The article considers the possibility of legislative entrenchment of a nonfinancial report as a way to introduce corporate social responsibility (hereinafter – CSR) in terms of implementation of the Association Agreement between Ukraine, on the one part, and the European Union (hereinafter – the EU), the European Atomic Energy Community and their Member States (hereinafter – the Association Agreement). In today’s world, cooperation between the State and corporations should go beyond the framework of paying taxes and creating jobs. The trends observed in economic and legal corporate doctrine of the XX century substantiated the social component of corporate activity which is an addition to the main function, that is, earning profit. However, this is impossible without responsible action of business. CSR is a new way of communication between business, society and the State. Given the above, corporations are an internal strategic partner of the State in the context of sustainable economic development, they lay the basis for implementation of such cooperation in the United States and the EU. At the same time, the processes of legislative regulation of a corporation’s social role in the EU have been developed separately from the USA. The European CSR model is marked by the requirement of legislative entrenchment of preparation of a non-financial report for large enterprises. Based on global experience, the CSR concept may become a platform for interaction between the State, society and global corporations. The purpose of the article is to analyze the Association Agreement with regard to legislative introduction of CSR in the context of implementation of the EU directives. The author considers various approaches to the implementation of corporate social responsibility standards and analyzes the Ukrainian sources which are methodologically important for the argumentation of economic and legal prerequisites for CSR introduction. The article also focuses on the prospects of implementation of Directive 2014/95/EU dated October 22, 2014 amending Directive 2013/34/EU on the disclosure of non-financial and miscellaneous information by some major enterprises and groups. The author comes to the conclusion that in Ukraine legislation on corporate social responsibility should entrench the preparation of a non-financial report by large enterprises on the basis of Directive 2014/95/EU.

List of legal documents 
 

Legislation 
1. Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions Action Plan: European company law and corporate governance – a modern legal framework for more engaged shareholders and sustainable companies /* COM/2012/0740 final */ (in English). 
2. Directive 2013/34/EU of the European Parliament and of the Council of 26 June 2013 on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, amending Directive 2006/43/EC of the European Parliament and of the Council and repealing Council Directives 78/660/EEC and 83/349/ EEC [2013] OJ L182/19 (in English). 
3. Directive 2014/95/EU of the European Parliament and of the Council of 22 October 2014 amending Directive 2013/34/EU as regards disclosure of non-financial and diversity information by certain large undertakings and groups [2014] OJ L330/1 (in English). 
4. The Role of Governments in Promoting Corporate Responsibility and Private Sector Engagement in Development accessed 18 September 2017 (in English). 
5. Pro vnesennia zmin do Zakonu Ukrainy “Pro bukhhalterskyi oblik ta finansovu zvitnist v Ukraini” (shchodo udoskonalennia deiakykh polozhen) [On Amendments to the Law of Ukraine “On Accounting and Financial Reporting in Ukraine” (Regarding Improvement of Some Provisions)]: poyasniuvalna zapyska do Zakonu Ukrainy [the explanatory note to Law of Ukraine] vid 5 zhovtnia 2017 r. № 2164-VIII. URL: http://zakon.rada.gov.ua/pls/2web2/webproc4_1?pf3511=62044 (data zvernennia: 15.05.2018) (in Ukrainian).

6. Uhoda pro asotsiatsiiu mizh Ukrainoiu, z odniiei storony, ta Yevropeiskym Soiuzom, Yevropeiskym spivtovarystvom z atomnoi enerhii i yikhnimy derzhavamy-chlenamy, z inshoi storony, ratyfikovana Zakonom Ukrainy [Association Agreement between Ukraine, on the One Part, and the European Union, the European Atomic Energy Community and Their Member States, on the Other Part Ratified by the Law of Ukraine] vid 16 veresnia 2014 r. № 1678-VII. Vidomosti Verkhovnoi Rady Ukrainy. 2014. № 40. St. 2021 (in Ukrainian). 
 

Bibliography

Journal articles 
7. Domnytska V ta Zhohlo V ta Novikov V, ‘Analiz holovnykh pryntsypiv mizhnarodnoho standartu ISO 26000:2010’ [‘Analysis of the Main Principles of the International Standard ISO 26000: 2010’] (2012) 2 Standartyzatsiia. Sertyfikatsiia. Yakist 25 (in Ukrainian). 
8. Lukach I, ‘Korporatyvna sotsialna vidpovidalnist yak osnova rozvytku suchasnoho korporatyvnoho prava’ [‘Corporate Social Responsibility as the Basis for the Development of Modern Corporate Law’] (2015) 5 Pravo i suspilstvo 67 (in Ukrainian). 
9. Voloskovets N, ‘Korporatyvna sotsialna vidpovidalnist pidpryiemstv yak osnova innovatsiinoho rozvytku suchasnoi ekonomiky’ [‘Corporate Social Responsibility of Enterprises as the Basis for Innovative Development of Today’s Economy’] (2010) 17 Naukovi pratsi Kirovohradskoho natsionalnoho tekhnichnoho universytetu. Ekonomichni nauky 127 (in Ukrainian). 

Websites 
10. Williamson N and Stampe-Knippel A and Weber T, ‘CSR: National Public Policies in the European Union – Compendium 2014’ (European Commission, 2014) accessed 16 May 2017 (in English).