Advances in Consumer Research
Issue 7 : 517-523
Original Article
Strategic Integration of ESG Practices into Human Resource Management: Implications for Employer Branding and Sustainable Business Growth
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1
Associate Professor, Department of Management Studies, K.S.R.M. College of Engineering, Krishnapuram, Kadapa District, Andhra Pradesh, India
2
Professor and Head, Department of Management Studies, K.S.R.M. College of Engineering, Krishnapuram, Kadapa District, Andhra Pradesh, India
3
Independent Researcher, Minnesota, United States of America
Abstract

Environmental, Social and Governance (ESG) and Human Resource Management (HRM) have been converging and the incorporation of ESG is indeed a strategic imperative to reinforce organizational sustainability, competitiveness and resilience. This paper focuses on understanding the role of Green Human Resource Management (GHRM) in establishing sustainability culture and how it can contribute in sustainable growth of businesses and support the employer branding. The study uses a qualitative secondary research approach, based on Ability-Motivation-Opportunity (AMO) model, Resource-Based View (RBV), Signalling Theory and Social Exchange Theory, to investigate how ESG oriented HR practices affect organizational performance. The synthesis of evidence comes from various regulatory standards, such as the India's Business Responsibility and Sustainability Reporting (BRSR) and the European Union's Corporate Sustainability Reporting Directive (CSRD), as well as empirical research from various sectors. The results show that good GHRM practices hire and keep talent, innovate and make things green, and are more efficient in operations. They also show that a real ESG-HRM approach, as opposed to ‘greenwashing’ or ‘greenhushing’, deepens the ‘green psychological contract' and increases employee engagement, notably among Millennials and Generation Z, and thus provides sustainable value and helps to maintain regulatory compliance and long-term competitive advantage..

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