Attention to sustainability is growing. Research shows that a large majority of employees wants to work in a company with strong social awareness. At the same time, more and more employers try to encourage their employees to make greener and more sustainable choices.
These wishes can be taken into account when drafting employment conditions. ‘Green’ employment conditions promote sustainability and may be a lucrative means to attract and hold on to employees. I will explain this in more detail in this article.
On 28 February 2022, the Intergovernmental Panel on Climate Change (IPCC) published the report ‘Climate Change 2022: Impacts, Adaptation and Vulnerability’. This report discusses, among other things, the worldwide effects of climate change. If global warming continues, we can expect heat, draught, water scarcity and floods in Europe. This report is just another confirmation that it is time for action.
Not for nothing, greening and sustainability are high on the agendas of many enterprises nowadays. They can also be reckoned with when drafting employment conditions. By making eco-friendly choices in this process, you may reduce the carbon footprint of your enterprise and employees. Moreover, research shows that a large majority of employees is eager to work in a company with strong social awareness.
Employment-related passenger mobility
The government also encourages employers to reflect critically on eco-friendly employment conditions, such as making business and commuting traffic more sustainable. In 2019 it was agreed in the Climate Agreement that CO2 emissions of work-related passenger transport should be reduced by 1 megaton in 2030. To achieve this goal, the State Secretary of Infrastructure and Water Management has initiated new legislation.
Based on this proposal, starting from 1 July 2023 employers with 100 employees or more have to submit annual reports about the employment-related passenger mobility of their employees. This is about the total number of business and commuting kilometres covered by employees. The Ministry of Infrastructure and Water Management will use these data to monitor whether the 1 megaton CO2 reduction target set will be achieved in 2030. Should it appear that this target will not to be reached on time, employers with 100 employees or more will be confronted with a hard standard for business mobility, and probably also for commuting mobility. Employers will then have to ensure not to exceed the standard imposed on them for the CO2 emissions of their employees. In short, there is work to be done.
Green clauses in the employment agreement
Green employment conditions may contribute to achieving the climate targets. What are ‘green’ employment conditions? To give you some examples:
- ‘Rewarding’ the choice for a sustainable holiday. You could award extra holidays to employees if they go on holiday using a sustainable means of transport, like the train, the bicycle or the electric car. This way, employees are compensated for the longer travel time they have if they choose to use a greener means of transport for their holidays. An alternative option is to increase their holiday allowance.
- A sustainable telephone and laptop scheme. In practice, employees are often allowed to choose a new telephone or laptop after two years already. This term could be extended to four years, for example (unless the device breaks down earlier). You could also offer employees a refurbished telephone or laptop, or a discount on the next device if they hand in the old device for recycling. This is a way to fight overconsumption.
- Choosing a green pension fund that invests in, for example, sustainable energy projects rather than in the fossil fuel industry.
- Awarding the employee's choice for a ‘green’ bank. This can be done in various ways. The employer might contribute to a sustainable charity, or the employer might have trees planted.
- A circular working (from home) policy. For example, by facilitating desks and desk chairs of recycled material. You may also give materials for working (from home) on loan, so that these can be reused when an employee no longer needs them.
- Offering your employees financial support for making their home more sustainable. A one-off contribution or loan could be given to employees who want to install solar panels or a heat pump, or to have their house properly insulated.
- Offering employees the option of spending part of their annual working time on ‘green’ CSR activities (during working hours).
- Promoting sustainable commuter traffic. You could increase the travel allowance if the employee travels by public transport, or you could offer a public transport season ticket that the employee can also use for private trips. In addition, you could offer a bike or e-bike scheme. If a car is really indispensable, the solution may lie in an electric leased car or in carpooling (which also strengthens ties between employees). Offering flexible working times makes it possible for employees to travel during off-peak hours, which decreases the environmental impact. The reimbursement of removal costs if an employee moves closer to the workplace may also reduce less commuter traffic in the long run.
- The employer may also encourage sustainable choices by the employees beyond the employment agreement. For example by giving employees the choice to spend their Christmas gift on charity. You might even consider doubling the amount if the charity is a sustainable one. Another example of a green action is to offer a vegetarian lunch as a standard, with meat and fish on request, rather than the other way round.
Changing employment conditions
It has to be made impossible for employers simply to amend existing employment conditions. A positive change is not likely to cause problems, but if you intend to abandon or to cut back on a leased car scheme, for example, it should be considered carefully whether changing this employment condition is at all possible. Employment conditions can be changed in various ways. If the employer fails to reach agreement with the employee, he can attempt to change the employment conditions unilaterally, for example by relying on a unilateral changes clause or good employment practices. Depending on the ground on which the employment condition is changed, specific test criteria will apply and the interests will have to be weighed.
