Examining corporate social responsibility of multinational corporations: The validity of international guidelines

Author:Henris Balliu/Ejona Bardhi
Position:Department of Public Law, Faculty of Law, University of Tirana/Department of Public Law, Faculty of Law, University of Tirana
Pages:39-44
Vo
l.
6
N
o
.
3
N
ovember
,
2020
ISS
N 2410-391
8
A
cces on
l
ine at www.ii
p
cc
l
.or
g
3
9
A
cademic Journal o
f
Business,
A
dministration, Law and Social Sciences
II
PCCL Publishin
g
, Graz-
A
ustria
E
xamining corporate social responsibilit
y
of multinational corporations: The
validit
of international guideline
P
h
D
(
C.
)
Henris Ba
ll
iu
Department o
f
Public Law, Faculty o
f
Law,
U
niversity o
f
Tirana
P
h
D E
j
ona Bar
dh
i
Department o
f
Public Law, Faculty o
f
Law,
U
niversity o
f
Tirana
Ab
str
a
ct
T
his paper will begin with a discussion o
f
the concept o
f
Corporate Social Responsibility, what
i
t entails and the inapplication of the concept to cross-border issues.
Secondly, the discussion will lead into an analysis o
f
Multinational Corporate
E
ntities,
f
ocusing
on ways in which the parent company can be held liable in the courts of the home state
.
T
he Corporate Social Responsibility (CSR) concept presents not only a picture of theories
b
ut also a number of approaches, which are disputable, vague, complex and ambiguous.
T
his article critically analysis the concept of CSR in relation to the liability of Multinational
C
orporate
E
ntities.
By examining the main CSR hypothesis and related approaches under four pillars:(a) are
corporations only interested in wealth creation (b) are there en
f
orceable laws or guidelines
u
nder
OE
CD and
I
nternational Law as to establish liability of corporations(c) can Multinational
C
orporate
E
ntities be held criminally liable (d) moral theories, based on ethical responsibilities
of corporations to society.
M
ultinational Corporate
E
ntities operate in what has been described as “a vacuum between
i
ne ective national laws and non-existent or unenforceable international laws”. (Corporate
Social Responsibility Human Rights and the Law,
A
mao
O
lufemi,2011
)
U
nder
I
nternational Law the MC
E
s are narrowly recognized and usually not directly bound
b
y
I
nternational Law. The e ort as to the way MN
E
s operate with regard to Corporate Social
Responsibility have resulted in so laws and/or self-regulation
.
M
oreover, it is imperative to address the role of MN
E
s in developing countries in relation to
the pivotal impact in their economies. The need
f
or such economic injections has overlooked
the necessary steps that such corporations are required under so laws or international
g
uidelines to
f
ollow. Governments should not believe that they are helping businesses by
failing to provide adequate directions or instructions as to human rights impact of corporate
a
ctivities.
A
ll states have a legal obligation to protect human rights.
A
s the concept of CSR has been evolving so has the criticism.
I
t is from an economic perspective
that CSR has been criticized for bein
g
va
g
ue in its aims se
t
for itself and alienating Foreign Direct
I
nvestment from developing countries which economies
g
reatly rely on as to the quality of life for their citizens.
W
hile
f
rom a legal dimension o
f
CSR considers the concept as a means o
f
accommodating
l
egal changes to accomplish CSR objectives.
Ke
y
words:
C
orporate, Social, Responsibility,
E
ntities
.

To continue reading

Request your trial