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The CSR Diges e st
Exploring the Corpora Conscienc g ate ce
The CS Digest is a web-based SR publica ation, set to provide quali p ity content on corporate social responsibility (SRI) and
Malay ysia: CS Repor Card 2008 - Part SR rt 4 (Co ommunity)
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sustain nable and res sponsible investm ment (SRI). Th CSR Diges he st hopes t make CSR accessible to to R all. The Digest is also currently a e so feel free to send your conten nt or pres releases to us at editor ss o r [at] csrdigest dot co . om free dis stribution ele ectronic digest,
Com mmunity y
This, the e CSR Digest’ ’s first editor rial, has discu ussed corpor rate social responsibility (CSR) i issues highlig ghted by the e press in 200 08. In the first part t, Malaysian CSR marketplace issues were explor red, while the second ins stalment disc cussed CSR a at the workplace issues. T The third par rt took a look k at environm mental issues, while this instalment will d discuss CSR in the community.
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About t CSR Dige the est Sign Up For CSR Dig p gest Newsletter Malaysia: CSR Repo Card 2008 ort 8 Part 2 ( (Workplace) Malaysia: CSR Repo Card 2008 ort 8 Part 1 ( (Marketplace)
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Logging companies w were condem mned due to o allegations of rape against w women from m the Penan t tribe, an indigenous tribe found in • East Malaysia’s fores st. The Bruno o Manser Fo onds (BMF) re eported, “Penan w women from m the Middle e Baram area a of Sarawak are launchin ng a cry of alarm to the in nternational community over cases of sexua al abuse by lo ogging comp pany workers s in the East Malaysian state’s r rainforests.”
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Old Logg ging Road, courtesy o Kekilen. of .
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CSR Dig gest Editorial Marketplace Transparency Workplace
Accordin ng to initial n news reports s, officials fro om the logging companies, Interhill Logging and d Samling, we ere unaware e of the allegatio ons. Samling’ ’s Cheryl Yon ng stated, “Such events a are criminal and will not be toler rated becaus se we do not condone an ny illegal act by employees… A Any victim of criminal ac cts should lod dge their complaints directly t to the police e.”
Fuel hea alth and safety M MalaysiaMelam mine migrant workers Tollunions s
Interhill’s representative. Suhakam. . Indigenous tribes in Sarawak also hit the headlines when they rejected government compensation for their ancestral land. Abdul Taib Mahmud. a corporation said to be linked to associates and relatives of Sarawak Chief Minister. which has caused infrequent communication between the camp and the headquarters. Pain Bojong and Taba Sait ‐ which are affected by the construction of the RM320 million Bengoh dam. and that this could be because of the bad infrastructure in the interiors. Due to local and international outcry. Family and Community Development Ministry and the Malaysian Human Rights Commission. not only by the. identified as “Mr. Future by Andycap Although some of the villagers received their compensation with happily. admitted that so far they had no information on the matter. but also by the Women. investigations into the allegations are underway. many others protested and refused to the compensation. inadequate compensation and non‐recognition of their Native Customary Rights (NCR) land. The Trains 2 Page Late in 2008. The compensation was for three Bidayuh villages ‐ Rejoi. Kiu”. Their main complaints include unsuitable relocation sites. The Bengoh dam project was awarded to Naim Cendera.000 or more. Malaysiakini reported the Penang’s state government dissatisfaction with MMC‐ Gamuda Joint Venture Sdn Bhd for attempting to ‘pass the buck’ on relocating temples affected by its electric train double‐track project. some of which amounted to RM200.
I have told the company not to classify them as illegal because the temples have existed for decades. the roof of the bus was ripped off by the impact. the landslides discussed in the previous part also fall into the ‘environmental’ category. He was reported to have said. According to a passenger. Penang’s Chief Minister. Likewise. not only falls into ‘community’ but also ‘marketplace’. expressed disappointment with MMC‐Gamuda for awarding unsatisfactory compensation to private house owners and places of worship in its land acquisition process for the project. The house owners may not be able to buy even a bathroom with the amount the company plans to compensate according to market valuation. when the express bus crashed into a tree along the North‐South Expressway near Tangkak. an express bus accident which took place in early December. which overlap over into other categories. Notwithstanding the company’s president and group chief executive. Datuk Seri Ahmad Zubir Murshid. assuring the public that maintaining IJN’s social obligations was not only one of the conditions from the Government but also a demand by his own board of directors. led by the relevant ministries. Seven of the crash victims died at the scene while the remaining two succumbed to their injuries at a hospital in Muar. Other CSR issues in the community A number of other incidents occurring late in the year. might take several months. The RM12. Ramasamy was particularly unhappy with the company’s position that the temples were illegal structures. He was reported to have said. the public and many political parties felt that privatization of such a major healthcare institution should not be effected. Datuk Seri Najib explained that the review. The accident caused the deaths of ten people. Deputy Prime Minister Datuk Seri Najib Razak announced a few days later that Sime Darby’s acquisition deal had been postponed until an in‐depth review was undertaken by the relevant ministries. Because of the outcry. Deputy Chief Minister Dr P Ramasamy was reported to have said that the company was unethical and irresponsible. stretching from Ipoh to Padang Besar. Lim Guan Eng. How could the temples suddenly become illegal structures overnight just because of the double‐ track project? Meanwhile. For instance. The company should consider giving a higher quantum to compensate not only for land acquisition but also for relocation process for them. started in January this year and is expected to be complete in 2013. including a nine‐year‐old girl.485 bill project. Apparently. Privatization Sime Darby Berhad announced that it was taking over majority equity in the National Heart Institute (IJN) in December 2008. Page 3 .
RHB Bank presented two schools with a 12‐page booklet. Khalilah Datuk Mohd Talha. corporations have been reported to be doing their bit. Also. of which RM2 sales proceeds would go towards the Society for the Severely Mentally Handicapped and Shelter. There have been no recent reports on any further developments. announcing to the press through its corporate communication general manager. Meanwhile. that it was the first time a major accident had occurred at that location. Watsons Malaysia sold umbrellas. For example. guardians or teachers. reacted promptly. In other community news. Page 4 . a children’s home in Puchong. The press did not include any mention of the transport corporation involved. on the other hand. She was reported to have said that a a technical team from Plus was sent to the site to identify the cause of the accident. Accident by Neodecay Twenty‐six passengers. including the deceased.700 for Rumah Amal Limpahan Kasih (RALK). Plus Expressway Berhad. neither was there any highlights on action taken against the bus driver or the employer. CISCO Malaysia (Cisco) recently teamed up with its business partners to raise RM14. containing instructions for children to ensure their safety when out of sight of their parents. and two drivers were on the bus heading to Johor Bahru and Singapore from Perak.
OW WW Consultin ng. t the press did d not follow up on any st tories highlig ghted. The public might h have liked to o have known n how the orga anizations utilized the fun nds. a leading CSR & SRI co onsultancy in n Malaysia. Accordin ng to a news s report. Transparency International Malaysia areleased in late 2008 its s findings of its Transpare ency Interna ational’s 2008 Bribe Paye ers Index (BPI). transparency and accountabil lity. as tra ansparency is key in any kind d of organizational best p practice. Malaysian companies a are encourag ged to go green n by having t their carbon credit incom me exempted d from tax fro om 2008 to 2 2010. h has stated th hat Malaysia a is ahead of other count tries in the re egion in term ms of CSR act tivities. Child d's Worst N Nightmare by SpasticP b Poison These ar re among ma any charitable endeavou urs undertake en by busine esses in 2008 8. For example e. while CSR gets highlight ted more an nd more in th his press. or if the funds reached them at all. only time wi ill tell if Mala aysia’s nation nal leadership will progress s further on the road of c corporate so ocial responsibility. or if the e funds reach hed them in a timely man nner. However. Prim me Minister. this s is not a goo od indicator o of the state o of CSR in Ma alaysia.◊ Page 5 . corpor rations intere estingly belie eved that the eir own orga anizations are e involved d in corrupt p practices in M Malaysia and d the region. there is so ome good ne ews in 2008. Onwar to 2009 rd 9 Malaysia an businesse es have a lon ng way to go in their CSR and SRI effo orts. Forty‐four p per cent of th he 93 Malays sian business ses surveyed d also believe ed that there e was use of personal and familiar relationships w when it came to o public contr racting. Un nder the find dings. but how w is the public to know whether or no ot the donati ions were ac ctually paid in n the end? Howeve er. Datuk Seri A Abdullah Ahm mad Badawi has placed e emphasis on CSR and introduc ced reporting g requirements and incentives for bu usinesses to t take CSR ser riously. And h has been dis scussed. With Datuk Seri Abd dullah retiring g next year. Needles ss to say. an n organization may claim to make donations. For example.