THE country’s largest corporations were asked to “step up and supplement” government efforts in addressing poverty through corporate social responsibility (CSR) projects.
Speaking at the 10th Annual CSR Expo and Conference organized by the League of Corporate Foundations on Wednesday, Sen. Manuel B.Villar Jr. suggested that the private sector “with its considerable financial and technical resources can make a real difference in improving society and helping address poverty problem in the country.”
“Oftentimes, those in the corporate sector can boldly claim to be more competent and efficient than those in the government or public office, which admittedly is more prone to corruption and red tape,” he said.
The senator, who is chairman of the Committee on Trade and Commerce, earlier filed a bill seeking to institutionalize CSR work among wealthy corporations.
Villar’s Senate Bill 1239, which is up for approval on second reading when Congress resumes sessions next week, mandates large taxpayers—as defined by the National Internal Revenue Code and as identified by the Bureau of Internal Revenue—to allocate a reasonable percentage of their net income for CSR activities.
He said the proposed legislation would compel companies “to give what is right and fair for projects that give back to communities by supporting community development programs, environment protection initiatives, social welfare and assistance, and the like.”
“What the CSR bill envisions to do is provide impetus for change. It is a gentle prod that we as individuals, and our companies, are citizens of a larger universe, which we all have an obligation to,” the senator added.
He said the bill was designed to encourage corporations to embrace CSR work by providing incentives to business organizations, including a full deduction from gross income of all expenses incurred.
“I am pushing for something I sincerely believe will make a difference to our fellow countrymen,” Villar told conference delegates. “Indeed, crafting the CSR bill allowed me to draw on my unique experience and awareness of private-sector obligation in nation-building.”
Villar added: “Of course, just as CSR is a natural inclination for many companies, quite a few still needs to be moved in the right direction. Thus, it is imperative to provide not just enticements but mandatory obligations within a company’s sphere of attention. We need to disturb the people in board rooms so that they can look up from reading their financial sheets and have a look around.”
Also at the CSR conference, Matthias Gelber of Malaysia-based Maleki GMBH, urged Filipino consumers to save the environment through their wallets by demanding that companies do better.
“The challenge really is making irrelevant companies that are not environment-friendly,” Gelber told reporters. “Consumers demand such product. So, sustainability also needs to start from the consumers. They have the responsibility to tell producers and companies what they really need.”
He noted that mining companies, for example, would not drill or dig if there was no demand for metals and chemicals.
“The question should be how can we shift consumption patterns to ones that are sustainable. We can’t dig to the core of the earth. Filipinos understand that; you know how the planet can react adversely and we should save the human race from the planet.”
Gelber said the first challenge in the Philippines is mobilizing consumers. “Timing is a challenge,” he said.
