COVID Crisis Leading to Greater Corporate Scrutiny.

Thought ESG, social impact, social responsibility, social good were important before COVID? Doing good could be more important now, after COVID, according two market analysts.

Why is scrutiny of whether companies treated their employees, supply chain and society well matter more? Because companies face greater scrutiny during the crisis

How does this also help drive profits higher for companies? Because employees who are treated well are more loyal, and perform 21% higher according to Gallup.

How do layoffs and furloughs impact employees?

• 41% decline in job satisfaction
• 36% decline in organizational commitment
• 20% decline in job performance
• replacing an employee costs a company on average 2x the previous employees annual salary

Morgan Stanley | Why the Coronavirus puts a new lens on ESG investing