Just over four in ten employees subject to social security contributions believe that their own company will come under strong pressure to change due to environmental and climate protection regulations over the next five to ten years.
Workplace Challenges in the Context of Ecological Change from the Employees' Perspective
German Economic Institute (IW)
Just over four in ten employees subject to social security contributions believe that their own company will come under strong pressure to change due to environmental and climate protection regulations over the next five to ten years.
This is shown by empirical evidence from the Employee Survey of the year 2024 by the German Economic Institute. Employees in decarbonization‑exposed industries are particularly affected, where the emissions intensity of value added is high but has also declined recently. At the same time, a large majority of respondents (70 percent) consider their company to be well positioned in terms of environmental and climate protection, especially when related measures have been expanded over the past two years (86 percent). Almost half of employees report increased company engagement in environmental and climate protection.
Expected strong pressure for change is viewed ambivalently by employees and is associated with both optimistic and pessimistic assessments. Those who see their company as well positioned or who report increased engagement are more optimistic that regulatory requirements will create opportunities for their firm. Almost three in ten employees share this view. One reason is that increased corporate engagement in environmental and climate protection is positively correlated with characteristics of successful transformation processes. These include clear communication by management of the necessity and objectives of reorganization, opportunities for employees to contribute ideas, and feelings of support and recognition. Well‑designed transformation processes can therefore increase acceptance of environmental and climate protection at company level.
Even in the absence of major reorganizations, employees who report stronger corporate engagement perceive improvements in their working environment. Unlike the positive experiences associated with major restructurings, these improvements do not necessarily coincide with optimism about future challenges arising from environmental and climate regulations.
This is most evident with expanded decision‑making autonomy in work design, which is associated with higher job satisfaction, stronger engagement, and better well‑being. Greater autonomy significantly increases the likelihood that employees see environmental and climate regulations both as an opportunity and as a risk. Conversely, reduced decision‑making autonomy is also linked to more frequent perceptions of both opportunities and risks. This ambivalence may reflect differing assessments of whether increased scope for action enables successful transformation or prepares employees for demanding tasks whose successful completion is uncertain.
Workplace Challenges in the Context of Ecological Change from the Employees' Perspective
German Economic Institute (IW)
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