(image via Australian Human Rights Commission)
Major companies from around the world across three critical industries have fared badly in a ranking of corporate performance on major human rights issues.
Releasing by the UK based NGO Business Human Rights Centre in conjunction with Aviva Investors and a number of other nonprofits and European governments, the Corporate Human Rights Benchmark report assesses some of the best-known companies across the apparel, agricultural products and extractive industries on their performance in observing basic good practices regarding human rights.
The results were not encouraging: out of a possible 100, the average overall score came in at just 28.7.
Indeed, just three of the 98 companies – BHP Billiton, Marks & Spencer Group and Rio Tinto – came in with a score of 60 or above.
Nine companies received the lowest possible score of between 0 and ten percent: Coal India, China Petroleum & Chemical, Ross Stores, Kohls, Oil & Natural Gas Corporation, Yum! Brands, Groupo Mexico, Macy’s and Costco Wholesale.
In its observations, the report laments a skewing of results toward lower bands of achievement.
Whilst many of the companies had made high level commitments, it said these were often not followed through.
Engagement with impacted stakeholders such as communities and workers was also lacking and there was a gap between responding publicly to serious allegations and taking appropriate action.
It said lower performers needed to lift their game.
“The large majority of low performing companies (0-29%) are falling overwhelmingly behind, with all the dangers for human rights abuse of workers and communities that this implies,” the report said.
“The leading companies in the Benchmark have recognised the moral imperative, business case, and commercial viability of taking action on human rights, and the critical mass of low performing companies must now look to the leaders’ example and make urgent improvements.”
Criteria upon which the measurements were based include governance and policies, embedding respect and human rights due diligence, remedies and grievance measures, company human rights practices, responses to serious allegations and transparency.
In their report, the authors say they want to encourage greater dialogue about how companies can improve their human rights practices.
The authors also say the focus should be on how individual companies improve over time as opposed to their individual results today.
