Why we need a TISFD
Inequality is no longer a peripheral issue - it's a systemic risk. Over 724 million people live on less than $2.15 a day. Child labor, unsafe working conditions, and rising forced labor continue to persist. Within and between countries, income and wealth disparities are at historic highs, weakening trust in institutions, undermining productivity, and threatening global financial stability.
In response, the Taskforce on Inequality and Social-related Financial Disclosures (TISFD) was launched by a coalition of global stakeholders, aiming to build a robust disclosure framework for how businesses and financial institutions impact - and depend on - people. Its founding documents set the tone for a new era of accountability and transparency around social and inequality-related risks.
From vision to implementation: People in Scope to Proposed Technical Scope
In People in Scope, TISFD laid out its vision: integrating social factors into decision-making alongside climate and nature. It established a blueprint for disclosure on impacts, dependencies, risks, and opportunities (IDROs) related to people, underpinned by concepts like well-being, human rights, and social capital.
Fast forward to 2025, and the work has taken a concrete step forward. The Proposed Technical Scope offers practical guidance on how to implement this vision. It includes detailed recommendations on materiality, prioritization of indicators, and how social issues connect with environmental risks. Notably, it addresses the dual importance of both financial and impact materiality - advocating for decision-useful data that benefits businesses, capital providers, and civil society alike.
Denominator’s contribution
As a TISFD Founding Partner, Denominator is proud to support both foundational and technical phases of this transformative initiative. Our global data - covering 15+ dimensions such as gender, race/ethnicity, disability, human rights, and labor rights -provides the type of standardized, actionable data TISFD identifies as essential to understanding and reducing inequality.
By aligning our data capabilities with the framework’s evolving structure, we help businesses and investors measure their impacts more effectively and contribute to fairer, stronger societies.
Looking ahead
Inequality is a risk we can measure - and mitigate. Denominator will continue to supporting TISFD and others to ensure that disclosures reflect not just compliance, but commitment. Together, we are helping shift social issues from the margins of reporting to the core of strategic, financial, and governance decision-making.
