Legal Analysis Of Corporate CSR Implementation For Community Welfare

Abstract

Corporate social activities known as CSR, which have been carried out voluntarily, are directed to become mandatory or mandatory in the future. However, there are provisions of the law which are still discriminatory in their application. The purpose of this study is to emphasize that CSR is an obligation for all companies, not only those that are engaged in and related to natural resources. The research method used is through a normative juridical approach with a library approach using secondary legal sources. Based on the research results, there are still articles in Law no. 40 of 2007 which is discriminatory, providing opportunities for companies to avoid CSR obligations. For this reason, in law enforcement efforts, it is necessary to revise Article 74 of Law no. 40 of 2007 and add or affirm articles related to CSR programs as a mandatory requirement for a company. It must allocate the company's budget for CSR activities, so that there is legal certainty and impacts the welfare of the community, especially the surrounding community.