- The pandemic and a racial reckoning have pushed many to broaden their definition of prosperity
- It's also about physical and mental health, environmental justice, and a sense of inclusion
- The conversation was part of Insider's virtual event "Financing a Sustainable Future: Creating Broad-based Economic Prosperity" which took place on Tuesday, May 10, 2022.
- Click here to watch a recording of the full event.
Two years into a devastating pandemic that pushed millions of people out of work and fueled an ongoing racial reckoning, the concept of prosperity has taken on a broader meaning.
It's still about bedrock principles such as access to a reliable paycheck, yet it now includes thinking about factors like worker health and environmental justice, according to a trio of experts who took part in Insider's recent virtual panel, "Financing a Sustainable Future: Creating Broad-based Economic Prosperity."
Evaluating whether someone enjoys prosperity should include considerations about a person's physical and mental health, and even whether the person feels a sense of inclusion, the panelists said. The event, in partnership with Bank of America, took place Tuesday, May 10.
"With the pandemic and the racial tension and unrest that has occurred over the course of the past couple of years, everyone is redefining what prosperity means to them," Eunice Heath, corporate director of sustainability at the chemical company Dow, said.
The pandemic-caused upheavals to everyday life made clear how fleeting prosperity can be. Martin Whittaker, chief executive officer of the nonprofit JUST Capital, said there is now a greater focus on worker well-being than ever. Employers and worker advocates are examining employees' economic mobility and mental health, he said. Other considerations, like how people are treated in the workplace, are drawing renewed attention.
For Karen Fang, the managing director and global head of sustainable finance at Bank of America, prosperity includes access to basics like financial services and digital inclusion.
"The definition of prosperity has gone from economic prosperity to social prosperity," Fang said. This includes intangible elements like a sense of belonging but also access to broad economic opportunities regardless of race and gender.
Fang noted that one-third of Bank of America's financial centers are in low- to moderate-income communities. She said the bank has hired 10,000 workers from these areas, a goal it achieved two years early. The company plans to hire another 10,000 such workers by 2025 — something Fang expects will also happen ahead of schedule.
Goals are an important yardstick at Dow as well, Heath said. She noted the company has been working with five historically Black colleges and universities to boost the number of students who pursue careers in engineering and other STEM fields.
Whittaker also supports using metrics. Companies notch the most progress in helping workers, for example, when they establish clear steps they'll take. "How does a company create a roadmap for addressing economic hardship within its workforce?" he asked. "There are millions of full-time employees today who work at large publicly traded companies that don't make a local living wage."
Whittaker said failing to address these concerns not only hurts workers, it presents a "systemic risk."
Fang also sees big dangers relating to the climate crisis, particularly for those who lack financial resources, because a disproportionate share of the burden of the climate crisis falls on low- and moderate-income communities. "The impact is asymmetric," she said. "Environmental sustainability has become really this existential threat to the definition of prosperity."
Yet despite the clear threats to business models and to broader social cohesion, Whittaker said it's wise to ask whether companies are doing enough. "We've seen a growing level of, sort of, mistrust," he said. "And I think some of that is quite healthy."
It's important for the businesses that are seeking to do right by their workers, customers, and their communities to keep evaluating their efforts. Whittaker said: "How do we know we're actually creating outcomes that are meaningful here? What is the true link to business performance? Those are very healthy questions to be asking."