Principal Financial Group Launches Diversity, Inclusion and Environmental Sustainability Initiatives
Retirement, insurance and asset management solutions provider Principal Financial Group announced today a series of multi-year corporate responsibility commitments focused on employee empowerment, financial inclusion, and sustainability.
Dan Houston, Chairman, President, and CEO of Principal Financial Group, said:
“Principal was founded to put financial security within reach of more people. Today, living our purpose by doing the right thing for people, businesses, and communities is more important than ever. These clearly defined commitments help ensure customers, employees, and shareholders understand our dedication to taking action, making progress, and driving outcomes for a more inclusive and sustainable world.”
According to Principal, the company’s new commitments focus on the key aspects of accessing the power of its people by creating and supporting a work environment of integrity, respect, community, and trust, advancing inclusive products, services, and communities to meet more individuals and businesses where they are in their financial journey, and embedding sustainable practices in how the company goes to market and serves customers around the world.
The company’s new goals include annually achieving a score of 80% or above in its proprietary Inclusion Index that measures sentiments of its 17,000 global employees related to culture and empowerment, conducting regular diversity and pay equity analyses, and hiring and advancing leaders of diverse backgrounds. Principal has also committed to doubling the number of diverse small to mid-size businesses it supports through product access, micro-finance, community development, and financial education over the next five years, and supporting diverse entrepreneurs through intentional supplier diversity strategies and best practices. In addition, the company has pledged to align its responsible investment practices with seven UN Sustainable Development Goals by 2022.
On the environmental sustainability front, the company is targeting a 40% reduction in U.S. carbon emissions by 2035, and aiming to achieve net-zero carbon emissions by 2050.
The company also announced that its Principal Foundation is poised to invest $30 million over the next two years to help meet basic needs, develop pathways toward economic mobility, and support financial empowerment and development, focusing on entrepreneurs, small businesses, and diverse populations.
“We are fully committed to helping more people feel financially secure, while creating new opportunities for generations to come through long-term, responsible actions. I’m proud of what our team has accomplished and look forward to continuing this work to build a more sustainable and secure future for more people and businesses around the globe.”