Responsible Business

How business is done has significant impacts on people’s lives, society, the environment and economies. Being a Responsible Business means taking steps to prevent and reduce negative impacts on these areas and promote the positive outcomes.

The public, consumers, shareholders and governments also have increasing expectations of businesses to operate in a responsible manner.

To that end business owners need to be aware that there are both mandatory and voluntary initiatives, which guide and regulate different aspects of responsible business.

There is a range of Responsible Business obligations in development or underway that business must take heed of:

Corporate Sustainability Reporting Regulations

The Corporate Sustainability Reporting Regulations set mandatory standards for how large businesses and listed companies report on the environmental, social and human rights impacts of their activities.

EU Corporate Sustainability Due Diligence Directive

The EU Corporate Sustainability Due Diligence Directive creates legally binding obligations on companies to address the adverse environmental and human rights impacts arising from their own operations, their subsidiaries' operations and their chain of activities.

EU Ecodesign for Sustainable Product Regulation

The EU Ecodesign for Sustainable Product Regulation introduces new product regulations to reduce the negative life cycle environmental impacts of products, increase re-use, repairability, and product circularity, while improving the functioning of the internal market.

EU proposal on prohibiting products made with forced labour on the Union market

The EU proposal on prohibiting products made with forced labour, when enacted aims to keep the EU market free from products made, extracted or harvested with forced labour, whether they are made in the EU or elsewhere in the world.

OECD Guidelines for Multinational Enterprises

OECD Guidelines for Multinational Enterprises on Responsible Business Conduct are guidelines which multinational enterprises are expected to maintain, and which OECD member countries have committed to uphold. In Ireland, we uphold the Guidelines through the OECD National Contact Point.

Trade and sustainable development

Trade is increasingly intertwined with the agenda of responsible and sustainable development. Information on the European Union’s trade and sustainable development policy is available at Trade - sustainable development.

Climate Toolkit 4 Business

Tackling our carbon emissions is good for our planet, our economy and your business. The Climate Toolkit 4 Business provides your business with practical ways to start taking action.

Role of government in promoting Responsible Business Conduct

In recent years, there has been a growing recognition that governments play a key role in supporting the effective implementation of RBC standards by providing an enabling policy environment, creating incentives, and exemplifying RBC in their own activities.

To address this need, the OECD Council adopted the Recommendation on the Role of Government in Promoting Responsible Business Conduct and the OECD Declaration on Promoting and Enabling Responsible Business Conduct in the Global Economy as guidelines for governments on how to promote responsible business conduct by companies in their territory and abroad.

Other national and international initiatives

Other important national and international initiatives relating to Responsible Business include:

Climate action and energy supports for business

United Nations Guiding Principles on Business and Human Rights

International Labour Organisation Declaration on Fundamental Principles and Rights at Work

United Nations Sustainable Development Goals

Established in 2023, the Responsible Business Forum acts as a consultative body to inform government policies and programmes to mitigate the effects of challenges for the enterprise sector, with a specific focus on the range of topics and themes of Responsible Business under the Department of Enterprise, Trade and Employment's policy remit.

The forum provides an opportunity for the department to share information but also aims to capture the views, concerns, and suggestions of the enterprise sector.

For details of the forum, including the terms of reference, membership, agendas and notes of meetings, see Responsible Business Forum publications.

The secretariat may be contacted at oecdncp@enterprise.gov.ie

Webinar – Responsible Business Initiatives: Environment

6 November 2024

On 6 November 2024, the Department of Enterprise, Trade and Employment hosted a free online event, focused on responsible business and the environment.

In today’s world, the expectation from society, stakeholders, governments, and so on, has increased for businesses to demonstrate they operate responsibly. This means business success is not just measured by profits but also by their contributions to society and the planet. Environmental sustainability is no longer a nice to do, it is now considered a need to do today.

This is being reflected in mandatory environmental measures and initiatives creating obligations for businesses of all sizes. Measures and initiatives range from reducing waste and minimising emissions to designing sustainable products and services. Businesses now have a responsibility to operate in ways that protect and restore the environment.

Businesses should see sustainability not as a constraint but as an opportunity to innovate, gain competitive advantage and meet the demands of increasingly environmentally conscious consumers.

For questions or more information, contact oecdncp@enterprise.gov.ie