This paper intends to show that besides financial considerations of growing and making profits, companies must be held accountable for the impacts they have on the society as well as the environmental opportunities and risks there business decisions make. The research is aimed at showing that HRM can use CSR to improve business value, mitigate risk due to unethical behaviour and improve the way the way business strategies are sustainable. It also aims to find out how a corporation can be deemed as a corporate citizen by the people it is often surrounded with.
It can be shown that sustainability is the common link that brings HRM and CSR inextricably together. At the corporate level, sustainability will focus on the creation of business models that are sustainable from social, financial and ecological perspectives that identify practices and strategies that contribute to both a more sustainable world and shareholder value (Eden &. Huxham, 2010). Therefore, the significance of CSR is that it will decrease the negative impacts the company’s corporate actions will have on the community as it pursuits its business strategy without compromising the core business processes. From this understanding, sustainable HRM can be explained as the use of tools of HR to embed sustainability strategies in a company and the creation of systems of HRM that support the company’s sustainable performance. By utilizing HR tools to create sustainable HRM, the HR manager will not only create and develop the trust, value, motivation and skills needed to deliver environmental, social and financial benefits. Rather, they will also ensure the existence of the long-term sustainability and health of the external and internal stakeholders of the company through policies that enhance equity and support development of practices that are friendly to the environment (Jamali,