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As organizations navigate complex geopolitical and economic challenges, the call for purpose-driven leadership has never been more relevant yet nuanced. In this challenging landscape, businesses must deliver strong financial performance and lead with purpose by supporting broader societal goals such as environmental sustainability and employee well-being.
French organizations are leading by example: leveraging HR as a catalyst to embed sustainability into leadership development, performance management, rewards and company culture. French organizations such as Hermès, L’Oréal, Sanofi, and Schneider Electric offer valuable insights for global HR leaders seeking to balance performance, purpose and adaptability in uncertain times.
In France, some of the most progressive regulatory frameworks in the world reinforce the focus on sustainability. The Corporate Sustainability Reporting Directive (CSRD) significantly expands sustainability disclosure requirements for large companies operating in the EU. Effective from 2024 for publicly listed companies, CSRD mandates detailed reporting on environmental impacts, climate risks, human capital and governance practices. French companies are also complying with broader EU-level initiatives such as the European Green Deal.
French culture has always emphasized care for the environment, collective responsibility, and worker well-being: principles that naturally align with the broader goals of sustainability. These cultural values are reflected in the approach taken by French multinationals for talent development, employee engagement, and leadership accountability. From embedding sustainability metrics into leadership scorecards to promoting green learning pathways, HR is a key architect of business and cultural transformation, shaping a sustainability agenda.
As regulations, culture and corporate responsibility converge, it is clear that the success of any sustainability strategy depends heavily on the strength and mindset of its leaders. In France, companies are setting ambitious environmental goals and redefining what it means to lead in a sustainable organization. The role of leadership is to include climate literacy, stakeholder empathy, and long-term thinking. French multinationals are cultivating the new generation of “green leaders” and positioning HR at its heart.
This shift is most visible at Schneider Electric, ranked #1 in the 2025 TIME 100 Most Sustainable Companies list. At Schneider Electric, sustainability is embedded into leadership through the Schneider Sustainability Impact (SSI) framework—a set of measurable ESG targets spanning climate, resources, equity, and trust. By integrating the SSI into talent strategy, Schneider ensures that sustainability is a shared accountability across all levels of leadership. Additionally, the company has a global sustainability school to build climate literacy across its leadership pipeline.
L’Oréal has embedded environmental and social responsibility into its executive leadership model through the “L’Oréal for the Future” program. The initiative sets bold sustainability targets for 2030 such as 100% renewable energy use at all sites, water conservation, and a time-bound living wage pledge commitment. To achieve these goals, the company has incorporated sustainability in leadership accountability, learning systems, and talent and succession planning at L’Oréal.
Sanofi, also featured in the 2025 TIME 100 Most Sustainable Companies list, has tied long-term executive incentives to ESG performance. In its most recent sustainability-linked incentive framework, 10% of the equity-based compensation criteria are tied to sustainability indicators such as increasing access to healthcare and reducing greenhouse gas emissions.
Hermès, traditionally known for its artisanal heritage, has embraced sustainable leadership by anchoring its mission and values around craftsmanship, durability, and environmental preservation. Hermès’ leadership promotes a long-term approach that attaches great importance to quality over volume and sustainability over short-term gains. This philosophy is evident in the company’s emphasis on circularity, energy efficiency in production sites, and the preservation of artisanal skills.
Across all of these French companies, leadership is consistently reshaped around climate awareness, ethical decision-making and long-term strategic thinking. This evolution is being driven in large part by HR teams, which are redefining leadership models, redesigning performance and rewards frameworks, and designing learning journeys for leaders to navigate a world where profitability and sustainability must go hand in hand.
French multinationals are embedding environmental and social responsibility across all HR practices. At Schneider Electric, over 40,000 employees engage monthly with a digital learning platform that offers training in topics including climate literacy, energy management, and sustainable operations. The company’s “VolunteerIn” program further reinforces this approach, enhancing both social impact and employee development.
As sustainability becomes a strategic imperative, HR technology is essential to enable and scale impact across the organization. French multinationals are increasingly adopting digital tools to drive ESG integration: from skills mapping and learning to performance management and compliance. For example, platforms like 365Talents–an AI-powered talent solution that allows HR teams to map green skills across their organizations and align workforce capabilities with ESG objectives.
In the learning space, platforms such as OpenClassrooms, Teach on Mars, and Coursera are equipping companies to deliver training at scale. OpenClassrooms offers formal certifications in climate literacy and digital transformation, while Teach on Mars delivers mobile-first, micro-learning modules ideal for on-the-job ESG upskilling.
Hybrid collaboration tools are also reinforcing sustainability goals. Widespread use of platforms like Microsoft Teams and Slack reduces travel-related emissions and supports social sustainability by enabling flexible, inclusive work environments. Internally, companies are also launching digital engagement platforms that promote eco-volunteering and crowdsource green ideas, fostering grassroots participation in sustainability.
Despite impressive progress, embedding sustainability into organizational and talent strategy is challenging and requires persistent efforts and executive commitments. The integration of sustainability into organizational programs and policies involves significant change management and cross-functional coordination.
As organizations set more ambitious sustainability targets, demand is rising for employees with green skills and HR teams are under pressure to reskill internal talents and remain competitive on the market for external ones.
These challenges also deliver valuable lessons. French companies are demonstrating that regulations (e.g. CSRD) can serve not just as a compliance requirement, but as a catalyst for long-term business transformation. Finally, a recurring success factor is the complex, transformational role played by HR.
French multinationals are offering a powerful blueprint for how sustainability can be embedded into the fabric of business through leadership, culture and regulations. From aligning executive incentives with ESG outcomes to equipping employees with green skills and digital tools, these organizations are demonstrating that HR is not just a support function but a strategic engine for sustainable transformation. The French model offers a compelling starting point and is an inspiration for what’s possible when purpose and performance align.
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