Corporate Social Responsibility (CSR) involves the company’s commitment to social and environmental welfare while operating. Corporate social responsibility also means a voluntary act that companies perform for the social environment's welfare. In other words, it is a give-and-take process, as the companies are using natural resources to do their business. In return, they integrate some activities related to social and environmental benefits.
It is a noble cause to do something in favor of social and environmental health, and anybody can do it. However, the Companies Act, under which all the companies are formed, provides some benchmarks. After achieving the benchmark, the company must invest a certain amount of their profit in CSR.
CSR is broken into four categories, which cover different types and natures of responsibility:
1. Environmental Responsibility
This means that the company should take environmentally friendly initiatives that reduce the harmful impact on the environment due to the company’s business operations and ensure the sustainable use of natural resources.
For example, managing waste, plantation of trees, etc.
2. Ethical Responsibility
Ethical responsibility represents how the company operates ethically; the urge to make a profit should never be compromised with the basic ethics and humanity that one should always remember.
For example, Suppose any company is involved in the production of medicine. In that case, the quality of the product should never be compromised, even if it offers huge profits to the company.
3. Philanthropic Responsibility
It can be defined as an investment made by the company, and in return, it improves society as a whole.
Under this responsibility, the company can donate money to the local community for their growth, education, healthcare facilities, etc.
This initiative will help the company build a brand image and attract new talent.
4. Economic Responsibility
It involves making financial decisions related to a business considering society. The companies must not restrict their business to profit-making; instead, they must intend to positively impact the environment, people, culture, etc.
For example, suppose the company is involved in manufacturing business raw materials that can be supplied by the local community. In that case, the company should choose them as a supplier rather than importing or dealing with another large supplier.
The new generation, or Generation Z, is well-educated and well-aware of their rights and can be considered the company's future. They understand the company’s operation well and its positive and negative impact on social and environmental health. Generation Z, outspoken about their rights, needs, etc, hold strong opinions about their thoughts and views.
When the company has strong CSR policies favoring social and environmental needs, it creates a positive image for the company, attracting candidates who are aligned with these values and interested in working for the company to become a part of it.
Hence, CSR policies definitely help in the recruitment of fresh potential and like-minded candidates.
CSR strategy is the plan the company made to fruitfully execute its CSR initiative. Incorporation of these strategies in the recruitment process helps to hire candidates who share the same ethical, social, and environmental behaviour as that of the company.
Ways to incorporate CSR strategies in the recruitment process:
Companies involved in CSR activities can show it on their official website, social media handles, and other public platforms where they operate. This initiative will attract candidates who share the same thought process for society's and the company's well-being.
The company can include its viewpoints and activities related to CSR in its job description, creating a strong image of its commitment and values.
In the recruitment process, the company can introduce the candidates to the CSR policies and initiatives and employee involvement in its completion. It will build the candidates' trust towards the company and highlight its commitment towards CSR.
The company should always measure the CSR initiative; it can be done by measuring the impact of the CSR initiative on society and how it helps the general public and the environment.
A company’s commitment to CSR improves its image as an employer. It generates the mindset of responsibility, commitment, and ethical environment in the company to the general public.
Commitment towards CSR also acts as a piece of attraction to the candidates who share the same mindset as the company. It provides them with a sense of comfort if they join the company. It is beneficial for both employees & employers as the coordinated workforce helps the company's growth.
Since like-minded candidates get recruited, they will perform better for the company and retain the company in the long run, eliminating the risk of the wrong candidate hiring.
When the employees see the company's accountability towards CSR, it either builds or improves their trust in it. Once trust is built, it will give a return in the form of productivity and retention of employees for the company.
Corporate social responsibility cannot be considered a mere obligation of the company. Rather, it helps build the company’s reputation, create quality recruitment, retain employees, and contribute towards a better society.
