CSR made in Germany – The Federal Ministry of Labour and Social Affairs

CSR made in Germany - The Federal Ministry of Labour and Social Affairs

For many years, the Federal Government has been promoting corporate social responsibility (CSR) as part of its policies. As a result of the economic and financial crisis, people have increasingly called for a more responsible behaviour by companies. These demands had also been voiced at the Heiligendamm summit during Germany’s G8 Presidency. This was when the Federal Ministry of Labour and Social Affairs became the lead ministry for CSR within the Federal Government. Our ministry established the National CSR Forum as a body bringing together various stakeholders to work on corporate responsibility. The Forum provided important support to the Federal Government in developing a National CSR Strategy. On the basis of the Forum’s recommendations, the Federal Government adopted the CSR Action Plan. It was implemented in the following years, spreading CSR more widely in Germany.

Since then, the understanding of CSR has undergone major changes both in Germany and internationally. One reason was a number of tragic disasters at the production sites of Western companies in emerging and developing countries. Today, society increasingly expects its companies to act in a responsible manner. At the same time, international requirements have become more stringent. The UN Human Rights Council for example adopted the UN Guiding Principles on Business and Human Rights, the OECD revised its Guidelines for Multinational Enterprises. As a results of these steps and developments, there is now a stronger focus on corporate due diligence when it comes to compliance with labour, social and environmental standards. The EU defines CSR as “the responsibility of enterprises for their impacts on society”, building on this changed understanding of CSR and influencing the national debate in Germany significantly.

Our goal is to provide companies with more guidance and predictability and to support them in putting their business practices on a sustainable path and with meeting the new corporate due diligence requirements.