EU seeks ethics alliance with business

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By Daisy Ayliffe
- 13th March 2006


The European commission is set to unveil an alliance with industry to promote corporate social responsibility (CSR.)

A copy of the EU proposal has been obtained by NGOs and is expected to be adopted by the EU executive next week.

The document drafted by industry and enterprise commissioner Gunter Verheugen backs the creation of a European alliance on CSR.

It will “make Europe a pole of excellence on CSR in support of a competitive and sustainable enterprise and market economy,” the leaked document explains.

Governments see CSR as the business contribution to sustainable development goals.

Essentially CSR is about how business takes account of its economic, social and environmental impacts in the way it operates.

But activists accuse Verheugen of hijacking the CSR process to further his jobs and employment agenda.

“The paper we received is not about improving the environmental and social impact of European companies, but only on how companies can become more competitive and profitable,” Friends of the Earth Europe said in a statement on Monday.

“The proposal is geared solely towards improving the competitiveness of the industry instead of seriously tackling the negative impacts of business on the environment and society.”

Other campaigners have accused the commission of neglecting commitments made at last year’s multi-stakeholder forum on the issue.

“Commissioner Verheugen has organized secret meetings with business, excluding other stakeholders, thereby neglecting the multi-stakeholder approach adopted in the past,” the Foundation for Research on Multinationals added.

Vergheugen is set to unveil the CSR proposal on March 22.

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