimising Their Carbon Footprint
Authors:   School of Earth and Environmental Sciences, University of Queensland, Australia, Cartmill Hayden , Dargusch Paul ,   School of Earth and Environmental Sciences, University of Queensland, Australia, Hill Genia ,   School of Earth and Environmental Sciences, University of Queensland, Australia
Published: May 2022

One of the biggest challenges currently presented to organisations worldwide is their ability to identify and sustainably manage greenhouse gas emissions. ‘Carbon management’, as it is referred to, is the process of understanding how and where an organisation’s activities generate emissions, and extends beyond meeting regulation requirements to being strategically utilised within businesses for social licensing, financial planning and corporate decision-making. The aim of this research is to analyse, discuss and critically assess the fundamental carbon management efforts of the Adecco Group, one of the world’s leading human resource (HR) service providers and temporary staffing firms. The significance of this study provides an interesting case of corporate climate policy, as while the direct environmental impact of HR firm’s activities may be much less than businesses within other sectors (such as industrial/mining/minerals), their indirect exposure to climate-related risks through their clients is still notable. Being a desktop study, information and emissions statistics were obtained through the collection and comparison of publicly-available sustainability reports from other global leading HR service providers, including Randstad, Manpower Group and Recruit. Interpretation of results found that for FY2019, the Adecco Group’s global activities accounted for 153,228 tonnes of CO2 emissions (or equivalent); 37% Scope 1, 21% Scope 2, and 45% Scope 3. The three main emission-generating activities included fuel combustion from vehicles (Scope 1), purchasing electricity for heating and cooling (Scope 2), and business travel (such as aviation) (Scope 3). Motivated by the goal of being an “environmental steward” and “safeguarding the planet for future generations”, as of 2019 the firm has begun integrating emissions-reduction incentives to target these activities, such as down-sizing and decarbonising their vehicle fleet, purchasing low-carbon alternatives for electricity, promoting video conferencing to minimise business travel and purchasing offsets. A critical evaluation of the Adecco Group’s environmental performance with its peers however find’s its actions fall short of this claim – with larger groups such as Recruit taking initiative and already achieving carbon neutrality, and the Adecco Group ranking second worst in terms of emissions intensity. In conclusion, in order to be considered an environmental leader within its sector, the Adecco Group must not only modify its own practices, but also be vigilant in promoting environmental stewardship to its clients. To maximise their impact in a sustainable manner, it is recommended that a portion of the Adecco Group’s future profits be delegated to accelerate their environmental initiatives on a global scale, as well as transitioning to 100% renewable electricity for heating and cooling their facilities as soon as possible.