Religious Charity and Philanthropy were the watch words of social responsibility in India for many years.
The government realised the great potential that Corporates could offer in developing the country in many areas that suffer from deficits. The key areas being education, healthcare, water, energy, food, land, housing, sanitation, waste management, transport system and many more. The leaders of the country, in the government and the corporate world, realised the urgent need to overcome all these deficits, as they were limiting our economic growth and prosperity.
However, perhaps none of these is as critical as the deficit in Education. Education was seen as the best platform to enable the youth to be self reliant and truly free to compete in the world markets.
This thought process gave birth to the concept of Regulated CSR by the Passing of Companies Act, 2013. The Companies Act, 2013, was cleared by Parliament after almost a decade of deliberation. This new law ushers in the element of corporate social responsibility. The key stipulations relating to CSR are as follows:
The Companies Act, 2013, signals the start of a new chapter in the history of CSR in India. It is hoped that the effective implementation of this Act will enable a number of companies to work towards CSR, with focus on long-term goals.
There are marked benefits for Corporate Bodies undertaking CSR as a long-term commitment…….. These benefits are: