CORPORATE SOCIAL RESPONSIBILITY (CSR) REPORTING BY CONSTRUCTION FIRMS IN MALAYSIA

Abstract

Businesses nowadays are facing the challenge of dealing with society’s expectations who are becoming more aware on the environmental and social risks associated with economic development. Thus, a growing number of business entities are realising the benefits of reporting on their corporate social responsibility activities to the stakeholders and community. There have been a number of academic literatures charting the extent to which companies report on their CSR agenda in some specific sectors but such is not the case for the construction industry. With regards to the Malaysian context, limited studies have been conducted so far on the practice of CSR reporting by construction companies. Hence, through a review of CSR reports by construction companies listed in the Main Board of Bursa Malaysia (BM) and BM’s CSR Framework, this study seeks to analyse the general CSR reporting trend within the Malaysian construction industry, identify gaps between the reports and the framework by BM and determine the extent to which companies are practicing CSR within their organizations. Findings suggest that the extent of CSR reporting can vary significantly across the industry and that companies emphasis more on Community Involvement in their CSR report compared to other areas. Some of the possible drivers behind CSR practice and reporting in the Malaysian construction sector will also be identified.