Vittorio De Luca explains that compliance with environmental, social and governance (ESG) issues is central to the firm’s initiatives and sustainability policies. He highlights that the range of companies seeking assistance on these issues is very varied with no sector taking prevalence.
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We are witnessing the start of changes in organisational culture, of traditional form of work, which goes far beyond the mere exchange of work for pay. The future direction pays growing attention to the well-being of company personnel, from the use of an inclusive language to the enhancement of diversity. These are the views of Vittorio De Luca, Founding Partner of De Luca & Partners, protagonist in this fourth interview of ETicaNews’ new series dedicated to exploring the ESG identity of law firms. Mr De Luca explains that “there was not a specific moment when ESG issues became part of the firm”, but rather “a moment when it began to be talked about and discussed”. He adds that “ESG activities are not a specific area, but a modus operandi to address the critical issues and needs raised by our clients”. Within the firm “there is a department in charge of sustainability, governed by a Governance Regulation” clarifies Mr De Luca: “ESG Managers have a proactive and investigative role and contribute to ensuring better risk control of this issue”. Mr De Luca explains that the main area of advice relating to ESG themes is corporate Social Sustainability: “The services most requested by clients all relate to corporate wellbeing, including remote working policies, but also welfare plans and remuneration policies”. He points out that in recent years the firm “has focused on improving the corporate environment and at the end of 2023 it launched a survey to analyse and understand the results achieved and identify any avenues for improvement”, obtaining the “Great Place to Work” certification.
WHEN DID ESG THEMES START ENTERING YOUR BUSINESS? AND WHY?
There was not a specific moment when important topics like ESG became part of our business. Rather, there was a moment when we started talking about it and discussing it. De Luca & Partners has always believed in sharing long-term values and, together with an eco-sustainable plan, is committed to raising employee and collaborator awareness about environmental issues, as well as maintaining a sustainable business. In particular, the firm adopted responsible ecological behaviour within its working environment, thus improving not only the environment, but also increasing productivity, reducing waste, as well as expenses. In short, De Luca & Partners promotes a series of measures so that the whole team can adopt a healthy policy of environmental sustainability. But the environmental aspect is not the only one. Social and Governance issues are central to the firm’s sustainability policies. In fact, De Luca & Partners’ sustainability is characterised by:
- respect for diversity, paying particular attention to ensuring full respect for employees’ and collaborators’ religion, sexual orientation and ethnic origins;
- the promotion of equal opportunities, creating the necessary conditions for the development of women in work;
- a deep social commitment, actively participating in solidarity and charity initiatives annually.
HOW MUCH DOES ESG WORK MAKE UP OF TOTAL TURNOVER? WHAT IS THE TREND OVER TIME? HOW MUCH DO YOU ESTIMATE IT WILL MAKE UP IN THE FUTURE?
It is difficult to talk about turnover in relation to our ESG business. In fact, in our business, ESG activities are not a specific area, rather a modus operandi that we adopt to address the critical issues and needs raised with us by our clients.
HOW MANY LAWYERS/PARTNERS CARRY OUT ESG WORK?
We are all involved in various ways in ESG. Of course, there is a department in charge, governed by a Governance Regulation that establishes its composition, tasks, responsibilities and powers. In particular, our ESG Managers have a proactive and investigative role and help to ensure better risk control of this issue. Then there is a control function that deals with the final approval of initiatives, spending budgets and annual reports. But the commitment to sustainability goes beyond bureaucracy. Each initiative is inspired by compliance with ESG policies. Even in the organisation of events, whether within the organisation or extended to external participants, ESG issues are always considered thoroughly, through the choice of the type of activity, the location, and any promotional items. Everything is done in compliance with the sustainability rules that we have set ourselves.
WHAT ESG RELATED SERVICES DO YOU OFFER? WHICH PRACTICES AREAS ARE MOST INVOLVED? HAVE YOU CREATED A PRACTICE AREA/TEAM DEDICATED TO ESG?
The main focus of our work is obviously corporate Social Sustainability. In particular, we support clients in the design and implementation of corporate welfare plans, adapted to specific needs. A well-structured welfare plan allows a company of any size (whether small, medium or large) to increase its productivity and employee participation. Specifically, through welfare plans, employees can be granted remuneration complementary to the so-called “monetary” compensation, such as goods or services with advantageous wage and tax regimes, both for the employer and for the employee. Another aspect on which we are often involved are remote working policies that ensure improved employee well-being, (work-life balance, and greater environmental sustainability, through reducing traffic and pollution from less commuting. We also support clients in certification processes, in drafting policies and regulations that are inspired by principles of equality and equal opportunities, in designing remuneration systems — which are also sustainable — structured according to principles of equity, equal opportunities and meritocracy. We have a Compliance department dedicated to these aspects that is in continuous dialogue with the rest of the firm. We believe that the multidisciplinary approach to this aspect is fundamental because it allows us to provide the client with support that goes beyond mere advice.
WHAT ARE THE ESG-RELATED SERVICES MOST DEMANDED BY YOUR CLIENTS? WHAT DO YOU THINK WILL BE IN THE FUTURE?
The services most requested by clients all relate to corporate wellbeing, including remote working policies, but welfare plans and remuneration policies are also issues on which our advice and assistance are frequently required. Today we are witnessing the start of change of organisational culture and we believe that the future is heading in this direction. We see growing attention to the well-being of company personnel, from the use of an inclusive language to the enhancement of diversity. Slowly, we are witnessing an almost paradigm shift that goes far beyond the mere exchange of work for pay. Increasingly, companies will be called upon to invest in human resources.
DO YOU FOCUS ON A PARTICULAR INDUSTRY? WHICH INDUSTRIES DO YOU THINK HAVE THE MOST POTENTIAL?
The range of companies that ask us for assistance on these issues is very varied and there is, to tell the truth, no sector which is more prevalent than others. Even in the engineering sector, which is still characterised by a predominantly male workforce, we have companies that pay significant attention to social issues, including in terms of equal opportunities, but not only. Each company is naturally different, with its own characteristics and specific and different needs. ESG issues, however, are actually universal because, while there is currently significant focus on the gender gap, it is also true that the risks of inequality and discrimination concern not only equal opportunities, but a multitude of very wide areas. In fact, we have clients where cultural difference is significant, others where generational difference prevails, and others where ethnic difference is prevalent. In this context, our role evolves as a corporate “business partner” who, in coordination with the Human Resources Department and the Sustainability managers, works synergistically to prevent potential business problems relating to workers, one of the main categories of stakeholders.
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