Socio-Environmental Integration in Taiwan's Financial Industry: A Path to Low-Carbon Transition

Abstract

Integrating social science into environmental research is essential in order to reduce people’s climate anxiety and assist human beings adapt in the low-carbon transition process. The concept of a just transition, emphasizing dignified work contributing to environmental sustainability, has gained prominence in socio-environmental discussions, seeking a balanced and equitable transition process that incorporates considerations of environmental justice, labor relations, and social inequality. However, the application of just transition in the commercial sphere remains underexplored.  This research aims to investigate decent work and just transition at the micro-level, centering on the financial industry in Taiwan, currently actively adopting advanced strategies for a low-carbon transition. In the transition to a low-carbon economy, workers frequently encounter the challenge of insufficient knowledge to shift towards more sustainable practices, along with the adverse effects of unemployment. The study emphasizes the pivotal role of social dialogue among corporate decision-makers and employees, urging the decision makers to consider the wider impact of their actions on stakeholders and society from a bottom-up perspective. The methodology involves a comprehensive investigation, including literature reviews on decent work, social dialogue, and just transition. A structured social dialogue framework is formulated to ensure the inclusion of workers' voices in decision-making. Social indicators, drawn from the literature review, are utilized to assess the effectiveness of corporate practices, labor conditions, and social sustainability. The initial findings highlight challenges in implementing environmental practices, gaps in salary ratios, inclusivity in decision-making, and the impact of extended working hours on employee well-being. These identified factors not only present alternative perspectives from workers in the decision-making process but also contribute to shaping inclusive adaptation strategies to enhance climate resilience during the low-carbon transition. As Taiwan progresses in this direction, the findings and approach outlined in this study could serve as a model for other nations with similiar systems, facilitating broader discussions on the adaptation of just transition into a sustainable society.