Voluntary versus regulatory – How best to ensure compliance?
A key issue that emerges in the discussion on business and human rights is the question of how to ensure companies respect human rights – what approaches will best guarantee corporate compliance with international human rights standards?
As you saw in the readings in the previous item, the Guiding Principles are criticized because of their non-binding character. On the other hand, some argue that it will be too difficult to agree new international treaties, or to use law and the courts to enforce them against companies. Therefore, they suggest a better option is to engage with companies and convince them to voluntarily agree to implement specific standards.
In certain business sectors, companies have joined with NGOs, and sometimes governments, to agree on a set of “unofficial” standards regarding human rights, and to pledge that they will implement those standards. Examples include:
- Global Network Initiative – involving Information and Communications Technology (ICT) companies signing up to principles regarding freedom of expression and privacy protection on the Internet.
- Voluntary Principles on Security and Human Rights – involving Extractive Industry (mining, oil, gas) companies in signing up to principles regarding the conduct of security personnel at their operations.