Status of CSR in Oman

Recent Development in Community Engagement

Dr. Amel Abdallah

CSR as a Tool of Development

protect and develop human and natural resources in society

Role of private sector and

government

Balance between law, ethics and

profits

CSR in Oman & Islamic Culture

Omani legal system is influenced by the rules of Islamic Sharia

Social Responsibility (CR) known in Oman 14

centuries ago.Mandatory nature of social responsibility in

Oman.

Different Resources of CSR in Oman

Resources of CSR in Oman

Traditional sources

Modern Sources

Traditional sources of CSR in Oman

[ Islamic Sharia]

QuranSunnah

Quran

Art 177 of sorit al

Bakarah

“ righteousness is not to turn your face towards east and west in

prayer but righteousness is the one who believes in Allah, the last day , the angels, the book, the prophet and who give his money in spite of

love for it, to kinsfolk, orphans, poor people and wayfarer…..Etc

Sunnah

Gifts for Responsible considered as a bribe

Monopolization is a wrongful act

God bless tolerant man in case of sale or purchase.

all of you are guardians and responsible to his subjects”

Different Hadith of Prophet Mohamed

preventing monopolization and

corruption. Encouraging good behavior of traders

Modern Sources of CSR in Oman

UN Principles of CSR

Omani National Laws

UN principles of CSR /2000

Human Rights

Labour

Environment

Anti-Corruption

Human Rights

Oman national committee of Human rights by royal

decree 124/2008 ,

Omani penal law 1974 and penal procedure

The Omani constitution 1996

corporations should support and respect the protection of internationally declared

human rights and make sure that they are not complicit in

human rights abuses

Labour

(art .80) 0rganized women labour.

(art.75)prevent child labour under 15 years old

(art.11) prevented discrimination between workers,

Omani Labour law issued by royal decree No.35/2003

corporations encouraging the freedom of association,

elimination of forced, compulsory and child labour. corporation

responsible to eliminate discrimination in respect of

employment and occupation.

Environment

Royal decree 115/2001

protecting sources of running water

Royal decree 114/2001 of environment protection & antipollution.

corporations bound by supporting protective approach to

environmental challenges; carry out initiatives to promote greater environmental responsibility; and

developing and diffusing environed mentally friendly

technologies

Corruption

UN principles of CSR stated that corporation should work against corruption in all its forms, including extortion and bribery.

Omani penal law has its regulations against officials’

misconduct .

Bribery (art.154), misuse of public function(art 160)

misappropriation )Art.159),

Oman still need more regulations to implement the principle of anti- corruption)

Regulations of penal law are not enough

Omani regulations of CSR

General regulations could be applied to CSR

No special regulations for

CSR

Neither in Commercial code

nor in company law.

some rules relating to principles of faire

completion and trader’s behavior in Commercial

code.

Role of Private sector in CSRnational and multinational

corporations in private sector such as SHELL,

HSBC, NAWRAS, Al ZUBAIR declared their

initiatives in CSR, in different fields , But is it

enough?!!!

Social Infrastructur

e

HealthEducatio

nEmployment Skills & Local

EnterpriseFishing-rods,

not Fish

Culture & Heritage

Sports and Recreation

Environmental Protection

Role of Government

Encourage, protect and improve

initiatives of private sector

support the mandatory nature of CSR set of

detailed rules (implementing UN

Principles)

organizing the triple relationship between

Corporations, government and society in a legal frame .

(CSR Bill)

Recommendations CSR could be more effective as a tool of development in

Oman with some more mandatory rules as follows :

Mandatory rules make the corporation bound by Annual

initiatives in CSR under supervision of ministry of social

affairs.

Encouraging CSR initiatives by tax

relief .

Modifying penal law considering the nature of

corporation as a moral person in case of violations.

Create an integral legal frame for Anti-

corruption

Entitle the National committee of HR to proceed

in penal action against corporations in case of

violating HR rules.

Establish a national fund of CSR by mandatory financial

contributions from corporation in order to indemnify victims of

violations .

Thanks for your attention