A collection of Practical Law's key resources on environmental, social, and governance (ESG) and corporate social responsibility (CSR).
ESG is an umbrella term for a broad range of environmental, social, and governance factors that entities consider when making decisions and against which investors, consumers, and other stakeholders can assess the standards of a corporation or other entity. ESG factors are used to:
Assess corporate behavior and ethical values.
Evaluate the future financial performance of companies (particularly in the long term).
The terms corporate responsibility (CR), corporate social responsibility (CSR) and sustainability are often used interchangeably with each other and with ESG, but generally refer to a broad range of environmental and social responsibility standards demonstrated by businesses.
The following diagram illustrates the types of factors that are commonly included in the concept of ESG. However, the ESG factors that are relevant to a particular entity will differ depending on the industry and the countries in which the entity operates.
The ESG and Sustainability Toolkit (US) includes resources that provide ESG and CSR guidance, broken down by topic. It also includes resources that are not specific to ESG and CSR, but may assist counsel with developing, implementing, and complying with ESG programs.