Breadcrumb
Russia
The role of CSR
In Russia CSR is largely new, but it could become increasingly significant due to the global orientation of the Russian economy. CSR concepts and strategies are in their infancy. The corresponding international framework and structures are little used. A basic understanding of the perception of social responsibility by companies is present especially in large Russian companies, but it still requires development. There are approaches for the perception of social responsibility in Russian companies, even if these should not be regarded in the context of initiatives such as the Global Compact and they do not demonstrate any corresponding structures.
There are large companies that support charitable projects and also communicate these to the public. Here it is primarily institutions that focus on the concerns of children that are supported. Some of these companies have set up corresponding infrastructures and hired personnel. Above and beyond their function as taxpayers, in many regions large companies are important parties in the design of social life in the corresponding local and community structures, especially in areas where these structures are weak. In this context they encourage by making their infrastructures and personnel resources available for social purposes. This type of perception of social responsibility is especially found in companies that are under the influence of the state.
This kind of behavior often results from a self-image that has its roots in Soviet tradition, when social involvement was a matter of course as part of a state corporate culture. However, these CSR activities have no connection to an international framework and structures and are therefore do not have any corresponding conceptual bases. Whether these companies will further develop their previous activities and make them a part of their corporate strategy will depend on whether they become active internationally, whether the future economic situation permits this, and whether in the future there are corresponding expectations of them.
Currently, according to information from the UNDP, 30 partners are registered in the Global Compact. Of these, 20 are companies (9 small and medium-sized companies), 5 are company associations, and 5 are NGOs. Only 4 companies participate with the corresponding reports and information about their CSR actions. There are NGOs on the Global Compact Web site (www.undp.ru). The type and scope of their involvement cannot be assessed.
Overall, the impression is that companies depict their CSR activities publicly in order to attract media attention without actually being able to prove their involvement.
In 2004, a social charter for Russian business was drawn up, which was formulated by the Russian Association of Industrialists and Companies (RSPP) and passed in 2008. It describes voluntary self-commitments whose adherence participating companies can evince by signing the charter. Currently, 106 companies have signed.
A competition “Rating of the social responsibility of business” was held under the umbrella of the government; here, the most socially-responsible companies were awarded prizes. The criterion for determining social responsibility is the frequency of mention of a company or a person in the media in connection with social involvement. In 2006, the first five places were awarded to Putin, the Russian government, the Duma, and ministries of the RF. Gazprom appeared in 6th place, followed by other companies. There should be doubts about whether the frequency with which social involvement is mentioned in the media is a suitable criterion for measuring social responsibility.
Source: German Embassy, Moscow
CSR understanding
Based on economic transformation experiences, the Russian population has many negative images of companies. After the collapse of the Soviet Union, the irresponsible behavior of companies was often exposed. This has created a disillusioning opinion of companies’ responsibility. To be taken into account is also that a civil society that would be comparable to that of Germany does not exist thus far.
Source: German Embassy, Moscow
Expectations towards companies
Politicians expect that companies’ economic activity should take place within the framework of the laws of the country. In this respect German and other foreign companies are generally under stricter observation than domestic companies. Expectations are oriented according to local circumstances.
Source: German Embassy, Moscow
Basic conditions
Industry initiatives
GLOBAL COMPACT NETWORK
Local contact
Farid Garakhanov
farid.garakhanov (at) undp (dot) org
GC Office Country Coordinator
Nessa Whelan
whelan (at) un (dot) org
Asel Abdurahmanova
asel.abdurahmanova (at) undp (dot) org
WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT
Network in place since 1995
Local contact
Vernadsky Foundation
Kirill Stepanov
General Director
Vernadsky Foundation - Russia
off. 601, 23 Obrucheva s
117 630 Moscow, Russia
Tel: 007 095 334 1820
Fax: 007 095 334 1709
E-mail: stepanov (at) vernadsky (dot) ru
Website: www.vernadsky.ru
Areas of activity
Poverty
Basic information
- Life expectancy: Total population: 65.94 years; males: 59.19 years; females: 73.1 years (2008 est.)
- Infant mortality: Total: 10.81 deaths/1,000 births; males: 12.34 deaths/1,000 births; females: 9.18 deaths/1,000 births (2008 est.)
- Malnutrition: 3% (2002/04)
- Access to clean water: 97% (2004)
- Access to sanitary facilities: 87% (2004)
- Gini Index: 41.3 (2007)
- Population below the poverty line: 15.8% (2007)
During the past five years, real wages have increased by 12% per year on average. Income development varies sharply by region. The situation of retirees is especially difficult; their situation can only be improved with the help of costly pension adjustments.
Participants
Possible partners include organizations for development cooperation (GTZ, CIM etc.), chambers of commerce, trade associations, trade unions, ministries (Ministry of Industry, Ministry of Small and Medium-Sized Enterprises) and political foundations (such as the Friedrich Ebert Foundation, the Friedrich Naumann Foundation and the Konrad Adenauer Foundation).
Non-governmental organizations (NGOs): A series of NGOs have developed that are active on various levels in this area. Worthy of mention are the organizations that have arisen with help from Germany: the center for social development and self-help “Perspective,” the Moscow association of the “Merciful Sisters," and the organization “Phoenix.”
Government: President, Prime Minister, Ministry of Health and Social Development and associated federal agencies and services, corresponding structures of the regions and municipalities; state Duma, federal parliaments, Russian Pension Fund, scientific institutions, employers, unions
International organizations: ILO, UNDP, WHO
GTZ International Services in the Russian Federation
http://www.gtz.de/en/weltweit/europa-kaukasus-zentralasien/17042.htm
German-Russian Chamber of Foreign Trade
http://russland.ahk.de (german)
Konrad-Adenauer-Stiftung – Russian foreign office
http://www.kas.de/proj/home/home/49/1/index.html (german)
CIM Russian Federation
http://www.cimonline.de/en/worldwide/361.asp
Education
Basic information
- Public spending on education (share of GDP): 3,8% (2005)
- Mandatory school attendance: 6 – 15 years
- Rate of school enrollment: 91% of children who are required to attend school (2004)
- Literacy (definition: those over the age of 15 who can read and write): Total population: 99.4%; males: 99.7%; females: 99.2% (2002 census)
- HDI Education Index: Ranking 67 out of 177: 0.956 (1 = max., 0 = no education))
- Average years of education: Total population: 14 years; males: 13 years; females: 14 years (2006)
In recent years, Russian research and educational policies have been determined primarily by the national project “education.” One of the primary challenges of state educational policy is to bring educational policy into line with the needs of business. One of the focal points of the modernization of education programs is the integration of business into the educational process. As a result of this and other measures, salaries in the education sector should climb from the current 65% (2007) to 75% (2010) of the average salary paid in business so that the educational system can be designed by well-qualified and involved teachers.
Participants
Possible partners include organizations for development cooperation (GTZ, CIM etc.), chambers of commerce, trade associations, trade unions, ministries (Ministry of Industry, Ministry of Small and Medium-Sized Enterprises) and political foundations (such as the Friedrich Ebert Foundation, the Friedrich Naumann Foundation and the Konrad Adenauer Foundation).
Non-governmental organizations (NGOs): A series of NGOs have developed that are active on various levels in this area. Worthy of mention are the organizations that have arisen with help from Germany: the center for social development and self-help “Perspective,” the Moscow association of the “Merciful Sisters," and the organization “Phoenix.”
Government: President, Prime Minister, Ministry of Health and Social Development and associated federal agencies and services, corresponding structures of the regions and municipalities; state Duma, federal parliaments, Russian Pension Fund, scientific institutions, employers, unions
International organizations: ILO, UNDP, WHO, UNESCO
“Dinastija” programs and other such foundations
“Otkrjitoje Obrazowanije“ (“Public education“) foundation
GTZ International Services in the Russian Federation
http://www.gtz.de/en/praxis/17042.htm
German-Russian Chamber of Foreign Trade
http://russland.ahk.de/ (german)
Konrad-Adenauer-Stiftung – Russian foreign office
http://www.kas.de/proj/home/home/49/1/index.html (german)
CIM Russian Federation
http://www.cimonline.de/en/worldwide/361.asp
“Vladimir Potanin Foundation“ welfare fund
http://eng.fund.potanin.ru
Russian Entrepreneurial Association (AG vocational training)
http://www.rspp.ru/Default.aspx.aspx?CatalogId=2879
InWent Russland
http://gc21.inwent.org/ibt/en/modules/gc21/ws-mtp-alumniportal/ibt/xhtml/rus_prog_ueberblick.sxhtml
ZfA – Central Office for Foreign Education
http://www.auslandsschulwesen.de (german)
Goethe-Institut
http://www.goethe.de/ins/ru/lp/deindex.htm (german)
German Academic Exchange Service (DAAD)
http://www.daad.de/en/index.html
Russia’s economic development will depend in the coming years largely on the sufficient availability of trained employees and managers. Already now, there is a dearth of trained employees in the economically-striving regions.
The Russian government has recognized the need for reform in the area of vocational training and integrated it into the “national project” education.
Company examples
Daimler AG
Creation of a professional image and introduction of a corresponding course of training.
CSR WeltWeit case study (German): Automotive Academy Network
Source: German Embassy, Moscow
Health
Basic information
- Public spending on health (share of GDP): 3.7% (2004)
- Medical care: 425 physicians per 100,000 residents (2000 - 2004)
- Infant mortality: Total: 10.81 deaths/1,000 births; males: 12.34 deaths/1,000 births; females: 9.18 deaths/1,000 births (2008 est.)
- Maternal mortality: 32 deaths/100,000 births (1990-2004)
- Child malnutrition: 3% of children under the age of 5 (1996 - 2005)
- HIV/AIDS prevalence rate (>15 years of age): 1.1 % (2001 est.)
- HIV/AIDS sufferers: 860,000 (2001 est.)
- HIV/AIDS deaths: 9,000 (2001 est.)
- Life expectancy: Total population: 65.94 years; males: 59.19 years; females: 73.1 years (2008 est.)
In theory, medical treatment is free of charge; however in practice, patients must regularly make additional payments in order to receive appropriate and timely treatment. Even if the income of medical personnel has increased in recent years, it is still comparatively low.
According to information provided by the federal statistical bureau Rosstat, the average monthly income of medical personnel last year was approximately 10,000 Rubles (approximately 300 EUR) with sharp regional deviations.
Additional structural weaknesses are health care that relies too much on clinical treatment with a simultaneous lack of general practitioners; the widespread lack of preventative health concepts; efficiency losses due to various competencies in health care on the federal, regional, and community level; as well as structural underfinancing of the health system due to contributions from health insurance that are too low. A big challenge is the demographic development, which could be influenced positively through preventatively-oriented health concepts with strategies for encouraging healthy lifestyles, especially with respect to the consumption of alcohol and tobacco.
Participants
Possible partners include organizations for development cooperation (GTZ, CIM etc.), chambers of commerce, trade associations, trade unions, ministries (Ministry of Industry, Ministry of Small and Medium-Sized Enterprises) and political foundations (such as the Friedrich Ebert Foundation, the Friedrich Naumann Foundation and the Konrad Adenauer Foundation).
Non-governmental organizations (NGOs): A series of NGOs have developed that are active on various levels in this area. Worthy of mention are the organizations that have arisen with help from Germany: the center for social development and self-help “Perspective,” the Moscow association of the “Merciful Sisters," and the organization “Phoenix.”
Government: President, Prime Minister, Ministry of Health and Social Development and associated federal agencies and services, corresponding structures of the regions and municipalities; state Duma, federal parliaments, Russian Pension Fund, scientific institutions, employers, unions
International organizations: ILO, UNDP, WHO, UNESCO
GTZ International Services in the Russian Federation
http://www.gtz.de/en/praxis/17042.htm
German-Russian Chamber of Foreign Trade
http://russland.ahk.de/ (german)
Konrad-Adenauer-Stiftung – Russian foreign office
http://www.kas.de/proj/home/home/49/1/index.html (german)
CIM Russian Federation
http://www.cimonline.de/en/worldwide/361.asp
Source: German Embassy, Moscow
Political involvement
Basic information
- Suffrage: 18 years; universal
- Freedom of the press: 144th of 169 (2007)
The free competition of political alternatives and the active participation of civil society in political processes are indispensable for the design of a stable democracy, yet thus far only slightly developed in Russia. President Medvedev has therefore called repeatedly for more individual initiative and individual responsibility on the part of citizens. However, his call has encountered widespread apolitical attitudes, disinterest, and political querulousness among the population. Some institutional legal opportunities for participation exist –at least theoretically – however in practice, these play a subordinate role.
Participants
Possible partners include organizations for development cooperation (GTZ, CIM etc.), chambers of commerce, trade associations, trade unions, ministries (Ministry of Industry, Ministry of Small and Medium-Sized Enterprises) and political foundations (such as the Friedrich Ebert Foundation, the Friedrich Naumann Foundation and the Konrad Adenauer Foundation).
Unions, citizens’ initiatives, e.g. against particular construction projects;
self-help groups, e.g. for motorists; NGOs that focus on citizens’ rights and social development, e.g. the institute "collective action," Memorial, Golos; associations of the community self-administration organs; journalists‘ associations; political foundations, e.g. the Gorbatschov Foundation; the social chamber as a state-created institute for incorporating the impulses of civil society into the lawmaking process.
Government: President, Prime Minister, Ministry of Health and Social Development and associated federal agencies and services, corresponding structures of the regions and municipalities; state Duma, federal parliaments, Russian Pension Fund, scientific institutions, employers, unions
International organizations: ILO, UNDP, WHO, UNESCO
GTZ International Services in the Russian Federation
http://www.gtz.de/en/praxis/17042.htm
German-Russian Chamber of Foreign Trade
http://russland.ahk.de/ (german)
Konrad-Adenauer-Stiftung – Russian foreign office
http://www.kas.de/proj/home/home/49/1/index.html (german)
CIM Russian Federation
http://www.cimonline.de/en/worldwide/361.asp
Political parties hardly incorporate their constituents into opinion-forming processes and also play a subordinate role in political decision-making. The extra-parliamentary opposition is present, but weak. Civil social organizations represent their interests in various areas with involvement, but thus far, with only limited success.
Company examples
Companies are sooner reluctant to become involved in CSR projects for political participation; however they finance the “Petersburger Dialog” as a civil social forum.
Daimler AG
CSR WeltWeit case study (German): Automotive Academy Network
Source: German Embassy, Moscow
Participation in society
Basic information
Share of women in the labor force: 65% (1994-2005)
Ethnic groups: Russian 79.8%, Tatar 3.8%, Ukrainian 2%, Bashkir 1.2%, Chuvash 1.1%, other 12.1% (2002 census)
Participants
Possible partners include organizations for development cooperation (GTZ, CIM etc.), chambers of commerce, trade associations, trade unions, ministries (Ministry of Industry, Ministry of Small and Medium-Sized Enterprises) and political foundations (such as the Friedrich Ebert Foundation, the Friedrich Naumann Foundation and the Konrad Adenauer Foundation).
Non-governmental organizations (NGOs): A series of NGOs have developed that are active on various levels in this area. Worthy of mention are the organizations that have arisen with help from Germany: the center for social development and self-help “Perspective,” the Moscow association of the “Merciful Sisters," and the organization “Phoenix.”
Government: President, Prime Minister, Ministry of Health and Social Development and associated federal agencies and services, corresponding structures of the regions and municipalities; state Duma, federal parliaments, Russian Pension Fund, scientific institutions, employers, unions
International organizations: ILO, UNDP, WHO, UNESCO
GTZ International Services in the Russian Federation
http://www.gtz.de/en/praxis/17042.htm
German-Russian Chamber of Foreign Trade
http://russland.ahk.de/ (german)
Konrad-Adenauer-Stiftung – Russian foreign office
http://www.kas.de/proj/home/home/49/1/index.html (german)
CIM Russian Federation
http://www.cimonline.de/en/worldwide/361.asp
Company examples
Financial support of an institution for taking care of street children, financial support of an institution for taking care of hearing-impaired children.
Source: German Embassy, Moscow
Environment
Basic information
- CO2 emissions: 5.3% of total world output (2004)
- CO2 per capita: 10.6 t (2004)
- Energy consumption: 985.2 million kWh (2005)
Water consumption (households/industry/agriculture): Total: 76.67 km3/year (19%/63%/18%); per capita: 535 m3/year (2000)
Officially, protection of the environment and nature are a high priority of the Russian Federation. Article 42 of the RUS constitution specifies that every RUS citizen has a right to a clean environment as well as trustworthy information about its condition. There have been corresponding environmental laws only since 1992. A no-compromises implementation of the existing regulations and provisions remains a great challenge, especially in a comparable focus for the various regions. In the conflict between the protection of nature and business interests, the former still remains the frequent loser.
Participants
Possible partners include organizations for development cooperation (GTZ, CIM etc.), chambers of commerce, trade associations, trade unions, ministries (Ministry of Industry, Ministry of Small and Medium-Sized Enterprises) and political foundations (such as the Friedrich Ebert Foundation, the Friedrich Naumann Foundation and the Konrad Adenauer Foundation).
Non-governmental organizations (NGOs) and foundations:
In RUS there are a multitude of NGOs and scientific foundations that are active in the environmental sector: e.g. All-Russian Association for the Protection of Nature, “Nature preserves,” Russian regional ecological center, Russian network of rivers, socio-ecological union.
Government: President, Prime Minister, “Ministry for Natural Resources and the Environment (MPRE)" with the subordinate authorities “Federal Service for Hydrometeorology and Environmental Monitoring (ROSGIDROMET),” “Federal Service for Ecological, Technological, and Nuclear Supervision (ROSTECHNADSOR)”, Federal Agency for Water Resources (ROSWODRESURGY), Federal Agency for Natural Resources (ROSNEDRA), Federal Agency for Forests (ROSLECKHOS), Federal Control of Nature Usage (ROSPRINADSOR)
International organizations: ILO, UNDP, WHO, WWF, Greenpeace, IUCN, UNESCO world natural heritage
GTZ International Services in the Russian Federation
http://www.gtz.de/en/praxis/17042.htm
German-Russian Chamber of Foreign Trade
http://russland.ahk.de (german)
Konrad-Adenauer-Stiftung – Russian foreign office
http://www.kas.de/proj/home/home/49/1/index.html (german)
CIM Russian Federation
http://www.cimonline.de/en/worldwide/361.asp
DENA - Deutsche Energie-Agentur
http://www.dena.de/en/topics/international/schwerpunkte/focal-point-russia
With the ascendancy of President Medvedev, the environment has become a real priority in Russia. The focus is on resource efficiency, communal water and waste water management, building renovation and construction, system security.
Source: German Embassy, Moscow
Data & facts
Further links
- Auswärtiges Amt- countryinformation Russian Federation
- Bertelsmann Transformation Index - Russia
- Corruption Perceptions Index 2008 (CPI)
- German Embassy Moskow (russian)
- German- Russian Chamber of Industry and Commerce (russian)
- GTZ Russian Federation
- Human Development Index - Russia
- KfW countryinformation Russia
- Russia - Anti-Corruption-Information
- Russian Union of Industrialists and Entrepreneurs (RSPP)
- UN Global Compact Russia
- UNDP Russia
- Vernadsky Foundation