Design Thoughtful Scorecards for ESG Measures in Incentive Plans

Organizations are facing increasing pressure to consider whether environmental, social and governance (ESG) and human capital management (HCM) have a place in their compensation programs. 

Semler Brossy’s “2022 ESG + Incentives ReportOpen in a new tab” found that 70% of the S&P 500 companies already have ESG and HCM metrics in their incentive program, a 23% increase from last year. Despite the rising external pressure, companies need to first identify top ESG and HCM priorities that are material to the overall strategy and establish a set of performance goals for these priorities.  READ MORE