Added value of EU action

Citation

(2003), "Added value of EU action", Work Study, Vol. 52 No. 3. https://doi.org/10.1108/ws.2003.07952caf.007

Added value of EU action

CSR is by definition voluntary, and some commentators have drawn attention to the lack of independent assessment of companies' performance. So there is a need to make CSR initiatives more transparent and credible.

The European Commission has set up a European multi-stakeholder forum on CSR, drawing together enterprises, employers, trade unions, business networks, consumers, investors and NGOs. The forum hopes to make it easier to compare notes and exchange good practice.

It also aims to establish common guidelines for CSR tools such as codes of conduct, accounting, auditing and reporting standards, labelling, and socially responsible investment. The Commission believes that the success of CSR in Europe will ultimately depend on its widespread "ownership", with all interested groups feeling they have a say in how it is developed and applied.

Raising awareness about the positive impact of CSR on business and society is another strand of the strategy. There is not enough knowledge of the business case, the Commission notes, and building a solid body of evidence could go a long way to furthering acceptance in the corporate world. Small and medium-sized enterprises in particular need to know more about the benefits of socially responsible practices, while general education and management training should also address CSR principles.

The Commission's strategy fits in well with global frameworks. It points out that companies that work to internationally accepted standards help world trade to function more sustainably. It urges them to abide by the OECD guidelines for multinational enterprises and also to respect the core labour standards in ILO conventions. The EU can also play a part in promoting CSR internationally, through its own agreements with third countries and regional groups.

Moreover, the Commission plans to integrate CSR principles into all EU policies, including employment and social affairs, enterprise, environment, consumer issues, public procurement, external relations, development and trade. In 2004, it will publish a report on progress, including the outcome of the multi-stakeholder forum.