Just two days ago the Office for Budget Responsibility (OBR) reviewed the figure of public sector job losses down from 490,000 announced by George Osborne in the CSR last month to 330,000. Despite this good news, both the public and private sector will suffer as a result of government spending cuts.
In these austere times as public sector contracts dry up and the banks refuse to lend, many business leaders will look to streamline their operations to save money and retain staff where possible.
Meanwhile globalisation has enabled companies to outsource to emerging markets like China or India and cut corners where possible to trim their budgets.
But as cutbacks are made, will responsible business practices suffer?
Sitting in his BiTC office boardroom, Mr Simon Harris, told me this is not necessarily the case.
When asked whether businesses were less likely to invest in responsible and sustainable business projects Mr Harris said:
“This is a particularly important time to focus on responsible business practice.”
“Our argument is that to separate yourself out as a business from the rest you need to look at how you are different from the rest.”
“In the retail sector consumers are becoming more aware of where their food comes from and purchase fair trade goods, for example.”
“So, if a business can promote a very positive responsible attitude then there is a possibility that consumers would be more likely go for those businesses than those that aren’t.”
“There is evidence that business leaders across the UK see responsible business practices as being key to their strategic development within the next few years.”
Mr Harris did, however, admit the CSR and public spending cuts could affect operations of the BiTC.
“With reference to the BiTC, as it does receive funds from the WAG, it will be difficult to renew some of the programmes we are running,” Harris said.
“In terms of the private sector if there is a continued or double dip recession it could be more difficult for them.”
Mr Harris said he was hopeful projects such as working in schools and exposing business leaders through projects such as “Seeing is Believing,” would help promote responsible business practices.
In as the recession continues it remains to be seen how business practices will react to tighter budgets and and a contraction in the public sector.
Applications open tomorrow for the BiTC flagship awards the Wales Recognition Awards 2011.
BiTC is a UK based business-led charity, which seeks to promote responsibility in the workplace, marketplace, community and the environment and it is a member of The Prince’s Charities. It’s headquarters are in London.