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Advancing Corporate Responsibility
Global companies are increasingly vigilant regarding labor conditions in their supply chains and to their impact on the communities where they do business, especially in countries where the rule of law may be weak. USCIB, with longstanding expertise and strong linkages to global bodies like the UN and the International Labor Organization, is ideally positioned to advise members on how best to navigate this sometimes rocky terrain, and to represent industry views to international bodies concerned with labor, human rights and corporate responsibility.
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Business and Human Rights
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Companies are increasingly asked to validate the integrity of their operations and those of their suppliers around the world. New initiatives, like the California Transparency in Supply Chains Act and provisions of the Dodd-Frank law, require business to disclose efforts to purge supply chains of forced labor and other human rights abuses.
USCIB has worked hard to engage companies and policy makers on the importance of maintaining high standards and improving performance throughout the supply chain. We have also sought to foster alternatives to the prescriptive approach contained in Dodd-Frank and similar measures, which fail to address underlying problems of governance and are therefore unlikely to meaningfully curb human rights abuses.
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In 2011, we were deeply involved in the development of UN Guiding Principles on Business and Human Rights, overseen by Prof. John Ruggie, the UN special representative for business and human rights. The principles instruct companies to respect human rights and institute a due diligence process to “know and show” that they do. But they also clearly state that companies cannot assume the responsibilities of governments, and that suppliers are themselves responsible for complying with national law and respecting human rights.
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China Embraces ICC Marketing Code
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When the Chinese advertising industry decided it needed its first-ever self-regulatory code, it looked to the International Chamber of Commerce’s Marketing and Advertising Code. The ICC Code, newly revised and consolidated with extensive input from USCIB members, requires marketing and advertising to be honest, decent, legal – and truthful, and includes a number of more focused provisions on everything from digital advertising to green marketing. USCIB outreach was an important factor in convincing the Chinese to embrace the ICC Code.
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Atlanta Forum on Human Rights
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In April 2011, USCIB, the International Organization of Employers and the U.S. Chamber of Commerce organized another in a series of workshops on how companies address forced labor, child labor and human rights. “Engaging Business – Implementing Respect for Human Rights,” hosted by The Coca-Cola Company in Atlanta, reviewed the UN Guiding Principles (see above). L-R: Brent Wilton (IOE), Dawn Conway (LexisNexis), David Schilling (Interfaith Center on Corporate Responsibility), Ed Marcum
(Humanity United).
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OECD Guidelines Revision
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The 2011 update of the OECD Guidelines for Multinational Enterprises, the most comprehensive non-binding code of responsible business conduct, was strengthened with input from the business community via USCIB and BIAC, the Business and Industry Advisory Committee to the OECD. The OECD Guidelines cover disclosure, human rights, employment and industrial relations, environment, bribery, consumer interest, science and technology, competition and taxation.
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Related USCIB Policy Committees:
Corporate Responsibility
Environment
Health Care
Labor and Employment
Marketing and Advertising
Product Policy
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