Corporate Social Responsibility
Corporate Social Responsibility is a self-regulatory mechanism which ensures its active compliance with the spirit of the law, international norms and ethical standards. United Nations Industrial Development Organization defined it as the responsiveness of businesses to stakeholders’ legal, social, ethical and environmental expectations. According to UNIDO, it is a management concept where companies integrate environmental and social concerns in interaction with their stakeholders’ and also in their business operations. It is a way through which other companies achieve a balance of environmental, social and economic imperatives.
Who Are All Covered By CSR Norms?
Any and every company which has a net worth of Rs 500 crore or more or a turnover of Rs 1000 crore or more in any financial year has to constitute a CSR committee and spend at least 2% of the net profit made by the company during the last 3 financial years as CSR under the Companies Act 2013
What Are CSR Eligible Activities ?
Activities relating to:
- Poverty, malnutrition, eradicating hunger, health care including sanitation and preventive healthcare and making available safe drinking water
- Ensuring ecological balance, environmental sustainability, protection of flora and fauna, animal welfare, conservation of natural resources and maintaining soil, air and water.
- Measures for the benefit for war widows, armed forces and their dependents.
- Training to promote nationally recognized sports, rural sports, Paralympic sports and Olympic sports.
- Projects on Rural Development
- Funds or contribution provided to technology incubators which are approved by central government.
- Protection of national heritage, site of historical importance, works of art, promotion and development of traditional arts and handicrafts.
- Promoting gender equality, setting up homes and hostels for women, empowering women etc.
- Promoting education which includes employment enhancing vocational skills especially among women, children and differently-abled.