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ACCA Applied Knowledge · Business and Technology · Environmental and sustainability factors

Zenith Textiles measures its success by net profit, the proportion of employees receiving above-minimum wages, and its annual carbon emissions. Which of the following is the 'people' element of this triple bottom line approach?

The proportion of employees paid above the minimum wage is the people element. This dimension covers social impact on workers and communities. Net profit and dividends are economic measures, while carbon emissions belong to the planet dimension.

  1. ANet profit
  2. BProportion of employees receiving above-minimum wagesCorrect
  3. CAnnual carbon emissions
  4. DDividends paid to shareholders

Explanation

The people (social) dimension concerns fair treatment of employees, communities and others affected by the business, so pay levels are a social measure. Net profit and dividends are economic measures, and carbon emissions are an environmental (planet) measure.

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