Four agencies of Havas, a multinational advertising firm, have had their B Corp certification revoked due to their work with Shell.
Havas London, Havas Lemz, Havas New York, and Havas Immerse have been stripped of their B Corp status following an investigation by B Lab. The action was taken because Havas Media, a sister agency, has a contract with oil giant Shell.
Havas Media won Shell’s media business in September 2023 and took over business-to-consumer strategic media buying from GroupM in January. Shell is reported to have spent roughly $240 million on measured media in 2022.
B Lab, a global nonprofit network that certifies companies based on their commitment to people and planet, has certified more than 6,000 companies across 80 countries and 150 industries. The B Corp certification process is rigorous and must be renewed every three years. Havas New York took two years to complete its certification.
Last October, a coalition of 26 B Corp-certified agencies filed formal complaints, arguing that agencies working for oil majors like Shell shouldn’t be eligible for B Corp certification due to the fossil fuel industry’s role in accelerating climate change.
“Havas’ actions constitute a breach of the B Corp community’s core values. [Havas has] resolved not to adopt the remediation actions required to maintain certification,” said a B Lab spokesperson.
Decision applauded & precedent set
The agencies and activists behind the complaint have applauded the decision. This includes climate-focused advocacy group Clean Creatives, which stated, “The best outcome would have been Havas respecting the hard work they’ve put in to become a B Corp, and dropping their work with fossil fuel polluters. In the absence of that, B Lab’s decision is the correct one, and they deserve thanks for upholding their standards so decisively.
“No agency should be working with the biggest polluters on the planet, and B Lab is showing the path forward for the creative industry when it comes to climate action.”
Chris Norman, CEO of purpose-driven strategy and creative agency GOOD Agency added, “Whilst the delay has been damaging to B Lab’s reputation, and undermines confidence in the accreditation, we are pleased that there is now a precedent that establishes this principle. We hope that this is now replicated as standard practice across all B Corp agencies.”
Havas maintains that the agencies losing B Corp status do not directly handle the Shell account. Yet B Lab said Havas’ “structure and use of a common brand name across some of its agencies means that the entire group is ultimately required to earn certification.”
Havas stated that its commitment to sustainability “remains unchanged,” pointing to its EcoVadis Gold Medal certification and its decarbonization plan validated by the Science-Based Targets Initiative.
“Havas has cooperated in good faith throughout B Lab’s investigation, while simultaneously preserving the integrity of confidential client information. Whilst the investigation recognizes that our certified agencies (Havas London, New York, Lemz, and Immerse) do not have a relationship with Shell, we accept the ruling and they will cease to be B Corp certified.”