Question:medium

Which of the following is a benefit of company's social responsibility related to human resources?

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Remember: Human Resources (HR) deals with employees. "Recruitment and retention" are the core functions of HR that benefit from a good company reputation.
Updated On: Jun 25, 2026
  • Increasing short term profits
  • Avoiding taxes
  • Reducing product quality to save costs
  • Aiding in recruitment and retention of employees
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The Correct Option is D

Solution and Explanation

Step 1: Define CSR and its scope.
Corporate Social Responsibility (CSR) is a company's commitment to operate ethically and contribute positively to society, the environment, and its various stakeholders, including employees.
Step 2: Clarify the specific dimension being asked about.
The question focuses on the HR (human resources) dimension of CSR, meaning we want to know how CSR practices specifically affect employees as an internal stakeholder group.
Step 3: Eliminate clearly wrong options.
Increasing short-term profits is a narrow economic goal, not a CSR-related HR benefit. Avoiding taxes is unethical and directly contradicts CSR. Reducing product quality harms consumers, again violating CSR principles.
Step 4: Analyze option (D) - Aiding in recruitment and retention.
Job seekers today, especially among younger generations, actively research whether a company is socially responsible before accepting offers. They prefer employers who treat workers fairly, offer good working conditions, and contribute positively to society.
Step 5: Explain the retention link.
Once hired, employees who feel proud of their organization's values and social contributions tend to stay longer and be more engaged. This reduces costly staff turnover and builds an experienced, committed workforce over time.
Step 6: Conclude with the correct benefit.
A strong CSR reputation strengthens the employer brand, making it far easier to attract top candidates during recruitment and retain them for longer periods thereafter.
\[ \boxed{ \text{Aiding in recruitment and retention of employees} } \]
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