Corporate Social Responsibility Policy
HUL is committed to operate and grow its business in a socially responsible way. Our vision is to grow our business whilst reducing the environmental impact of our operations and increasing our positive social impact.
This policy outlines our Corporate Social Responsibility agenda. Our aim is to achieve responsible growth and we will inspire to bring this to life by encouraging people to take small everyday actions that will add up to make a big difference. We have embraced Unilever Sustainable Living Plan (USLP) which contributes to activities listed in the Schedule VII of Section 135 of the Companies Act, 2013. The USLP has three global goals namely help more than a billion people take action to improve their health and wellbeing, reduce the environmental footprint of our products and enhance the livelihoods of people as we grow our business. Additionally, considering India as a water scarce region and the water availability is expected to go down further, HUL has identified water as a key area of intervention. We will focus in this area by creating capacities in conserving water through significant investments in partnership with relevant stakeholders with the objective of water conservation.
Corporate Social Responsibility (CSR) Principles:
HUL’s CSR Policy is supported by the following principles:
- We are committed to conducting our operations with integrity and respect, in the interest of our stakeholders, and in line with our Code of Business Principles.
- We believe growth and environmental sustainability need not be conflicting. Our business model is designed to deliver sustainable growth. The inputs to the model are our brands, our people and our operations. The outputs to the model are sustained growth, lower environmental impact and positive social impact. The differentiator in our business model is our USLP and the goal of sustainable living.
- We collaborate and engage with different stakeholders including Governments, NGOs, IGOs, Suppliers, Farmers, and Distributors to tackle the challenges faced by the society.
In accordance with Section 135(5) of the Companies Act, 2013 (the Act), HUL is committed to spend at least 2% of its average net profits made during the three immediately preceding financial years in some of the identified activities that are listed in Schedule VII (as amended) to the Act. This will include the spends through activities undertaken by Hindustan Unilever Foundation (HUF), our not for profit subsidiary Company, aimed at building capacities to conserve water and to further community development initiatives.
We follow structured governance procedures to monitor CSR activities. Our CSR Policy is governed by the Board of Directors of the Company. The Board has constituted a CSR Committee comprising of an Independent Chair and a majority of Independent Directors to monitor the Policy and the programmes from time to time.
The activities described in Annexure A appended hereto are covered under Schedule VII (as amended) of the Act that lists down permitted activities that constitute such activities. These activities undertaken by the Company are not expected to lead to any additional surplus beyond what would accrue to the Company in the course of normal operations.
The Policy issued pursuant to the Corporate Social Responsibility Policy Rules, 2013 has been recommended by the CSR Committee of the Board and adopted by the Board of Directors. It can be downloaded from our corporate website – www.hul.co.in
Our current CSR activities with their execution modalities and implementation schedules is appended below as Annexure A. The Company may take up other CSR activities as may be appropriate.