International SOS has released highlights from its International SOS Risk Outlook 2024 report showing ‘the profound impact of climate change on businesses worldwide’. 72% of respondents to a survey for the report believe that extreme weather events will have a significant impact on their business or people in 2024, however 41% of respondents think that their organization is not necessarily fully prepared to respond or to mitigate environmental threats.
The International SOS Risk Outlook 2024 report also outlines the diverse consequences for the workforce, including increased health risks such as heat-related illnesses and associated decreased productivity. Extreme weather events also have the potential to lead to disruptions in global supply chains. Beyond the physical implications, mental health and absenteeism are also key factors, as climate anxiety increases issues in this area.
Other key findings include:
- 26% of respondents have already reported operational disruption attributed to climate change.
- 48% of respondents reported that climate change anxiety is an issue that they have encountered among their workforces.
- 42% of respondents think that their organization is not necessarily fully prepared to respond to / mitigate disruptions caused by climate activism.
Climate change is of course a key environmental concern, but importantly, also a critical factor intensifying risks for individuals and companies. Although until recently, climate change has rarely been seen as the singular driver of conflict or security issues, the impacts of climate change considerably exacerbate existing tensions, vulnerabilities, and operational challenges. The cascading impacts of climate change can be the spark that ignites civil unrest, violence, and security issues, as well as amplifying existing political and socio-economic insecurities.
Mike Rogers, Chief Security Analyst, International SOS
The top five practical measures for organizations to mitigate climate change risks and safeguard their workforce in 2024
International SOS recommends that organizations consider the following measures:
- Develop a comprehensive climate risk management plan: strategically map climate change impacts on operations to inform mitigation strategies and investments effectively.
- Engage employees across the organization: foster collaboration among HR, risk managers, and the C-suite to harness diverse expertise in combating climate-related risks.
- Enhance security protocols and prioritise medical preparedness: establish a system to identify, assess, and control health and security risks related to climate change. Understand the capacity of local healthcare facilities and ensure access to medical care during disruptions.
- Provide workforce with adequate emotional support solutions: implement programmes to address the mental health impacts of climate change on employees, such as anxiety, stress and post-traumatic stress disorder (PTSD).
- Leverage external expertise and data: harness the insights and support of third-party experts to conduct a climate vulnerability risk assessment and learn best practice to navigate the complexities of climate risk management effectively.
