What is the significance of corporate social responsibility (CSR) in HRM?

The significance of corporate social responsibility (CSR) in HRM lies in its reflection of a company's commitment to ethical practices and its impact on society. This principle underscores that organizations not only have a responsibility towards their shareholders but also towards their employees, the community, and the environment.

When HRM integrates CSR, it enhances the organization's reputation and fosters a positive workplace culture. This, in turn, can lead to improved employee morale, increased retention rates, and higher levels of engagement, as employees often feel more motivated to work for a company that prioritizes ethical behavior and social responsibility.

Moreover, CSR initiatives can contribute to attracting talent, as many job seekers today prioritize working for socially responsible organizations. Thus, the incorporation of CSR into HRM is vital for building a sustainable and ethical business strategy that aligns with the values of modern employees and consumers.