Prime Minister Narendra Modi has been laying a lot of stress on developing the skills sets of the youth and even India Inc. has been putting in great efforts to achieve that goal.
The top 250 listed companies spent Rs. 2,073 Crore on 1,200 projects in skills sector as part of their corporate social responsibility (CSR) expenditure, according to the India CSR Outlook Report (ICOR) by NGOBox. This is about one-third of Rs. 7,140 Crore they are required under the new Companies Act 2013 towards CSR.
- Their total CSR expenditure was Rs. 6,570 Crore, about 92% of the mandated amount for last year, up from 79% in the previous fiscal.
- Last year, Maharashtra, where most companies are headquartered, gets the largest CSR spend, or over 15% of total spending of 250 corporates, followed by West Bengal (8.7%) and Andhra Pradesh (6.3%).
- The new Companies Act 2013, implemented in 2014, made it mandatory for companies with a net worth of Rs. 500 Crore or more, or with the annual turnover of Rs. 1,000 Crore or more to spend at least 2% of its average net profit for the preceding three financial years on CSR activities.
- “About one-third of the companies have spent more than the mandated CSR fund suggesting that the companies who were doing social good and spending substantial fund on CSR before the mandatory CSR regime still continues the doing same with pushing the boundaries further for the good of communities,” states the report.