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CSR and its Social Implication - Evidence from a Maharatna Company in India

International Journal of Business Ethics in Developing Economies

Volume 10 Issue 1

Published: 2021
Author(s) Name: Zakir H. Molla, Sarbani Mitra | Author(s) Affiliation: Center for Environment and Development, Kolkata, West Bengal, India.
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Abstract

The aim of this paper is to review the status of corporate CSR practices in a large Maharatna company in India, by critically appraising the resource application in the spectrum of focus areas, Schedule VII of the CSR rules, and the consequent impacts. The study focuses on the geographic spread of social investments over a period of time. Finally, the study explores the extent of social implications due to CSR initiatives. For the purpose of the study, we selected IOCL, a major oil and gas company, and the largest corporate identity in India in terms of turnover. The findings showed that through its social development activities, besides major CSR projects, its CSR initiatives have touched millions of lives by providing various infrastructure and grassroots development activities in the focus areas identified in the CSR policy of the company. Provision of water facilities; infrastructure at hospitals, schools, colleges, and skill development institutes/industrial training institutes; and setting up sports facilities across the country were some of the projects undertaken by IOCL. Environment-related initiatives like providing LPG connection to the disadvantaged section of society, improving sanitation, health, and livelihood, and providing livelihood generation skills stand tall among various initiatives undertaken. However, the investments are concentrated in and around the operating area, as per policy, in synchronisation with the prevailing act, thereby creating spatial inequality.

Keywords: Corporate Social Responsibility, Social Issues, Companies Act, Sustainable Development, CSR Initiatives, CSR Investment

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