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Towards an International Human Rights Framework for Corporate Accountability: The United Nations Human Rights Norms for Business
By Kathambi Kinoti
AWID

In December 2003, the community of Rupokwu in Nigeria suffered a devastating oil spill after part of an oil pipeline that runs through the area burst. As a result, water wells were contaminated, depriving the community of drinking water. Farmlands and fishponds were also destroyed and most families in this farming community lost their source of income. The oil pipeline is operated by the multinational corporation (MNC) Shell Petroleum Development Corporation in partnership with the Nigerian National Petroleum Corporation. Neither entity has cleaned up after the oil spill. The incident and consequent inaction by Shell and the Nigerian government have caused human rights violations to the people of Rupokwu. Their right to a clean and healthy environment and an adequate standard of living have clearly been violated.

In 1984, a toxic gas leak in the Indian city of Bhopal caused enormous damage to the lives and livelihoods of the community. The leak occurred at a plant of another MNC, the Union Carbide Corporation. Within three days, more than 7000 people had died and thousands more were injured. Today, more than 20 years later, over 100 000 people suffer chronic and debilitating illnesses and babies are born with birth defects. Many women have been unable to have children and suffer social stigma and discrimination. Union Carbide, which denied responsibility for the leak, has transferred its assets and operations to another corporation that denies it has inherited its predecessor’s liabilities. Union Carbide has refused to submit to the jurisdiction of the court in Bhopal where community members have sought justice. The people of Bhopal have suffered numerous rights violations, such as their right to life, health, an effective remedy before the courts, an adequate standard of living and a safe environment.

Women in the least developed countries (LDCs) form the majority of people most vulnerable to human rights violations by MNCs. They bear the brunt of the destruction of environments and livelihoods. They also form the majority of low-wage workers. The Bhopal case illustrates the discrimination that women can be subjected to. However, it is not only in the LDCs that women suffer corporate abuses. Wal-Mart, an American corporation currently faces a lawsuit from present and former female employees, who accuse it of sex discrimination in promotion and healthcare provision.

Why should MNCs be subjected to international regulation?

The process of globalization has resulted in the acquisition of immense power by MNCs, particularly in developing countries where they are able to shape policy and influence governments. In LDCs they often cause human rights abuses with impunity and exhibit a lack of transparency, behaving in ways that they would not be able to in their home countries in the global North. MNCs operate across national borders and individual governments cannot effectively regulate their activities. They sometimes avoid accountability by taking advantage of laws that allow them to transfer their business or operate under different corporations, as illustrated by the Union Carbide Corporation and the Placer Dome Corporation, which has caused human rights violations in the mines of the Philippines.

Even when countries have national laws governing the activities of corporations, these laws are often inadequate or not applied to MNCs, particularly in developing countries. The corporations often work in areas that are rich in natural resources but are not developed, where they exploit the environment and local populations, even causing their displacement and threatening their cultural heritage.  In Kenya for instance, a Canadian mining MNC, Tiomin Inc. recently came into conflict with a local community when its activities infringed upon the forests that the community has held sacred for centuries.  Since MNCs have so much power, previously wielded only by governments, there is a need for an international regulatory framework within which they can operate. It is impossible to achieve sustainable development and alleviate poverty without protecting the human rights and dignity of all people.

The UN norms for business

The United Nations Norms on the Responsibilities of Transnational Corporations and other Business Enterprises with Regard to Human Rights were adopted in August 2003 by the UN Sub-Commission on the Protection and Promotion of Human Rights. The Norms were drafted with the assistance of business, unions and NGO’s despite significant opposition from some governments and MNCs.

The Norms address the obligations that corporations have in their areas of activity and influence. They impose obligations on States to ensure that MNCs and other business corporations respect human rights, and enumerate and elaborate the obligations of businesses. Some of these obligations are as follows:

  • To ensure equal opportunity and non-discriminatory treatment of all persons regardless of sex, nationality, age, religion, social and other status.
  • To respect national sovereignty.
  • To respect human rights including the rights to development, adequate food and drinking water, the highest attainable standard of physical and mental health, adequate housing, privacy, education, freedom from forced labour and the exploitation of children.
  • To protect the environment.
  • To avoid corruption and maintain transparency.
  • To ensure consumer protection and public safety.
  • To observe the precautionary principle, which means avoiding or reducing the risk of accidents or harm to the environment or people.
  • To provide reparation to persons or communities who have been adversely affected by the failure of MNCs to comply with the Norms.

The Norms do not completely cover all aspects of MNC dealings. For instance the issue of mergers and acquisitions such as the Union Carbide – Dow one are not adequately addressed. Again, the issue of privatization of previously public-owned entities is neglected. Where governments previously provided public services, corporations are likely to take short-cuts and overlook the greater public good, limiting for instance, access to water for all.

The Norms are not an international treaty and are therefore not legally binding on states or corporations. This, perhaps, raises the greatest concern as implementation cannot ensured. However, they can be used by governments to enact legislation and shape policy. They can also be used by corporations to design their business policy. Human rights advocates can use the Norms in their advocacy work, and national and international tribunals can refer to them.

Are the norms adequately engendered?

According to the Women’s Environment and Development Organization (WEDO), though the Norms do reflect some concern for gender issues they do not adequately integrate all issues. They observe the principle of equality of opportunity and treatment. However they should do the following:

1.      Identify women being among the vulnerable groups.

2.      Recognize gender-based violence as violating the right to security of the person.

3.      Address sexual harassment and other forms of gender-based violence in the workplace.

4.      Require gender-equitable policies in lay-offs, contract work and temporary work.

5.      Address gender inequities in hiring, training, promotion and retention policies.

6.      Address the inclusion of women in corporate decision-making.

What can women's rights advocates do in support of the norms?

1.      Use the Norms in education, advocacy and lobbying efforts to influence legislative and policy changes and to participate in solidarity actions with affected communities.

2.      Use the Norms to monitor, document and challenge corporate violations.

3.      Make use of the Briefing Kit prepared by the International Network for Economic, Social and Cultural Rights (ECSR-Net). The Kit contains background information on the Norms, case studies, analysis and recommended actions. It can be downloaded at http://www.escr-net.org/EngGeneral/unnorms1.asp

4.      Support development and implementation of the Norms by joining lobbying efforts such as those by ECSR-Net before the next Commission on Human Rights, which will take place from March 14 to April 22, 2005. For more information, visit ECSR-Net’s website at http://www.escr-net.org.

Notes:

The UN Human Rights Norms for Business can be downloaded at:
http://daccessdds.un.org/doc/UNDOC/GEN/G03/160/08/PDF/GO316008.pdf?OpenElement.

Published in:

Association for Women’s Rights in Development (AWID) ©
Resource Net, Friday File
Issue 213
Friday, February 11, 2005