Suchergebnisse

Corporate Social Responsibility (CSR) laws are an area of exploration and there is debate over preference to voluntary CSR laws or to mandatory CSR laws. The objective is to con-duct a micro-level study to explore the employee's preferences for mandatory CSR laws or voluntary CSR laws. There is some existing literature on this topic at the macro-level and goal is to extend and contribute to the literature about this topic by studying the pref-erence at the micro-level. A qualitative study based on semi-structured interviews was conducted with 15 employees in India and Finland. The study contributes by identifying two different kinds of typologies of employees based on their experiences with CSR and based on their awareness about CSR. The results show that maximum employees prefer the mandatory CSR laws over the voluntary CSR laws. Also, a third kind of preference 'the diplomatic preference' was observed among the employees. The finding supports the idea that employees like to get involved with CSR activities of the company and also they judge the CSR performance of the company. Further, the study also demonstrates that employee's understanding of CSR is varied, whereas the existing literature considers this varied group of employees as a coherent group of stakeholders. Also, there is a correlation between social security and the need for mandatory CSR laws.

PurposeMandatory corporate social responsibility (CSR) aims to protect the long-term benefit of shareholders; therefore, this study aims to seek empirical evidence for the benefit of mandatory CSR from the perspective of shareholders.Design/methodology/approachConsistent with the objective of this study, the long-term shareholder benefit is measured using the sustainability perspective. Companies listed on the Indonesia Stock Exchange that have at least five years of CSR implementation, as its mandate and have retroactive earnings data for minimum six years before the observation year are selected as the study's sample.FindingsThe findings support that mandated CSR protects long-term shareholder value; there is a significant association between CSR and sustainable shareholder value. Industry profiles are an essential aspect of the association model. The results are robust through testing the association for various scenarios of time.Research limitations/implicationsThis study uses a single measurement of shareholder value based only on accounting measurement. Further, due to limitations in accessing internal company data, this study relies on annual reporting information to measure CSR implementation.Originality/valueThis study is the first to provide empirical evidence of the long-term benefit of mandatory CSR from the shareholders' perspective. This study also contributes to the existing literature by evaluating the success of mandatory CSR in developing countries. Those that successfully implemented mandatory CSR can serve as a model for other developing countries interested in creating similar policies to encourage socially responsible companies.