WHAT TO EXPECT FROM CSR OF ONE OF THE WORLD LEADERS IN INNOVATION: APPLE

Despite Apple has received widespread criticism for contractors’ labor issues and for its environmental and business practices, Apple does not publish a separate CSR report. On top of that, its website is the main media to inform about their environmental and social practices to embrace responsibility for the company’s actions.

The Global Reporting Initiative (GRI) Sustainability Reporting Guidelines G3/C were considered during the preparation of the information contained on their site. However, the GRI indices related to information disclosure briefly covers Governance, Product Environmental Reports, Recycling, Facilities environmental reports and Supplier Responsibility. Hence, it shows incomplete conformance with GRI indicators.

Apart from the CSR information contained in their online site, Apple published two relevant documents: Business Conduct, which is the equivalent to an ethical code, and Supplier Code of Conduct to address working conditions in Apple’s supply chain. Furthermore, we can obtain from their website the Apple’s Supplier Responsibility Progress Report, which details their efforts to improve worker protections and factory conditions including results from 2011 audits too.

In relation to the first one, the clear intention of the code is to protect the company and does not show commitment to its employees nor the community. New concerns in codes of business ethics cover customer-data protection, work-home balance or product responsibility, among others. But Apple´s Business Conduct treats the traditional key issues such as bribery and corruption, conflict of interest, etc.

This code does not go beyond righteousness or wrongness of human behaviour but shows more concern in protecting its intellectual property in order to secure its position in the market share rather than covering labor conditions.

One can state that Apple´s Business Conduct focusses more on employee ethics and governance rather than corporate ethics.  Its principles are intended for assuring full compliance with all laws and regulations in which Apple employees must operate under.

Regarding Apple´s Supplier Code of conduct, the code includes standards in the areas of Labor and Human Rights, Health and
Safety, Environmental Impact, and Ethics and Management Commitment.This one is based on the standard established by the Electronics Industry Citizenship Coalition (EICC) and was developed using internationally recognized standards from the International Labor Organization (ILO) and United Nations, among others. For the enforcement of this code, Apple executes onsite audits in suppliers.

In its efforts to address labor and human rights Apple is a member of the FLA, what means that Apple has opened their supply chain to an FLA auditing team that  measures their performance according the FLA’s Workplace Code of Conduct. In March the FLA announced it had found some violations at Foxconn plants, after auditing its facilities. Foxconn responded by reducing employee working times and addressing various code violations.

Despite the abovementioned actions, Apple shows little transparency and disclosure through its website. This one provides particular cases in which they tackled issues such as migrant labor, underage labor, excessive work hours, discriminatory policies and conflict-free materials. But it is needed further description and information, not only about corrective actions undertaken for each case, but preventive actions, these ones should respond to the identification of potential sources of non-conformity and must prevent irresponsible actions.

In relation to the environment, in November 2011 Apple featured in Greenpeace´s Guide to Greener Electronics that ranks electronics manufacturers on sustainability, climate and energy and how green their products are. The company ranked 4th out of 15 electronics companies (moving up five places compared to the previous year).

As mentioned before, Apples CSR activities seem to be more corrective and reactive in response to external pressures and scandals. Furthermore, it shows a clear lack of information disclosure, partly due to the absence of an audited CSR report which provides detailed information to a wide range of stakeholders. Apart from disclosing information, we are still missing actions from Apple with a social purpose such as supporting the development of technology that contributes to social change. Today being the world’s most valuable company also means being one which we have very high expectations of. But for being a reference in sustainability, Apple has a long way to go.

 


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