A just transition ensures that environmentally sustainable economies are promoted in a way that is as fair and inclusive as possible to everyone concerned, creating decent work opportunities and leaving no one behind. It aims to ensure that the transition to net-zero emissions and climate resilience is orderly, inclusive and just.
Businesses have a crucial role to achieve a just transition: Private sector support for a just transition contributes to environmental goals, as well as economic growth and social development, through robust company practices, social dialogue, advocacy and partnerships.
Advancing a just transition is a priority area for the UN Global Compact. Business action on just transition begins from a foundation of responsible business conduct and respect for human and labour rights, supported by the Ten Principles of the UN Global Compact. Building on the guiding principles of just transition established in the International Labour Organization’s Just Transition Guidelines, the UN Global Compact has developed guidance for businesses below to get started in planning for a just transition based on social dialogue and stakeholder engagement that optimizes social, economic and employment impacts on the journey to net-zero emissions and environmental sustainability.
Forward Faster
We challenge companies to take concrete actions to advance a Just Transition as part of our Forward Faster initiative.
Forward Faster challenges businesses to raise their ambition levels by taking tangible, accountable actions in five areas — gender equality, climate action, living wage, water resilience, and finance & investment. The climate action target on just transition calls on companies to contribute to a just transition by taking concrete actions that address social impacts of climate change mitigation and adaptation measures, in partnership with actors such as workers, unions, communities and suppliers. Visit Forward Faster to take action
Think Lab on Just Transition
In 2022 and 2023, the UN Global Compact hosted a Think Lab on Just Transition, committed to exploring the underlying principles of how a company's business strategy can actively contribute to and participate in a just transition. Launched with the International Labour Organization and International Trade Union Confederation, the Think Lab comprised 27 company participants and over 15 partner organizations.
During this period, the Think Lab on Just Transition had several objectives: to shape and define business and thought leadership concerning critical areas related to just transition, to tackle key business challenges, to identify opportunities for policy advocacy and good business practices, and to amplify the dissemination of knowledge across the extensive network of the UN Global Compact. The Think Lab’s deliverables include five business briefs.
