The NAPF (National Association of Pension Funds), which speaks “.. for over 1,300 pension schemes that provide pensions for over 17 million people and have more than £900 billion of assets”, has produced a report entitled – “Where is the workforce in corporate reporting?” MI’s short answer to this question is that the workforce is nowhere to be seen.
This is a view well supported by the research that went into the OMI Human Capital Index. The amount of space given over to ‘people’ matters in UK FTSE annual reports is negligible. This situation, at a time when corporate governance is under greater scrutiny than ever before, is now widely regarded as unacceptable. Human capital reporting has to be taken seriously but the NAPF report confirms what MI already knows: the whole subject has reached what the NAPF’s CEO refers to as an “impasse”.
*Update 25 June 2015
Following our formal response, we have now designed a new human capital reporting template to help companies develop “total integrated reporting” based on the Maturity Institute’s framework and the OMS Global OMI. If your organization would like to better report on human capital and help in the ‘beta testing’ phase, or if you are part of the investment community and want to provide feedback on the template, please contact email@example.com