New centre promotes social cohesion and responsible companies

"The Copenhagen Centre" is a new initiative from Denmark's Ministry of Social Affairs, launched in 1998. The new Centre has the task of promoting social cohesion and responsibility in Danish and foreign-owned companies.

As a follow-up to the international conference on the social commitment of enterprises, New partnership for social cohesion, held in Copenhagen on 16-18 October 1997 (DK9710135N), the Ministry of Social Affairs has taken the initiative in 1998 to establish a new centre which will act as a catalyst for the various partnership models through the dissemination of knowledge, know-how, guidelines, social indicators and so on. The "Copenhagen Centre" has been granted DKK 7 million per year for a period of five years. Its board consists of social partner organisations and leading figures from both Danish and international companies.

Acknowledging that changes do not take place overnight, the Minister of Social Affairs, Karen Jespersen, trusts that the new centre will make a difference by emphasising the concept of social responsibility, thus preventing it from sinking into oblivion.

The Danish debate on socially responsible companies dates back to 1993, at a time when increasing unemployment and social exclusion was increasing the burden on the economy. It became more apparent that the government and the public authorities could not solve the increasing problem of marginalisation by acting alone. What were needed were new types of cooperation between companies, social partner organisations and public authorities.

The thinking behind this approach is that companies can assume greater social responsibility by: formulating their personnel and employment policy and organising work so that they create a larger labour market; taking an active part in social development in their local community; and participating in an open debate with public authorities on the development of initiatives in social policy. In return for this social commitment, companies may achieve direct and specific advantages, such as:

• more flexible, innovative, and productive employees;

• an improved ability to attract highly competent new employees;

• a reduction in absenteeism and staff turnover;

• greater customer loyalty and increased market share;

• greater flexibility and increased financial incentives from public authorities; and

• more sympathetic and patient investors.

The core of the partnership concept is the acknowledgement of shared interests. The partnership model does not mean that companies will be overwhelmed with new responsibilities, but rather that many problems can be solved in unison.