For sustainability professionals, January marked both the start of the new year and the one year mark of a new administration with outsized impact on the sustainability space as well. As we walk into the second month of 2026, the Veerless team took some time to look back at 2025 and the shifts in sustainability we all felt this past year.
It’s no secret that political pressure in the U.S. affected sentiment around ESG for companies both stateside and around the world. But as strong as that influence was, it certainly wasn’t the only global trend affecting our field. Evolving global rules, shifts in expectations around diversity, equity and inclusion (DEI) and other social topics, and louder conversations about the role of business in today’s global environment forced many organizations to retreat and recalibrate. “Wait and see” became a common adage for internal leaders and consulting leaders alike.
These are the Veerless team’s top level take-aways from a year of change and uncertainty:
- The political environment changed our framing, but not our strategy.
Anti-ESG rhetoric had a real influence on sustainability initiatives, and we can’t ignore that. Especially in the U.S., Boards and legal teams increased scrutiny related to the language of sustainability (ESG vs. CR vs. Sustainability, oh my!). During proxy season, ESG related shareholder proposals dipped as well. And while some companies slowed timelines considering adjustments to global regulatory framework, the work of sustainability continued.
We saw companies lean in on sustainability as a business resilience imperative, enterprise risk management strategy, and vehicle for continuity in their work. The meaningful shifts we saw were not necessarily in internal work, but in external presence and public targets.
- DEI evolved to a “behind the scenes” imperative, but stays relevant for employee stakeholders namely.
Following the Trump administration’s scathing Executive Order on DEI, it certainly became one of the most sensitive areas of corporate ESG-related strategy. Some organizations revisited, renamed, or narrowed programs to reduce legal exposure and avoid politicized backlash. And yet, research shows this wasn’t a wholesale retreat. Many companies reframed messaging, not programs. Others removedgEI sections from reports while continuing internal governance. In large part, corporate leadership stood by this work, but avoiding the limelight.
- Sustainability reporting language shifted, but the work continued
In 2025, the industry saw a noticeable shift in sustainability reporting language. Companies favored terms like sustainability, responsibility, or impact in place of the increasingly politicized ESG label. Internally, sustainability teams strengthen data governance, prepared for third-party assurance, mapped requirements to CSRD and ISSB climate disclosures, and aligned processes more tightly with finance and legal controls. The strongest leaders in the space also prioritized work in risk management, and capital planning including:- Scenario analysis informing real investment decisions
- Resilience upgrades for facilities and critical infrastructure
- Supplier engagement built around phased, achievable expectations
- Improved risk mapping for heat, flooding, and insurance exposure
This type of work rarely makes headlines, but it shapes long-term competitiveness far more than big single announcements. Investors are especially attentive to this work, asking detailed questions about physical risk, supply-chain continuity, and transition planning. In many ways, this is exactly what the current wave of regulations was designed to do: keep the work moving even when sustainability faces challenges politically.
In short, sustainability in 2025 meant:
Looking Ahead
Times of challenge and change can feel sticky and frustrating, but they’re also times of enormous opportunity. Sustainability and ESG are changing shape and moving ahead, just in different ways than they might have been in recent years. The Veerless team is ready to help our clients and our entire industry weather these changes and chase the “new normal” in sustainability around the world.