The document provides an overview of key international standards for responsible business conduct in conflict-affected and fragile environments. It discusses challenges to implementing the standards, and outlines several major standards and guidance documents, including:
1) The UN Guiding Principles on Business and Human Rights, which establish a global standard for preventing and addressing adverse human rights impacts.
2) The OECD Guidelines for Multinational Enterprises and related guidance, which provide principles for responsible business conduct on issues like human rights, labor, and anti-corruption.
3) The UN Global Compact and related guidance on responsible business in conflict areas, which guide companies on operating in a way that respects human rights, labor, environment, and
The document discusses the political, economic, legal, and technological environments faced by global managers. It describes how international business has grown due to factors like improved transportation and communication technologies, lowered trade barriers, and increased global competition. Key political risks include expropriation and nationalization while economic risks relate to currency devaluations and policy changes. Legal systems differ globally and laws impact business activities and cross-border transactions. Technological changes like the internet are both driving and being driven by globalization. Global managers must understand these environmental factors in countries where they operate.
The Corporate Social Responsibilities of Financial Institutions for the Condu...Larry Catá Backer
Abstract: Corporate social responsibility (CSR) can be split along two distinct lines. The first touches on the nature of corporate personality and is rooted in domestic law regulating enterprises specifically and legal persons generally. The second touches on the nature of the rights of individuals and is rooted in international law (and sometimes domestic constitutional law) defining the scope of the human rights of individuals and the consequential obligations of states and legal persons. Both conversations intertwine though they tend to operate autonomously. In both cases, however, the traditional focus of corporate responsibility has focused on the relationship between an operating company and its direct effects on individuals, society and the environment. That discussion remains contentious, conflicted and unresolved. But it ignores a critical actor—the financial institutions which provide operating capital to enterprises. This paper considers the corporate social responsibilities of financial institutions, including sovereign wealth funds, for the conduct of their borrowers. The focus will be the extent of any duty or responsibility of lenders to ensure that their borrowers comply with CSR obligations (or alternatively conforms to international human rights standards) as a core aspect of their own CSR obligations (or alternatively) of their responsibility to respect human rights. Section II examines the general regulatory framework. There are two aspects that are relevant. The first is to understand the scope and character of the legal norms that may be applied to enterprises generally with respect to their operation’s that might be understood as CSR-human rights related in nature. The second is to consider the range of non-legal normative governance rules that might apply. In the process it will be important to distinguish between a CSR based regulatory approach and a human rights based approach. Section III considers the application of these norms to financial institutions. This requites distinguishing between those obligations that apply to the internal operations of financial institutions generally, and those obligations that apply to the financial institution’s obligations with respect to its lending activities, that is with respect to its relationship with its borrowers. The essay ends with a brief examination of recent cases in which financial institutions undertook such a responsibility, and the ways in which that obligation was undertaken. Three different types of institutions are considered—private banks, sovereign wealth funds and international financial institutions (IFIs). The paper ends with a preliminary consideration of the consequences of this movement for domestic CSR in the U.S.
Business enterprises should have processes to enable the remediation of any adverse human rights impacts they cause or contribute to. This includes impacts that are identified through human rights due diligence and involves providing for or cooperating with legitimate remediation processes. Effective operational-level grievance mechanisms are important.
The document discusses the political and legal environments facing international business. It defines political systems and legal systems, outlines different types of political and legal systems around the world, and examines trends in these systems. It also profiles the concepts of political risk and intellectual property rights, and how they relate to conducting business internationally.
Legal Environment - International Business - Manu Melwin Joymanumelwin
Managers must be aware of the legal systems in the countries in which their firms operate, the basic nature of the legal profession (both domestic and international) and the legal relationships that exist between and among countries. Legal systems differ both in terms of the nature of the system and the degree of independence of the judiciary from the political process.
This document discusses the UN Global Compact's two principles on human rights and corporate responsibilities. Principle 1 states that businesses should support and respect human rights. Principle 2 states that businesses should avoid complicity in human rights abuses. The document then defines human rights and elaborates on both principles. It explains that businesses have a direct responsibility to respect human rights, even when not required by law. It also discusses the different types of complicity in human rights abuses that businesses should avoid, including direct, beneficial, silent, and obedient complicity.
The document discusses the political and legal environments that multinational enterprises must consider when operating in different countries. It covers various political systems like democracy and totalitarianism. It also discusses political risks companies may face like government actions that could negatively impact operations. The legal environment section focuses on different types of legal systems like common law and civil law. The document provides an overview of key factors in the political and legal environments that international businesses must analyze.
Polycentricity in South Asian Human Rights Law: On the Strategic and Simultan...Larry Catá Backer
This document summarizes a presentation on polycentricity in human rights law in South Asia related to multinational corporations (MNCs). It discusses the rise of multiple governance systems beyond the state that implement human rights, including private supplier codes of conduct, sovereign wealth funds, and international soft law. It examines this emerging polycentric framework in India, noting the country's rights-based legal discourse but also limitations of the judicial system. Alternative governance structures are opening up due to issues like distrust in state institutions and problems of caste and gender rights. The talk aims to analyze how individuals and MNCs can protect rights in this complex landscape through strategic litigation, as shown in two case studies.
The document discusses the political, economic, legal, and technological environments faced by global managers. It describes how international business has grown due to factors like improved transportation and communication technologies, lowered trade barriers, and increased global competition. Key political risks include expropriation and nationalization while economic risks relate to currency devaluations and policy changes. Legal systems differ globally and laws impact business activities and cross-border transactions. Technological changes like the internet are both driving and being driven by globalization. Global managers must understand these environmental factors in countries where they operate.
The Corporate Social Responsibilities of Financial Institutions for the Condu...Larry Catá Backer
Abstract: Corporate social responsibility (CSR) can be split along two distinct lines. The first touches on the nature of corporate personality and is rooted in domestic law regulating enterprises specifically and legal persons generally. The second touches on the nature of the rights of individuals and is rooted in international law (and sometimes domestic constitutional law) defining the scope of the human rights of individuals and the consequential obligations of states and legal persons. Both conversations intertwine though they tend to operate autonomously. In both cases, however, the traditional focus of corporate responsibility has focused on the relationship between an operating company and its direct effects on individuals, society and the environment. That discussion remains contentious, conflicted and unresolved. But it ignores a critical actor—the financial institutions which provide operating capital to enterprises. This paper considers the corporate social responsibilities of financial institutions, including sovereign wealth funds, for the conduct of their borrowers. The focus will be the extent of any duty or responsibility of lenders to ensure that their borrowers comply with CSR obligations (or alternatively conforms to international human rights standards) as a core aspect of their own CSR obligations (or alternatively) of their responsibility to respect human rights. Section II examines the general regulatory framework. There are two aspects that are relevant. The first is to understand the scope and character of the legal norms that may be applied to enterprises generally with respect to their operation’s that might be understood as CSR-human rights related in nature. The second is to consider the range of non-legal normative governance rules that might apply. In the process it will be important to distinguish between a CSR based regulatory approach and a human rights based approach. Section III considers the application of these norms to financial institutions. This requites distinguishing between those obligations that apply to the internal operations of financial institutions generally, and those obligations that apply to the financial institution’s obligations with respect to its lending activities, that is with respect to its relationship with its borrowers. The essay ends with a brief examination of recent cases in which financial institutions undertook such a responsibility, and the ways in which that obligation was undertaken. Three different types of institutions are considered—private banks, sovereign wealth funds and international financial institutions (IFIs). The paper ends with a preliminary consideration of the consequences of this movement for domestic CSR in the U.S.
Business enterprises should have processes to enable the remediation of any adverse human rights impacts they cause or contribute to. This includes impacts that are identified through human rights due diligence and involves providing for or cooperating with legitimate remediation processes. Effective operational-level grievance mechanisms are important.
The document discusses the political and legal environments facing international business. It defines political systems and legal systems, outlines different types of political and legal systems around the world, and examines trends in these systems. It also profiles the concepts of political risk and intellectual property rights, and how they relate to conducting business internationally.
Legal Environment - International Business - Manu Melwin Joymanumelwin
Managers must be aware of the legal systems in the countries in which their firms operate, the basic nature of the legal profession (both domestic and international) and the legal relationships that exist between and among countries. Legal systems differ both in terms of the nature of the system and the degree of independence of the judiciary from the political process.
This document discusses the UN Global Compact's two principles on human rights and corporate responsibilities. Principle 1 states that businesses should support and respect human rights. Principle 2 states that businesses should avoid complicity in human rights abuses. The document then defines human rights and elaborates on both principles. It explains that businesses have a direct responsibility to respect human rights, even when not required by law. It also discusses the different types of complicity in human rights abuses that businesses should avoid, including direct, beneficial, silent, and obedient complicity.
The document discusses the political and legal environments that multinational enterprises must consider when operating in different countries. It covers various political systems like democracy and totalitarianism. It also discusses political risks companies may face like government actions that could negatively impact operations. The legal environment section focuses on different types of legal systems like common law and civil law. The document provides an overview of key factors in the political and legal environments that international businesses must analyze.
Polycentricity in South Asian Human Rights Law: On the Strategic and Simultan...Larry Catá Backer
This document summarizes a presentation on polycentricity in human rights law in South Asia related to multinational corporations (MNCs). It discusses the rise of multiple governance systems beyond the state that implement human rights, including private supplier codes of conduct, sovereign wealth funds, and international soft law. It examines this emerging polycentric framework in India, noting the country's rights-based legal discourse but also limitations of the judicial system. Alternative governance structures are opening up due to issues like distrust in state institutions and problems of caste and gender rights. The talk aims to analyze how individuals and MNCs can protect rights in this complex landscape through strategic litigation, as shown in two case studies.
Governance Polycentrism--Hierarchy and Order Without Government in Business a...Larry Catá Backer
The document summarizes a presentation on governance polycentrism in business and human rights regulation. It discusses:
1) How globalization has produced overlapping governance regimes beyond any single state's control, leading to collisions between state, corporate, and international rules.
2) How the UN Guiding Principles on Business and Human Rights and OECD Guidelines for Multinational Enterprises create a framework for coordinating these regimes around human rights. They emphasize coherence, coordination, and remedies without a centralized authority.
3) How effectively managing collisions requires moving beyond state-centric legal paradigms to embrace diverse, autonomous governance orders coexisting without a single ruler or hierarchy. Law may impede solutions by privileging
This document discusses the labor principles of the UN Global Compact, specifically Principles 3-6 regarding freedom of association, collective bargaining, forced labor, child labor, and discrimination. It provides definitions and background on these principles, including their basis in international standards set by the ILO. It also outlines the roles and responsibilities of managers in upholding these principles, such as allowing unions, negotiating fairly, avoiding forced and child labor, and implementing non-discrimination policies.
The document summarizes a workshop on applying the UN Guiding Principles on Business and Human Rights (UNGPs) to combat human trafficking. It discusses how the UNGPs establish universal standards for companies to prevent human rights violations and ensure victims have access to remedies. It notes how various jurisdictions are implementing measures aligned with the UNGPs, and outlines how companies can operationalize the UNGPs by addressing risks, procedures, supply chains, training, and reporting.
Industrial Relations and HR Practices with respect to ILO guidelinesSandeep Bhat
The document discusses ILO guidelines on industrial relations and HR practices. It provides an overview of the ILO, including its tripartite governing structure and conventions. Key points include:
- The ILO establishes conventions and recommendations on labor issues that member states can ratify.
- It monitors compliance through regular and special reporting and complaints procedures.
- The IRLex database summarizes legal frameworks around collective bargaining in different countries.
- SCORE aims to help SMEs improve productivity while respecting workers' rights.
This document provides an overview of political environments and systems that multinational enterprises must consider. It discusses key aspects of political systems including public and non-public institutions, internal and external forces, and political processes. It also outlines different political ideologies like liberalism and conservatism. Different political systems like democracy and totalitarianism are compared in terms of their characteristics. Factors that influence political risk for businesses are also examined.
This document discusses the political and legal environments that international businesses must navigate. It defines key concepts like political systems, ideologies, and forms of government. Totalitarianism and its various forms are explained. Characteristics of democratic governments are provided. The document also covers types of political risk, host government actions, establishing political strategies, and different legal systems. Regulatory changes are outlined regarding how companies can alter, avoid, accede to, or ally with government actions.
This document discusses the political and legal environments that multinational enterprises must consider when operating in different countries. It covers various political systems and ideologies around the world, such as democracy, totalitarianism, and different forms of government intervention in the economy. The document also discusses political risks, establishing political strategies, different legal systems, and the role of lobbying in influencing government decisions.
This document discusses various legal issues related to international business. It covers regional, national, and international laws; the basic characteristics and requirements of an effective legal system; the functions of law; sources of international law including treaties, customs, and judicial decisions; commercial treaties and intellectual property rights; the impact of laws on international business operations and strategy; and specific legal issues international businesses may face regarding workers, contracts, antitrust, and intellectual property.
This document discusses the evolution of how multinational corporations (MNCs) are governed, moving from being objects regulated by states to becoming subjects that self-regulate through their own governance systems. It describes how MNCs now set standards for their supply chains through contracts and monitoring, functioning similarly to governments. Other actors like NGOs, media, investors and consumers also play roles in these decentralized regulatory networks. The future involves polycentric governance with multiple overlapping systems between states, international laws, and corporate norms.
Political and legal environment of BusinessRucha Kularkar
The political and legal environment consists of factors related to public affairs management and laws that affect business operations in India. As a democratic country, India has a stable political system where the government plays an active role in economic development and ensures security. Marketing decisions are strongly influenced by developments in the political and legal environment. Business legislation aims to protect companies, consumers, and society. The Consumer Protection Act of 1986 outlines six consumer rights including safety, information, choice, representation, redressal, and education.
Ethics are moral principles that govern behavior, especially important in international business between countries. Unethical practices in international business include human rights violations, discrimination, bribery, unsafe products, and intellectual property theft. As global trade has grown, multinational corporations sometimes transfer jobs to lower wage countries without investing in community development or considering cultural differences. Making ethical decisions in international business requires respecting local laws and customs, human rights, and finding balanced solutions between cultural perspectives.
This document discusses the high costs of corruption globally and within businesses. Bribery increases the costs of doing business and is more common in countries with low incomes and income inequality. The worldwide costs of corruption are estimated to be over $1 trillion annually. While laws against bribery exist, they are not always effective and a gradual cultural and economic development approach is recommended instead. White collar crimes by businesses, like fraud and price fixing, also impose large economic costs. Some companies are fined for bribery, but many executives still receive financial packages when leaving due to violations. Combating corruption requires voluntary standards, a values-based culture, and strong ethics and compliance programs within companies.
Highlights - 2018 Global Anti-Corruption & Integrity ForumOECD Governance
The document summarizes an OECD conference on integrity and anti-corruption that was held in Paris from March 27-28, 2018. It involved over 1,800 participants from 120 countries, including 122 leaders and expert speakers representing government, business, and civil society. There were 24 thematic sessions and 18 research poster presentations. The conference promoted integrated anti-corruption strategies and practices to ensure inclusive growth and more effective public policies. Discussions focused on issues like international cooperation against corruption, governance and integrity in public infrastructure projects, influence in public decision-making, and using settlements to resolve foreign bribery cases.
Law establishes order and justice in society through uniform application of rules. It provides stability, security, and protects individual freedoms. The purpose of law is to maintain social order while allowing individuals maximum freedom. Sources of law include formal legal sources like statutes and precedents, as well as historical sources like writings and religious texts. Law is classified into different types and governs various areas like contracts and torts.
This document presents a consultation draft of a proposed International Public Sector Governance Framework developed by CIPFA and IFAC. It aims to promote good governance in the public sector by establishing benchmark principles. The framework takes a whole-system approach and defines seven principles for good governance: strong commitment to integrity and ethical values; openness and stakeholder engagement; defining outcomes in terms of sustainable benefits; determining interventions to achieve outcomes; developing capacity; managing risks and performance; and transparency and reporting. The document provides commentary and examples for applying each principle. It seeks public comments on the framework.
This presentation on public and private initiatives in whistleblower protection was made by Leah Ambler of the OECD Anti-Bribery Division at the Conference of States Parties to the UN Convention against Corruption in St Petersburg on 2-6 November 2015. Find out more atwww.oecd.org/corruption/whistleblower-protection.htm
Whistleblower Protection Seminar 16-17 June 2014 - AgendaOECD Governance
The document summarizes a seminar held by the OECD on revisiting whistleblower protection. The seminar consisted of three sessions exploring key issues around ensuring legal protection for whistleblowers, designing effective protection mechanisms, and changing cultural attitudes towards whistleblowing. Speakers in the sessions included representatives from government agencies and non-profits working on anti-corruption and transparency issues. The goal of the seminar was to advance the policy debate and identify best practices for providing clear procedures and effective protection to encourage whistleblowing.
The document discusses the legal risks for mining companies from the UN Guiding Principles on Business and Human Rights. The Principles provide an objective framework for defining corporate human rights responsibilities based on scope, causation, and proportionality. This creates significant indirect legal risks. Failure to respect the Principles could jeopardize investments under bilateral investment treaties, project financing agreements, and lead to civil liability in home courts. The Principles require a rigorous and analytical approach to human rights due diligence to identify, assess, and address impacts.
This document discusses the political, legal, and regulatory environments that businesses operate within. It defines these terms and outlines some of the key elements and considerations, including political culture, sovereignty, political risk, taxes, intellectual property protection, bribery/corruption laws, and dispute resolution. It also describes some of the major legal systems (common law, civil law, Islamic law) and regulatory bodies like the EU that can impact businesses globally.
Presentation by Leah Ambler at the OECD Whistleblower Protection Seminar on 17th June 2014. More information available at www.oecd.org/gov/ethics/whistleblower-protection-seminar-june-2014.htm
أحداث منتظرة
الجمعة 12 فيفري 2016:
9.00 ندوة فكرية حول رهانات الثقافة المحلية"
نزل يوغرطة بلاص بقفصة
9.00 يوم دراسي حول " تقنيات البحث في الجرائم المالية: جريمة غسل الأموال نموذجا "
نزل المشتل بالعاصمة
9.00 استشارة حول "القانون الإطاري للهيئات الدستورية المستقلة"
نزل رامادا بلازا بقمرت
9.00 ندوة حول حماية حقوق العمّال المهاجرين
نزل البالاص بقمرت
9.00 ندوة صحفية لتقديم "الكتاب الأبيض" لقطاع النقل في تونس
نزل قرطاج تالاسو بقمرت
9.00 توقيع إتفاقية شراكة ثلاثية حول برنامج دعم الإستثمار في الإقتصاد الأخضر
نزل الحديقة بالعاصمة
9.30 اجتماع لجان مجلس نواب الشعب
مقر المجلس بباردو
10.00 ندوة صحفية لوزير أملاك الدولة والشؤون العقارية
قصر الحكومة بالقصبة
10.00 جلسة عمل حول دور المركبات الصناعية والتكنولوجية في تنمية المشاريع
مقر وزارة الصناعة
10.00 وزيرة الثّقافة تشرف على بعث أوّل مدرسة ثقافيّة نموذجيّة بتونس
حي السّلامة بالحرايريّة
10.30 ندوة صحفية حول النشاط البلدي لسنة 2016
قصر بلدية صفاقس
14.00 وقفة احتجاجية لتيار المحبة للمطالبة بغلق المركز الثقافي الإيراني بتونس
أمام وزارة السياحة
15.00 الافتتاح الرسمي لمحاضرات التمرين لسلك المحاماة
قصر العدالة بتونس
17.00 وزيرة الثقافة تفتتح مهرجان علي بن عياد للمسرح
دار الثقافة علي بن عياد بحمام الأنف
The document summarizes the development of a new inverted water bottle called Lilo Hydration. It describes how over 20 designers created 70 designs which were prototyped using 3D printing. The founders are seeking $150,000 in funding to secure a manufacturer, distribution, inventory, and marketing including a social media campaign. The funding would be distributed over milestones from November to April 10th.
Governance Polycentrism--Hierarchy and Order Without Government in Business a...Larry Catá Backer
The document summarizes a presentation on governance polycentrism in business and human rights regulation. It discusses:
1) How globalization has produced overlapping governance regimes beyond any single state's control, leading to collisions between state, corporate, and international rules.
2) How the UN Guiding Principles on Business and Human Rights and OECD Guidelines for Multinational Enterprises create a framework for coordinating these regimes around human rights. They emphasize coherence, coordination, and remedies without a centralized authority.
3) How effectively managing collisions requires moving beyond state-centric legal paradigms to embrace diverse, autonomous governance orders coexisting without a single ruler or hierarchy. Law may impede solutions by privileging
This document discusses the labor principles of the UN Global Compact, specifically Principles 3-6 regarding freedom of association, collective bargaining, forced labor, child labor, and discrimination. It provides definitions and background on these principles, including their basis in international standards set by the ILO. It also outlines the roles and responsibilities of managers in upholding these principles, such as allowing unions, negotiating fairly, avoiding forced and child labor, and implementing non-discrimination policies.
The document summarizes a workshop on applying the UN Guiding Principles on Business and Human Rights (UNGPs) to combat human trafficking. It discusses how the UNGPs establish universal standards for companies to prevent human rights violations and ensure victims have access to remedies. It notes how various jurisdictions are implementing measures aligned with the UNGPs, and outlines how companies can operationalize the UNGPs by addressing risks, procedures, supply chains, training, and reporting.
Industrial Relations and HR Practices with respect to ILO guidelinesSandeep Bhat
The document discusses ILO guidelines on industrial relations and HR practices. It provides an overview of the ILO, including its tripartite governing structure and conventions. Key points include:
- The ILO establishes conventions and recommendations on labor issues that member states can ratify.
- It monitors compliance through regular and special reporting and complaints procedures.
- The IRLex database summarizes legal frameworks around collective bargaining in different countries.
- SCORE aims to help SMEs improve productivity while respecting workers' rights.
This document provides an overview of political environments and systems that multinational enterprises must consider. It discusses key aspects of political systems including public and non-public institutions, internal and external forces, and political processes. It also outlines different political ideologies like liberalism and conservatism. Different political systems like democracy and totalitarianism are compared in terms of their characteristics. Factors that influence political risk for businesses are also examined.
This document discusses the political and legal environments that international businesses must navigate. It defines key concepts like political systems, ideologies, and forms of government. Totalitarianism and its various forms are explained. Characteristics of democratic governments are provided. The document also covers types of political risk, host government actions, establishing political strategies, and different legal systems. Regulatory changes are outlined regarding how companies can alter, avoid, accede to, or ally with government actions.
This document discusses the political and legal environments that multinational enterprises must consider when operating in different countries. It covers various political systems and ideologies around the world, such as democracy, totalitarianism, and different forms of government intervention in the economy. The document also discusses political risks, establishing political strategies, different legal systems, and the role of lobbying in influencing government decisions.
This document discusses various legal issues related to international business. It covers regional, national, and international laws; the basic characteristics and requirements of an effective legal system; the functions of law; sources of international law including treaties, customs, and judicial decisions; commercial treaties and intellectual property rights; the impact of laws on international business operations and strategy; and specific legal issues international businesses may face regarding workers, contracts, antitrust, and intellectual property.
This document discusses the evolution of how multinational corporations (MNCs) are governed, moving from being objects regulated by states to becoming subjects that self-regulate through their own governance systems. It describes how MNCs now set standards for their supply chains through contracts and monitoring, functioning similarly to governments. Other actors like NGOs, media, investors and consumers also play roles in these decentralized regulatory networks. The future involves polycentric governance with multiple overlapping systems between states, international laws, and corporate norms.
Political and legal environment of BusinessRucha Kularkar
The political and legal environment consists of factors related to public affairs management and laws that affect business operations in India. As a democratic country, India has a stable political system where the government plays an active role in economic development and ensures security. Marketing decisions are strongly influenced by developments in the political and legal environment. Business legislation aims to protect companies, consumers, and society. The Consumer Protection Act of 1986 outlines six consumer rights including safety, information, choice, representation, redressal, and education.
Ethics are moral principles that govern behavior, especially important in international business between countries. Unethical practices in international business include human rights violations, discrimination, bribery, unsafe products, and intellectual property theft. As global trade has grown, multinational corporations sometimes transfer jobs to lower wage countries without investing in community development or considering cultural differences. Making ethical decisions in international business requires respecting local laws and customs, human rights, and finding balanced solutions between cultural perspectives.
This document discusses the high costs of corruption globally and within businesses. Bribery increases the costs of doing business and is more common in countries with low incomes and income inequality. The worldwide costs of corruption are estimated to be over $1 trillion annually. While laws against bribery exist, they are not always effective and a gradual cultural and economic development approach is recommended instead. White collar crimes by businesses, like fraud and price fixing, also impose large economic costs. Some companies are fined for bribery, but many executives still receive financial packages when leaving due to violations. Combating corruption requires voluntary standards, a values-based culture, and strong ethics and compliance programs within companies.
Highlights - 2018 Global Anti-Corruption & Integrity ForumOECD Governance
The document summarizes an OECD conference on integrity and anti-corruption that was held in Paris from March 27-28, 2018. It involved over 1,800 participants from 120 countries, including 122 leaders and expert speakers representing government, business, and civil society. There were 24 thematic sessions and 18 research poster presentations. The conference promoted integrated anti-corruption strategies and practices to ensure inclusive growth and more effective public policies. Discussions focused on issues like international cooperation against corruption, governance and integrity in public infrastructure projects, influence in public decision-making, and using settlements to resolve foreign bribery cases.
Law establishes order and justice in society through uniform application of rules. It provides stability, security, and protects individual freedoms. The purpose of law is to maintain social order while allowing individuals maximum freedom. Sources of law include formal legal sources like statutes and precedents, as well as historical sources like writings and religious texts. Law is classified into different types and governs various areas like contracts and torts.
This document presents a consultation draft of a proposed International Public Sector Governance Framework developed by CIPFA and IFAC. It aims to promote good governance in the public sector by establishing benchmark principles. The framework takes a whole-system approach and defines seven principles for good governance: strong commitment to integrity and ethical values; openness and stakeholder engagement; defining outcomes in terms of sustainable benefits; determining interventions to achieve outcomes; developing capacity; managing risks and performance; and transparency and reporting. The document provides commentary and examples for applying each principle. It seeks public comments on the framework.
This presentation on public and private initiatives in whistleblower protection was made by Leah Ambler of the OECD Anti-Bribery Division at the Conference of States Parties to the UN Convention against Corruption in St Petersburg on 2-6 November 2015. Find out more atwww.oecd.org/corruption/whistleblower-protection.htm
Whistleblower Protection Seminar 16-17 June 2014 - AgendaOECD Governance
The document summarizes a seminar held by the OECD on revisiting whistleblower protection. The seminar consisted of three sessions exploring key issues around ensuring legal protection for whistleblowers, designing effective protection mechanisms, and changing cultural attitudes towards whistleblowing. Speakers in the sessions included representatives from government agencies and non-profits working on anti-corruption and transparency issues. The goal of the seminar was to advance the policy debate and identify best practices for providing clear procedures and effective protection to encourage whistleblowing.
The document discusses the legal risks for mining companies from the UN Guiding Principles on Business and Human Rights. The Principles provide an objective framework for defining corporate human rights responsibilities based on scope, causation, and proportionality. This creates significant indirect legal risks. Failure to respect the Principles could jeopardize investments under bilateral investment treaties, project financing agreements, and lead to civil liability in home courts. The Principles require a rigorous and analytical approach to human rights due diligence to identify, assess, and address impacts.
This document discusses the political, legal, and regulatory environments that businesses operate within. It defines these terms and outlines some of the key elements and considerations, including political culture, sovereignty, political risk, taxes, intellectual property protection, bribery/corruption laws, and dispute resolution. It also describes some of the major legal systems (common law, civil law, Islamic law) and regulatory bodies like the EU that can impact businesses globally.
Presentation by Leah Ambler at the OECD Whistleblower Protection Seminar on 17th June 2014. More information available at www.oecd.org/gov/ethics/whistleblower-protection-seminar-june-2014.htm
أحداث منتظرة
الجمعة 12 فيفري 2016:
9.00 ندوة فكرية حول رهانات الثقافة المحلية"
نزل يوغرطة بلاص بقفصة
9.00 يوم دراسي حول " تقنيات البحث في الجرائم المالية: جريمة غسل الأموال نموذجا "
نزل المشتل بالعاصمة
9.00 استشارة حول "القانون الإطاري للهيئات الدستورية المستقلة"
نزل رامادا بلازا بقمرت
9.00 ندوة حول حماية حقوق العمّال المهاجرين
نزل البالاص بقمرت
9.00 ندوة صحفية لتقديم "الكتاب الأبيض" لقطاع النقل في تونس
نزل قرطاج تالاسو بقمرت
9.00 توقيع إتفاقية شراكة ثلاثية حول برنامج دعم الإستثمار في الإقتصاد الأخضر
نزل الحديقة بالعاصمة
9.30 اجتماع لجان مجلس نواب الشعب
مقر المجلس بباردو
10.00 ندوة صحفية لوزير أملاك الدولة والشؤون العقارية
قصر الحكومة بالقصبة
10.00 جلسة عمل حول دور المركبات الصناعية والتكنولوجية في تنمية المشاريع
مقر وزارة الصناعة
10.00 وزيرة الثّقافة تشرف على بعث أوّل مدرسة ثقافيّة نموذجيّة بتونس
حي السّلامة بالحرايريّة
10.30 ندوة صحفية حول النشاط البلدي لسنة 2016
قصر بلدية صفاقس
14.00 وقفة احتجاجية لتيار المحبة للمطالبة بغلق المركز الثقافي الإيراني بتونس
أمام وزارة السياحة
15.00 الافتتاح الرسمي لمحاضرات التمرين لسلك المحاماة
قصر العدالة بتونس
17.00 وزيرة الثقافة تفتتح مهرجان علي بن عياد للمسرح
دار الثقافة علي بن عياد بحمام الأنف
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Investing the Rights Way: A Guide for Investors on Business and Human Rights Dr Lendy Spires
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A way of effectively dealing with abuses and wrongs
The ‘Ruggie Principles’ are the UN Principles
for both exposing and preventing violations of
human rights in companies, sectors and industries
worldwide. Especially for trade unions and Works
Councils, the Ruggie Principles are a useful and
effective resource for addressing companies
about compliance with internationally recognised
labour standards. Moreover, the principles provide
additional possibilities for promoting the Decent
Work agenda and international solidarity and
collegiality.
With this guide, the CNV is actively bringing the
Ruggie Principles to the attention of trade union
leaders, trade union officials and members of
Works Councils in the Netherlands, and, translated
into English, French and Spanish, partner
organisations in Asia, Africa, Latin America and
Eastern Europe.
Take advantage of this new resource! Instead of
long texts about background circumstances, we
give you tips, ideas and examples to help you apply
Corporate Social Responsibility (CSR) in the chain. It
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- To provide a basis for embedding the responsibility to respect human rights through all business functions.
- To respond to relevant stakeholder expectations and identify policy gaps to alert the company to new areas of human rights risk.
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3) It provides a significant competitive advantage by deserving clients' attention and support.
Some common ethical issues include employment practices, human rights, environmental regulations, corruption, and multinational companies' moral obligations. Managing these issues requires considering philosophical approaches like utilitarianism, Kantian ethics, rights theories, and justice theories. Laws and agreements like the UN Global Compact also provide guidance for ethical conduct in international business.
Responsible business conduct is an essential part of an open international investment climate. MNE activities often span multiple countries and many cultural, legal, and regulatory environments. This complexity, coupled with the intensely competitive nature of international business, presents MNEs and their stakeholders with unique and specific challenges. Although many MNEs demonstrate a respect for high standards of business conduct, some may neglect the appropriate principles and standards of conduct in an attempt to gain undue competitive advantage. This may be particularly true in environments where regulatory, legal, and institutional frameworks are underdeveloped or fragile. More and more enterprises are responding by committing to responsible business practices, promoting dialogue, and engaging with stakeholders. Addressing societal concerns while advancing enterprise interests can be mutually supportive
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Similar to International Standards - fragile situations (20)
2. Standards: “International
Standards” are considered, for the
purposes of this brochure, as a range
of international principles, standards,
guidelines and guidance aimed at
promoting responsible business
conduct.
Conflict-affected and fragile
environments refers to countries
or regions that are in the midst of
violent conflict, or which have recently
emerged from it, including countries
classified as ‘post-conflict’.
Weak governance zones are
environments in which governments
are unable or unwilling to assume their
responsibilities. These “governance
failures” lead to broader failures in
political, economic and civic institutions
that, in turn, create the conditions for
endemic violence, crime and corruption
and that block economic and social
development.
High-risk areas include areas of
political instability or repression,
institutional weakness, insecurity,
collapse of civil infrastructure and
widespread violence. Such areas are
often characterised by widespread
human rights abuses and violations
of national or international law.
What are the key challenges?
Most international standards for
responsible business conduct are
voluntary and place no obligation
on companies and governments to
implement them. Even when they
exist, their monitoring and remedy/
grievance/verification mechanisms are
weak, seldom utilised, or ineffective.
This reduces the incentives to
implement international standards, par-
ticularly in difficult environments, and
undermines their effectiveness
and credibility.
• Governments may lack the capacity,
willingness, or incentives to hold
companies to account. Legal
systems may not be in place (e.g.
laws that regulate business respect
for human rights, such as non
-discrimination and labour laws,
property, and anti-bribery laws)
or may be not enforced. This is
often the case in conflict-affected
and fragile environments.
• Companies may lack corporate
commitment or capacity to
implement international standards
e.g. at the operational level, in
particular small and medium sized
companies, including domestic
ones), even when they signed up
to them. In conflict-affected and
fragile environments, they may
find it difficult to comply with such
standards in the absence of an
enabling environment.
• Not all governments or companies
have signed up to the key interna
tional standards. If implemented
only by a few, their impact may not
be significant.
• Civil society may be ill equipped
to understand or champion the
implementation of international
standards; it might be politically
dangerous for them to do so.
• Little information may be available
about the relevant international
standards, how to implement them,
and their role in preventing
corporate misconduct and human
rights violations, or about their
contribution to promoting responsible
business practices and peace.
Civil society organisations raised
concerns about the IFC’s poor record
in sanctioning companies it finances
for non-compliance with its standards
in conflict-affected and fragile
environments. Oxfam withdrew from
the Voluntary Principles on Security
and Human Rights for lack of third
party monitoring. NGO coalition OECD
Watch recently pointed out that
regarding the OECD guidelines,
effective remedy remains rare.
The good news is that businesses and
governments are increasingly aware
of the importance of responsible
business in conflict-affected and
fragile environments.
More information, lesson learning and
a greater commitment by governments
and businesses to the implementation
of international standards may help.
This could be supported by more
legally binding obligations and the
consolidation of all standards that are
particularly relevant for operating in
these environments.
IMPLEMENTING INTERNATIONAL STANDARDS for responsible
business conduct in these situations can enhance business’
contribution to peace and prevent businesses from doing harm.
IMPLEMENTING INTERNATIONAL STANDARDS IS DIFFICULT,
even more so in conflict-affected and fragile environments
This brochure provides an overview
of some of the key standards that can
help business operate responsibly
in conflict-affected and fragile
environments. They are:
• The UN Guiding Principles on
Business and Human Rights, the
Global Compact Principles, and
the Guidance on Responsible
Business in Conflict-Affected
and High-risk Areas
• The OECD Guidelines for
Multinational Enterprises, the
Risk Awareness Tool for
Multinational Enterprises in
Weak Governance Zones, and
the Due Diligence Guidance
for Responsible Supply Chains
of Minerals from Conflict-affected
and High-risk Areas
• The International Finance
Corporation (IFC) Performance
Standards
• The Voluntary Principles on
Security and Human Rights
Suggestions on how business can
contribute to the goals of the New Deal
for Engagement in Fragile States are
also provided.
Other initiatives exist that guide
responsible business conduct in conflict
-affected and fragile environments, such
as the Extractive Industries Transparency
Initiative (EITI) and the Kimberly Process.
These initiatives and resource material to
help implement international standards,
together with relevant links, are listed at
the end of the brochure.
Key definitions
International Standards for Responsible Business in Conflict-affected and Fragile Environments
UN Photo: Stuart Price
UN Photo: Marco Dormino
IN CONFLICT AFFECTED AND FRAGILE ENVIRONMENTS, BUSINESS can:
- CONTRIBUTE TO PEACE by helping rebuild the economy, create jobs,
deliver services, promote cooperation, and generate revenues.
- DO HARM by contributing to human rights violations, corruption,
and lack of trust – all of which are causes of conflict and fragility.
3. INSIDE the KEY STANDARDS UN Global Compact Ten Principles (2000, updated in 2004)
and the Guidance on Responsible Business in Conflict-Affected
and High-Risk Areas (2010)
UN Guiding Principles on Business and Human Rights (UNGPs), 2011
The United Nations
The UN has been leading in creating global standards on business and human rights, and general principles for responsible
business conduct. It has also produced specific guidance on responsible business in conflict-affected and high-risk areas.
• Global standard unanimously adopted
by the UN Human Rights Council in
2011 and endorsed by businesses and
governments worldwide. They apply
to all states and to all business enter-
prises, both transnational and others,
regardless of their size, sector, location,
ownership and structure.
• They stem from and help implement
the UN Protect, Respect and Remedy
Framework, based on three pillars: i)
The state duty to protect against human
rights abuses by third parties; ii) The
corporate responsibility to respect human
rights; iii) The need for rights and obli-
gations to be matched with appropriate
and effective remedies for victims of
human rights abuses, both judicial and
non-judicial, when breached.
• Comprising 31 principles they guide
states and companies on steps to take
to protect and respect internationally
recognised human rights standards and
prevent and redress potential adverse
impacts on human rights linked to
business activity.
• They are non-binding, but companies
are expected to conduct human rights
“due diligence” in order to identify,
prevent and mitigate adverse human
rights impacts, and to account for their
performance.
• There are no implementation or
reporting duties attached to the UN-
GPs. Several guidance materialexists to
help implement the UNGPs. (See Box 1)
• Some major multi-national
companies have developed human
rights policies in line with the UNGPs,
many have not.
Relevance for conflict-affected
and fragile environments
• The risks of human rights abuse in
conflict-affected and fragile environ-
ments and the links between human
rights abuses and conflict are great.
Companies operating in these areas
must apply enhanced due diligence
to avoid contributing to human rights
abuses and to conflict. Governments
must ensure they do so. The UNGPs
set the standards with which companies
and governments must comply,
including in conflict-affected and
fragile environments.
• Some UNGP principles have specific
provisions on business and human
rights in conflict-affected and fragile
environments:
- Principle 7: Home and host states
must ensure that businesses operating
in conflict-affected areas do not
commit or contribute to human rights
abuses.
- Principle 12: In situations of armed
conflict, business enterprises may need
to consider additional human rights
standards, especially the standards of
international humanitarian law.
- Principle 14: The responsibility of
business enterprises to respect human
rights applies to all enterprises operat-
ing worldwide, but in conflict-affected
areas there may be particular risks with
regard to security, the right to life and
ethnic discrimination.
- Principle 17 and 18: In a conflict
context, companies should prioritise
human rights due diligence for security
services provided by contractors or
armed forces.
- Principle 23: Companies should treat
the risk of being complicit in human
rights abuses committed by other
actors as a legal compliance issue, and
companies should ensure that they do
not exacerbate conflict situations.
Specific guidance to help
implement the UNGPs
• The Corporate responsibility to
respect human rights: An interpretive
guide (UN Office of the High
Commissioner for Human Rights).
• The UNGPs Reporting Framework
(Shift and international accountancy
firm Mazars).
• The Human Rights Compliance
Assessment (Danish Institute for
Human Rights).
• The Human Rights Impact
Assessment requirement by the
Global Reporting Initiative (GRI).
• The European Commission guidance
for three business sectors: Oil & Gas,
ICT/Telecommunications, and
Employment & Recruitment
agencies.
• How to use the UNGPs: A guide for
Civil Society Organisations (SOMO,
Cividep and CEDHA).
The Ten Principles
• Launched at the same time as the
UN Global Compact (and updated in
2004) they guide business in operating
in ways that meet fundamental respon-
sibilities in the areas of human rights,
labour, environment, and anti-corruption.
• They are derived from the Universal
Declaration of Human Rights, the
International Labour Organization’s
Declaration on Fundamental Principles
and Rights at Work, the Rio Declaration
on Environment and Development, and
the United Nations Convention Against
Corruption.
• Local Networks are independent
entities that act as a point of contact
for UN Global Compact signatories in
a given country. They help companies
align their strategies and operations to
the Ten Principles.
The Guidance on Responsible
Business in Conflict-affected and
High-risk areas
• Developed jointly by the UN Global
Compact and the Principles for
Responsible Investment (PRI) initiative,
it assists companies and their investors
in implementing responsible business
practices in conflict-affected and high-
risk areas in concert with the Global
Compact Ten Principles.
• The Guidance is voluntary and aims
to complement applicable national and
international laws by promoting inter-
national good practice. Companies are
expected to produce a “Communication
on Progress” document to report on
the implementation of the guidance.
• The Guidance categorises responsible
business practices into four areas: i)
Core Business; ii) Government relations;
iii) Local Stakeholder Engagement; iv)
Strategic Social Investment.
• Over 130 member companies of the
UN Global Compact and of its Business
for Peace platform are committed to
implementing the Ten Principles in
high-risk and conflict-affected areas.
The UN Principles for Responsible
Investment (PRI)
With more than eleven hundred
signatories representing almost $35
trillion in assets under management,
the PRI has emerged since 2006 as a
“licence to do business” in many
countries, utilised by investors to
demonstrate their commitment to
responsible investment and incorpo-
ration of environmental, social, and
governance (ESG) issues into their
investment decision making and
ownership practices. Signatories are
expected to report on the
implementation of the principles.
Relevance for conflict-affected
and fragile environments
• The Ten Principles complement the
UNGPs by calling for better business
practices on labour, environment,
and anti-corruption – which are often
associated with conflict and fragility –
in addition to the respect for human
rights. By doing so, they can contribute
to creating an environment conducive
to economic revitalisation, peace, and
development.
• The Guidance explicitly recognises
that when companies and investors
are able to understand and take steps
to address complex issues associated
with their business in conflict-affected
and high-risk environments, they can
mitigate the risks and negative impacts
of their actions and can contribute to
stability. It provides a specific, practical,
and step-by-step process to do so.
03 International Standards for Responsible Business in Conflict-affected and Fragile Environments
World Bank Photo: Graham CrouchUN Photo: Eskinder Debebe
Dealing with security issues:
the case of Roshan Telecom in
Afghanistan
Roshan Telecom, a telecommunications
company operating in Afghanistan, in
line with the Global Compact Guidance
on Responsible Business in Conflict-
Affected and High-Risk Areas and the
VPs, developed a “Community
Engagement Model” under which
local communities are given primary
responsibility for the security and
maintenance of the towers in their
neighborhoods. These activities brought
jobs and development to the local
population and resulted in fewer tower
attacks by the Taliban. It also resulted in
lower security costs when switching from
international to local security providers.
Roshan also made a positive impact by
improving health through telemedicine,
and battling corruption through mobile
banking.
4. The OECD
The OECD standards and guidance for responsible business conduct are the first and most comprehensive such standards.
Specific guidance was developed to help their implementation. Some address issues of key concern to conflict-affected
and fragile environments.
OECD Guidelines for Multinational Enterprises
(the MNE Guidelines), 1976 (updated in 2011)
Risk Awareness Tool for Multinational Enterprises
in Weak Governance Zones (2006)
OECD Due Diligence Guidance for Responsible Supply Chains
of Minerals from Conflict- affected and High-risk Areas, 2011
The MNE Guidelines:
• They are recommendations from
adhering governments to multinational
enterprises. They set principles and
standards for responsible business
conduct consistent with applicable laws
and internationally recognised standards.
The standard applies to all sectors, all
companies, and all operations of
businesses operating in or from adhering
countries.
• They address all major areas of
business ethics, including information
disclosure, human rights, employment
and labour, responsible supply chain,
environment, and anti-corruption.
• All 34 OECD countries and 12 non-
OECD countries adhere to the Guide-
lines. They cover most of the world’s
largest corporations but do not cover
the activities of businesses from non-
adhering countries (e.g. China, Russia,
India) in other non-adhering countries.
• They are voluntary for companies, but
governments are obligated to promote
implementation and companies are
expected to act in accordance with the
Guidelines. Some matters covered by the
Guidelines may also be regulated by na-
tional law or international commitments.
• They have a complaint/grievance
mechanism for alleged breaches of the
Guidelines. Complaints concerning a
company’s activities can be filed with
National Contact Points (NCP) of the
country where the business is domiciled
or in the country where the alleged
violation has taken place, provided this
is an adhering country..
• The Guidelines are overseen by the
OECD’s Working Party on Responsible
Business Conduct (within the OECD
Investment Committee), which consults
regularly with three key stakeholders:
the Business and Industry Advisory
Committee (BIAC), the Trade Union
Advisory Committee (TUAC) and OECD
Watch, an international network of civil
society organisations (CSOs).
The Risk Awareness Tool
• Designed tocomplement the OECD
Guidelines and to help businesses im-
plementing the OECD Guidelines when
operating in ‘weak governance zones’,
including conflict-affected areas.
• It addresses risks and ethical dilemmas
companies are confronted with in weak
governance zones including obeying
the law and observing international
instruments, heightened care in managing
investments, knowing business partners
and clients and dealing with public
sector officials, and speaking out about
wrongdoing.
• It is non- prescriptive and consistent
with the objectives and principles of the
OECD Guidelines.
Relevance for conflict-affected
and fragile environments
• The OECD Guidelines do not set
specific standards for conflict-affected
and fragile environments. However, due
diligence is a key aspect of the Guide-
lines and companies are expected to
conduct risk-based human rights due
diligence, and to act upon those
findings. If they operate in or with
business linked to conflict areas they
must conduct enhanced due diligence.
• They are also relevant because the
majority of large companies operating
in fragile environments are from OECD
adhering countries and are expected
to implement the Guidelines wherever
they operate. Key topics addressed by
the OECD Guidelines, such as human
rights, labour, and corruption are
significant issues in these environments.
• The complaint/grievance mechanism
of the OECD Guidelines can be
effective in contexts where governments
may lack the capacity or will to ensure
respect of international and/or national
standards on such issues as human
rights and corruption. However,
effective remedy remains rare.
• Leading multistakeholder-developed
standard for use by any company poten-
tially sourcing minerals and metals from
conflict-affected and high-risk areas.
• Provides a framework for detailed
risk-based due diligence as a basis
for responsible global supply chain
management of tin, tantalum, tungsten
(3Ts), their ores and mineral derivates,
and gold.
• It includes: 1) A 5-step due diligence
framework for responsible supply chains
of minerals from conflict-affected and
high-risk areas; 2) A model mineral
supply chain policy; 3) Suggested
measures for risk mitigation and
indicators for measuring improvement.
• Functions as a common reference
for both suppliers and stakeholders,
recognises the important role of civil
society, and encourages cooperation
and consultation throughout the due
diligence process.
• It is complemented by a simplified
guide to assist companies become
certified under the Africa regional
mineral certification scheme of the Great
Lakes (ICGLR).
• 12 African countries have made due
diligence a requirement for issuing
certificates under the ICGLR scheme.
The five steps of due diligence
Step 1. Strengthen due diligence skills,
internal systems and record keeping,
including through chain of custody
tracking and/or traceability systems
Step 2. Undertake individually, or in
cooperation with customers, a risk
assessment of mines, transportation
routes, points where minerals are traded
and suppliers
Step 3. Engage in risk mitigation and
regularly monitor risks in supply chain
Step 4. Participate in audit programmes
as they develop
Step 5. Describe annually due diligence
efforts and make the report available at
your offices and on your website
05 International Standards for Responsible Business in Conflict-affected and Fragile Environments
Photo: Dani Symonds
UN Photo: Yukata Nagata
Implementing the standards:
the example of the Democratic
Republic of the Congo (DRC)
In 2007, Afrimex, a UK-based company
trading coltan and cassiterite in the
DRC was accused by civil society
groups of not implementing the
OECD Guidelines and making illicit
tax payments to an armed rebel group
with a documented record of grave
human rights abuses. A complaint
was filed by Global Witness with the
UK National Contact Point against
Afrimex. The UK-NCP issued a strong
final statement, in which it confirmed
that Afrimex operated in violation of
OECD Guidelines and should take
measures to prevent conflict, including
by ensuring due diligence in its supply
chain. This decision was an important
development in the field of corporate
responsibility for human rights.
Unfortunately, NCPs cannot make
binding decisions on corporations
under the OECD Guidelines or impose
sanctions or forms of compensation
for victims of human rights abuses. In
February 2012, the DRC Government
passed a law making it a requirement
for all mining and mineral trading
companies operating in the DRC to
meet the OECD Due Diligence
Guidance for Responsible Supply
Chains of Minerals in Conflict-affected
and High-risk Areas.
Relevance for conflict-affected and
fragile environments
• The exploitation of 3TG minerals
and metals is closely associated with
conflict, particularly in the Great Lakes
region in Africa.
• The Guidance explicitly recognises
that in conflict-affected and high-risk
areas, companies involved in mining
and trade in minerals can generate
income, growth and prosperity,
sustain livelihoods and foster local
development. But they can also
contribute to or be associated with
significant adverse impacts, including
serious human rights abuses and
conflict. It is specifically targeted at
helping companies respect human
rights and avoid contributing to
conflict through their mineral
purchasing decisions and practices.
5. The IFC is a major lender in developing countries, and increasingly in conflict affected and
fragile environments. Its Performance Standards are relevant for a broad range of actors
operating in these contexts.
The Voluntary Principles are the only international standard that addresses the linkages
between security and human rights in conflict-affected and fragile environments. They have
led to the development of other initiatives to help improve international practice in this area.
IFC Performance Standards on Environmental and Social Sustain-
ability (the Performance Standards), 2006 (updated in 2012)
Voluntary Principles on Security and Human Rights (VPs), 2000
• All clients of IFC and of the
Multilateral Investment Guarantee
Agency (MIGA) must comply with the
Performance Standards.
• The objective of the eight
Performance Standards is to ensure that
the clients avoid, mitigate, or manage
the social and environmental risks and
impacts of their projects financed by
IFC/MIGA. IFC/MIGA monitor their
clients’ implementation of the standards
through required reporting, site visits,
etc.
• The Compliance Advisor
Ombudsman (CAO) was created
to receive complaints related to the
activities financed by IFC/MIGA. The
CAO’s Dispute Resolution function
provides a forum for communities and
companies to address grievances
through dialogue or mediation, if
both parties agree. The CAO can also
conduct an investigation to determine
whether IFC has complied with its
commitments in the design and super-
vision of the project. It does not have
the authority to order suspension or
cancellation of the project.
• The Performance Standards do not
require clients to undertake human
rights due diligence, as required by the
UNGPs and the OECD Guidelines for
Multinational Enterprises.
Relevance for conflict-affected
and fragile environments
• Although the Performance Standards
are not specific to conflict-affected and
fragile environments, they are increasingly
relevant because of IFC’s growing
portfolio in these contexts.
• The most relevant Performance
Standards in conflict-affected and fragile
environments are:
- PS 1: Assessment and Management
of Environmental and Social Risks and
Impacts: underscores the importance of
identifying Environmental and Social Risks
and Impacts, which can be particularly high
in conflict situations, and managing its per-
formance throughout the life of a project.
- PS 4: Community Health, Safety and
Security: recognizes that projects can bring
benefits to communities, but can also
increase potential exposure to risks. It refers
specifically to the fact that risks and impacts
may be greater in conflict and post-conflict
areas, including issues related to the role of
private security companies.
- PS 5: Land Acquisition and Involuntary
Resettlement: applies to physical or
economic displacement resulting from
land transactions such as expropriation or
negotiated settlements.
- PS 7: Indigenous Peoples: aims to ensure
that the development process fosters full
respect for Indigenous Peoples, including
the requirement to obtain the free, prior,
and informed consent under certain
circumstances.
Guidance to implement the
performance standards
• Eight Guidance Notes to implement
the Performance Standards, including
reference materials and good
sustainability practices.
• Interpretation Notes on Small and
Medium Enterprises and on Financial
Intermediaries.
• IFC also has a guide to human rights
impact assessment and management,
but its use is not a requirement.
The “Equator Principles,” which
have been adopted by more than 70
of the world’s leading investment
banks in developed and developing
countries, are based on IFC’s Perfor-
mance Standards. These principles
are estimated to cover nearly 90% of
project financing in emerging markets.
However, there is no grievance mech-
anism equivalent to the Compliance
Advisor Ombudsman (CAO) available
to communities affected by projects
that are financed by Equator Principle
Financial Institutions.
• Principles to guide companies in
maintaining the safety and security of
their operations while respecting human
rights. Developed in response to
allegations of human rights abuses
committed by private security providers
contracted by extractive industries.
• A multi-stakeholder initiative
involving 9 governments (Australia,
Canada, Colombia, Ghana, The
Netherlands, Norway, Switzerland,
United Kingdom and United States),
27 oil, gas and mining companies,
and 10 NGOs.
• Provide a framework for companies
to manage risk effectively by:
- Conducting a comprehensive
assessment of human rights risks
associated with security
- Engaging appropriately with public
and private security service providers
and surrounding communities in
complex environments
- Instituting human rights screenings
of and trainings for public and private
security forces
- Developing systems for reporting
and investigating allegations of
human rights abuses
• Members must submit annual reports
on how they are implementing the VPs.
Relevance for conflict-affected and
fragile environments
• Extractive industries have a strong
presence in conflict-affected and fragile
countries where security is a major issue
and governments’ capacity to provide it
is low, and because of the presence of
armed groups.
• Extractive companies often hire
private security providers who do not
always operate in a conflict-sensitive
way. As a result, many companies are
directly or indirectly involved in human
rights violations.
• The VPs focus on helping companies
address security issues while respecting
human rights in conflict-affected and
fragile environments.
Initiatives that complement
the VPs include:
• The Implementation Guidance Tool
for the VPs by the Democratic Control
of Armed Forces (DCAF) and the
International Committee of the Red
Cross (ICRC).
• The Toolkit for Addressing Security
and Human Rights Challenges in
Complex Environments, by DCAF
and ICRC.
• The National-Level Implementation
Guidance Note for the VPs by the Fund
for Peace, International Alert, and the
Norwegian Ministry of Foreign Affairs,
to provide guidance for initiating or
supporting a national-level process to
implement the VPs.
• The International Code of Conduct
for Private Security Providers (ICoC),
a multi-stakeholder initiative on the
responsibility of private security
providers to prevent the occurrence
of human rights abuses.
07 International Standards for Responsible Business in Conflict-affected and Fragile Environments
Photo Stock Snap: Kiran Vilapia UN Photo: Martine Perret
Conflict Sensitive Business
Practice Guidance for Extractive
Industries (2005, to be updated
in 2015)
Created by International Alert, can help
companies within extractive industries
adopt a conflict-sensitive approach to
their operations. Useful in combination
with other initiatives, like the Voluntary
Principles or the Extractive Industries
Transparency Initiative. It can be used
by non-extractive industries too.
Helps NGOs or affected communities
understand the potential risks and
impacts of companies operating in
conflict-affected and fragile
environments.
It includes a series of practical
documents on doing business in
situations at risk of conflict help under-
stand conflict risk: A Screening Tool
and a framework for early identification
of conflict risk, alerting the company
to the level of urgency required for
mainstreaming a conflict-sensitive
approach; A Macro-level and
Project-level Conflict Risk and Impact
Assessment tools, to deepen the initial
assessment made; Guidance on issues
where conflict could arise during a
company’s operation (e.g. dealing with
stakeholder engagement, resettlement,
compensation, indigenous peoples,
social investment, dealing with armed
groups, security arrangements, human
rights, corruption and transparency).
6. THE NEW DEAL FOR ENGAGEMENT IN FRAGILE STATES
(the NEW DEAL), 2011
Useful reference and links
The New Deal, signed by more than
40 countries and organisations, sets out
five Peacebuilding and Statebuilding
Goals (PSGs), principles, and commit-
ments to help countries transition out
of conflict and fragility. It recognises the
role for private sector in contributing to
building peaceful states and societies.
Of particular relevance are:
PSG 1 - Inclusive / legitimate politics.
Inclusive political settlements are
fundamental for conflict resolution
and for rebuilding trust and peace in
societies emerging from conflict. This
requires the participation of all key
actors in society. Conflict sensitivity is
key. Through its business practices, the
private sector can play a critical role in
either reinforcing or undermining
inclusive politics.
PSG 3 - Economic foundations.
All actors, including the private sector,
can help generate employment and
improve livelihoods and thus help
countries recover from a crisis. Private
sector actors can identify the best ways
to ensure their businesses contribute to
this goal.
PSG 4 - Revenues & services.
Domestic resource mobilisation from
taxation (e.g. corporate taxes), the
sound management of revenues and
accountable and fair service delivery are
key for re-building the trust between the
state and society in conflict affected and
fragile contexts. As a major contributor
to revenue generation, particularly in
countries with an important extractive
sector, the private sector can play a
unique role through sound and fair
corporate tax compliance, and in the
delivery of basic services, in ways that
reinforce institutional capacity, even in
crisis affected contexts.
- One national vision and plan is
necessary to lead a country out of
conflict and fragility. Private sector
actors, both domestic and
international ones, should make
themselves aware of the country’s
existing national plan, in order to
maximise alignment and
complementarity, where possible,
and to ensure their own investment
plans investment plans do not
undermine national economic
recovery and development.
- Country compacts are written
agreements between governments
and external actors, including
investors, which outline the terms
and conditions for partnership over
a given period. Private sector actors
should participate in the design and
implementation of compacts,
outlining what their specific
contribution will be, how they will
implement it, and how they will be
held accountable for delivering on it.
- Being transparent, using national /
country systems, and building
the capacity of public institutions
are key to ensuring that countries can
rebuild their institutions by reinforcing
and making the best use of their own
resources and capacities in ways that
allow them to become more resilient.
Private sector actors should commit
to the same approach by
implementing existing standards on
transparency, such as the Extractive
Industry Transparency Initiative, and
by investing in country systems and
capacities as core elements of
responsible business.
GENERAL STANDARD AND
IMPLEMENTING GUIDANCE
UN Guiding Principles on Business
and Human Rights (UNGPs)
http://www.ohchr.org/EN/Issues/Business/
Pages/BusinessIndex.aspx
The Corporate responsibility to respect
human rights: An interpretive guide
http://www.ohchr.org/documents/publications/
hr.pub.12.2_en.pdf
UNGPs Reporting Framework
http://www.ungpreporting.org/
Human Rights Compliance Assessment
https://hrca2.humanrightsbusiness.org/
Page-HumanRightsComplianceAssessment-35.
aspx
European Commission guidance on the
implementation of the UNGPs
www.ec.europa.eu/enterprise/policies/
sustainable-business/documents/corporate-
social-responsibility/index_en.htm
How to use the UNGPs: A guide for Civil
Society Organisations (SOMO)
www.somo.nl/publications-en/Publication_3899
OECD Guidelines for Multinational Enterprises
http://mneguidelines.oecd.org/
IFC Performance Standards on Environmental
and Social Sustainability
http://www.ifc.org/wps/wcm/connect/
Topics_Ext_Content/IFC_External_
Corporate_Site/IFC+Sustainability/Our+
Approach/Risk+Management/Performance+
Standards/
IFC Eight Guidance Notes
http://www.ifc.org/wps/wcm/connect/
topics_ext_content/ifc_external_corporate_site/
ifc+sustainability/our+approach/risk+
management/performance+standards/
performance+standards+-+2012
IFC Interpretative Notes on Small and Medium
Enterprises and on Financial Intermediaries
http://www.ifc.org/wps/wcm/connect/
topics_ext_content/ifc_external_corporate_site/
ifc+sustainability/our+approach/risk+
management/performance+standards/
environmental+and+social+performance+
standards+and+guidance+notes
IFC guide to human rights impact
assessment and management
http://www.ifc.org/wps/wcm/connect/
Topics_Ext_Content/IFC_External_Corporate_
Site/Guide+to+Human+Rights+Impact+
Assessment+and+Management
The Principles for Responsible
Investment Initiative
http://www.unpri.org/about-pri/the-six-
principles/
The Equator Principles
http://www.equator-principles.com
RESOURCES SPECIFIC TO CONFLICT
AFFECTED AND FRAGILE ENVIRONMENTS
Multi-sector
UN Global Compact Guidance on Responsible
Business in Conflict-Affected and High-Risk
Areas
https://www.unglobalcompact.org/
resources/281
OECD Risk Awareness Tool
http://www.oecd.org/corporate/mne/
weakgovernancezones-riskawarenesstool
formultinationalenterprises-oecd.htm
Redflags Portal
http://www.redflags.info/
From Red to Green Flags Report
http://www.ihrb.org/publications/reports/from_
red_to_green_flags.html
Sector specific
OECD Due Diligence Guidance for
Responsible Supply Chains of Minerals
http://www.oecd.org/daf/inv/mne/mining.htm
Obtaining ICGLR Certification -
simplified guide for companies
http://www.oecd.org/daf/inv/mne/
EasytoUseGuide_English.pdf
Conflict Sensitive Business Practice
Guidance for Extractive Industries
http://www.international-alert.org/resources/
publications/csbp-extractive-industries-en
Extractive Industries Transparency Initiative
https://eiti.org/
Due Diligence Guidance for Meaningful
Stakeholder Engagement in the Extractives
Sector
http://www.oecd.org/daf/inv/mne/OECD-
Guidance-Extractives-Sector-Stakeholder-
Engagement.pdf
Kimberley Process Certification Scheme
http://www.kimberleyprocess.com/en
IPIECA Guide to operating in areas
of conflict for the oil and gas industry
http://www.ipieca.org/publication/guide-
operating-areas-conflict-oiland-gas-industry
Conflict Free Sourcing Initiative
http://www.conflictfreesourcing.org/
ITRI Tin Supply Chain Initiative
https://www.itri.co.uk/
Conflict Free Tin Initiative
http://solutions-network.org/site-cfti/
Conflict-Free Gold Standard
http://www.gold.org/sites/default/files/
documents/Conflict_Free_Gold_Standard_
English.pdf
Voluntary Principles on
Security and Human Rights
http://www.voluntaryprinciples.org/
Implementation Guidance Tool for the VPs,
by DCAF and ICRC
www.voluntaryprinciples.org/files/
Implementation_Guidance_Tools.pdf
Toolkit for Addressing Security and Human
Rights Challenges in Complex Environments
by DCAF and ICRC
www.securityhumanrightshub.org/content/
toolkit
National-Level Implementation Guidance
Note for the VPs, by the Fund for Peace,
International Alert and the Norwegian Ministry
of Foreign Affair
www.international-alert.org/resources/
publications/voluntary-principles-
security-and-human-rights
International Code of Conduct for
Private Security Service Providers
http://icoca.ch/en/the_icoc
Roundtable on Sustainable Palm Oil
http://www.rspo.org/
Country specific initiatives
Democratic Republic of Congo: Great Lakes
Mineral Tracking and Certification Scheme
http://www.icglr.org/images/ICGLR%20
Certification%20Manual%20 Final%20Nov%20
2011En.pdf
Manual Conflict Sensitivity Due Diligence
for Timber Companies in the Congo Basin
https://ic.fsc.org/preview.swisspeace-
danzer-conflict-due-diligence-manual-en.a-
3563.pdf
Do No Harm Guide for companies
sourcing from the DRC
http://www.globalwitness.org/library/do-no-
harm-guide-companiessourcing-drc
Colombia Guidelines on Human Rights
and International Humanitarian Law
http://archive.ideaspaz.org/images/
Propuestas%204%20Guias%20Colombia%20
FINAL%20agosto%202013%20web.pdf
Chinese Guidelines for Social Responsibility in
Outbound Mining Investments
https://www.emm-network.org/wp-content/
uploads/2014/10/Guidelines-for-Social-
Responsibility-in-Outbound-Mining-
Investments.pdf
Indian National Voluntary Guidelines
for the Social, Environmental and Economic
Responsibilities of Business
http://iipcollaborative.org/wp-content/uploads/
sites/3/2014/06/NVG-Genesis-Document.pdf
The background material for this brochure was
provided by SOMO, the Centre for Research on
Multinational Corporations, at the request of the
International Dialogue on Peacebuilding and
Statebuilding.
09 International Standards for Responsible Business in Conflict-affected and Fragile Environments
UN Photo: Isaac Billy
The New Deal is a key framework guiding national and international action in conflict-affected
and fragile environments developed jointly by conflict affected countries and international partners.
7. The New Deal facilitates
country-led and country-owned
transitions out of fragility.
It fosters cooperation and mutual
trust between stakeholders to
guarantee better results.
The 5 Peacebuilding and
Statebuilding Goals (PSGs):
• Legitimate Politics; foster
inclusive politics
• Security; establish and
strengthen security for all
• Justice; address and increase
people’s access to justice
• Economic Foundations; develop
jobs and opportunities
• Revenues & Services; manage
resources and create capacity
for fair service delivery
These goals should guide the
identification of peacebuilding and
statebuilding priorities and donor
engagement at the country level.
This publication was made
possible, in part, thanks to
the generous support of
the European Union