CSR and Internal Stakeholders within the Swedish Fashion Retail Industry : An exploratory study on the relationship between organization and their employees in a harmful industry

Abstract: Background: Managers can utilize tools such as Corporate social responsibility (CSR) and employer branding to manage the relationship between employees and the organization. CSR is a tool that can be used to make the organization look better. Companies can utilize employer branding to market themselves towards its current and new employees in a harmful industry. The fashion retail industry can be seen as a harmful industry, as the industry causes harm to the environment, society and people. The existing literature looks at how customers think about these issues, however not much is said about employees' thoughts who are working for these harmful organizations. The employees are the ones who in stores meet the critique from customers, instead of the organizations who make these harmful decisions. Purpose: The purpose of this thesis is to explore the significance of CSR in a harmful industry and its influence on the relationship between employees and the organization. Employees can be influenced by different factors both internal and external concerning their organization’s CSR practices, which can affect how they view their organization as an employer. Therefore, this study will try to explore the relation between the organization and the employees to see how working in a harmful industry has an impact on the relationship. Method: The thesis conducts a qualitative and exploratory method, this was done through an abductive research approach. Furthermore, 10 semi-structured interviews were conducted with the participants being interviewed. To analyze the ten interviews a thematic analysis was utilized as a guide. Conclusion: Employer and employee relationship does not seem to be disturbed by the questionable external CSR practices or a harmful industry in general. CSR is significant to employees, but when it comes to their own organization it does not matter since they are given values such as salary and employment. Organizations create benefits, value and engagement for employees by using employer branding and internal CSR, thus the organizations market themselves to the employees, meanwhile manage the relationship through skills development, empowerment, employment stability and work-life balance.