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Friday, June 25, 2021
Peter Paul van de Wijs is Chief External Affairs Officer, Global Reporting Initiative (GRI)
AMSTERDAM, Netherlands, Nov 26 2019 (IPS) - Unanimously endorsed by the UN Human Rights Council in 2011, the Guiding Principles on Business and Human Rights are the authoritative global reference point articulating the responsibilities of companies to respect and protect human rights.
The UN Forum on Business and Human Rights meets this week in Geneva, where the theme is ‘governments as catalysts for business respect for human rights’. The Forum is an important opportunity to assess the progress nation states have made towards meeting their duty under the Guiding Principles, through the implementation of National Action Plans (NAPs) on Business and Human Rights.
The need for strengthened transparency
So, how are governments doing so far through their NAPs? An analysis by GRI – the international organization that helps governments and organizations understand and communicate their impacts – finds there is plenty of room for improvement.
We have reviewed the 23 NAPs produced by countries so far, which has identified that much more needs to be done by governments to help businesses understand, mitigate and improve their human rights impacts.
Strengthening transparency and reporting requirements is required, if governments are to stimulate the changes needed in business behavior. Our analysis found wide divergence in how countries set out expectations and provide support for businesses to effectively disclose and manage human rights risks.
Recommendations for change
GRI has singled out ten key recommendations, providing governments with practical advice on how their NAPs can use corporate reporting to improve their effectiveness.
While primarily aimed at governments drafting or updating their NAPs, these recommendations are also relevant to other stakeholders, including businesses, civil society, and research and national human rights institutions.
We identify that the NAPs need to:
Improved accountability through reporting
When it comes to human rights, the old phrase ‘what you don’t know won’t hurt you’ could not be further from the truth. The reality is that understanding how businesses can contribute towards fulfilling the aims of the UN Guiding Principles is impossible without clarity on how individual companies are performing, from a sustainability standpoint.
And that’s why our number one recommendation to governments is to improve reporting through requiring the use of international disclosure frameworks based on a multi-stakeholder and independent standard-setting process.
Experience shows the duty of governments to protect human rights cannot be fully realized through voluntary guidelines or self-regulation by companies alone.
Globally relevant disclosure standards
The GRI Standards, the world’s most widely adopted sustainability reporting framework, provide a cornerstone for any company seeking to be transparent about their impacts – and human rights are an important thread throughout.
Human rights impacts are addressed through GRI’s universal Standards – which every organizations that reports through GRI must use – as well as topic-specific Standards on child labor, and forced or compulsory labor. Yet we’re not standing still.
GRI is currently carrying out a review to see how we can further improve the positioning of human rights, which may include the development of new Standards or disclosures. We do this through an inclusive and multi-stakeholder approach, taking on board views from all parties.
This will include input from policy makers, NGOs, UN and human rights organizations – and, of course, businesses themselves.
We need smart solutions
No single initiative by governments and businesses will be able provide the comprehensive monitoring, mitigation and protection of human rights that is required. What we need is a ‘smart mix’ of policy measures – voluntary and mandatory, national and international.
It’s only through concerted effort and collaboration that we will be able to ensure the improved human rights reporting that will ultimately underpin the success of the UN Guiding Principles. GRI, through our mission to drive up corporate transparency and accountability standards around the world, is determined to be a part of the solution.
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