BRSR stands for Business Responsibility and Sustainability Reporting, a mandatory framework introduced by the Securities and Exchange Board of India (SEBI) for top listed companies to disclose their environmental, social, and governance (ESG) performance.
📊 What is BRSR?
- Replaced the older, narrative-based Business Responsibility Report (BRR).
- Combines qualitative and quantitative data.
- Aligns Indian corporate disclosures with global standards like GRI and TCFD.
- Divided into three main sections: General Disclosures, Management/Process, and Principle-wise Performance.
✅ The Nine Principles
The framework relies on nine core principles from the National Guidelines on Responsible Business Conduct:
- Ethics, transparency, and accountability.
- Safe and sustainable goods/services.
- Employee well-being and safety.
- Respect for stakeholder interests.
- Human rights protection.
- Environmental protection and restoration.
- Responsible public and regulatory policy guidance.
- Inclusive growth and equitable development.
- Responsible consumer engagement.
📌 Who Needs to File?
- Mandatory for the top 1,000 listed entities by market capitalization.
- Phased introduction with independent assurance required for key metrics under BRSR Core.
- Unlisted companies may adopt it on a voluntary basis.
Under Regulation 34(2)(f) of SEBI LODR, a Business Responsibility and Sustainability Report (BRSR) is mandatory for the top 1,000 listed companies in India ranked by market capitalization.
Key Rules for Filing
- Mandatory Group: The requirement applies to the top 1,000 listed entities on stock exchanges like the BSE and NSE. Market capitalization rankings are calculated as of March 31 each year.
- Industry Type: Sector does not matter. Manufacturing, IT, banking, retail, and all other industries follow the same rule if they are in the top 1,000.
- Filing Method: Companies file the BRSR as part of their annual report submitted to the stock exchanges.
- Voluntary Filers: Companies outside the top 1,000, including smaller or unlisted firms, can choose to file a BRSR voluntarily to show transparency or build investor trust.
- Value Chain Impact: Unlisted suppliers or partners of the top 1,000 firms may also need to share ESG data if requested by those large listed customers.
You can review the official framework and guidelines directly from the Securities and Exchange Board of India (SEBI).
If you’d like, let me know:
- Are you preparing a BRSR report for a specific company?
- Do you need details on BRSR Core assurance requirements?
I can provide targeted guidance or a compliance checklist.
This is a Draft Copy – Final Version COMING SOON-
BRSR Principle 3 states that businesses should respect and promote the well-being of all employees, including those in their value chains.
Key Focus Areas
This principle covers the social pillar of ESG (Environmental, Social, and Governance) reporting and looks at workforce health, safety, and fairness:
- Occupational health and safety: Maintaining safe working conditions and tracking injury or fatality metrics.
- Diversity and inclusion: Ensuring fair representation and equal opportunities across worker categories.
- Training and development: Measuring upskilling and average training hours per employee.
- Fair wages and benefits: Providing living wages, equal remuneration ratios, and welfare measures.
- Value chain inclusion: Extending well-being and safety practices to contract workers and upstream/downstream partners.
You can read more about the disclosure metrics in the Institute of Chartered Accountants of India BRSR Guide or explore an overview via OrenNow’s BRSR Principles Guide.
