Monday, January 26, 2004
The fallout from the ENRON affair ( see this book, How Companies Lie, for some details) continues in fits and starts. Meanwhile a Corporate Responsibility Bill is up before the UK parliament.
The bill has three main aims:
- Mandatory Reporting: Companies shall report against a comprehensive set of key social, environmental and economic performance indicators with which they can benchmark (and ultimately better manage) their operations and performance - here in the UK and abroad.
- Directors' Duties: Expanding current directors' duties to include a specific duty of care for both society and the environment, in addition to their current financial duty to shareholders.
- Foreign Direct Liability: To enable affected communities abroad to seek damages in the UK for human rights and environmental abuses committed by UK companies or their overseas subsidiaries.
Worth Supporting this Private Members bill?