Though corporate social responsibility (CSR) is on the agenda of most major corporations, corporate executives still largely support the view that corporations should maximize the returns to their owners. There are two lines of defence for this position. One is the Friedmanian view that maximizing owner returns is the social responsibility of corporations. The other is a position voiced by many executives, that CSR and profits go together. This article argues that the first position is ethically untenable, while the latter (...) is not supported by empirical evidence. The implication is that there may be good reason for firms to deviate from a maxim of profit maximization. (shrink)

The ethics of corruption cannot be analysed without simultaneously addressing the legitimacy of public office or entrusted power. This paper introduces a concept of core unethical corruption, defined as violations of distributed ethical obligations for private gain. In other words, it is suggested that what is ethically wrong with corruption is that it entails the violation of certain obligations attributed to agents. By explicitly relating corruption to obligations, this approach helps make ethical sense of the concepts of public office or (...) entrusted power, attending to the question of their legitimacy. Since distributed obligations are implied by a wide range of ethical theories, the concept of core unethical corruption also reflects a (partial) overlapping consensus on the ethics of corruption. (shrink)

There is a move towards more use of engagement strategies in responsible investment. This change in strategies is motivated by a number of claims about the effectiveness of engagement versus exclusion of companies from the investment universe. This paper examines the basis for three central claims: That engagement, in contrast to exclusion, does not reduce the investment universe; That exclusion reduces an investor's influence on a company; and That engagement with exclusion is necessarily a more effective means of influencing companies (...) than pure exclusion. All three claims are argued to be open to challenge. It is possible that the move towards more engagement reflects bureaucratic incentives and political considerations among institutional investors, rather than arguments about the effectiveness and efficiency of engagement. (shrink)

While it is commonly accepted that corporations have negative duties to respect human rights, the question of whether rights also imply positive duties for corporations is contentious. The recent reports of the United Nations special representative on business and human rights contend that corporations do not have positive duties, but the arguments this is based on are flawed from an ethical point of view. In particular, the reports fail to consider the implications of interactions between corporations and states. For rights (...) to be secured, corporations may face duties to use their power to pressure governments into performing their assigned duties, and duties not to undermine the role of the government. The interaction of corporations and governments also has implications for choosing effective instruments to advance human rights. International initiatives that do not take this interaction into account will be ineffective or, at worst, counterproductive. (shrink)

While it is commonly accepted that corporations have negative duties to respect human rights, the question of whether rights also imply positive duties for corporations is contentious. The recent reports of the United Nations special representative on business and human rights contend that corporations do not have positive duties, but the arguments this is based on are flawed from an ethical point of view. In particular, the reports fail to consider the implications of interactions between corporations and states. For rights (...) to be secured, corporations may face duties to use their power to pressure governments into performing their assigned duties, and duties not to undermine the role of the government. The interaction of corporations and governments also has implications for choosing effective instruments to advance human rights. International initiatives that do not take this interaction into account will be ineffective or, at worst, counterproductive. (shrink)

Human rights imply duties. The question is, duties for whom? Without a well-defined scheme for assigning duties correlative to human rights, these rights remain illusory. This paper develops core elements of a general scheme of duty assignment and studies the implications for corporations. A key distinction in such an assignment is between unconditional and conditional duties. Unconditional duties apply to every agent regardless of the conduct of others. Conditional duties reflect a division of moral labour where different tasks are assigned (...) to specific agents, whose default activates back-up duties of other agents. Corporations face unconditional duties to not directly violate the rights of others, and not undermine the division of moral labour through practices such as tax evasion or corruption. Being unconditional, these duties cannot be deviated from by reference to the misconduct of competitors. In addition, corporate conditional duties to protect, promote or fulfil rights can be activated if the state and other designated duty-bearers fail to discharge their duties. (shrink)