The Work Environment of Socially Responsible Firms

Presented by Sanja Pekovic, IoE Visiting Scholar, Paris University, Economics

Monday, May 17, 2010
12:00 PM - 1:00 PM
La Kretz Hall, Suite 300
Large Conference Room

Are employees better treated in socially responsible firms? Some have argued that socially responsible firms are more successful at attracting better qualified employees and have lower turnover. One explanation might be that employees with green preferences favor firms that share the same values. Another explanation might be that socially responsible firms are treating their employees better. Using a French employer-employee survey with 11,000 respondents in 2006, this research examine the relationship between the adoption of corporate social standards (ISO 14001, organic and fair trade standards) and employee well-being at work (measured by employee feelings of usefulness to others and employee feelings that his work is fairly valued) and job involvement (measured by employee self reported level of involvement and non compensation for overtime work). Our findings show that corporate socially responsible treat their employee better but don’t always compensate them financially for their extra effort.

Sponsor(s): UCLA Institute of the Environment and Sustainability, Center for Corporate Environmental Performance

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