The Ministry of Corporate Affairs (MCA) on Wednesday revised the National Voluntary Guidelines on Social, Environmental and Economic Responsibilities of Business, 2011 (NVGs) and formulated the National Guidelines on Responsible Business Conduct (NGRBC), urging companies to follow the principles in letter and spirit.
The principles envisage businesses to conduct and govern themselves with integrity in a manner that is ethical, transparent and accountable and that companies should provide goods and services in a manner that is sustainable and safe, an official statement said.
Businesses should respect and promote the well-being of all employees, including those in their value chains. They should also respect interests of and be responsive to all their stakeholders, it added.
Other guidelines include companies to respect and promote human rights, make efforts to protect and restore the environment, promote inclusive growth and equitable development and that the companies should engage with and provide value to their consumers in a responsible manner.
Besides updation of NVGs and formulation of the NGRBCs, the MCA has constituted a committee on business responsibility reporting (BRR) to develop BRR formats for listed and unlisted companies. The ministry is also in the process of developing a National Action Plan on Business & Human Rights in consultation with various ministries and state governments by 2020.