By Aleigha General
One of the first things a person is taught in business class is the acronym, C.S.R. It stands for Corporate Social Responsibility, which is the idea that businesses have a duty to ensure they are held socially accountable to their employees, stakeholders and customers.
In the decades following the Industrial Revolution, this idea picked up steam and it soon became mainstream for companies to make donations to various charitable organisations whilst also implementing safer practices in their day-to-day operations.
The focus behind CSR is that a workplace or a corporation is not simply a money-making machine that can exploit its workers, destroy the land and ignore the communities they operate in, instead they are entities which have a responsibility to take care of the communities which house their offices and often-times contribute significantly to their revenue earned.
In today’s context, this can look like a variety of things. For example, facilitating a company-wide beach clean-up, bringing in professional therapists for employees following a traumatic event and most commonly, donating to charitable organisations. However, it could be argued that more consistent and climate-focused support is needed in Cayman, rather than employee retreats or in-house activities.
An example of climate-focused CSR in the Cayman Islands is Royal Bank of Canda’s recent donation to the National Trust of the Cayman Islands.
In early October, the bank was recognised by the National Trust for donating $15,000 to the Trust’s endeavours and future potential activities.
In a comment via the National Trust’s social media page, RBC Area Vice President Ericka Rolle said “creating a positive social impact is integral to how we do business at RBC”.
This raises the question of how other corporations are contributing to positive social impact, particularly within the environmental sphere.
What are the standards for corporations to exist in the Cayman Islands and are there any stipulations regarding if they have to give back to the communities they reside in?
Currently, the majority of the corporations in the Cayman Islands have a Corporate Social Responsibility plan and this plan is often divided into various sectors such as community development, sponsorship and environmentalism. The grey area with these plans however, is that they are often self-regulated, meaning that the intentions and objectives are decided by those within the company.
The areas which receive the most funding and attention, along with how that attention will be given, is all at the discretion of said company. This is not necessarily a bad thing, but it does leave room for performative philantrophy, where companies will facilitate large fundraisers or events in the name of Corporate Social Responsibility whilst still engaging in business endeavours that actively harm or disenfranchise the local community.
Cayman does not have a mandatory requirement for CSR within corporations wanting to put down roots on any of the three islands. This can be a cause for concern, particularly as a nation which prioritises tourism, the foreign direct investment which comes with it and the boom of development which is often the result.
As all three sister-islands begin to grapple with the erosion of the coastlines due to unsafe building practices, putting strict regulations on exactly how corporations protect the environment in which they take up space may be more necessary in the future than lawmakers realise. Protecting the coastlines and the wetlands whilst still fostering foreign direct investment is going to be a key part of maintaining Cayman’s stability and prosperity.
If the corporations which operate in Cayman are not held to specific standards regarding their behaviour and environmental practices, the communities are likely to pay the price.
- This story was published with the support of the Caribbean Climate Justice Journalism Fellowship, which is a joint venture of Climate Tracker and Open Society Foundations.
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