Transcript Slide 1

Session One:
Latest Trends in Business and Human Rights
John Morrison
Iceland, 8 May 2008
A brief history of Human Rights
A Short History of the Human Rights Movement
Early history
1215
1689
mid to late 1800s
1939-1945
1948
(reproduced here thanks to WBCSD)
1949
1951
1776
1789
early 1900s
1961
1978
1792
1919
1979 1989
A more recent history of business and human rights
1990s
Supply chain (apparel) and extractive sector
– growth of codes
Late 1990s Birth of multi-stakeholder approaches
Early 2000s in particular: UN Global Compact, GRI
2002-2003 UN Norms on Transnational Enterprises
2005
Creation of mandate for UN Special
Representative
2006-2008 Three reports of UN Special Representative
2008-2010 New mandate? Institute? Other activities?
John Ruggie (2008) ► « Framework »
State Duty
to Protect
•
•
•
Corporate
Responsibility
to Respect
Remedies
Three part framework of Protect, Respect and Remedy
The umbrella under which this whole analysis sits is that
as a result of globalisation there are now “governance
gaps” which have grown up and need to be addressed.
The framework is the proposition made to address them.
Protection ► Respect ► Remedies
State Duty
to Protect
•
•
•
•
•
Corporate
Responsibility
to Respect
Remedies
Fostering “corporate cultures”
Sustainability reporting.
Legal liability for companies
Bilateral Investment Treaties and Host
Government Agreements
Export Credit Agencies
Protection ► Respect ► Remedies
Corporate
Responsibility
to Respect
State Duty
to Protect
Remedies
• All human rights are relevant to business
• Due diligence standard
- Scope, Impacts, Relationships
• Actions
- Policies, Impact Assessments, Integration into
management, Tracking performance
•
Sphere of Influence and Complicity
Protection ► Respect ► Remedies
State Duty
to Protect
Corporate
Responsibility
to Respect
•
•
•
•
Remedies
Strengthening judicial capacity
National Human Rights Institutions
National Contact Points of the OECD
Non-judicial grievance mechanisms and
rights-based principles
• Multi-stakeholder or industry
• Global ombudsman function?
Implications for the 1st Global Compact Principle
“ Businesses should support and respect the
protection of internationally proclaimed human
rights”
–
–
-
businesses have direct responsibility to ‘respect’
human rights
all rights are potentially relevant to any business
‘due diligence’ is the central concept for applying
the 1st Principle
support for integration into management system
How do we use sphere of influence?
The Media
National Governments
Communities
JV partners
Core business
Direct employees
Wider
Society
Suppliers
Contractors
Distributors
Consumers
More
NGOs
Less
Implications for the 2nd Global Compact Principle
“ Businesses should make sure they are not
complicit in human rights abuses ”
- “Direct”, “Beneficial” and “Silent Complicity”?
∙ There is a legal bedrock (mainly direct and sometimes
beneficial complicity) built on international criminal law –
e.g. genocide, torture and degrading treatment, Geneva
conventions, trafficking, forced labour;
∙ Some governments incorporating Rome Statute to include
non-state actors;
∙ Look to local law developments (Tort Law etc.);
∙ Moral senses of complicity will remain much greater
What is not my responsibility is still my problem
•
“ Even if something is outside my direct sphere
of influence, many will still have expectations
of me. What is not my responsibility can still be
my problem”
∙ - Sir Mark Moody Stuart, Chairman, Anglo American
Avoiding complicity?
What does that mean in:
- Sudan
- China
- Iran
- Saudi Arabia
- Venezuela
- India
- South Africa
- USA
- Europe?
Compliance, good practice, risk or opportunity?
Opportunity
Compliance
Good Practice
Due Diligence
Risk Management
Compliance, good practice, risk or opportunity?
Opportunity
Compliance
Where would you place the following
business dilemmas?
- Shell in Nigeria
- BP in Colombia
- Yahoo/Google/Microsoft in China
- Danish newspapers in Europe (cartoons)
- Olympic sponsors and China
- Water and utility/beverage companies
- GE and ultrasound in India
- Telecommunications in Sudan
- Undocumented labour in Europe
Risk Management
Good Practice
Session Two:
Business tools and a
rights-based/ rights-aware approach
John Morrison
Iceland, 8 May 2008
Human rights tools – where are we now?
UN Global Compact
• Communication on Progress on Principles 1 or 2
• Communication on Progress on Principles 3,4,5 or 6
• Human rights case-studies (for UNGC or anyone else)
• Reporting on human rights (GRI or other)
• A shared supply chain code and/or approach (industry,
country or multi-stakeholder)
• Human rights in impact assessments
• ISO 26,000 process (human rights component)
• Other....
•
An introduction to tools
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
ESSENTIAL
BEYOND
ESSENTIAL
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
The Global
Compact
Principles
Key:
●
The Global Compact Principles (www.unglobalcompact.org)
MONITORING
REPORTING
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
The Global
Compact
Principles
REPORTING
Global
Reporting
Initiative
Key:
●
●
The Global Compact Principles (www.unglobalcompact.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
The Global
Compact
Principles
REPORTING
Global
Reporting
Initiative
ISO 26000
Key:
●
●
●
The Global Compact Principles (www.unglobalcompact.org)
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
ILO based supply chain codes
The Global
Compact
Principles
Global
Reporting
Initiative
ISO 26000
Key:
●
●
●
●
The Global Compact Principles (www.unglobalcompact.org)
ILO Based Supply Chain Codes (e.g. FLA, ETI, E
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
ILO based supply chain codes
SA 8000
The Global
Compact
Principles
BLIHR
BLIHR
Matrix
Matrix
Global
Reporting
Initiative
ISO 26000
Key:
●
●
●
●
●
The Global Compact Principles (www.unglobalcompact.org)
ILO Based Supply Chain Codes (e.g. FLA, ETI, E
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
Human Rights Matrix (BLIHR) (www.blihr.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
ILO based supply chain codes
The Global
Compact
Principles
BLIHR
Matrix
BLIHR
OHCHR/
UN Staff
College
Training
Key:
●
●
●
●
●
●
Matrix
Global
Reporting
Initiative
ISO 26000
The Global Compact Principles (www.unglobalcompact.org)
ILO Based Supply Chain Codes (e.g. FLA, ETI, E
UN Office of High Commissioner on Human Rights/UN Staff College on-line training
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
Human Rights Matrix (BLIHR) (www.blihr.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
ILO based supply chain codes
The Global
Compact
Principles
BLIHR
BLIHR
Matrix
Human Rights
Impact Assessment
Key:
●
●
●
●
●
●
●
OHCHR/
UN Staff
College
Training
Matrix
Global
Reporting
Initiative
ISO 26000
The Global Compact Principles (www.unglobalcompact.org)
ILO Based Supply Chain Codes (e.g. FLA, ETI, E
IFC/IBLF/UNGC A Guide to Human Rights Impact Assessment (www.iblf.org)
UN Office of High Commissioner on Human Rights/UN Staff College on-line training
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
Human Rights Matrix (BLIHR) (www.blihr.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
ILO based supply chain codes
The Global
Compact
Principles
BLIHR
BLIHR
Matrix
Human Rights
Compliance
Assessment
Key:
●
●
●
●
●
●
●
●
Human Rights
Impact Assessment
OHCHR/
UN Staff
College
Training
Matrix
Global
Reporting
Initiative
ISO 26000
The Global Compact Principles (www.unglobalcompact.org)
ILO Based Supply Chain Codes (e.g. FLA, ETI, EI
Danish Institute of Human Rights Compliance Assessment (www.humanrights.dk)
IFC/IBLF/UNGC A Guide to Human Rights Impact Assessment (www.iblf.org)
UN Office of High Commissioner on Human Rights/UN Staff College on-line training
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
Human Rights Matrix (BLIHR) (www.blihr.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
ILO based supply chain codes
The Global
Compact
Principles
International
Alert
BLIHR
BLIHR
Matrix
Human Rights
Compliance
Assessment
Key:
●
●
●
●
●
●
●
●
●
Human Rights
Impact Assessment
OHCHR/
UN Staff
College
Training
Matrix
Global
Reporting
Initiative
ISO 26000
The Global Compact Principles (www.unglobalcompact.org)
ILO Based Supply Chain Codes (e.g. FLA, ETI, EITI)
International Alert – Conflict-Sensitive Business Practice (www.international-alert.org)
Danish Institute of Human Rights Compliance Assessment (www.humanrights.dk)
IFC/IBLF/UNGC A Guide to Human Rights Impact Assessment (www.iblf.org)
UN Office of High Commissioner on Human Rights/UN Staff College on-line training
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
Human Rights Matrix (BLIHR) (www.blihr.org)
HUMAN RIGHTS IN A BUSINESS MANAGEMENT SYSTEM
STRATEGY
POLICY
PROCESSES & PROCEDURES
COMMUNICATIONS
TRAINING
MONITORING
REPORTING
ILO based supply chain codes
The Global
Compact
Principles
International
Alert
BLIHR
Community Human Rights Impact Assessment
Matrix
Human Rights
Compliance
Assessment
Key:
●
●
●
●
●
●
●
●
●
●
BLIHR
Human Rights
Impact Assessment
OHCHR/
UN Staff
College
Training
Matrix
Global
Reporting
Initiative
ISO 26000
The Global Compact Principles (www.unglobalcompact.org)
ILO Based Supply Chain Codes (e.g. FLA, ETI, EITI)
International Alert – Conflict-Sensitive Business Practice (www.international-alert.org)
Danish Institute of Human Rights Compliance Assessment (www.humanrights.dk)
IFC/IBLF/UNGC A Guide to Human Rights Impact Assessment (www.iblf.org)
UN Office of High Commissioner on Human Rights/UN Staff College on-line training
International Standards Organisation – Standard on Social Responsibility (www.iso.org)
Global Reporting Initiative – third generation indicators (www.globalreporting.org)
Human Rights Matrix (BLIHR) (www.blihr.org)
Rights and Democracy Community Human Rights Impact Assessment
First example of tools overlap/synergies
In-house
auditing
teams
Multistakeholder
Initiatives
ILO-based
supply
chain
codes
In-country
systemic
approaches
External
audits
Second example of tools overlap/synergies
Human Rights Impact Assessment type tools
Name of tool
Description
Conflict Sensitive Business Practice (IA)
To ensure that the business practices of companies operating in conflict
zones do not contribute to conflict or cause human rights abuses and
contribute to social and economic development.
Human Rights Impact Assessment
(IBLF/IFC/UNGC)
To provide companies with a process for assessing potential human rights
impacts and making appropriate management decisions
Human Rights Compliance Assessment
(DIHR)
A diagnostic self-assessment tool to help companies detect risks of human
rights violations caused by the effects of company operations on
employees, local residents and other stakeholders.
Community Human Rights Impact
Assessment (R&D)
To develop a process through which affected communities can understand
the impact of foreign investment in human rights terms.
Human Rights Matrix (revised)
(BLIHR)
A tool for companies to map policies and practice against the content of the
Universal Declaration and to prioritize against what is essential, expected
and desirable.
Applying tools and learning in practice
Three case-studies:
•
•
•
First tier suppliers in Jordan
ABB
Statoil
Discussion:
Jordan: The key drivers for international business
Reputational risk
Operational risk – social licence to operate
Legal and Financial risk
Pressure from Government
Pressure from institutional investors
Staff retention and motivation
Leadership
Productivity – belief in a business case
Staying ahead of international regulation
Humanitarian or moral reasons
Other reasons
Jordan: The key drivers for exporters
Pressure from Buyers
Risk
Reputation
Pressure from Government
Pressure from Workers
Leadership
Productivity – belief in a business case
Staying ahead of regulation
Humanitarian or moral reasons
Other reasons
Forced labour – an issue of international criminal law
"...all work or service which is
exacted from any person under
the menace of any penalty and
for which the said person has not
offered himself voluntarily.“
(ILO Convention 29)
Where is the line?
Acceptable
1. Compulsory Overtime
2. Confiscation of travel document
3. Payment of recruitment fees
4. Denial of right to strike
5. Making deductions from wages
6. Stopping food and meals
7. Paying wages in other ways than JDs
8. Limits to holidays and sick leave
9. Informing police
Unacceptable
Session Three:
The role of GC Nordic Network
on Human Rights
John Morrison
Iceland, 8 May 2008
Business Leaders Initiative on Human Rights
2003-2009
“ Making human rights a reality in business
practice and inspiring other businesses to do
likewise.”
Tools for Business Management
- Minimum standards
- Accountability Mechanisms
- Good governance in sensitive countries
- Human rights in Emerging Economies
- Mainstreaming in business associations
-