Corporate Social Responsibility and Spatial Inequality in India
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Abstract
The study aims to determine whether there exist spatial inequalities in the Corporate Social Responsibility (CSR) spending among various states in India during the period 2017-2019 by considering section 135 of the Companies Act 2013, which elaborates on CSR provisions in India. The study has utilized secondary data published in the National CSR portal, maintained by the Ministry of Corporate Affairs. Percentage analysis and ranking were done for the 29 States to determine the existence of spatial inequalities in CSR spending. Furthermore, for an in-depth analysis, ten states (N=10) were taken as a sample to understand and analyse the impact of spatial inequalities. The study revealed that there exist spatial inequalities in CSR spending among various States. Moreover, the North-East States received the least amount of CSR in comparison to other states. The study provides insights to the government authorities, companies, and other stakeholders in implementing effective policies related to CSR. The study adds another field to the existing literature on CSR by incorporating the dimensions of spatial inequality and confirming the existence of spatial inequalities in CSR spending in India, which was not explored previously.Finally, the study points out the loophole present in section 135 of the Companies Act 2013, which elevates the spatial inequalities in CSR spending.
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