Over the past year, a subtle but significant shift has taken root across corporate sustainability leadership: companies are phasing out Chief Sustainability Officer (CSO) roles. At first glance, it looks like a cost-cutting move or a post-COVID consolidation. But dig deeper, and you will find a more complex picture — one that has real implications for how organisations integrate sustainability and for the professionals shaping its future.

A decline in CSOs — But not in sustainability

While CSO titles may be disappearing, sustainability itself is not being abandoned. In fact, hiring remains strong — particularly for Heads of Sustainability and Sustainability Directors. Sustainability spending is up, not down. What we are witnessing is not a retreat, but a restructuring. Instead of treating sustainability as a standalone board-level pillar, companies are folding ESG oversight into other existing C-suite functions — most often the Chief Financial Officer (CFO) or Head of Corporate Affairs. This shift suggests that sustainability is being mainstreamed into business operations. But there’s a fine line between integration and dilution.

The risk of dilution: When everyone owns it, no one leads it

Embedding ESG across departments can make sense. Climate risk and sustainability performance are undeniably financial issues, and CFOs increasingly report on them. Similarly, stakeholder engagement and transparency fit naturally under Corporate Affairs. But without a clear champion at the top, sustainability risks becoming an operational checklist rather than a strategic driver. When no one is singularly accountable, long-term sustainability goals — emissions targets, biodiversity commitments, circular economy transitions — risk being lost in the noise of short-term margin pressures and regulatory fire drills. This is where the absence of a CSO can start to show.

The mandate matters more than the title

Titles are symbolic. But mandates, budget, and board access are what enable impact. Many sustainability professionals today, even in senior roles, lack the authority to drive change. They operate without dedicated budgets, often limited to compliance reporting or internal communications — roles that inform but do not lead. In this environment, the glass ceiling for sustainability professionals becomes real. More roles are being created, but fewer come with strategic influence. A growing class of implementers is emerging — yet decision-makers are disappearing.

Why some organisations are getting it right

Not all companies are downgrading sustainability. Some are evolving the function thoughtfully:

• Giving the Head of Sustainability clear reporting lines to the CEO or CFO.
• Embedding ESG metrics into executive performance and incentives.
• Maintaining a strong internal ESG governance structure with cross-functional accountability.
• Providing sustainability leads with real budgets, authority, and a voice in corporate strategy.

In these models, sustainability is integrated — but not lost.

What is the best organisational structure for sustainability?

There is no one-size-fits-all. But effective sustainability governance requires:

• Clear accountability at the executive level.
• Cross-functional integration across finance, operations, procurement, and legal.
• A central sustainability function with the expertise to guide ESG strategy and the authority to challenge decisions.
• Strong board engagement on long-term ESG risks and opportunities.

Whether the role is called CSO, Head of Sustainability, or VP of ESG doesn’t matter — what matters is the empowerment behind it.

What this means for sustainability talent

For professionals, this shift is a wake-up call. Titles are evolving, but the demand for ESG skills is growing. To stay relevant and influential, sustainability leaders must:

• Build cross-functional credibility (especially in finance and strategy).
• Understand regulatory frameworks and climate disclosure.
• Be able to link sustainability to business value.
• Push for influence, not just responsibility.

Final thought: sustainability isn’t fading — But it is quietly repositioning

The decline in CSO titles doesn’t signal the end of corporate sustainability. It reflects a changing corporate mindset: one where ESG is not siloed, but embedded. But for this model to succeed, businesses must be careful not to reduce sustainability to a background function. Without visible, empowered leadership, sustainability becomes everyone’s job — and no one’s priority.

The solution? Give sustainability a seat at the table — even if the nameplate has changed.

Read more about Sustainability Leadership : 

Should organisations have a dedicated sustainability function?

How to avoid mistakes in ESG and sustainability?

The rising and evolving demand for chief sustainability officers 

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