Dt: 25/10/18
Huge Profits - Corporate Social and Spiritual Responsibility
Dr T.H.Chowdary*
For the wellbeing and increasing prosperity and happiness of a nation, primary requisites are universal good quality education and health care. Unfortunately, these are the two requirements which had come to be ignored, if not positively neglected. While countries like Myanmar and Sri Lanka and Malaysia which became independent later than India, have achieved higher levels of literacy and education, in India despite seven decades of independence and socialism and slogans of social justice, just 70% only are literate. Admission to a private hospital is becoming passage to bankruptcy. And all this is happening while some of our companies are making super profits. What do they do with those profits ? Government has made the law obligating Corporations to spend upto 2% of their profits to discharge their social responsibility to our people. Let us look at the profits of a few companies for the second quarter of the year 2018-19.
Super Profits of Some Companies
Sl.No |
Name of the Company |
Qrtr-II Profit ( Rs. Cr) |
Qrtr-II Revenue ( Rs .Cr) |
App: Profit for the Year |
1 |
Reliance Industries |
9,516 |
1,56,291 |
38,000 |
2 |
TCS |
7,834 |
36,854 |
30,000 |
3 |
HDFC |
5005 |
28,215 |
20,000 |
4 |
Infosys |
4,110 |
20,609 |
16,000 |
5 |
HCL |
2,534 |
14,860 |
10,000 |
6 |
Wipro |
1,885 |
14,541 |
7,000 |
6 |
Rel Jio |
681 |
|
2,500 |
7 |
Cyient |
127 |
1,187 |
500 |
By any stretch of analysis these are super profits.
2. It is good that they make profits because profit is the only right index of good performance of a corporation. The question is, “what do they do with the profits? It is good that they give handsome dividends and the shareholders will be happy because of the appreciation of the share price. Beyond this good towards the shareholders and efficient performance, there remains the moral question of what to do with the humongous profits.
What does it avail if a man is economically well off but morally, ethically and spiritually ill. What does it profit a man to gain the whole world, yet forfeit his soul ? (Bible: Mark 8:36). Man does not live by bread alone (Bible: Luke 4:4). Na vittena tharpaneeyo manushyaha (Man is not satisfied by wealth alone) ( Kathopanishat) .
3. Besides the 2% spend for CSR which is too little for the companies which are making super profits, there should be an obligation that they invest their money through appropriate vehicles for promotion of quality education and health care. It is unfortunate in fact, morally depraved that 42% of the school -going age children are not in government schools but in private & corporate schools which are charging immense amounts. It is much more unfortunate that even maid servants and daily waged majdoors (workers) are at immense sacrifice to themselves, sending their children to the costly private schools even while in government schools there are no fees, books and uniforms are given free and mid-day meals are served.
4. The illiterate and hardly -literate labouring parents are having to engage tutors at extra expense for their children to help them to do homework and also to teach them what they did not understand in the schools through the English medium of instruction. It is tragic that politicians, especially of the regional parties and caste and class conflict -promoting leftists, dalit activists and anti-Hindus are advocating and becoming successful to impose English medium in government schools also . The fountains of morality and ethics and righteousness that our classical literature in mother tongue are (that is, Mahabharta and Ramayana) denied to the children, as a matter of policy in private schools and now as a matter of expediency, in government schools.
5. Long ago, in the 1930s Mahatma Gandhi wrote that upto secondary stage education must be only in government schools and all higher education should be promoted and rendered by private sector. Here are his words: Writing in the Harijan of 2nd Oct 1937 Mahatma Gandhi observed, “ higher education should be left to private enterprise for meeting national requirements whether in the various industrial, technical , arts or fine arts. The State universities should be purely examining bodies, self-supporting through the fees charged for examinations. … no private school should be run without the previous sanction of the respective universities. University charter should be given liberally to anybody of persons of proved worth and integrity, it being always understood that universities will not cost the state anything except that it will bear the cost of its central education department . ….. The Tatas would be expected to run a college for training engineers under the supervision of the State, the Textile Mills Associations would run among them a college for training graduates whom they need . Similarly for the other industries …”
6. I am arguing that the super -profit making companies have not merely a social responsibility but a spiritual responsibility, a duty to their mother -land and to the Bharatiya dharma to utilise their profits to establish good schools and hospitals. May be, they can create Foundations and through them, impart the education of high standard, secular and spiritual as well as health care . In the armed forces, there is Army Education Corps . They take care of the soldiers’ education so that after their discharge, they can be gainfully employed. If the Armed Forces can have such laudable social responsibility, why cannot our profit -making companies ?
7. Besides the promotion of education & health care, the super profits should also be utilized for the defence, propagation and promotion of dharma for the preservation of Bharatiya samskruti, to build up the moral and spiritual fibre of our people. The world’s largest companies including those in the I.T sector like Microsoft making super profits contribute huge amounts to church organisations, even for their evangelical enterprises. They call such contributions, their spiritual obligation. In India too, we should have such a spiritual obligation embraced by profitable enterprises to promote dharmic foundations and institutions at the core of which are Hindus temples. It is worthwhile remembering that India’s freedom movement - especially Gandhiji and the Congress were financially supported by the Birlas and the Bajajs and such other companies .
8. It behoves organisations like the Viswa Hindu Parishad, Ramakrishna Mission, Chinmaya Mission and of course, the RSS to deliberate upon the need of instilling corporate spiritual responsibility (CSR) in companies and other commercial organisations in our country so that the famed Bharatiya dharma is protected and promoted and is instilled in every child born in this country. Finally, we must recall the great aphorism, sookti: Maanava Seva is Madhava Seva ( Service to man is service to God) . (1028 words)
END