What is social sustainability?

Social development is a fundamental aspect of sustainability. Learn more about this topic

What is social sustainability?

Social development is a fundamental aspect of sustainability. Learn more about this topic

By
Jennifer Thomas
August 6, 2025
8
min. read

In many contexts, the word “sustainability” evokes the preservation of trees, wildlife, rivers, and lakes. That’s part of the truth, but sustainable practice goes beyond environmental protection. Being sustainable—whether in personal life or in business—means simultaneously considering nature, people, and the economy. In many situations, protecting the environment is only possible when nearby communities have their basic needs met. In this sense, social sustainability is crucial to valuing standing forests and building a truly sustainable economy.

What are the principles of sustainability?

Among the many concepts presented, the most recognized is that of sustainable development, introduced in 1987 in the report Our Common Future, also known as the Brundtland Report, by the UN World Commission on Environment and Development. According to the document, sustainable development is “development that meets the needs of the present without compromising the ability of future generations to meet their own needs.” From this, the three pillars of the concept were established: environmental (focused on preserving natural resources), economic (seeking growth with responsible use of capital), and social (promoting well-being and inclusion).

In 2004, the acronym ESG (Environmental, Social, and Governance) emerged in the Who Cares Wins report by the UN Global Compact. Proposed by then UN Secretary-General Kofi Annan, the report encouraged investors to adopt environmental, social, and governance criteria in their decisions. Since then, ESG has become a benchmark for evaluating sustainable corporate practices, gaining prominence among companies, regulators, and investors.

What is social sustainability?

Although the term “social sustainability” is not widely used by experts, the concept highlights the role of people in sustainability. More than protecting the environment, sustainability involves social aspects such as ensuring human rights, access to healthcare, education, food, and decent work. Without these minimum conditions, individual well-being and the collective ability to face environmental and economic challenges are compromised.

“We must not forget that within the environment is the human being, and the human being is part of the environment,” says Marcus Nakagawa, PhD in sustainability from the University of São Paulo and professor of ESG and other topics at ESPM.

Why is social sustainability important?

Social development directly influences the economy and population security. The UN’s World Economic Situation and Prospects 2025 report warns that growing economic insecurity, inequality, and erosion of social trust require “a new policy consensus based on equity, economic security for all, and solidarity.” These principles support the social fabric and create foundations for community well-being and social impact.

The World Bank, through the Human Capital Index, shows that investments in health and education increase workforce productivity. “People are the ones who will take care of the planet. It’s the idea of multiplication,” says Marcus. A study on the World Bank’s work in Latin America and the Caribbean reinforces this link: investing in health, education, and social protection reduces poverty, stimulates domestic consumption, and boosts productivity. Thus, social development becomes not just a good practice but a strategy to strengthen economic resilience.

Benefits of social sustainability

Adopting practices focused on inclusion and community well-being brings direct benefits to companies, communities, and governments. According to the UN Global Compact, these practices strengthen stakeholder trust, reduce operational risks, and increase innovation. The World Bank highlights that social investments support social cohesion and favor economic growth, with positive impacts on productivity and poverty reduction.

Promoting diversity, an important practice in corporate environments, also shows concrete results: a McKinsey study indicates that companies with greater ethnic and gender diversity have up to 36% better financial performance. For Marcus, social sustainability in Brazil should be integrated into business management, especially in areas such as occupational health and safety, mental health, and financial education. “It is essential for business continuity, reducing turnover, and effectively implementing human rights,” he explains.

How to promote social sustainability?

Social sustainability depends on coordination among various sectors and should be developed through networks involving different stakeholders such as governments, companies, and local communities.

Governments and companies have distinct roles in promoting social sustainability. It is important to differentiate the guarantee of basic rights—such as sanitation, health, and education, which are state responsibilities—from other actions aimed at sustainable development, such as scholarships or support for social projects.

In the private sector, many companies have implemented projects for professional training, entrepreneurship, and productive inclusion in their areas of operation. These actions complement public policies and help expand development opportunities, reinforcing the idea that social sustainability is built through collaboration among communities, governments, and companies.

Practical examples of social sustainability

Several countries and companies have adopted recognized social sustainability practices focused on reducing inequality, generating positive social impact, and promoting community well-being. Norway, for example, maintains a well-established social welfare system based on free education, universal public healthcare, and income redistribution, often cited as a reference by the United Nations Development Programme (UNDP).

In Latin America, Costa Rica redirected public resources to social areas after abolishing its armed forces, achieving strong health, education, and quality of life indicators with low environmental impact.

In the private sector, Suzano, a pulp and paper producer, promotes structured social development actions. Operating in over 200 Brazilian municipalities where 3.3 million people live in poverty, the company partners with other businesses, civil society organizations, associations, cooperatives, and public authorities to drive social development in the regions where it operates. Examples include initiatives related to sustainable extractivism, entrepreneurship, and job access. Additionally, Suzano has committed to helping lift 200,000 people out of poverty by 2030. Between 2020 and 2024, 97,000 people were lifted out of poverty.

Conclusion

Social sustainability is one of the central pillars of sustainable development. At the same time, implementing this practice requires guaranteeing basic rights, including historically excluded groups, and generating opportunities. In countries like Brazil, with deep inequalities, the challenges are significant and demand consistent public policies, cross-sector collaboration, and solutions tailored to local realities. More than a goal, social sustainability represents a

Ilustration:
Lais Zanocco

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