CSR Activities Post Pandemic: The Way Ahead…. by Mr Nixon Joseph

CSR in India

Corporate Social responsibility (CSR) is continuing commitment by businesses to integrate social and environmental concerns in their business operations. Changes in the global environment increasingly challenge business around the world to look beyond financial performance, and to integrate social and environmental concerns into their strategic management.

Prior to Companies Act 2013, CSR in India has traditionally been seen as a philanthropic activity. And in keeping with the Indian tradition, it was believed that every company has a moral responsibility to play an active role in discharging the social obligations, subject to the financial health of the company. In the early 90’s Mahatma Gandhi introduced the concept of trusteeship helping socio-economic growth. CSR was influenced by family values, traditions, culture and religion.

On 29th August 2013, The Companies Act 2013 replaced the Companies Act of 1956. The New Act has introduced far-reaching changes that affect company formation, administration, and governance, and incorporates an additional section i.e. Section 135 – clause on Corporate Social Responsibility obligations (“CSR”) for companies listed in India. The clause covers the essential prerequisites pertaining to the execution, fund allotment and reporting for successful project implementation.

India became the first country to legislate the need to undertake CSR activities and mandatorily report CSR initiatives under the new Companies Act 2013. This is the beginning of a new era for CSR in India.

How Pandemic has affected CSR activities

the importance of Corporate Social Responsibility (CSR), which plays a crucial role in the age of this pandemic covid-19, where people are trying their level best to get through this tremendous challenging time. CSR is a “self-regulating business model” that implies the procedures of interaction by a company with its stakeholders and the general public at large, creating a scenario of being socially responsible.

As per Section 135 of Companies (CSR) Rules 2014 and Schedule VII of Companies Act 2013, every company having net worth of Rs 500 crores or more, or turnover of Rs 1,000 crore or more, or net profit of Rs 5 crore or more during the immediate preceding financial year, must have a CSR committee and spend at least 2% of the average net profits earned during three immediate preceding financial years to CSR activities.

The Government of India is also inspiring the companies to provide social support in this age of covid-19. As per report of the Ministry of Corporate Affairs dated March 23, 2020, all expenditures incurred on activities related to covid-19, will be added as the permissible avenues for CSR expenditure.

In the present era of covid-19, it has been observed that some companies are performing CSR activities by promoting social awareness for social distancing. The most significant contribution has been made by Mc Donald’s, Audi, Coca-Cola, Volkswagen and many more. The MC Donald’s company sent the message to the society by bifurcating the logo ‘m’ divided into two parts n n.

The two parts of ‘m’ represent the meaning of social distance. Similarly, the logo of Audi is represented by four separate rings and exploring the tagline to keep distance. The new logo of Audi is enough for understanding the importance of social distancing. It is also true that the automobile company Volkswagen plays an important role to make awareness about the necessities of the social distancing to prevent the expansion of pandemic virus in the human body. Volkswagen has presented their new logo by creating a gap between V and W. The Bengal Beverage company has also changed their logo by creating a gap from each letter. The company also shares their message as “Staying apart is the best way to stay united”.

Apart from the transforming the logo into new shapes to express the importance of social distancing during the presence of novel coronavirus, many companies also have changed their advertisement slogans to make understand the importance of social distancing.

For instance, NIKE. The new slogan of NIKE is “if you ever dreamed of playing for Millions around the World, Now is your Chance. “Play Inside, Play for the World”. Indian famous dairy brand Amul released a series of messages motivated people to wash their hands, greet others using the no-contact, namaste method and to work from home to protect novel coronavirus from the social transition. Again the new slogan logo of Pizza Hut denotes “Pizza Home”.

Tata Motors has released an innovative TVC that paves the pathway of how crucial it is “to stay home now to be together always”. Hindustan Unilever Limited, through its product Lifebuoy soap, spreads the message of “washing hands frequently with Any Soap or Hand-wash or Alcohol based Sanitizer to combat against the spread of Corona Virus”.

Nixon Joseph, President  & Chief Operating Officer, SBI Foundation, is a post graduate in English Language and Literature, joined State Bank of India in 1985 as probationary officer. As a career Banker, he has extensive  experience in various facets of Banking like Corporate Credit, Retail Operations, International Banking etc., has worked all across  India. He was  also Manager(Operations), SBI Bahrain and Chief Executive Officer, SBI Tokyo branch(2008-2012). He is a Certified Credit Professional, Certified Banking Compliance Professional and Certified Information Systems Banker.

He was President of the Sakura Toastmasters Club, Tokyo and also started the Tokyo debating society.

His interest in long distance running has led to his completion of 40 full marathons (42.195km),  thus being the only official  among the 1.1 million bank employees in India to have the achievement, making him popular as “SBI’s marathon legend”. That he was never an athlete, yet started full marathon running at the age of 45 years, went ahead completing full marathons and still running at the age of 58 years,  has been inspiring thousands of people especially youth.  Various institutions have been inviting him to share his experiences of running 40 full marathons and motivate the youth. He has been running in all the SBI Green marathons to spread the message of sustainability.

Inspite of lockdown he dared to complete 3 full marathons by jogging inside his apartment giving the message that “ where there is a will there is an inspiring way”.

As Coordinator, SBI Youth for India fellowship program, he was instrumental in inspiring and mentoring 100 youths every year, and has taken the fellowship to a higher level. He has been mentoring many social entrepreneur units started by SBI Youth for India fellows.

As President of SBI Foundation, the CSR arm of State Bank of India he has been supporting strong impact projects to help the underprivileged and needy. He has been a regular speaker in various CSR forums all across India.

He is the recipient of Dr A. P. J. Abdul Kalam award 2018 for excellence in public service and Dr Kalam Memorial Ignited Minds award. His name figures in the “Be the Inspiration” Book released by Rotary Club, Mumbai where 45 inspiring Indians were listed. Awarded the Covid-19 warrior award by CSR Times and India Achievers Forum for organizing various social initiatives during the pandemic times.

He can be reached at : https://www.linkedin.com/in/nixon-joseph-53696944/

For more details contact:

Ms. Supriya Patade on 9082205742 – [email protected] and Ms. Laxmi Gupta on 7738149513 – [email protected]