September 13, 2024//Insights//David Peak

Building trust through transparency: Why ‘greenhushing’ is a problem

Last summer, the Washington Post published an article about investment firm BlackRock scrubbing its climate commitments from its website. This was just one of many examples of prominent companies going silent on their climate pledges. A report cited in the same article found that among 1,200 large private companies, one in four had no plans to publicize their climate targets.

At the time, the question was what this meant for broader environmental, social, and governance (ESG) concerns, particularly because many of the companies in question control trillions of dollars in assets and are well-positioned to help the world avoid worst-case-scenario climate impacts. Or perhaps the silence was a reaction to the political climate of the time, when attacks on companies seemingly came from both the left and right, and even from executives themselves.

A year later, it’s difficult to say if things have changed. What’s evident, however, is a growing concern about companies not being entirely forthright with their emissions data, a practice known as “greenhushing.”

What is greenhushing—and why does it matter?

Greenhushing refers to a refusal to publish ESG information. It’s the opposite of greenwashing, which is when companies overstate their sustainability efforts.

Greenhushing typically occurs for one of two reasons: Companies either want to back away from increasingly unattainable climate goals but don’t want to admit to doing so publicly, or they aren’t changing anything fundamental about their green strategies but are seeing their peers attacked for greenwashing (or some other communications shortcoming) and don’t want to risk suffering the same fate.

Whatever the reason, companies that remain silent on their sustainability efforts are missing opportunities to tell good stories and subsequently connect with stakeholders and the public. In addition, forthcoming regulations on mandatory emissions reporting mean greenhushing may no longer be an option for companies. Therefore, practicing transparency about emissions is simply the ethical thing to do. It’s in everybody’s best interests to understand their climate impact, with some studies even showing consumer habits reflect this understanding.

What companies can do if they’re not communicating their green initiatives

Telling sustainability stories is a significant opportunity for companies to communicate with stakeholders. Companies looking to publicize their sustainability efforts for the first time can get off on the right foot by stress testing their green strategy, familiarizing themselves with new standards and reporting directives, and then developing a communications strategy that makes the most of their investments.

Stress test your green strategy

Green strategies typically refer to planning for environmental stewardship as well as meeting regulatory requirements and public preferences. According to EcoHedge, this means “assessing environmental impact across the business, setting green objectives, and implementing eco-friendly changes.”

It’s important that such strategies are both ambitious and realistic. Companies need to be clear about the story underpinning their strategies. Greenhushing sometimes occurs when it seems sustainability investments don’t come with a guaranteed ROI. Companies may panic or choose to hide their progress until the timing and environment are more suitable. This is all the more reason why transparency about green initiatives relies on having a clear, actionable strategy. 

Familiarize yourself with new standards and reporting directives

There are myriad guidelines and frameworks within the sustainability reporting landscape, and companies will need to be clear about which are most useful and relevant to their own industry.

That said, two major developments in the sustainability reporting landscape are likely to be top of mind for companies as regulatory bodies make some level of disclosure compulsory:

  • The EU’s Corporate Sustainability Reporting Directive (CRSD) requires large companies and listed companies to regularly publish details of how their activities affect people and the environment.
  • As we covered in a previous blog post, the US Securities and Exchange Commission (SEC) recently released a much-anticipated new rule that would require US companies to disclose losses from extreme weather events caused by climate change.

Meeting these new regulatory requirements will necessitate the gathering and analysis of a large volume of data across departments and business units. For both the CSRD and the new SEC ruling, the first reporting deadline—which will apply to a subset of the total number of companies that will eventually be within scope of the regulation—is in 2025, covering the 2024 fiscal year. The penalties for failing to comply with these regulations may be severe; companies that do not have a plan in place yet will need to move quickly.

Develop a communications strategy

With the previous two steps in place, companies can develop a communications strategy. This typically starts with an ESG report, which can require a significant investment of time and resources. However, an effective strategy will often go beyond this initial effort, with some companies reusing the content they created for the report as part of a broader campaign to share the story of how their efforts are making the world a cleaner, greener place.

Communications should be rigorous and honest, and companies should have the confidence to share both highs and lows. Where efforts fall short, companies can explain why. And initiatives can be updated based on changing targets or evolving regulations. In this way, communications can function as real-time reporting, explaining what the company has done, where it can improve, and what its future plans are.

Telling a story remains one of the most effective ways to organize data, communicate findings, and create a connection with real people. Companies that go the extra mile to accurately report on their emissions, to build trust related to what’s working and where work is still needed, will be well-positioned to navigate changing regulations and consumer sentiment.

Senior adviser

Allan elevates thought leadership with a veteran editor’s perspective on distinctive content and a journalist’s eye for trends in world events. He began his career as a writer and editor covering business, economics, and the environment for the Tallahassee Democrat, the Miami Herald, The New York Times, and The International Herald Tribune in Paris. Allan went on to work at McKinsey & Company for more than 20 years in Europe, Asia, and North America, where he specialized in emerging markets and shaped global thought leadership as editor in chief and editorial board member of the McKinsey Quarterly. At LEFF, Allan works with colleagues and clients to launch new projects, and he uses his expertise to support the professional development of LEFF’s team of editors.

 

Director of LEFF Sustainability Group

Katie is passionate about the power of storytelling to motivate audiences to action, particularly related to environmental issues—the throughline of her multifaceted career. She has managed a water project for the World Bank, been one of the UK’s climate security negotiators at NATO, helped design green strategies for several governments as a McKinsey & Company consultant, and taught courses on writing for public policy at the Harvard Kennedy School. Based in Brussels, Katie currently develops sustainable content strategies; edits a wide range of climate content, including infographics and major reports; and oversees LEFF’s Into the Weeds interview series, which shares stories of the people and organizations combating climate change.

 

VP of marketing and business development

Chad has brought brand narratives to life for more than 15 years by developing powerful stories, inspiring stakeholders with unique marketing campaigns, and building communities of enthusiastic audiences. Chad honed his approach to content as a sales and marketing executive for Disney and ESPN Media Networks, where he used storytelling to increase revenue for mobile and linear-channel products. Since then, he has held several senior marketing roles across healthcare, education, and technology companies. Most recently, Chad was the vice president of corporate marketing at Telarus, where he developed comprehensive branding initiatives across multiple technology disciplines, including cloud, cybersecurity, and AI. Chad joined LEFF in 2024, and he’s excited to launch innovative marketing strategies that drive growth and deliver transformative results.

Senior adviser

Mary is a data visualization expert with a rare combination of talents. Trained as a fine artist, she also enjoys writing, advanced math, and learning new skills; she taught herself coding and UX, and she’s continued to build valuable proficiencies that keep her on the cutting edge of content. Prior to joining LEFF, Mary worked at McKinsey & Company, developing the precise, engaging charts that have become a hallmark of the firm’s widely read publications. Today, she collaborates with LEFF editors and clients to distill even the most complex ideas into compelling, intuitive data visualizations. By asking the right questions and determining the best formats, she ensures data visuals amplify key insights.

Senior adviser

Peter is an expert at developing clear, compelling stories about complex subjects—a skill that’s served him well as an award-winning journalist, editor, and book author. A former reporter for The Wall Street Journal and writer for Fortune magazine, Peter also spent seven years at the McKinsey Global Institute, where he stayed at the forefront of major trends in business and technology as a senior editor and editorial director. Peter has also written five nonfiction books, including a bestseller in France, where he currently resides. He brings his unique perspective as a collaborative, tactical thought partner to his work at LEFF by uniting stakeholders, upholding a high standard of quality, and ensuring content is well-structured and aligned with client needs.

People director

Tracy built her career in people operations by developing a wide range of skills; because of her many capabilities, she refers to herself as the “Swiss army knife of HR.” But Tracy’s work goes beyond typical human resources functions: She’s committed to elevating the complete employee experience. She draws on her work across industries—including roles at Rockwell Automation, Harley-Davidson, and the American Medical Association—to promote a workplace culture of openness and acceptance, and she’s guided by her empathic nature and willingness to embrace a challenge. In everything from implementing new processes for feedback and evaluation and supporting employees through times of great change, Tracy makes LEFF a special place to work by ensuring that everyone feels welcome, valued, and seen.

 

Design director

Christa was always drawn to art and design, and over time, she also discovered a passion for progress: She’s motivated by meeting goals, building teams, and refining the many small steps between concept and content. Christa built the foundation of her design career at an advertising agency before moving on to the marketing department of a healthcare university, where she oversaw print and digital projects as a graphic designer, senior creative and brand specialist, and creative services manager. Today, Christa is excited to explore the possibilities of LEFF’s ever-growing content offerings, lead a group of creative designers, and use her experience and strategic design thinking to deliver outstanding results for clients. 

 

Production director

Jen approaches copy with a clear philosophy: Edit in service of the reader. She began her career in journalism, where editing newspaper copy on the second shift meant meeting tight daily deadlines and making quick decisions. Roles as a senior editor, executive editor, and director of editorial production followed, and Jen used her good judgment and love for the written word to elevate copy for entertainment news and B2B publications. Whether navigating the intricacies of highly specialized style guides or constructing crosswords in her free time, Jen is at home in the possibilities of language. At LEFF, she leads the production department: a collaborative, adaptable team that maintains our—and Jen’s—deep commitment to quality and clarity.

 

Group account director

Joe values preparation, but an early career experience taught him to troubleshoot in unfamiliar situations. One of his first roles in marketing required him to travel suddenly to Toronto to help a multinational restaurant business build its presence in Canada. Two years later, Joe had worked through regional differences and complex logistics to help the client meet its goals, and he became a more active listener in the process. Whether successfully delivering game-changing outcomes in an agency setting or at a university, where he directed marketing operations across campuses, Joe remains focused on solving problems with well-informed decisions. At LEFF, he’s overseeing the processes that ensure everyone has what they need to do their best work and strengthening the connection between effective operations and exceptional client service.

VP, content marketing

Karianne has a unique history of engaging audiences and telling stories. After studying music, she found new ways to express herself in the world of branding. Her more than 20 years in marketing and strategy are a testament to her ability to bridge business and creative mindsets, and she has developed content to communicate the ethos of global brands such as GE, State Farm, Motorola, and Procter & Gamble. Prior to joining LEFF in 2024, Karianne was vice president of digital at Weber Shandwick, led workshops at General Assembly, founded her own business, became a certified well-being expert, and released an album. As the lead of LEFF’s content marketing team, she looks forward to helping clients discover new opportunities to make an impact with lively, thoughtful content.

SVP, content innovation

Luke has crafted a writing life by pursuing—and creating—fresh opportunities. As a newspaper journalist in his native Australia and then as a foreign correspondent, freelance writer, editor, and management consultant, Luke developed the keen editorial eye and strategic perspective that has led him to the forefront of thought leadership and B2B publishing. Luke has helped leading organizations share transformative insights through print media and emerging digital platforms. Before joining LEFF, he was an executive editor at McKinsey & Company, managing director of Deloitte Insights, and global editor in chief for EY. Always driven to match the medium to the message, Luke collaborates with LEFF’s content marketing, editorial, and design departments to showcase clients’ most important ideas.

Partner

Alia approaches content like a conversation: She listens to clients to learn about their goals and responds with strategies that resonate with their audiences. Alia is an expert at translating ideas into smart, compelling integrated campaigns, and her experience in the agency world honed her abilities as a versatile creative partner and insightful innovator for enterprise clients such as Toyota, Kaiser Permanente, and Allstate. She got her start in publishing after living and working in Ukraine, where she focused on HIV/AIDS education and grant writing. At LEFF, she has assembled a team of multifaceted creatives who tell clients’ exciting, meaningful stories across channels and formats.