After an investigation, four Havas agencies had their B Corp status revoked by B Lab, the nonprofit organization that oversees B Corp certification. Havas has suffered a significant setback as a result of B Lab’s investigation, which led to the global advertising and communications giant losing its B Corp certification. This historic decision was made in response to persistent pressure and a formal complaint against Havas’ affiliation with the oil and gas juggernaut Shell, filed by Clean Creatives and a coalition of 26 B Corp agencies. Havas London, Havas Lemz, Havas New York, and Havas Immerse have withdrawn from the B Corps program due to a conflict between their work with fossil fuel polluters and the values of B Lab. Moving forward, other organizations that are a part of the Havas group will not be able to certify.
Because of the company’s work for Shell, it has earned B Corp status, which indicates high social, environmental, and corporate governance standards. The ruling highlights the increasing reputational risks that PR and advertising agencies face when they present themselves as climate advocates while also serving the interests of the oil and gas industry.
After Havas obtained the multimillion-dollar Shell media account in September 2023, controversy broke out, drawing criticism from environmentalists and inspiring Clean Creatives to file a formal complaint with B Lab. Since Havas used a common brand across its agencies, it was decided that decisions made at the group level were relevant to the B Corp status of the four agencies, even though they had no direct relationship with Shell. According to B Lab UK, Havas’ actions violated the core values of the B Corp Community, and Havas refused to take the necessary corrective action, which was necessary for it to keep its certification.
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The current standards and complaint procedures, which are being updated to incorporate strict due diligence for environmental impact and human rights, served as the foundation for B Lab’s investigation. Yannick Bolloré, the CEO of Havas, has previously attempted to portray Havas as a climate champion. He has voiced his concern about the climate crisis in interviews and made the case that a large global communications company like Havas could positively impact people’s decisions to live more sustainably.
Havas, for its part, has acknowledged the decision and reaffirmed its dedication to sustainability with programs like the Havas Carbon Impact Calculator. Additionally, it emphasized its recent achievements, including the Gold Media award from EcoVadis and the Science-Based Targets Initiative’s validation of its decarbonization efforts. With B Lab raising its standards for due diligence, the revocation establishes a precedent for cases in the future.
Clean Creatives welcomed the decision as major success. B Lab has declared that it is updating its standards to incorporate more stringent environmental and human rights impact due diligence. The analysis of complaints against B Corps operating in contentious industries is still important as B Lab finalizes these new standards because it highlights the increasing scrutiny of corporate practices and the need for a sincere commitment to sustainability and ethical standards.
Clean Creatives has just leveled accusations against five other B Corp accredited advertising agencies that have worked with fossil fuel clients in the last three years: Cullen Communications, Edit, SEC Newgate, Tinkle Communications (a subsidiary of Havas), and Total Media. Clean Creatives wrote a letter to B Lab, despite the fact that three of these agencies disagreed with the results, citing openness and previous disclosures.
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