Principles Of Corporate Social Responsibility in A Moral and Legal Perspective: the Effect of Equity

Abstract

This article discusses about the principles of Corporate Social Responsibility (CSR) from a moral and legal perspective. The principles of CSR are stated in Article 74 paragraph (2) of Law Number 40 of 2009 concerning Limited Liability Companies, CSR must be implemented by companies in Indonesia with the aim of building harmonious, balanced and appropriate relationships with the environment, values, norms and culture of the local community (wisdom and wisdom). local). The discussion in this article is to analyze the nature of the implementation of the CSR concept in Indonesia and why CSR is a moral and legal obligation for companies in Indonesia. The approach method used is normative juridical. Normative juridical research is research on positive legal principles and legal principles which is carried out by evaluating relevant legal rules (laws and regulations) covering all norms, values ​​and principles related to the nature of the implementation of the CSR concept in Indonesia. The results of the analysis are the essence of the realization of CSR in development by the company based on the changing needs and expectations of society, limited natural resources, better social environment, balance of responsibility and power, business has useful resources, long term benefits . CSR obligations are based on statutory orders that aim to provide justice and prosperity for the community. Social responsibility is in the moral realm, so its position is not the same as the law. Moral in social responsibility is more directed at outward actions that are based entirely on an inner attitude, this attitude is known as "morality" namely attitudes and good deeds that are truly selfless. Meanwhile, legal responsibility emphasizes the conformity of the outward attitude with the rules, even though the action is objectively not wrong, perhaps good and in accordance with the moral, legal, and cultural values ​​of the community. However, suitability alone cannot be used as a basis for drawing conclusions because they do not know the underlying motivation or intent.

Keywords: CSR Principles, Morals, Law

DOI: 10.7176/JLPG/121-09

Publication date:June 30th 2022