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The Role of Civil Society Organizations in Enforcing Social Corporate Responsibilities in Post-Colonial MENA States: The Case of Morocco

Abdeslam Badre Institute for Cultural Diplomacy – Berlin

In a globalized world, profitability and growth are no longer the sole indicators for the

success and accountability of companies and investments. On the one hand, Corporate Social

Responsibilities (CSR), Sustainable Development (SD), Preservation of Environment and

Natural Resources, and Protection of Minorities are now key elements for a sustainable success

and branding of enterprises worldwide. On the other hand, the role of civil society organizations

(CSO) is becoming crucial to good governance and transparent politico-economic models that

serves the empowerment of citizenry, especially with the still existing lack of social and

environmental accountability of corporations under existing national and international laws.

During the last three decades, both CSR and CSO have started to gain momentum in the post-

colonial Arab Region. The objectives of this paper are twofold. First, it lays out the historical

trajectories both CSR and CSO have gone through in the MENA region since the 1970s,

highlighting the synergic roles CSO play and should play in order to promote CSR, especially

with regards to Multi-National Corporations (MNC). Second, the case of Morocco is scrutinized

with the intent to understand, on the one hand, how the developmental evolution of SCO brought

the latter form freedom fighters to the realm of business and corporate responsibilities; and on

the other hand, to deconstruct the challenges slows down the work of SCOs in advocating and

promoting CSR among MNCs. Finally, some recommendations are suggested.

The Evolution of CSR in West

Initially, corporations believed that their only obligation was to generate profits. This

understanding started to change in the 1970s, when a series of corporate scandals, including

Lockheed and Ford Pinto, led the United States to mandate the United Nations Economic and

Social Council and other international organizations to attempt to regulate multinational

corporations, thereby creating the first step for a framework for corporate social responsibility. A

wave of change came in the 1980s in response to highly publicized environmental disasters

involving large corporations, such as Exxon Valdez, which started to be pressured by NGOs to

act to protect the environment. In the following decade, labor rights, human rights,

environmental quality, and sustainable development became part of the CSR agenda, thus

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broadening the role and the perception of the field. From the early 1990s on, human rights NGOs

and other voices within civil society started calling upon corporations to accept responsibility for

promoting labor rights, human rights, environmental quality, and sustainable development, (See

Figure I: summarizing the historical development in the West).

Figure I. Evolutionary Development of CSR in the West

CSO Approaches of Promoting CSR

The World Bank defines CSR as “the commitment of business to ensure the management

and improvement of the economic, environmental and social implications of its activities at the

firm, local, regional and global levels1.” As such, CSR is more of a moral and ethical

partnership bounding the enterprise with multi-stakeholder working together for sustainable

development of local communities and beyond. Because not all forms of CSR have beneficial

impacts either on the business itself and/or the served community, many businesses need to seek

expert knowledge and collaborate with local stakeholders. In many developed economies,

SCOs/NGOs have assumed discernible roles in this partnership, especially in terms of

consultancy, expert-knowledge sharing, and advocacy. This synergy has contributed to the

emergence of an array of local, regional and international NGOs, specializing in insuring

workers rights, consumers’ rights, minorities’ rights, natural resource preservation, sustainability,

among others. Of course, not all NGOs work in synergy with enterprises; some tend to adopt a

confrontational approach to keep the corporate feet to the fire.                                                                                                                                        1  .  World  Bank.  http://www.worldbank.org    

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Literature about the relationship between civil society and business, especially multi-

national corporations (MNCs), highlights two major approaches of interaction: engagement

versus confrontation. On the one hand, advocates of the engagement approach believe that while

MNCs do not generally commit violations of traditional categories of civil and political rights

(with some notorious exceptions), the former aim to softly persuade MNCs to adopt voluntary

codes of conduct and implement business practices that incorporate commitments to respect and

protect labor rights and human rights as well as the environment. This diplomatic approach is

based on the premise that the role of NGOs is to assist MNCs companies to smoothly and

voluntarily adopt a “triple bottom line” strategy when doing business—a) the financial account;

b) the environmental account; and c) the social account. The engagement approach is considered

to provide a practical response to the current lack of MNCs’ accountability, but not as an

alternative to government regulation or enforceable international legal standards.

Conversely, on the other hand, boosters of the confrontational approach advocate the

enactment of enforceable legal standards on MNCs to commit to social responsibilities. This

standpoint claims that MNCs are often in/directly complicit and routinely implicated in abuses of

many important social and economic rights. MNC managers control employment for millions of

people around the world and are in a position to influence directly the enjoyment of labor rights

and economic rights of their own employees, and to influence indirectly those of the employees

of their subcontractors and suppliers. Companies also have direct control over health and safety

issues in the work place, worker compensation, and rights to organize and bargain collectively.

On this ground, the confrontational advocates believe that if they can mobilize mass social

movement to compel governments to enact enforceable international legal standards (EILS), they

will manage to hold MNCs legally socially and environmentally accountable to global society by

means of economic coercion or through binding legal obligations. (See Figure II:

Confrontational Approach)

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Figure II: Rationale of Confrontational Approach

In between the two radical poles come into play the role of other semi-public as well as

intergovernmental organizations; such as the International Courts of Human Rights, the World

Bank, the World Trade Organization, the United Nations, among others. The work and influence

of each of these organizations with regards to CSR promotion vary but sometimes complement

each other. Yet, their emergence is among the main factors that have contributed to human rights

NGOs’ interest in the business sector, because their existence had provoked a shift of power

formation from States’ agencies to MNCs and international financial institutions such as the

World Bank and the International Monetary Fund. One must remember how the economic

liberalization perused by developed economies led to a political and economic power shift from

governments to corporations.

The power dynamic has frequently allowed corporations- especially multinational ones-

to have more economic power than governments do, and to control access to most of the

countries’ valuable natural resources. They can also control the impoverished population in

Africa, the Middle East, and Central and South America, as examples. In this context, managers

of NGOs are pushed to see multinational corporations as dominant institutions in contemporary

society, and continue to increase their power and influence over its economic, political, and

cultural lives, while remaining largely unaccountable to the global civil society. This shift in

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power balance and lack of accountability of multinational corporations regarding social and

environmental issues have finally given birth to intercontinentally radical global civil society

movement, such as the Green Movement and the Anti-Corporate–Globalization Movement.

Other international human rights organizations also realized that they were too focused

on traditional categories of civil and political rights, thereby neglecting economic, social, and

cultural rights. All those factors help to explain the recent shift of NGOs from social to business

affairs. After all, the stability of nations is directly linked to and dependent on its economy. Once

a nation’s economy is made to enslave its citizens instead of serving them, one can expect to see

the like of the so-called “Arab Spring,” as is now the case of Tunisia, Egypt, and Libya.

Speaking of The MENA again, although, it has become a common knowledge that the concept of

CSR is branded in the West, the reality is that social initiatives of enterprise towards their

communities have been practiced for centuries but under different names in Muslim societies.

Likewise, the developmental trajectory of civil society as social mobility structure in the Arab

region has taken different itinerary and was created for different causes than that of Western

Cultures. The coming section anchors on CSR and CSO in the MEMA.

CSR in the MENA: Old Wine in a New Bottle

Corporate Social Responsibility has already stepped a foot in the business culture in the

region, and it is progressively but slowly gaining attention in branding a positive image about a

few Arab Macro-economic models throughout the MENA business community. Still, Arab

companies make up just 1% of the 4,650 organizations that are registered and have filed reports

on the Global Reporting Initiative’s Sustainability Disclosure Database. With the recent political

uprisings along with the international economic crisis, new challenges came to the forth to shape

new realities; and equally, unfolding invaluable opportunities for modernizing business

infrastructures. However, while countries in the MENA do not yet have a culture of practicing

CSR in a sustainable and accountable ways, in spirit, CSR has been practiced in the region for

more than 14 centuries.

Traditional definitions of CSR are based on the Qu’ran and the Sunnah in forms of

“Zakat2” alms and other types of charity. According to the Qu’ran, for example, “Righteousness

                                                                                                                                       2 . Zakat (n) is an obligatory payment made annually under Islamic law on certain kinds of property and used for charitable and religious purposes.  

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is not to turn your face toward East and West in prayer, but righteousness is the one who

believes in Allah, the last day, the angel, the book, the prophet, and who gives his money, in

spite of love for it, to kinsfolk, orphans, poor people, and wayfarer3.” [Sūrat l-baqarah: 2:177].

Furthermore, different Hadiths of the Prophet Mohammad in the Sunnah encourage good

behavior of traders by talking about trade and business, prevention of monopolization, and

corruption. Some examples are: “All of you are guardians and responsible to his subjects4,”

“God bless tolerant men in case of sale or purchase5,” “Monopolization is a wrongful act,”

and “Gifts for the responsible is considered a bribe6,” [Prophet Mohammad]. These texts

represent regulatory frameworks of the rules and values that guide the lives of individuals and

communities, and CSR can be seen as part of this context.

Social responsibility initiatives of Arab corporations, accordingly, are different from

those adopted by Western companies and are based on the nature and specificities of Islamic

civilization and teachings. The current globalized economic cooperation, international financial

transaction, and multinational business environments, Arab and Muslim business communities

are now urged to restructure their social initiatives according to the demands of modern society,

thereby bringing the MENA practices of CSR in harmony with international models, without

having to contradict with the spirit of Islamic laws. Conversely, the West should look at the

Islamic heritage of CSR and cooperate with Arab countries to come up with a model adequate to

the region. After all, CSR must be a concept and a practice flexible enough to fit the cultural

specificities of each society.

The transition from a purely religious model of social responsibility of business to an

internationally compatible model of CSR requires time, determination, operational framework,

expertise, and a very specialized and strong civil society organizations. So far, the presence and

roles of civil society specializing in advocating CSR are still modest, if not inexistent, in the

region. This is due to the fact that civil society sector itself is a relatively new exercise that saw

light with the post-colonial era. Most of its body came as an offspring from national resistant

movements that had fought against colonial powers back then. Going back to the colonial period,

the primary life-goal of Arab communities was to organize themselves to resist the colonial

power and to fight for sovereignty. The same movements, after independence, shifted their focus                                                                                                                                        3  .  Holy Qu’ran. Sūrat l-baqarah: verse 2:177. English Translation  4  .   M. Muhsin Khan. Introduction to Translation of Sahih Bukhari: Judgments (Ahkaam). Volume. 9; book 89. Available at: http://www.islamicity.com/mosque/sunnah/bukhari/089.sbt.html 5  .  Ibid.  6  .  Ibid.  

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from nationalism to political construction. People worked to reconstruct their countries by

developing constitutions and building political institutions. Among those institutions were

political parties, and within them were formed women’s associations, trade unions, and other

organizations. The next step was to focus on social issues.

History explains some of the difficulties faced by NGOs in the Middle East. Because

many of the movements started as anticolonial forces and had a strong political performance

before turning to the business world, Arab regimes view them as opposition actors. Hence, they

were considered a threat and have been oppressed from the beginning. Those that were allowed

to survive are extremely close to the official powers and do not question them. NGOs that were

permitted to start their work right after independence also have a strong identification with the

government, because the ones launched in the 1960s, 1970s, and 1980s usually were financed by

the government and had little ability to oppose it. (See Figure. III: Trajectory of CSOs in MENA).

Once established, NGOs needed time and expertise to assimilate their institutional and

social rights, being non-governmental, independent from the State’s agencies, and supposedly

nonprofit making groups. In other words, civil society activists, NGOs and other forms of

associative work had to understand and accept the distance between governmental boundaries

vis-a-vis their social position, which they had to fight really hard to optimize in a constitutional

way; thus, civil society’s zones of interventions started progressively optimizing to include

contribution to the promotion of human rights and democracy, forums for democratic

participation, autonomy and intermediation between the State and citizens. This moment

generated a sharp increase in the number of NGOs, which also became more effective. Finally,

the rise of globalization and the help of international sister NGOs, gave birth to NGOs

specialized in business and CSR.

Figure. III: Trajectory of CSOs in MENA

This situation started to change only in the 1990s, when transnational organizations

arrived in the region. They were important models to local citizens and organizations, which

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became more aware of their rights and learned how to demand them. Some national associations

in Lebanon, Jordan and Tunisia, in this regard, were pioneer in establishing partnership bridges

with other transnational organizations. Thanks to the logistical, financial, and knowledge-sharing

benefits they drew from international partnerships, those local NGOs were progressively

recognized as participants in democratization process, and gained the trust of their governments

and people alike. They are particularly associations dealing with human rights, women's rights,

anti-corruption, accountability of rulers towards their citizens, working for the emergence of

citizenship, as well as raising awareness about economic, political, social and cultural rights.

Today, in light of the sweeping uprisings motivated by an unprecedented determination

of youth who already toppled the Tunisian and Egyptian regimes, Arab civil society has proven

itself to be able to contribute in redefining and re-shaping the social capital and the density of the

social networks of MENA, which covers aspects of community life, a high level of participation,

trust and reciprocity. This type of social capital is essential to economic development and

businesses’ performances and responsibilities towards the communities they serve. By the same

token, civil society in the Maghreb can and should be the cornerstone in sensitizing, organizing,

and mobilizing corporations, for their interactions with private and public enterprises fluctuate

between collaborative partnership as well as organized counterbalance of defense and promotion

of collective and public rights.

Evolution of Moroccan Civil Society

The presence of civil society as an active political body within Morocco’s institutional

tissue dates back to more than three decades when the country ratified the International Pact on

Civil and Political Rights; freedom of association in 1979 (Kausch, 2008a). Generally, NGOs

can be clustered into three categories: 1) business association, 2) labor unions, and 3) political

parties. On the one hand, Labor Union, regardless of its long existence and experience in

militarism, is still ineffective due to its old dated management and vision. Syndicalism in

morocco started as early as the beginning of the French protectorate (1912). It witnessed a

structural reform in the mid 1950 when the Moroccan unions decided to align the Nation’s

oppositional movements, giving birth to the first union (Moroccan Work Union) in 1956. Since

then, their presence has gained more space, diversity, and affiliations in political parties.

However, it has not been able to step out of its traditional operational framework. According to

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Zef (2005):

“The Moroccan unions’ way of working is largely delayed in relation to the demands of the moment. Their attachment to syndicalism of the fifties and sixties doesn’t prepare them to hoist themselves to the level of decision-making. Their managements are not yet ready to use modern tools and methods. They act in the logic of a primary force report without reference to modern methods.” (P.11)

On the other hand, political parties, which can be localized under three blocks. First, there

are the State’s parties. They have old tradition, and are equipped with organized structures, such

as economic commissions, social commissions, and institutional commissions, which allow them

a unique proximity to the monarchy and an active participation in the political debate. The

second type is the occasional party, created by administration during electoral periods. It is

known for its managerial competency having first hand information about the social and

economic data due to their close position to the administration. Finally, there is the unrepresented

party. These are the advocates of social rights of the rural side population.

There are also parties of the two extremes: the extreme left and the Islamic parties. Out of

all these categories emanates an eclectic spectrum of women’s associations. They are more than

30 organizations. Some deal with the political and institutional emancipation of women, others

with socio-economic issues such as education and poverty, others with issues related to civic

rights, and the list goes on. Founded in 1985, the Democratic Association of Moroccan Women

(Association Démocratique des Femmes du Maroc, ADFM), for instance, is one of the leading

and oldest feminist organizations. It assigns itself the mission of protection and promotion of

women’s human rights as universally recognized. The third category is the associations of

entrepreneurs. They emerged as an independent economic power in the Moroccan public sphere

in the 1990s thanks to the linearization and privatization process the States ventured into. Later

on, they have constituted an autonomous centrality within the economic life. The rise of the

associations of entrepreneurs was the results of a daunting struggle coupled with a failing

economic model in 80s.

Up to the early 1980s, the Moroccan society was characterized by a sprit of a solidary

community life under an absolute political control of the State. But the political and economic

model followed back then had proved to be sterile. The State’s traditional strategy of equilibrium,

which consisted of the creation of relays, the recuperation of powers emerging at the base, the

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globalization at the top and the practice of state clientage, proved to be inadequate. The State’s

clientage led, in a context of shortage of resources, to an overcharge of demands and a crisis of

lawfulness of the State. Additionally, the increasing exclusion of young people from economic

and political life constituted the grounds for a radical and violent dispute between the people and

the ruling body. Furthermore, limiting the political participation to the notables and docile elites

has not been able to accommodate the presence of a middle class in full expansion, (Zef Bonn,

2005).

Faced with such vertebral handicaps, the State had no options other than devising new

political and economic strategies that would synchronize with regional as well as the transitional

fast rhythm of economic and social transformations, besides the opening up of the world market

and the economic liberalization. In 2002, new legislation was adopted to facilitate the use of

foreign funding by Moroccan Civil Society Organizations (fKhakee, 2008). Furthermore,

international pressure coupled with financial support for CSOs promoted an agenda focused on

political and civic rights: e.g. human rights, women’s rights, freedom of the press and association.

Consequently, in a process that could be termed as ‘boundary setting’, the country re-regulated

state–civil society relations by defining the political spheres assigned to state and civil society

actors.

This dynamism gave birth to the associative life in Morocco, providing a new public space,

which structured itself around the promotion of citizenship with autonomous social actors,

behaving as political forces. Since then, thousands of associations in defense of the rights of man,

women, young people, Berbers, civil liberties, political associations, fight against corruption,

fight against aids and economic development issues mushroomed, and now, they have gained

national and transitional recognitions. However, till then, few CSO or NGOs were outlining a

clear strategy of promoting CSR; neither in their working agenda nor in their discourses, expect

the few trade union organizations, most of which were concerned with the rights of state-workers.

As they gained both popular and institutional recognitions, CSO witnessed a fast growth

in number and quality-performance. They started expanding their exposure from metropolitan

cities to rural zones. Their dynamism attacked also the academic landscape; hence, a number of

Moroccan researchers initiated exploratory studies about the nature, structures, and mode of

operations of most prominent national NGOs back then. With the enthronement of Morocco’s

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new King, Mohamed VI, in 1999, branded as the inaugurator of “Morocco’s New Era”, Business

oriented NGOs started to see light along with various forms of economic and social movements

that were oppressed before. This new era also established a political conciliation between NGOs

and the State’s actor. For the first time in its history, Morocco has established the Ministry of

Governance and Civil Society in 2012, which is currently drafting a road map book that will

organize and regularize the work and rights of NOGs and SCOs. Thanks to this ministry,

Morocco for the first time is able to count the number of its NGOs (over 86,000 national and

local organizations), and categorize them according to their fields of interventions.

Challenges of Moroccan Civil Society

Although the efficacy of new organizations remains to be determined, the historical

significance of these new civil society organizations and associations helps bridging the gap

between public and private sectors, formal and informal ways of doing business, and exercising

individual liberties in Morocco. Nowadays, the most persistent voices are expected to come from

civil society. At the same time, the maintenance of an exclusive link between civil society and

good economic governance often leads to a dichotomous, if not a violent confrontation,

relationship between the state and civil society; and it is not always easy to maintain power

balance while surviving this dichotomy, especially when knowing that most of the business-

oriented NGOs lack expertise and knowledge with matters of international law, international

cooperation, macro-economic strategies, and the list goes on. This handicap weakens their efforts

and advocacy campaigns to promote CSR practices among both local and transnational

corporations.

Many believe that the role of business oriented civil society is very limited and clearly

defined within the ‘public spheres’ boundaries that are chartered by the States; and that they are

not qualified enough to lead a proactive role or even develop a long term strategy of promoting

CSR practices, neither in State-owned enterprise nor in private ones. Compared to some East

European States, such as Slovenia, Ukraine and Estonia, where the concept of civil society is

associated with the analysis of opposition to non-democratic states to foster economic and

political liberalization and lead to increased civic participation in the public sphere (Gellner,

1994; Hirsch, 2002), the Moroccan one and its oppositional role is tightly controlled and often

guided by the omnipresence and vigilance of the State.

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Oftentimes, members of civil society can only be permitted to resist the State’s

totalitarianism to an extent that would save the face of the former and project a brightened image

of the latter outside its geographical boundaries. Working under such a condition renders the

productivity of this institution very limited and rarely extraordinary. Furthermore, there is even

the claim that many CSOs are too corrupt to be able to contribute to the public good. Bohdana

Dimitrovova (2009), for instance, argues that large segments of Moroccan civil society, that do

not accept the status quo imposed by the political elite, are shunned by the makhzenian structures,

and excluded from the public sphere. Furthermore, empirical evidence suggests that the

possibility of dialogue within this normative public sphere where “a fair balance of interests can

come about only when all concerned have equal right to participation,” (Habermas, 1999, p.

72) is rather limited.

Politics of exclusion and inequality are diametrically opposed to Habermasian (1999)

notions of the public sphere in which the dialogue between the state and civil society is based on

mutually accepted ethical principles. The oppressive character of the Moroccan public sphere has

important consequences on the actual functioning of civil society. It is agued here that civil

society does not always adhere to the principles of ‘civility’ and ‘tolerance’, and that it can be

subject to political patronage and competition. Another difficulty with Habermas’s somewhat

idealistic notion of the public sphere is the elitist nature of Moroccan civil society and its weak

social impact. Scholars such as Denoueux and Gateau (1995) have pointed out that many

Moroccan CSOs are linked more to the State than to the real concerns of society, which raises

the question of whom civil society actually represents. The elitist character of mainly urban

CSOs and their distance from the reality on the ground has generated widespread skepticism of

‘active’ or responsible citizenship through community involvement.

While the Moroccan public generally pays little attention to CSR, The European Union’s

Neighborhood Policy and preparations for the free-trade zone launched in 2012, for instance,

have had a significant effect on Moroccan industry. Businesses in Morocco are striving for

responsible and sustainable corporate management, not least because of the influence of the

European market. Foreign investors, such French, Spanish and German companies being

particularly numerous in the Moroccan market, are serving as role models with respect to social

engagement and helping to raise awareness of this topic. Siemens, Bayer, BASF, Beiersdorf,

Lufthansa and TUI are among those companies that have been active in Morocco for many years.

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Intermediaries such as GTZ are involved in public-private partnerships to help companies meet

international standards. For example, GTZ conducted a market study for the Argand’Or

Company, which partners with women’s cooperatives to produce hand-pressed argan oil using

traditional methods.

Today, Morocco offers a variety of opportunities for CSR projects. So far, vocational

training has been a particular focus. German companies recognize that they need to provide basic

and further training for their employees, since the Moroccan system is not producing enough

skilled workers. International organizations, too, are raising awareness. These factors are pushing

urging the government toward the adoption of European environmental standards and regulations,

since this is essential if Moroccan exports – especially textiles, shoes and food – are to remain

competitive.

Conclusion All in all, at one level, both history and performance the Moroccan Civil Society has

walked reveal that the latter has come a long way; and yet, “the challenge facing these

organizations is to establish themselves as forces for innovation and to encourage the state to

change policies that are detrimental to Moroccans and their democracy. Indeed, the state in

Morocco relies on these organizations to implement policy and help meet the needs of the public.

Giving them the space to operate independently would help civil society have a genuine

partnership with the state.” However, the tasks of these organizations in their efforts to fosters

channels of cultural diplomacy within and across nation remain challenging as long as the

country does not show a bold political readiness to work hand in hand with these NGOs in an

context of mutual trust and respects.

At another level, unless NGOs are able to mobilize consumers and governments, they are

unlikely to be successful in the long run performance with regards to CSR. As long as the

majority of consumers remain either ill informed or indifferent to labor and human rights

conditions under which corporations produce the goods they deliver to marketplaces, no amount

of NGO pressure will produce sustainable changes. The good news is that studies have shown

that consumers are motivated to avoid purchasing products/services that they know are being

made under abusive labor conditions. Governments could and should be doing more not only in

setting standards and establishing negative regulations but also in providing tax and other

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regulatory incentives that reward corporations for good behavior. The NGO-led social

responsibility movement in the Middle East must now move the CSR agenda from voluntary

compliance, to soft-law approaches, and finally to rigorous national and international

enforcement regimes. Nevertheless, the NGO- led movement is unlikely to be successful unless

it can mobilize support for greater corporate social accountability from informed consumers,

concerned government officials, and progressive companies.

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