JBS USA’s Latest Food Manufacturer to Link Environmental Performance Goals to Executive Salary
The JBS USA report offered no details in terms of the company’s efforts to tie compensation to meeting certain environmental goals, and a spokesperson did not respond to a request for comment. But the fact that the meat processor is taking this step speaks to the growing importance of sustainability to consumers. Dive Insight:
A recent report from Willis Towers Watson found 51% of S&P 500 companies use ESG metrics in their incentive plans, with 50% including it in annual incentive programs. In a separate report, Perillon highlighted 17 major companies linking ESG performance to executive pay, including PepsiCo, Unilever and Danone. Consumers are spending more on products that make a sustainability claim, according to a report from IRI and the NYU Stern Center for Sustainable Business. Even at the start of the pandemic, dollar sales of sustainability-marketed products jumped 56% during the week ending March 15, 2020, thanks to millennials, college-educated and higher-income urban buyers. And 78% of consumers believe companies can do more to explain how their products affect the environment, according to a survey from Kearney...
... JBS is no stranger to sustainability initiatives with a financial component. Its majority-owned Pilgrim’s Pride unit announced earlier this year a $1 billion sustainability-linked bond tied to the company’s Sustainability Performance Target (SPT) of reducing its greenhouse gas emissions by 30% by 2030...