New Details About the Federal Raid on John Bolton Torch the Libs' Narrative...
Prayer Vigil for Annunciation Catholic School Shooting Devolved Into a Political Circus La...
This Poll Just Nuked the Democrats' Narrative on Crime
Major Shakeup Coming: Trump and GOP Plot Sweeping Crime Crackdown
Remember the Sandwich Guy? A Grand Jury Just Decided His Fate.
Supreme Court Sends Permit Challenge to Conference
Trump Eyes Pre-Midterm Convention to Cement GOP Majorities
Top CDC Official Quits in Protest, Defends ‘Pregnant People’ and Woke Politics
Kamala Harris’ Failed Campaign Still Draining Millions From Democrats
US Economy Beats Expectations: Q2 GDP Revised Up
Psaki Lashes Out at Prayer After School Shooting. JD Vance Responds.
Fired CDC Director Refuses to Step Down As Other Top Officials Resign
Air Force Reverses This Biden Administration Decision on Ashli Babbitt
Cracker Barrel Just Ditched More Than Its New Logo in Another Win for...
Well, Well, Well: Another Pro-Hamas Bigot Says the Quiet Part Out Loud
Tipsheet

'Why ESG Is the Devil': Here's What Prompted Musk's Latest Criticism of Social Responsibility Ratings

AP Photo/Susan Walsh, File

Elon Musk blasted environmental, social, and governance standards on Wednesday after highlighting how tobacco firms rank higher than Tesla.

Earlier this month, S&P Global gave the electric vehicle manufacturer a score of just 37 points on the 100-point ESG scale compared with Philip Morris International, maker of Marlboro cigarettes, which received 84 points. This, despite tobacco reportedly being responsible for about 8 million deaths per year. 

Advertisement

How could this be? According to Washington Free Beacon reporter Aaron Sibarium, it’s because tobacco companies have “gone woke." 

Companies like Altria have gone out of their way to emphasize the diversity of their corporate boards and the breadth of their social justice initiatives, from funding minority businesses to promoting transgender women in sports. But Tesla, whose executives are overwhelmingly white men, has resisted that bandwagon, going so far as to fire its top LGBT diversity officer last year.

The "S" in ESG typically includes diversity programs. Philip Morris International, which in 2021 advertised a partnership with "African data scientists," got a social score of 84 from S&P Global. Tesla got a measly 20.

The contrast highlights the hazards of a movement that lumps pressing health and environmental issues in with ideological fads. Early ESG efforts were laser-focused on "sin stocks"—companies whose core business was deemed immoral—including tobacco. But as ESG investing has ballooned, so has the number of variables used in ESG ratings, which now encompass everything from labor practices and carbon pledges to diversity trainings and human rights. That has created countless opportunities to game the system, experts say, and lets even the most sordid companies score points—and investors—by toeing the progressive line. (Washington Free Beacon)

Advertisement

So despite Tesla's progressive efforts to move the auto industry toward a more sustainable future, the company is not properly embracing leftist ideology and is being punished for it. 

Commenting on Sibarium's report, Musk said this is "why ESG is the devil..."

Musk has long been critical of ESG ratings, previously calling them a "scam" and the "devil incarnate." 


Join the conversation as a VIP Member

Recommended

Trending on Townhall Videos

Advertisement
Advertisement
Advertisement