Does LGBTQ+ workplace inclusion impact a company’s environmental performance?

An analysis in Business Strategy and the Environment reveals that among U.S. firms, those with stronger LGBTQ+ inclusion have higher environmental performance scores and greater renewable energy consumption.  

In the analysis of 2010–2023 data on 898 firms, this relationship was partially mediated by environmental innovation, indicating that LGBTQ+ inclusive workplace practices enhance environmental outcomes by fostering innovation.  

Investigators also found that firms headquartered in states that recognized same-sex marriage prior to the Obergefell v. Hodges case (which ruled that the fundamental right to marry is guaranteed to same-sex couples) demonstrate superior environmental performance.  

“Our findings show that workplace inclusion is not just a social or ethical imperative, it can also be a catalyst for innovation and environmental progress,” said corresponding author Erhan Kilincarslan, PhD, of the University of Huddersfield, UK. “If we want companies to achieve ambitious sustainability goals, fostering an inclusive culture should be part of the strategy.”  

URL upon publication: https://onlinelibrary.wiley.com/doi/10.1002/bse.70134

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About the Journal
Business Strategy and the Environment is a leading sustainable business journal aiming to advance the understanding of green business strategies for improving the natural environment. Covering topics including corporate environmental management, eco-innovation, green finance, and the circular economy, the journal welcomes contributions which examine the role of environmental regulation and policy in the business sector.

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