In the wake of global concern for the environment, India has seen a staggering increase in demand for jobs in the Environmental, Social, and Governance (ESG) sector. A remarkable growth of 468% over the past three years signals a significant shift towards sustainable practices and heightened environmental consciousness in India's booming job market. A thorough analysis by leading job search engine Indeed reveals that this surge is largely attributed to mounting climate change concerns and the implementation of related mandates.
The Phenomenal Growth of ESG Jobs in India
From April 2019 to April 2022, the increase in demand for ESG roles outpaced expectations. In 2020-2021, the demand for ESG roles amplified sevenfold compared to 2019-2020, the year when COVID-19 started impacting the global economy. This is significantly higher than the 154% increase observed in the previous year, 2018-2019, where the increase was a still impressive 97%.
ESG job roles have diversified, encompassing positions ranging from engineers and research analysts to consultants. Top sectors such as healthcare and pharmaceuticals, banking, financial services, and consulting (BFSI) are leading the demand for these roles, but sectors like mining, FMCG, and manufacturing are fast catching up.
The Rising Importance of ESG Credentials
The increase in ESG job listings reflects a growing trend in organisations: aligning their operations with their guiding principles and values. This shift, propelled by the global financial crisis, has gained momentum over the last decade and is reshaping the job market.
As more sectors incorporate ESG functions into their operations and prioritise sustainability and community relations, the demand for ESG roles is anticipated to keep rising. As a result, companies have started placing high value on specific credentials in job applicants for these positions. Expertise in energy, environmental science, sustainable business management, and environmental studies are among the most sought-after qualifications.
The Global Perspective of ESG Job Growth
The surge in ESG job demand is not restricted to India; similar patterns have emerged across the globe. In the United States, employment in the ESG sector has increased by over 468% in the same three-year period. The number of ESG-related job openings in Malaysia has multiplied tenfold. Singapore and Hong Kong have also seen a remarkable increase in demand with growth of 257% and 442% respectively.
The Future of ESG Roles in India and Beyond
Considering the current trend, it is evident that the ESG sector is poised for exponential growth. As concerns for climate change increase and more businesses shift their focus to environmental goals, ESG is becoming a guiding principle for future readiness, attracting investors and talent, and building consumer brand equity. The resulting upsurge in demand for ESG roles is a trend expected to continue in the coming years.
This massive surge in ESG jobs necessitates specialized knowledge in the field. The dynamism and complexity of ESG frameworks require comprehensive certifications on the subject matter. A certification in ESG can add significant value to a professional's portfolio and pave the way for a myriad of opportunities in this burgeoning sector.
In conclusion, the significant surge in ESG jobs in India underscores the growing importance of sustainability and governance in business strategies. Given the urgent need to address climate change and other environmental challenges, this trend is a testament to the growing commitment of businesses to sustainable and ethical practices. And as the demand for ESG roles continues to rise, professionals with the right skills and credentials will find a wealth of opportunities in this rapidly evolving sector.