Environmental Responsibility
Production uses limited natural resources. If not managed well, it leads to:
- Pollution: Leather factories in Tamil Nadu can pollute rivers if waste isn’t treated.
- e-Waste: Improper recycling of electronics releases lead and mercury.
Sustainable Practices: Producers must adopt practices to replenish resources, such as recycling water and using recycled materials as inputs.
Social Responsibility
Businesses have a duty towards their workers:
- Fair Compensation: Proper wages.
- Safety: Safe working environments.
- Rights: No discrimination, paid leave, and healthcare.
Corporate Social Responsibility (CSR)
CSR refers to businesses addressing social and environmental concerns to benefit society.
Tip
CSR Law in India India was the first nation to mandate CSR by law in 2014. Companies must spend 2% of their average profits (of the last three years) on CSR activities like education, environment, or community health.