The CCLA Mental Health Benchmark is the next step in our mental health programme. It will provide a view on how listed companies approach and manage employee mental health, an increasingly telling measure of corporate…
With this investor letter we are calling on companies to disclose their paid sick time benefits for US workers, including part-time, subcontracted, and temporary workers. Join investors representing $2 trillion in AUM in supporting a new ICCR engagement initiative related to paid sick time. Please sign on via this form.
Today more than 26 million people working in the private sector have no access to paid sick days, including seven in ten of the lowest-wage workers. Black, Indigenous, and people of color (BIPOC) workers, low-wage, part-time, immigrant, and service-industry workers are especially unlikely to have access to paid sick days.
Workplace policies that force workers to be on the job when they aren’t healthy, leads to decreased productivity and the possible spread of infection in the workplace. When workers can’t earn paid sick time, they have to choose between recovering from illness and earning a day’s pay—or, in some cases, keeping their jobs.
Businesses benefit when their employees have access to paid sick days -- paid sick days reduce turnover, which in turn reduces costs incurred from advertising, interviewing, and training new hires. This is particularly important in lower-wage industries where turnover is highest. Currently, tight labor markets have significantly increased competition for workers, making paid sick leave a valuable recruiting and retention tool for employers.
Information from companies on their paid sick leave policies is either extremely high level or non-existent, making it difficult for investors to understand how companies are prepared to address the growing reputational, financial, and regulatory impacts associated with the lack of a comprehensive paid sick time benefit for all employees. More transparency on the company’s policies on paid sick leave would help investors understand how the company is managing this human capital management issue.