Atlassian fails to meet carbon target as business travel emissions soar
Tech giant Atlassian has admitted defeat on its carbon-cutting promises after business travel emissions more than doubled despite ambitious environmental targets.
Atlassian has failed to meet its ambitious carbon emission cutting targets, declaring the “no bullshit truth is that business travel emissions” have soared dramatically.
The company’s 2025 sustainability report, released on Monday, revealed that emissions from business travel soared 135 per cent.
This figure starkly contrasts with Atlassian’s publicly stated goal, set in 2019, to reduce those same travel emissions by 25 per cent by this year – a key milestone in its commitment to achieve net-zero emissions by 2040.
The results highlight the increasing challenges for globally distributed technology companies trying to reconcile rapid corporate expansion with aggressive climate mandates.
Atlassian did not attributed the increase to co-founder and chief executive Mike Cannon-Brookes’ decision to buy a private jet, but instead to a massive surge in its global workforce.
The report, which Atlassian prides itself on for its candour, directly addressed the failure.
“The hard, ‘open company, no bullshit’ truth is that business travel emissions growth had been outpaced by a 282 per cent increase in headcount over the same period,” the report stated.
This led to a 38 per cent decrease in emissions per employee, the company said, indicating that travel efficiency, while not eliminating overall emissions growth, had improved.
Emissions had initially dipped during the pandemic, when it announced its flexible working “Team Anywhere” approach and “intentional togetherness” strategy, which included teams across the globe meeting face-to-face several times a year.
After travel restrictions eased, business travel increased, inadvertently encourage more, rather than less, air travel as employees fly in for mandatory team gatherings.
Atlassian has previously been adamant that it has struck the right balance with its work arrangements and climate policies. In late 2023 it released a ‘Don’t #@!% the Planet’ guide that revealed how Atlassian took steps to slash its emissions and what consultants it used.
When it released that guide Atlassian also said it would achieve net zero by 2040 – 10 years ahead of its initial plans.
But chief sustainability officer Jessica Hyman conceded back then that the company was falling short in regard to business travel – a problem she said businesses can’t buy their way out of with offsets.
“Business travel is a core part of our emissions reduction goal … and we’re above where we want to be right now,” Ms Hyman said at the time.
“So how do you kind of balance the reality of business travel with emissions reduction.”
She said steps Atlassian is taking is “optimising” business travel – so choosing direct flights where possible rather than multiple stops.
Last year total business travel emissions rose from 16,693 tonnes of carbon dioxide equivalent in FY2019 to 39,297 tonnes last year.
Atlassian accounts for its private aviation use in its sustainability calculations — a factor that has drawn attention following Mr Cannon-Brookes buy a private jet, a decision he said he did make lightly and that was based on personal security.
The report said private aviation accounts for less than 4 per cent of its travel carbon emissions.
Atlassian said that its accounting for Scope 3 business travel emissions “includes matching private aviation emissions related to Atlassian travel,” though it did not specify the total volume of emissions from executive-level flights. This move signals an attempt to maintain internal accountability, with the company offsetting these flights through its broader environmental measures.
To get back on track, Atlassian announced a new internal carbon fee, a market-based mechanism designed to incentivise emissions reduction across the company’s operations. Funds collected from this fee will be used to purchase Sustainable Aviation Fuel Certificates (SAFc) to directly reduce the impact of company air travel.
“Our Planet chapter includes more details on where we fell short and why – and what we’re doing to get back on track,” Ms Hyman wrote in the report, noting that flexibility would be key to balancing stakeholder expectations with long-term growth.
Despite the setback in business travel, the report highlighted some environmental successes, including achieving its goal of running operations on 100 per cent renewable electricity.
The company also announced plans to set new near-term targets in FY2026, adapting its strategy to new global regulations and the evolving impact of AI on energy consumption.
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