On March 13th 2007 a new Resolution, regulating CSR activities, has passed in the European Parliament. The Resolution was proposed by UK MEP Richard Howitt. In the process leading to the definitive version, suggestions were made by several NGOs including the CCC. Also, some CCCs have been active in lobbying their national MEPs to accept the Resolution.

HIGHLIGHTS

6. Believes that the credibility of voluntary CSR initiatives is further dependent on a commitment to incorporate existing internationally agreed standards and principles, and on a multi-stakeholder approach, as recommended by the MSF, as well as on the application of independent monitoring and verification;

22. Notes a contradiction between competitive sourcing strategies by companies seeking continuous improvements in flexibility and cost on the one hand and voluntary CSR commitments seeking to avoid exploitative employment practices and promote long-term relationships with suppliers on the other; welcomes further dialogue on this point;

32. Calls on the Commission to implement a mechanism by which victims, including third-country nationals, can seek redress against European companies in the national courts of the Member States;

36. Recalls previous consideration given to the appointment of an EU ombudsman on CSR to undertake independent enquiries on CSR-related issues at the request of companies or any stakeholder group; invites further reflection about this and similar proposals in the future;

60. Calls on the Member States and the Commission to support and promote respect for ILO core standards as a factor in the CSR of undertakings in the areas in which they operate;

*LABOUR'S MEMBER OF THE EUROPEAN PARLIAMENT*

News release for immediate use
13th March 2007

Vote Confirms Mandatory Social Responsibility Standards for Business

The European Parliament this morning *(Tuesday)* voted by a overwhelming majority across the party spectrum to back mandatory reporting on the social and environmental impacts of business, thus setting a new standard for social responsibility in Europe.

UK Labour MEP Richard Howitt, author of the report, had stated his determination to bridge the bitterly disputed divide between voluntary and regulatory approaches to CSR which has seen Europe's Multi-stakeholder Forum boycotted by household name NGO's such as Amnesty International, Friends of the Earth and Oxfam. Allied to this, his report has also been clear in its aim to have the EU acting as a global leader in promoting worldwide standards on CSR, with concrete new dialogues and linkages.

The report was the Parliament's reaction to the European Commission communication on making the EU a "pole of excellence" for Corporate Social Responsibility. Today's vote follows on from the controversial debate about company reporting on the UK's Companies Act finally agreed last Autumn.

Labour's Richard Howitt MEP speaking immediately after today's vote in Strasbourg stated:

"Today's vote has demanded of companies that they stand up and make a visible and significant contribution to combating climate change and global poverty.

"For too long the European debate on social responsibility has been inward looking and negative. This vote will inject new momentum into this discussion; hopefully end the boycott by NGO's of the European Multi-stakeholder Forum and get everyone back around the table by finding a reasonable mix of voluntary and regulatory approaches.

Referring to last week's commitments on climate change from European Governments Richard Howitt said: "If it takes twenty seven governments to change a light bulb, then it takes every single company to get involved to make their contribution to climate change and poverty reduction. There cannot be patchy implementation of social responsibility efforts by some businesses with others doing zero!"

"Looking beyond our borders, the EU must act as a global leader on exporting CSR standards, as it has done on climate change. Some of our best European companies are real champions in the global debate on CSR and today's vote has shown that the European Union now has the potential to demonstrate real leadership."