Denmark’s new legislation for mandatory corporate responsibility reporting is a model of its kind, wrote Paul Hohnen of Ethical Corporation (13 January 2009).
A recent amendment to the Danish Financial Statements Act, which came into force on January 1, 2009, raises a profound and timely question: if corporate responsibility is a voluntary matter, can it be mandated?
In a pioneering piece of legislation, the Danish Parliament has answered the question in the affirmative. The legislation – amending the Danish Financial Statements Act – and its accompanying explanatory notes reflect state-of-the-art thinking about the role and responsibility of the state in encouraging more responsible business practices.
Under the new ‘Social Responsibility for Large Businesses’ law, an estimated 1,100 of the largest Danish companies, both listed and state owned, will be required to include information on their corporate responsibility policies and practices in their annual financial reports.
To view the requirements on reporting CSR in brief, click here (English version).
Source: www.ethicalcorp.com
