OECD Guidelines for Multinational Enterprises

The Organisation for Economic Cooperation and Development (OECD)

Guidelines for Multinational Enterprises provide voluntary principles and
standards of corporate behaviour in areas such as human rights, the supply
chain, employment and industrial relations, the environment, and combating
bribery. Governments that adhere to the guidelines are committed to
promoting compliance by businesses wherever they are operating, as well as
raising awareness of the guidelines and implementing the complaints
procedure through the setting up of National Contact Points.

In 2010, the UK National Contact Point considered five complaints about the
behaviour of UK and overseas businesses. Of these, one related to a trade
union dispute in India, which was successfully resolved through the UK
National Contact Point’s sponsored professional mediation. Three of the
complaints were related to business activity in the UK, and the UK National
Contact Point concluded that none of the three companies involved had
breached the combating bribery chapter of the guidelines. The National
Contact Point also rejected the final complaint, related to activity in
Bangladesh, at the initial assessment stage for lack of sufficient supporting
evidence. In addition, the UK National Contact Point published its first “follow
up statement” to a complaint against a company previously found to have
breached the guidelines. In September 2009, the UK National Contact Point
found that a UK company operating in India had breached various chapters,
including the human rights provision, of the guidelines. The “follow up
statement” reflected the company’s and the complainant’s responses on the
implementation of the recommendations made by the UK National Contact
Point to the company.

Negotiations are currently underway in the OECD to update the guidelines.

We want to see the guidelines expanded to include practical guidance to
assist companies respect human rights, including in their supply chain, and to
improve the effectiveness of National Contact Points and of the complaints
procedure across the OECD.