Fisker Inc. (NYSE: FSR) (“Fisker”) – passionate creator of the world’s most sustainable electric vehicles and advanced mobility solutions – has joined the United Nations Global Compact (UNGC) as a signatory and participant.
The UNGC, established in 2000, is the world’s largest corporate sustainability initiative, according to the organization, uniting businesses in over 160 countries to support Ten Principles in areas of human rights, labor, the environment, and anti-corruption. (Additional detail on the Ten Principles can be found below.)
Shortly after going public, Fisker established a stringent framework for Environmental, Social, and Governance (ESG), including company-wide deliverables aligned with the UN Sustainable Development Goals (UNSDGs) and using the SASB reporting structure.
Signing on to the UNGC was a logical next step for Fisker as it pursues an overarching goal of creating the world’s most sustainable all-electric vehicles, starting with the Fisker Ocean SUV, arriving in late 2022. The company aims to produce a climate-neutral vehicle by 2027.
“ESG is a core value and brand pillar at Fisker,” wrote CEO Henrik Fisker in a letter to the UN. “We take our responsibilities to the ethical and fair treatment of people, communities, and the environment very seriously.”
In a letter responding to Fisker’s stated intention to support the initiative, UNGC Executive Director Sanda Ojiambo wrote the “heart of the Global Compact is a conviction that business practices which are rooted in universal principles help the global marketplace to be more socially and economically inclusive, thus advancing collective goals of international cooperation, peace and development.”
According to Ojiambo, “Such goals are critical for the health and vibrancy of the private sector given the symbiotic relationship between business and society.”
Ten Principles of the UNGC
The UNGC has articulated Ten Principles for the Global Compact, grouped into four areas:
Principles 1 &2: Businesses should support and respect the protection of internationally proclaimed human rights; and make sure that they are not complicit in human rights abuses.
Principles 3-6: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining; the elimination of all forms of forced and compulsory labor; the effective abolition of child labor; and the elimination of discrimination in respect of employment and occupation.
Principles 7-9: Businesses should support a precautionary approach to environmental challenges; undertake initiatives to promote greater environmental responsibility; and encourage the development and diffusion of environmentally friendly technologies.
Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery.
Fisker Inc Was Built on ESG
Founded in 2016, Fisker Inc has committed to ESG since the company’s inception and has established a comprehensive ESG framework that informs all aspects of the business. Fisker’s approach to ESG consists of industry leadership, transparency, partnerships, and real-world scientific measurement.
Thanks to this framework, Fisker intends to meet the UN’s requirement to produce a Communication of Progress (COP) on the company’s efforts to support the Ten Principles of the UNGC. The COP will be generated in 2022, documenting Fisker’s specific actions.
Within a few months of going public, Fisker established a publicly reported Responsible Supplier Policy and recently published its Labor and Human Rights Policy, among other important Governance material. The company has formed an ESG Advisory Council that will regularly engage in important Environmental and Social challenges and recommend actions consistent with the company’s values and the Ten Principles of the UNGC.
Renowned actor and United Nations Development Programme (UNDP) Goodwill Ambassador Nikolaj Coster-Waldau has joined the Fisker Advisory Council as its first external member. The “Game of Thrones” actor has been involved with the UNDP since 2016; he will advise Fisker on matters related to the UNGC and the UN’s global goals for sustainable development.
“We intend to lead our industry on sustainability and are ready to fulfill our commitments to the UNGC, advancing our ESG goals as we expand our company in the coming years,” Henrik Fisker added.