Emissions, diversity and trust focus areas for Australia tech sector: TCA

Carbon emissions, diversity and trust in technology are the three key issues facing the tech sector, according to a new Tech Council of Australia (TCA) report.

The TCA report, Stepping Up – The ESG Impact of the Tech Sector, was developed to recognise the growing role of tech in the Australian economy and the potential to address critical ESG issues across the Australian economy.

According to the TCA, these three priority impacts by undertaking a double materiality assessment at the industry level and via consultation with members.

A double materiality assessment is used to identify areas for focus in ESG strategies.

According to the TCA, it is a method of prioritisation that takes individual ESG impacts, such as ‘Workforce diversity’ or ‘E-Waste Management’ and rates their materiality from two perspectives a business case perspective and stakeholder perspective.

Kate Pounder, CEO of TCA said, “With an increasing role in the Australian economy the tech sector in Australia also has a growing responsibility to ensure we’re having a positive impact in the community and environment.”

To support the work that TCA members are already doing, and to build capability across the sector, the Tech Council said it will lead work in four areas to support the sector to identify and manage ESG impacts.

Research which includes producing and publishing unique, expert insights into tech sector activity and impact in Australia.

Policy which includes developing expert, original and pragmatic policy positions on key impacts for the tech sector.

Engagement which includes engaging with decisionmakers, stakeholders and the public via events, consultations and workshops.

Ecosystem capability building including supporting the Australian tech ecosystem to develop and share best practice as well as lift capability.

Pounder said the importance of the tech sector across the Australian economy is demonstrated in the sources of job growth.

“In the three months to February 2023, the indirect tech sector, comprised of non-tech industries like banking and mining, has added 8,200 jobs. This accounts for 78 percent of the total 10,500 jobs created during this period,” she said.

“This reflects a long-term structural change in Australia's economy towards increased technology adoption. Since the mid-1980s, tech jobs have grown at four times the rate of other jobs, surviving multiple economic downturns.”

She added, “Our research shows the tech sector is already performing well in some areas such as climate-related issues, but we also recognise there is considerable room for improvement, particularly in issues like workforce diversity.”