Conceptual framework for corporate responsibility to prevent THB and practical application Conny Rijken

Conclusion

• Corporate Social Responsibility requires governmental guidance

• States are obliged to impose binding legislation upon companies

Titelpresentatie in Footer 2 6-10-2014

UN PRR Framework & Guiding Principles

Articulation Corporate Responsibility to Respect in GPs - (GP11) Avoid infringing on HR of others and address

adverse HR impacts - (GP 12) Concerns at a minimum, human rights

articulated in - International bill of human rights - the principles concerning fundamental rights ILO Declaration on fundamental principles and Rights at work

- Applies to all companies, both core companies and affiliates (GP 14) – scope proportional

- Extends beyond companies own activities, including those down the supply chain, irrespective of whether the company has contributed to those impacts.

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Three pillars

1. State Obligation to Protect

2. Corporate Responsibility to Respect

3. Remedies

UN PRR Framework & Guiding Principles

Corporate Responsibility to Respect HR: Human rights Due Diligence Critique:

• Lack of tools to ensure corporate compliance • Lack of a legal base • Broad application (affiliates and down supply chain)

But:

• Ius Cogens nature of the norms violated in case of THB: slavery (like practices)

→ California Transparency in Supply Chains Act → Dodd-Frank Act

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Operationalizing the PRR Framework and GPs in the context of THB

1. Adopt a human rights policy (GP 16)

2. Assess actual and potential human rights impact (GP 18)

3. Integrating commitments and Assessments into internal control and oversight mechanisms (GP 19)

4. Track and report performance (GP 20,21)

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Adopt a human rights policy (GP 16)

A. Responsibility for own activities - Not perform THB themselves - Adhere national (criminal) law - International standards apply if national ones

are absent - Athens ethical Principles / Luxor Protocol / ILO

indicators

B. Responsibility down the supply chain - Convince that business relations are not

associated with THB practices - Critics: relation with seperation of legal entities

(other legal concepts) and crucial dependency

Guiding Principle16: Senior approval

In/external advise

Stipulate human rights expectations of business relations

Policy publicly available

Embedded in procedures

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Assess actual and potential human rights impact (GP 18)

Guiding Principle 18: Impact own activities and Business relations Internal/external Advice Consultation with stakeholders

A. Responsibility for own activities

- Special attention for vulnerable groups - Practices vulnerable to abuse - Prevent reverse human rights impact

B. Responsibility down the supply chain

- Risks are comparable to A - Due diligence: know or should have known slavery

like conditions down supply chain (Rana Plaza)

Integrate commitments & assessments into internal control & oversight mechanisms (GP 19)

A. Responsibility for own activities

- Labour rights education

- Representation

- Mentality change employers

- Facilitated by States, turn into an obligation

B. Responsibility down the supply chain

- Based on leverage

- Responsibility to prevent, not an obligation

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Guiding Principle 19: Integrate: Assign to Appropriate level Decision and oversight processes, budget allocation enable responses Appropriate action depends on: - Who is the cause? - Extent of leverage

Track and Report Performance (GP 20-21)

A. Responsibility for own activities

- Number of victims

- Measurable indicators (Athens Ethical principles, Dhaka Principles, ILO)

- Lack of monitoring tools for stakeholders

B. Responsibility down the supply chain

- Measurable indicators for business relations

- Transparency activities down supply chain

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Guiding Principles 20 and 21: Qualitative and quantitative indicators Communicate Externally Sufficient information to assess performance

Cross cutting issues in the implementation

• Reluctance to cooperate, not wanting to be associated with THB

• Multiple instruments, initiatives on certificates

• Awareness raising, trigger cases, media

• Business listen to business

• important role for employer organisations

• Need for practical tools

• Role of governments

• Difficulties prosecuting THB for labour exploitation

• Neglect and acceptance of lower standaards for migrant workers

• THB sensitivity in public procurement procedures

Risk factors in the Agricultural sector

Structural risks - Low paid and unskilled labour

- Prize competition (role of retail, The Netherlands)

- Informal sector, irregular migrants (Italy and Spain)

- Foreign workers attracted despite high unemployment rates leads to racism and social acceptance of their poor labour conditions (despite reluctance of domestic workforce to work in the sector)

- High dependency on employer

- Dubious intermediaries

Implementation: The Netherlands

CSR toolkit

-Poster on Good Employment Practices

-A Guide

-Card for employees with rights in a nutshell

Memorandum on GRASP National Implementation document

- Explanation of GRASP; social paragraph to GlobalG.A.P. (www.globalgap.org )

- ensure compliance with Dutch and international law obligations as the GRASP assessment claims to be

Thanks for your attention

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