Companies listed on the Luxembourg Stock Exchange (LuxSE) and incorporated under Luxembourg law will now have to disclose their CSR policy.
‘After a year of intense work, we are proposing a document that encourages listed Luxembourg companies to abide by the revised rules. The most significant change is the new Principle 9, which introduces mandatory disclosure of companies’ CSR commitment,’ explains Pierre Margue, chair of the working group charged with looking into the idea and vice president of legal services, corporate and finance at satellite operator SES, in a statement.
In introducing the new CSR rule, the LuxSE has stressed its commitment to promoting sustainable growth in the global economy. A working group was created to look into the issue, comprising representatives of Luxembourg companies listed on the exchange, indicating the collective effort of all concerned parties to reach the common goal of sustainable development.
‘It was very encouraging to see unanimity on a topic of such importance for the entire planet,’ adds Maurice Bauer, secretary general of the LuxSE, in the statement.
Principle 9 forces companies to define their policy on CSR, specifying measures for policy implementation and how to give them adequate publicity. Companies will have to integrate aspects of CSR into their long-term value creation strategy and describe how the CSR approach contributes to this goal.
They will have to present CSR-related information in a report that assesses the sustainability of the activities and provides clear and transparent non-financial information in support. Boards of directors will have to regularly address and review the non-financial risks of the companies, including social and environmental risks.
