Corporate Social Responsibility Flashcards
CSR
Corporate social responsibility (CSR) refers to strategies that companies put into action that are designed to balance economic objectives and shareholder expectations with their impact on society by integrating social, environmental, ethical, consumer, and human rights concerns into their corporate governance.
· Company-led.
· Self- and co-regulatory. Reporting
· requirements.
CSR – BENEFITS FOR BUSINESSES p.1
- Stronger brand image, recognition, and reputation 2. Increased customer loyalty and sales
- Operational cost savings
- Retaining key and talented employees
- Easier access to funding
- Reduced regulatory burden
Denmark published its first action plan on CSR in 2008
* Broadening application of CSR to investments and public services.
* Laying emphasis on competitive advantages.
Denmark has since been a forerunner in government- led CSR policies based on the impelemtnation of international principles.
A particularly remarkable feature is the Mediation and Complaints-Handling Institution for Responsible Business Conduct.
CSR – BENEFITS FOR BUSINESSES P.2
Non-legal norms:
Ethical norms, corporate values, behavioural norms deriving from consumer groups and other interest groups, and Codes of Conduct
Legal norms:
International law on human rights, labour and environmental protection; EU and national legislation on non-discrimination, social security, occupational health and safety, remuneration, working hours, minimum wages, environmental protection; as well as legislation on reporting and information of CSR topic; collective agreements
CSR – BUSINESS AND HUMAN RIGHTS
The ten guiding principles of the
UN Global Compact.
A voluntary business-led initiative anchored in the UN and based on corporate governance commitments towards the implementation of universal sustainability principles.
CSR – BUSINESS AND HUMAN RIGHTS 2
Other relevant multilateral instruments include:
* ILO Declaration on Fundamental Principles and
Rights at Work, the ILO Conventions and Recommendations referenced within the OECD Guidelines for MNEs, and
* the ILO Tripartite Declaration of Principles concerning Multinational Enterprises and Social Policy.
THE EU APPROACH TO CSR
DANISH CSR LEGISLATION p.1
DANISH CSR LEGISLATION p.2
OTHER (NEW) ASPECTS OF CSR
Security sanctions
Dependencies Ethics
Privacy
Resilience
Domestic / local production
Supply chains
Rule of Law
KEY TAKE-AWAYS
1) CSR is beneficial to both businesses and governments.
2) CSR, though largely based on self-regulation, is reflected in a mix of binding and non-binding norms.
3) International law (substantive), supranational (objectives), national (procedural).
4) CSR values are at risk of being pushed downwards, i.e. from large suppliers to SMEs diverting value creation in smaller businesses.
5) CSR is gradually being replaced by sustainability / sustainable development leading to a risk of ‘green washing’.
Karin Buhmann ‘Corporate Social Responsibility: What Role for Law? Some Aspects of Law and CSR’.
The paper aims to explore the relationship between Corporate Social Responsibility (CSR) and law, in order to contribute to an increased understanding of the role that law plays in CSR substance, implementation, and communication. The author discusses some issues that arise from the way that law and CSR interact, with particular emphasis on norms that appear to function as formal law even though they are not. The paper highlights the importance of legal frameworks in supporting CSR initiatives in businesses and discusses potential challenges or limitations to using law as a tool for promoting CSR.
