Which are the world’s most ethical construction companies?
05 August 2024
‘B Corporations’ are a network of nearly 9,000 companies around the world, independently accredited for demonstrating a commitment to making the world a better place. Lucy Barnard looks at some of the construction contractors and housebuilders on the list
“Investing in social responsibility, environmental targets, at risk youth – I view that as a differentiator that others will eventually follow and it’s great to be in front of it,” says Nic Darling, vice president and Ontario manager at Canada-based Chandos Construction.
Chandos, a general contractor whose projects include work for Canadian Nuclear Laboratories and Simon Fraser University, is one of a growing number of construction companies which want to be known, not just for buildings they build, or for making a profit, but as a force for good.
So-called ‘B Corporations’ - or ‘B Corps’ for short - are a network of nearly 9,000 companies around the globe which have been independently accredited for demonstrating a commitment to making the world a better place – both through improving their environmental performance but also through the way they interact with staff, customers, suppliers and their local communities.
The ethical scheme was first launched in 2007 by Philadelphia-based B Lab with the high-minded ambition of revolutionising capitalism and remaking the global economy to benefit all people, communities and the planet.
To gain accreditation, companies have to answer 200 detailed questions about their structure, business model, conduct and culture. Out of a possible total of 200, companies must score at least 80 points in order to join the network. Firms must also adopt a legal framework that makes them accountable to all their stakeholders – staff, customers and suppliers and pay an annual fee.
Since 2007, the movement has snowballed, covering 8,957 companies, 162 industries and 101 countries. According to B Lab, the majority of the companies in its network are small- or medium-sized firms valued at less than US$100 million, but large multinationals including ice cream producer Ben and Jerry’s, Nestlé subsidiary Nespresso, and UK newspaper The Guardian, have also attained B Corp status.
For the construction industry, which is classified by B Lab as a “service with significant environmental footprint,” momentum has so far been slow to build. Currently only a handful of B Corps around the world describe themselves as construction companies. Construction Briefing had a look at a few of them.
Chandos Construction, Canada
Unlike most other construction companies, Edmonton, Alberta-headquartered Chandos bases its ownership model on the world’s largest federation of worker cooperatives, the Mondragon Corporation in Spain’s Basque region. In practice, this means that Chandos offers units (company stock) to any employee who has served the company for at least one year – even those paid by the hour. This means that less than 30% of the company is owned by senior executives. Currently the company says, out of its 700 employees in seven locations across Canada, around 320 own a stake in the company. The company is looking closely at its procurement processes, attempting to devote C$10 million (US$7.3 million) of its annual spend to social enterprises, non-profits, and indigenous and diverse-owned businesses. Last year it achieved a C$4 million (US$2.9 million) annual spend. Chandos also plans to reach its goal this year of having 10% Indigenous employees by 2024.
First B Corp Certified: May 2016
B Corp score: 158
Mingori Engineering and Building, Italy
Based in Parma in northern Italy, Mingori has financed and carried out the restoration work on some of Parma’s main sites including the seventeenth century Arch of San Lazzaro. It is also one of the sponsors of the city’s football club. The company is one of the main private contributors to a mobility scheme providing free transport for frail and elderly people in the city of Parma. It requires companies in its supply chain to adhere to a strict code of ethics regarding environmental responsibility, human rights, health and safety and anti-corruption measures.
First B Corp Certified: April 2024
B Corp Score: 108.4
Precision General Commercial Contractors, USA
Based in California, USA, builds projects throughout the USA, specialising in rehabilitating and building new multi-family real estate. Precision says it aims to achieve the greatest possible impact through its affordable housing projects and charitable giving and uses Innovations for Poverty Action to help identify and promote the most effective solutions to specific poverty problems by using a data-driven approach. Precision aims to produce zero waste for all of the new materials that it purchases and to divert 75% of all previously purchased materials through either adaptive reuse or recycling.
First B Corp Certified: December 2019
B Corp Score: 94.7
Durabruik Bouwbedrijf, Belgium
Durabruik, part of the Camino Group, specialises in building homes, apartments and social housing in East Flanders, Belgium. The company pledges that for every square meter of concrete it builds, it will ensure that an equal amount of nature reserve space is created through Natuurpunt, the largest Flemish nature association. For every residential project the company develops, it also donates land to its local Hart voor Mensen charity which supports vulnerable people in the community.
First B Corp Certified: December 2022
B Corp Score: 92.3
Gusto Group, UK
UK-based Gusto Group is known for its Gusto Community Fund which puts money back into local initiatives and charitable causes chosen by the company’s employees and buyers of its new homes. The company pledges that from April 1 2024, 2.5 % of group company profits from the previous financial year will be transferred to the Gusto Community Fund. All employees who have worked with the company for three months or longer are entitled to cast one vote for the good cause of their choice with the value of £250 (US$323) per vote. Last year, Gusto announced that it planned to transition towards full employee ownership by giving 180 employees the option to become shareholders
First B Corp Certified: November 2023
B Corp Score: 92.3
Construction Longer, Canada
General construction contractor Construction Longer specialises in building major infrastructure projects in Quebec Canada. The company, which is involved in a number of demolition projects, has amended its working practices to ensure that it deconstructs buildings instead in order to reuse objects, materials and furniture, many of which are then donated to local charities. The company recycles wood, steel, metals, concrete and granular materials, paper and cardboard, ink cartridges, batteries, returnable containers, polyethylene, hazardous products and liquids. It has implemented strict policy guides on procurement based on locality, ethics and product origin.
First B Corp Certified: February 2023
B Corp score: 91.3
Scott Construction, Canada
Scott Construction is a Canadian construction manager with offices in Vancouver and Toronto. The company works on commercial, institutional, and residential projects throughout Western Canada. Scott describes itself as a “people-first” construction company. The company says it focuses on career development programs and offers staff paid volunteer days off as well as organising group volunteer initiatives with over 240 hours of employee volunteer service. The company has, employee-led ESG, mental health and volunteer committees that influence its policies and internal initiatives. The company aims to divert 75% of waste from all its sites away from landfill and is a Climate Smart Certified business.
First B Corp Certified: February 2023
B Corp Score: 83.2
LD Constructora, Chile
Based on the outskirts of the Chilean capital Santiago, LD Constructora specialises in complex construction work such as building clinics and hospitals and educational facilities. The company also has a presence in the city of Coyhaique in the centre of Patagonia, providing it with the opportunity to build very challenging projects in remote areas with difficult access and hostile climates. In order to overcome any problems arising from working on remote sites, the company pledges to provide medical operations at all its construction sites, bringing healthcare closer to workers and their families. The company also encourages workers to complete their schooling and continue higher education. The company has also created a team which is working to standardise measurements of construction waste and then reduce and reuse and recycle it.
First B Corp Certified: February 2014
B Corp Score: 80.3
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