INTRODUCTIONINTRODUCTION PROCESS PHASE 1 PHASE 2 PHASE 3 PHASE 4 PHASE 5 CONCLUSION • Reduces the risk of labor law violations and related litigation costs as well as the reputational risks associated with job dislocation and restructuring. • Addresses increasing expectations from stakeholders to support a transition that is just, equitable, and inclusive. • Increases access to financing and equity capital, and aligns with investor expectations around long-term strategic planning, social impact, and sustainability.17 Actors such as WBA and CA100+ are increasingly seeking to publicly benchmark companies’ efforts, performance, and disclosure on just transition and leverage these outcomes to transform companies’ behaviors and practices. These efforts also help investors to evaluate company ambition and progress toward net zero, with the goal of mitigating disruption to the economy and protecting long-term value for shareholders. The rise of assessment tools on the topic of just transition re昀氀ects transforming stakeholder expectations and a growing need for measurable and comparable metrics. Benchmarking aims to generate a “race to the top” to motivate systemic business action. At the same time, it holds less ambitious companies accountable by subjecting them to reputational risk if they fail to meet stakeholder expectations. “The responsible management of workforce and community dimensions of climate change are increasingly material drivers for value creation.” — UN PRI’s statement of investor commitment to support a just transition on climate change BSR JUST TRANSITION PLANNING GUIDANCE 9