Taipei, May 3 (CNA) The government is drafting an amendment to the Company Act that would require businesses to "internalize" good governance and social responsibility, Vice President Chen Chien-jen said Wednesday.At an award ceremony for businesses that have shown excellent corporate social responsibility, Chen said that as enterprises pursue profits, they should also take responsibility for the wellbeing of their employees, local communities and the environment."This is a good approach to achieving sustainable development of the environment, society and economy," he said.The government is proactively promoting a plan to revise the Company Act to create a legal basis for social responsibility among businesses, Chen said.He said he hoped that law would also help businesses become more competitive as they gain the trust of consumers and attain sustainable operation.However, social commentator Lucifer Chu questioned the timing of the planned legislation, saying that at a time when 80 percent of the public thinks the domestic economy is not doing well, small- and medium-sized businesses might not be strong enough to bear the higher costs of complying with the proposed law.While the U.S. is seeking to cut its corporate tax rate from 35 percent to 15 percent, Taiwan is trying to increase the compliance costs for its companies, he said."Wouldn't that create too big an impact on them?" he said.
Vice President Chen Chien-jen (left) attended an award ceremony for businesses that have shown excellent corporate social responsibility.(Photo courtesy of CNA)