Plastic is more of a risk factor for companies today than ever before because of widespread pollution and efforts to regulate its use, as well as changing consumer preferences. Yet it’s still a big part of many companies’ supply chains. As investors, we’re interested in avoiding the risks associated with plastic production and use, which is why we joined As You Sow and their coalition to engage publicly traded consumer goods companies on plastic pollution — the Plastic Solutions Investor Alliance. As part of this initiative, in February 2019 we engaged with Procter & Gamble.
“It was an opportunity for us to find out how the company was progressing on its plastic reduction targets,” says Sustainability Research Analyst Celeste Cole.
The previous year, P&G outlined goals that included increasing its use of recycled and recyclable materials and developing solutions to prevent P&G packaging from finding its way to the ocean.
Cole says engagement like this is important because it helps the Pax sustainability team learn more about the issue and about the measures a company like P&G is taking to address this growing and global problem.
“It helps us more effectively engage with other companies attempting similar goals,” Cole says.
Another benefit? Such engagements remind the company that their investors are interested and listening.
Impax was pleased to learn that in May 2019, P&G announced it had joined the World Wildlife Fund’s ReSource initiative as one of its principal members. ReSource seeks to help companies develop common metrics, accountability and best practices around preventing plastic waste.
See more from the 2020 Pax World Funds Engagement Report