Esg Risks and Integration by Healthcare Companies
20 Pages Posted: 12 Jun 2024
Date Written: May 24, 2024
Abstract
ESG practices have recently gained traction amongst companies, regulators, countries, consumers, and employees within the healthcare sector. The need for companies to be accountable to the environment, the community in which it operates, including its employees, and the integrity of its board has become heightened in the wake of climate change and the adoption of the seventeen Sustainable Development Goals by members of the United Nations in 2015. Healthcare companies have been shown to be slow in adopting and integrating ESG practices in their operations. The COVID-19 pandemic has brought the need for healthcare institutions to integrate ESG practices in their operations to the frontline. This article appraises the impact of the operations of healthcare companies on the environment, the community, and the actions of its board and further evaluates ESG practices as they relate to healthcare institutions. It examines the impact of healthcare institutions on the environment, how these sector-related companies can manage their social engagement with their employees and community, and the action of its board in achieving ESG integration. The article further considers the actions undertaken by the United States government and regulators and companies in handling ESG risks by healthcare companies. It concludes that given the enormous impact of healthcare institutions on the environment and its community, ESG integration is a salient issue that must be considered by these companies to increase their reputation and profitability, hence, healthcare companies must join in the ESG trend.
Keywords: CSR, ESG, environmental, social, governance, climate change, health care, pharmaceutical companies, ESG integration, ESG practices, healthcare companies
Suggested Citation: Suggested Citation
Esg Risks and Integration by Healthcare Companies
(May 24, 2024). Available at SSRN: https://ssrn.com/abstract=4860007 or http://dx.doi.org/10.2139/ssrn.4860007