Australian workers want employers to take action on climate change but are increasingly sceptical of corporate promises, with a new report finding that only 14 per cent believe their own employer is making good progress on climate commitments.
The Curtin Centre for Applied Ethics (CCAE) report, 'Employee Expectations of Corporate Climate Action', surveyed 2048 workers from across Australia and found widespread support for corporate climate action, but strong demand for independent verification and accountability.
Co-author Professor Anthony Langlois , Director of the CCAE, said the findings revealed a significant trust gap between employee expectations and perceptions of corporate performance.
"Employees are not questioning whether businesses should act on climate change. For most Australians, that question has already been settled," Professor Langlois said.
"The challenge for employers is credibility. Workers want to see evidence of real progress, not simply commitments or communications campaigns."
The report found 97 per cent of employees believe large Australian companies have a responsibility to address climate change, while 76 per cent expect their own employer to take action.
However, despite 57 per cent saying their employer had made a public climate commitment, only 14 per cent believed meaningful progress was being made.
Professor Langlois said the findings highlighted the importance of transparency as businesses navigate increasingly complex environmental, economic and social challenges.
"Our research suggests employees are ready to support corporate climate action, but they are unwilling to take it on trust," Professor Langlois said.
"In an era shaped by what we describe as a polycrisis, where environmental, economic and social pressures increasingly overlap, organisations need to demonstrate not only that they are acting responsibly, but that they can prove it."
Co-author Professor Astghik Mavisakalyan said trust in climate claims rose dramatically when independent checks were involved.
"Most employees assume greenwashing is common, and very few accept sustainability claims at face value," Professor Mavisakalyan said.
"Employees are far more likely to trust climate claims that are independently audited or backed by mandatory disclosure requirements than claims that rely solely on self-reporting."
The report found 79 per cent of employees believe greenwashing is common, while 85 per cent would trust climate claims if disclosure was required by law and subject to penalties for misleading statements. By comparison, only around 44 per cent trusted self-reported claims or voluntary commitments.
Climate change was also found to be a workplace issue rather than just an environmental concern, with employees expecting impacts across cost of living, health, jobs and security over the next two decades.
The study found three in four employees were concerned about climate change, with cost of living emerging as the area where workers expected it to have the greatest impact.
Professor Mavisakalyan said the findings had important implications for employers competing for talent.
"Climate performance is increasingly influencing workplace decisions," Professor Mavisakalyan said.
"A substantial share of employees indicated they would accept lower pay to work for a company with strong, verified climate credentials, suggesting climate action is becoming part of how workers assess employers."