ReportEuropean Financial Reporting Advisory Group (EFRAG)

Draft European Sustainability Reporting Standards – ESRS G1: Business Conduct

ESRS G1 sets mandatory disclosure requirements on business conduct, covering corporate culture, supplier relationships, anti-corruption and bribery, whistleblower protection, political influence and lobbying, and payment practices, especially toward SMEs. It links governance and conduct to impact, risk, and opportunity management, making companies explain how business behavior supports transparent, sustainable practices for all stakeholders. 

Notes on Related Topics

Legal Risk or Uncertainty (A) – ESRS G1 clarifies new disclosure expectations under the EU’s sustainability reporting framework, exposing companies to regulatory and enforcement risk if they under-report or mis-report business conduct, corruption incidents, or political activity. 

Reputational Risks (A) – Required disclosures on corruption cases, whistleblower protections, and payment practices make opaque or irresponsible conduct visible to investors, media, and civil society, increasing reputation stakes for boards and executives. 

Reporting Disclosures (B) – The standard details specific narratives and metrics companies must publish on corporate culture, investigations, political contributions, and lobbying topics, embedding business conduct into core sustainability statements. 

Lobbying Policy Influence (B) – G1-5 compels disclosure of political influence and lobbying activities, including topics, positions, and financial or in-kind contributions, directly aligning public-policy engagement with material impacts, risks, and opportunities. 

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ArticleHarvard Business Review

This article explores the need for companies to think about political responsibility, not just social responsibility.

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ArticleNetwork for Business Sustainability

This article summarizes the rationale for corporate political responsibility and explains the four Erb Principles, which are an actionable, non-partisan template that companies can use to decide whether and how to engage in political influence.  

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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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ReportCarnegie Endowment for International Peace

This paper provides a deep and detailed examination of how economies and businesses fare under leaders who purport to be both pro-business and populist. With the increase in the number of populist leaders throughout the world, this question has become increasingly pressing. 

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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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ArticleBloomberg

In this article the authors highlight how the Erb Principles for Corporate Political Responsibility identify common ground between the debate about shareholder value versus stakeholder considerations, and offer a roadmap for more responsible participation by businesses in our political system. 

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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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ArticleAmerican Economic Association

This study examines the global trend toward populism from 1900 to 2020 and its long-term economic impact. It finds that countries under populist leadership experience a 10% lower GDP per capita after 15 years compared to a plausible non-populist counterfactual, linking populist governance to economic instability, weakened institutions, and heightened risks for businesses and investors.

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VideoCorporate Political Responsibility Taskforce
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ReportPrinciples for Responsible Investment

Provides investors with a structured approach to responsible investment, considering investment beliefs, stewardship, fiduciary duty, governance roles, and public disclosure.

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ReportAmerican Compass

A guide to how responsive politics, productive markets, and supportive communities are key to rebuilding American capitalism.

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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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ArticleCorporate Political Responsibility Site (published by Bohnen Public Affairs)

This piece proposes that trade associations are positioned to be powerful groundbreakers for business—helping shape rules that enable long-term value and healthy competition. But without clear standards, the authors argue, these same associations risk acting as bodyguards for narrow interests, distorting markets, block innovation and undermining trust in business and government. This piece proposes applying CPR principles—Legitimacy, Transparency, Accountability, and Responsibility—to guide more consistent, credible association advocacy aligned with shared business and societal goals, and the ultimate promise of free markets.

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