Why will the CSR survive through the 2008 financial crisis?

      WHY WILL THE CSR SURVIVE THROUGH THE 2008 FINANCIAL CRISIS?

Although the Companies in the US and the UK are recruiting the services of CSR consultancies to produce CSR codes, write or verify CSR reports, train staff in CSR and market their CSR credentials. In a worldwide business survey in December 2005, among 4,238 executives surveyed, eighty four percent thought that high returns had to be balanced with contributions to the broader public good, while only six percent of the executives agreed with Friedman‟s view that the sole purpose of business is to produce high returns for the shareholder. But the main reason of 2008 financial crisis is that the companies directors only emphasis on profit maximization for the shareholders and for achieving that the directors neglect the importance of CSR. For good corporate governance CSR is one of the fundamental thing without it companies may run good and earn high profit for short term period but their sustainable development is impossible without CSR. The companies are more vigilant now regarding CSR after 2008 financial Crisis and that is the reason why CSR survive through the 2008 Financial Crisis.

JAMAL ABBAS MALIK

ADVOCATE HIGH COURT