CS Professional · CSR and Social Governance · Impact of CSR
Anand Motors Ltd's employee volunteering programme in CSR projects has raised staff pride, and its annual survey shows attrition in the plant falling from 18% to 11%. Which impact on corporate performance is this primarily?
This is improved human resource performance. Employee volunteering in CSR projects raised pride and engagement, and attrition fell from 18% to 11%. Better retention lowers hiring and training costs and supports productivity, which is a recognised business benefit of CSR.
- AImproved human resource outcomes through higher engagement and retentionCorrect
- BA reduction in the company's authorised capital
- CA statutory set-off of CSR against future profits
- DIncrease in the net worth due to revaluation of assets
Explanation
Lower attrition and higher staff pride are human resource gains, which reduce recruitment and training cost and improve productivity. The other options are unrelated accounting or legal effects.
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