CII for extra 1% CSR levy in budget to provide for Covid booster shots

New Delhi, Jan. 23: Industry body CII has suggested the government include an additional 1 per cent corporate social responsibility (CSR) levy apart from the mandatory 2 per cent for one year in the upcoming Union budget to encourage corporates to spend on Covid vaccine booster shots.

The Confederation of Indian Industry (CII) has also urged state governments to lift the pandemic-induced restrictions on economic activity, arguing that the occupancy rate of hospital beds due to the omicron variant of Covid is well within the manageable level.

"CII suggests that 1 per cent of mandated CSR funds be earmarked for vaccination. We also recommend that an additional 1 per cent be added to CSR requirements in the budget, for a specified period of 12 months, so that boosters can be made available to all agegroups," CII president T. V. Narendran said.

The chamber said it expects Budget 2022-23 to focus on measures for strengthening economic recovery.

The CII requested that the government should encourage industry to

deploy CSR funding towards providing precautionary shots to the community. Further, the industry is ready to contribute an additional 1 per cent under the CSR norms to the national vaccination mission, apart from the mandated 2 per cent, and this can be part of the budget for a period of 12 months only, the chamber suggested.

"Hospitalisation rates in the present wave stand at manageable levels and therefore, industry feels that Covid-related restrictions can be removed to enable the robust recovery process to continue," it stated.

The CII has written to state chief ministers to consider curbs at micro containment zones only when hospitalisation rates are over 75 per cent, Narendran said.