The growing importance of ESG-linked compensation systems

The concept of sustainability has grown in importance across a range of industries. Companies are increasingly recognizing their responsibility to address environmental, social and governance (ESG) issues. Sustainability is gaining public attention and, as a result, economic value. One critical area where ESG principles can be effectively integrated is in compensation systems. In this article, we explore the importance of sustainable compensation, the relevant regulatory frameworks, and practical steps for implementation.

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