Paul Hohnen Sustainability Strategies

This article was published in Ethical Corporation on July 22, 2008.

From Mr PAUL HOHNEN

G8 summit: Encouraging words for CSR

Global leaders have reiterated their commitment to corporate social responsibility. Will action be next on the agenda?

Avid CSR watchers will not have missed the fact that the 2007 group of eight (G8) summit held earlier this month in Toyako, Japan, revisited the interest in responsible business shown at last year's meeting in Heiligendamm, Germany.

In their final declaration on the world economy, G8 leaders — from Canada, France, Germany, Italy, Japan, Russia, the UK and US — repeated their commitment to "promote Corporate Social Responsibility (CSR)".

While pressing short term (the global economy) and long term (climate change) issues understandably dominated the summit agenda, the G8 nonetheless took time to repeat its resolve to encourage voluntary adherence to the "relevant international instruments, standards and principles" by companies from all countries and to encourage good corporate governance practices.

Anti-corruption

They also made a strong statement on bribery and corruption, calling for the ratification of the United Nations Convention against Corruption by all countries, and undertaking to strengthen enforcement of the Organisation for Economic Co-operation and Development Convention on Combating Bribery of Foreign Public Officials.

While follow-up of G8 commitments by member governments is sometimes criticised as patchy, it seems that corporate responsibility issues will be taken further at next year's summit in Italy.

A report presented in Japan by a special steering committee comprising representatives of the G8 as well as of Brazil, China, India, Mexico and South Africa, announced its intention to continue its dialogue on what it terms "responsible business conduct".

Emerging market consensus

According to the committee's interim report, dialogue "should discuss responsible business conduct and corporate social responsibility, not only because these instruments strengthen consumers by providing more transparency but also because enterprises are increasingly cherishing the value of these instruments as they contribute to corporate, social and environmental sustainability".

The interim report stresses, however, that "it is understood that these instruments are not, nevertheless, substitutes for adequate regulatory and supervisory action by governments".

Another sign of government interest in CSR was the release in June by the OECD Secretariat of an overview paper on global CSR initiatives and instruments. Like the Heiligendamm summit, the paper gives special attention to the value of the ILO Tripartite Declaration, the OECD Guidelines for Multinational Enterprises and the UN Global Compact.

Amsterdam-based, Paul Hohnen consults, speaks and writes on sustainability and CSR issues. Hohnen is a member of Ethical Corporation's Advisory Board.www.hohnen.net.