Tech is a $113 billion industry in Canada, approximately 5.5% of the overall economy. In CBRE’s tech talent report, Vancouver had the highest tech job growth rate across North America. The tech sector’s influence on both our economy and society is significant, but what many people don’t realize is its impact on the environment.
Techcouver recently sat down with Marco Pimentel, Chief Marketing Officer at Redbrick and host of the Someone Like You podcast, to discuss Redbrick’s journey to becoming a Certified B Corporation.
Redbrick and its portfolio of companies are dedicated to making a substantial and equitable impact by fostering diversity, equity, and inclusion in tech, reinvesting in local communities to revitalize the connection between profitable business and positive change, and actively reducing and offsetting its carbon footprint.
Pimentel shares insights on technology’s environmental impact, how businesses can merge purpose with profit, and actionable steps for tech companies to create positive change.
For those who don’t know, what is a B Corp?
MP: B Corps are companies that meet high standards of social and environmental performance, accountability and transparency. B Corp Certification is granted by B Lab™, a global nonprofit network organization. B Corp companies make a legal commitment to bringing benefits to all stakeholders: workers, customers, community, and our planet.
To earn certification, an organization must do three things:
- Demonstrate strong social and environmental performance by achieving a B Impact Assessment™ score of 80 or higher, which includes a risk review and over 300 questions related to company operations
- Make a legal commitment by adjusting its corporate governance structure to be accountable to all stakeholders—not just shareholders—and achieve benefit corporation status
- Publish a B Impact report to demonstrate transparency, and allow performance to be measured against other B Corp scores and mainstream businesses
Tell me about the process to become B Corp certified. What did it involve?
MP: Achieving B Corp Certification involved a rigorous, years-long process that assessed Redbrick’s overall social and environmental impact. This process entailed revising Redbrick’s articles of incorporation to become a benefit company, which means that we’re committed to conducting business responsibly and sustainably. Public benefit companies must have a positive effect on a group of people other than business shareholders, such as communities, organizations, or the environment.
Our B Corp Certification underscores our commitment to developing and supporting technology that helps entrepreneurs adopt environmentally responsible and sustainable business practices. We strive to enhance diversity in the tech sector, foster an inclusive and supportive work environment for all employees, and allocate a portion of profits towards advancing these goals. Additionally, we advocate for ethical business practices.
Not many tech companies in British Columbia are B Corps. What made Redbrick decide to apply to become a B Corp?
MP: At Redbrick, we recognized the unintended role played by the tech industry in influencing climate change and social inequity. As leaders, we have a responsibility to our employees, customers, and the world to do the right thing—to commit to building an inclusive, equitable, and regenerative economy, and redefine what it means to be a tech company in our ever-changing world. This recognition is what ultimately pushed us to pursue B Corp Certification.
What kind of impact do technology companies have on the environment?
MP: Digital technology has a significant carbon footprint. Each and every email, online search, video stream, or “like” on social media comes at the cost of emitting a few grams of carbon dioxide (CO₂).
The tech industry accounts for two to three percent of global greenhouse gas (GHG) emissions. While this might not sound like a lot, consider the fact that the aviation industry contributes to about two percent of global energy-related CO₂ emissions. Other research has found that digital technology is responsible for four percent of GHG emissions, and its energy consumption is increasing by nine percent per year. Recently, Google said that increased electricity demand driven by artificial intelligence and its growing fleet of data centres has caused the company’s GHG emissions to soar by 48% above its 2019 baseline.
This data points to a concerning trend: our digital footprint is growing rapidly. The onus is on us, as business leaders, to address this impact.
Why should tech companies be thinking about their social responsibility and working proactively to reduce their environmental footprint?
MP: Tech companies have a responsibility to their employees, community, and the planet. By prioritizing social responsibility and taking proactive steps to reduce their environmental footprint, tech companies can join a collective group of people committed to creating a better future. B Corp provides a compass for businesses on how they can make an equitable impact for the greater good of society.
In addition, tech companies play a crucial role in environmental sustainability due to their significant energy consumption and electronic waste generation. We have employees, we travel, and we have a digital infrastructure that’s powered by millions of servers.
What are some actionable steps for other BC tech companies that might be looking to achieve B Corp certification?
MP: A great place to start is to team up with a consultant for a full audit of Scope 1, 2, and 3 emissions. Companies categorize greenhouse gas emissions into three distinct “scopes.” Scope 1 includes direct emissions such as vehicle emissions or fuel combustion. Scope 2 covers the indirect emissions resulting from a company’s purchase of generated energy like healing and cooling. Scope 3 includes all other indirect emissions that occur in a company’s value chain.
For software businesses, reducing their Scope 3 impact might mean looking towards green-powered data centres. Tech businesses that have a physical supply chain or products could explore ways to contribute to a circular economy such as offering a repair program.
However, businesses must look at their social impact, too. A Tech and People Network report found that women, Indigenous peoples and people with disabilities remain significantly underrepresented in Canada’s tech sector.
Tech companies must intensify efforts to foster diversity in their hiring practices. By involving underrepresented groups early on, we can inspire a greater influx of underrepresented talent into the tech industry.
One way we do this at Rebdrick is through our extensive co-operative program. As we grow our team, we’ll strengthen our involvement with community events, partnerships, and mentorship programs that encourage more women and people from diverse backgrounds to pursue and succeed in tech.
What is the connection between profitable business and positive change? How can businesses balance both purpose and profit?
MP: Purpose and profit are intertwined, and it’s possible to pursue both at the same time. Though at first it might seem like two distinct objectives, having a significant purpose will fuel innovation which, in turn, leads to profit. Start small and imperfectly. Tech leaders should define a purpose, whether that’s environment and sustainability, diversity, or something else altogether. The purpose will depend on what is meaningful to each leader and their unique business goals, but at the end of the day, every effort matters.
Companies that weave sustainability into the fabric of their culture create a positive feedback loop. By taking action on a shared set of values, tech leaders can unite their teams, inspiring them to rise to bigger challenges with greater commitment. Not only that, but young workers increasingly want purpose-driven work—80 percent of Gen Z and Millennials believe that having a sense of purpose is important to their overall job satisfaction and well-being. Having a clearly defined purpose can be a major draw for recruiting talent. By involving employees in sustainability initiatives, tech companies are investing in not only their current success but their future, too.
Is there anything else you’d like to add?
MP: The tech sector thrives on innovation and disruption, empowering us to challenge conventional norms and push boundaries. As a tech company, we have a distinct opportunity to drive change. Our goal at Redbrick is to demonstrate that it’s possible to achieve business success while making a positive impact on the world and inspire other tech companies to join the B Corp movement. We want to build a pathway for the next generation of business leaders, ensuring a future where both people and the planet can thrive.
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