MANILA - The House of Representatives approved on second reading House Bill 451 or the proposed "Corporate Social Responsibility Act."
As explained in its committee fact sheet, the bill seeks to foster sustainable economic development and environmental protection by encouraging corporations to inculcate the value of social responsibility in community development in their organization's operations and activities.
It will encourage Philippine businesses to contribute on a voluntary basis to sustainable economic development by working with relevant stakeholders to improve their lives in ways that are good for business towards a sustainable development agenda.
The bill defines CSR-related activities as, among others, charitable programs and projects; scientific research; youth and sports development; cultural and educational promotion; services to veterans and senior citizens; social welfare; environmental sustainability; health development; disaster relief and assistance; socialized and low-cost housing and employee and worker related CSR activities.
It allows stock corporations to retain profits in excess of 100% of paid-in capital stock to be used for expansion or corporate social responsibility projects and programs.
"Corporate social responsibility is a management concept whereby companies integrate social and environmental concerns in the business operations and interactions with their stakeholders while meeting its growth and revenue goals." Principal Sponsor House Committee on Trade and Industry Chair, Batangas 5th District Rep. Mario Vittorio Marvey Mariño said in his sponsorship speech.
"A properly implemented CSR program can bring along a variety of competitive advantages for business." Mariño also said.
The bill will be ready for final House approval next week.
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