ILO Helpdesk: Business and a Just Transition

More than 1.2 billion jobs depend on a stable environment and ecosystems. Indeed, a healthy planet is necessary to guarantee decent work, productive enterprises and sustainable livelihoods. In order to tackle the triple planetary crisis - climate change, pollution and biodiversity loss- nations and businesses need to transition towards greener, resilient and climate-neutral economies and societies. This will come with both opportunities and challenges for the world of work, uniquely affecting different regions, industries, livelihoods, and workers, with the most vulnerable populations disproportionally affected

A just transition involves greening the economy in a way that is as fair and inclusive as possible to everyone concerned, creating decent work opportunities and leaving no one behind. It focuses on maximizing the social and economic opportunities of climate and environmental action, while minimizing and carefully managing any challenges. –It should be based on effective social dialogue, and respect for fundamental labour principles and rights at work. This approach calls for the mobilization of a plurality of actors, including enterprises.

Through their business operations, corporate social responsibility and responsible business conduct programmes, enterprises can contribute to a just transition. They can notably ensure that decent and productive work considerations are embedded in their climate and environmental actions and due diligence measures. The Tripartite Declaration of Principles concerning Multinational Enterprises and Social Policy (MNE Declaration) provides direct guidance to enterprises relevant in the context of a just transition through its principles in the field of employment, training, conditions of work and life, and industrial relations.

The Conclusions concerning a just transition towards environmentally sustainable economies and societies for all (2023) adopted by the International Labour Conference highlight the importance of fostering inclusive and sustainable trade and investment frameworks, value chains and supply chains that contribute to a just transition and decent work, and of effectively implementing the MNE Declaration and the United Nations Guiding Principles on Business and Human Rights in this context. Both instruments acknowledge the different yet complementary roles the different actors (governments, business and social partners) have to play in the promotion of business respect for human rights.