Human Rights are a Business Matter
Over the past decade there has been growing recognition that business has a substantial impact on human rights. Responsible business practices can help promote and protect rights. Irresponsible business practices can lead directly to grave violations of a wide range of universally protected human rights.
Government trade and investment policies that fail to consider human rights concerns make things worse. Some companies and governments have taken steps to maximize the benefit and minimize the harm that trading arrangements and company operations have on human rights protection. But there is still far to go.
1. In the boardroom
There are now a plethora of human rights codes of conduct, guidelines and other documents for businesses to apply in their operations. They provide guidance to companies and encourage responsible operations, improving human rights protection in the areas where they operate. Some apply to particular industries, others are of broad application. Some are used at the global level, while others are limited to a particular country.
What they all have in common though is that they are completely voluntary. There is no requirement that companies adopt any of these codes or guidelines. They can pick which ones to adhere to and which ones to ignore, or ignore them all if they wish. If they do sign on, there is no obligation to provide public reports detailing their compliance.
Some companies and governments have insisted that the best approach to strong human rights performance is to simply trust companies to do the right thing. However, trust has never been enough when it comes to human rights protection. Over the past six decades, governments have signed on to an impressive array of human rights declarations and treaties. It has never been considered enough to just sit back and trust them to comply.
There is nothing wrong with promoting and encouraging voluntary efforts to protect human rights. But human rights protection is far too important to be left only to goodwill and volunteers. Amnesty International calls on governments to move beyond voluntarism and develop a legal framework at both the international and national levels for the human rights responsibilities of businesses. We strongly support the work of the UN human rights system to develop international standards. It is vital that domestic standards be developed by governments. Several companies now also appear to support the need for something beyond voluntarism, highlighting that clear legal requirements would mean consistency and predictability for companies.
Now is the time for Canada to finally develop legal standards. In June 2005, the House of Commons Standing Committee on Foreign Affairs and International Trade's Sub-Committee on Human Rights and International Development issued a report on corporate responsibility within the Canadian mining and extractive sector. [1] Among other recommendations, the report called on Canada to strengthen and develop new mechanisms for monitoring the activities of Canadian mining companies in developing countries. It called for clear legal norms regarding the accountability of Canadian companies for environmental and/or human rights violations.
In response, the government consulted with the National Roundtables on Corporate Social Responsibility and the Canadian Extractive Sector in Developing Countries. The report from this process and recommendations to government on law and policy was released in March 2007. To date, the Canadian government has not responded.
For more information, please visit Business and Human Rights: Canadian Regulations.
To TAKE ACTION, please visit: Business and Human Rights - Actions Index
2. In trade deals
Canada is currently a member of the World Trade Organization and is party to the North American Free Trade Agreement with the United States and Mexico. We have bilateral deals with Chile, Costa Rica and Israel and are currently negotiating many possible multilateral trade agreements and several other types of bilateral foreign investment protection agreements. Despite this extensive range of agreements and arrangements, the government has no clear policy recognizing that human rights are of paramount importance in trade and investment. There are no requirements that:
- human rights obligations be incorporated into these agreements
- enforcement mechanisms be established to guard against trade deals leading to human rights violations
- trade deals be subjected to rigorous human rights impact assessments
- special attention be paid to the human rights of particularly vulnerable sectors of society, including women and Indigenous peoples.
It is time to bring human rights into the very heart of Canadian trade policy. At the global level, negotiations within the World Trade Organization's Doha Development Agenda have been suspended. The impasse may provide opportunities for new approaches. Negotiations for a proposed Free Trade Area of the Americas have stalled, again opening space for a different approach. With global and hemispheric initiatives in a deadlock, Canadian officials are focusing on regional and bilateral trade deals. It is crucial that human rights become a focal part of those negotiations.
- The government should ensure that the main text of all trade and investment agreements that are negotiated or adopted by Canada includes explicit reference to the full spectrum of international human rights norms.
- The government should undertake human rights impact assessments of trade rules during negotiations and following the adoption of new trade agreements. Assessments should be public, independent and transparent and should pay particular attention to the plight of the most disadvantaged and vulnerable sectors society.
Notes:
[1] Mining in Developing Countries and Corporate Social Responsibility, Standing Committee on Foreign Affairs and International Trade, Fourteenth Report, 38th Parliament, 1st Session, (June 2005).
Posted: 17 December 2007