The ILO Tripartite Declaration of Principles concerning Multinational Enterprises and Social Policy and The OECD Guidelines for Multinational Enterprises INTERNATIONAL TRAINING CENTRE OF THE ILO - Turin (Italy) 26 November 2003 (Fons Vannieuwenhuyse – ICFTU)

What are they? The ILO Declaration and the OECD guidelines express the shared view of what is believed to be good corporate behaviour. Both are a set of recommendations for multinational enterprises agreed by governments, trade unions, employer federations and, in the case of the OECD Guidelines, some NGO’s.

What they have in common At the national level, they do not replace binding regulations (the law) to govern corporate activity and global markets. They are in addition to that. At the national level, they do not replace binding regulations (the law) to govern corporate activity and global markets. They are in addition to that. At the international level, in the almost complete absence of international legally binding rules, the ILO Declaration and the OECD Guidelines are one of the very few ‘agreed’ international instruments for trade unions to help create an environment in which workers can organise and unions can freely perform their functions. At the international level, in the almost complete absence of international legally binding rules, the ILO Declaration and the OECD Guidelines are one of the very few ‘agreed’ international instruments for trade unions to help create an environment in which workers can organise and unions can freely perform their functions.

They are not binding in a legal sense but as they have been adopted by governments (i.e. governments agreed that this is what is expected of companies) they are not voluntary either. They are minimum standards This is different from a “if you want to do something more than the others, this is what you can do” approach.

Their application does not depend on the endorsement of companies, as they have been adopted at the international level and apply to companies in general. Their application does not depend on the endorsement of companies, as they have been adopted at the international level and apply to companies in general. Companies can also not pick and choose among the provisions of the Declaration and the Guidelines, nor subject them to their own interpretations. Companies can also not pick and choose among the provisions of the Declaration and the Guidelines, nor subject them to their own interpretations. For both instruments, there is a procedure to determine what they actually mean. For both instruments, there is a procedure to determine what they actually mean.

No definition of a multinational (ILO Declaration): “to serve its purpose this Declaration does not require a precise legal definition of multinational enterprises”. (OECD Guidelines): «A precise definition of multinational enterprises is not required for the purposes of the Guidelines. (……) The Guidelines are addressed to all the entities within the multinational enterprise (parent company and/or local entities).» Encourage, where practicable, business partners, including suppliers and sub-contractors, to apply principles of corporate conduct compatible with the Guidelines

The difference between them In very general terms: The ILO Declaration has more detailed recommendations on labour issues, while the OECD Guidelines cover a broader range of corporate activities.

History Both were agreed upon and adopted in the 70’s, at a time when there was public concern that Multinational enterprises were becoming too powerful. The OECD Guidelines were adopted in 1976, the ILO Declaration in A few years later, the negotiations about a UN code on Transnationals failed. Both were agreed upon and adopted in the 70’s, at a time when there was public concern that Multinational enterprises were becoming too powerful. The OECD Guidelines were adopted in 1976, the ILO Declaration in A few years later, the negotiations about a UN code on Transnationals failed. There was a first phase where both were used actively, until the middle of the 80’s. Several cases on the Guidelines were handled during the first 10 years following their adoption. There was a first phase where both were used actively, until the middle of the 80’s. Several cases on the Guidelines were handled during the first 10 years following their adoption.

A second phase (during “the wild years of liberalisation”), when they were not used much, lasted until the end of the 90’s. A second phase (during “the wild years of liberalisation”), when they were not used much, lasted until the end of the 90’s. During the 90’s, there was a lot of public action concerning specific companies and sectors, that became notorious because of their negative labour, human rights and environmental practices. At the end of the 1990’s, this led to a boom in “Corporate Social Responsibility” and to much greater public awareness about these problems – The third fase. During the 90’s, there was a lot of public action concerning specific companies and sectors, that became notorious because of their negative labour, human rights and environmental practices. At the end of the 1990’s, this led to a boom in “Corporate Social Responsibility” and to much greater public awareness about these problems – The third fase. As part of this, there was a ‘re-awakening’ of both instruments, mainly of the OECD Guidelines, leading to an important revision of the OECD Guidelines in This was also partly a result of the failure of the Multilateral Agreement on Investment (MAI) As part of this, there was a ‘re-awakening’ of both instruments, mainly of the OECD Guidelines, leading to an important revision of the OECD Guidelines in This was also partly a result of the failure of the Multilateral Agreement on Investment (MAI)

The ILO Tripartite Declaration of Principles concerning Multinational Enterprises and Social Policy

What is the Declaration about? The ILO Declaration is a set of recommendations concerning basic labour practices, based on ILO principles. The ILO Declaration is a set of recommendations concerning basic labour practices, based on ILO principles. The Declaration is universally applicable and comprehensive. The Declaration is universally applicable and comprehensive.

The significance of the ILO Tripartite Declaration is that it identified a long list of conventions that contain principles that are appropriate to apply to enterprises as well. In that sense, it is an important and historic document. The significance of the ILO Tripartite Declaration is that it identified a long list of conventions that contain principles that are appropriate to apply to enterprises as well. In that sense, it is an important and historic document. A number of the ILO core conventions were “transposed” so that the principles would apply to enterprises as well. A number of the ILO core conventions were “transposed” so that the principles would apply to enterprises as well.

Extracts of the ILO Declaration

Contents The ILO declaration has three different chapters: General Policies  Employment promotion  Equality of opportunity and treatment  Security of employment  Training Conditions of work and life  Wages, benefits and conditions of work  Safety and Health Industrial relations  Freedom of Association and the right to organise  Collective bargaining  Consultation  Examination of grievances  Settlement of industrial disputes

Introduction “Through international direct investment and other means”,… “enterprises can bring substantial benefits to home and host countries.” “On the other hand, the advances made by multinational enterprises” …”may lead to abuse of concentrations of economic power and to conflicts with national policy objectives and with the interest of the workers.”

Employment promotion “Multinational enterprises, particularly when operating in developing countries, should endeavour to increase employment opportunities and standards.” “Multinational enterprises, particularly when operating in developing countries, should endeavour to increase employment opportunities and standards.” “Multinational enterprises should give priority to the employment, occupational development, promotion and advancement of nationals of the host country at all levels”. “Multinational enterprises should give priority to the employment, occupational development, promotion and advancement of nationals of the host country at all levels”.

Equality of opportunity and treatment “All governments should pursue policies designed to promote equality of opportunity and treatment in employment, with a view to eliminating any discrimination based on race, colour, sex, religion, political opinion, national extraction or social origin.” “All governments should pursue policies designed to promote equality of opportunity and treatment in employment, with a view to eliminating any discrimination based on race, colour, sex, religion, political opinion, national extraction or social origin.”

Security of employment “In considering changes in operations (including those resulting from mergers, take-overs or transfers of production) which would have major employment effects, multinational enterprises should provide reasonable notice of such changes to the appropriate government authorities and representatives of the workers in their employment and their organizations so that the implications may be examined jointly in order to mitigate adverse effects to the greatest possible extent. This is particularly important in the case of the closure of an entity involving collective lay-offs or dismissals.“ “In considering changes in operations (including those resulting from mergers, take-overs or transfers of production) which would have major employment effects, multinational enterprises should provide reasonable notice of such changes to the appropriate government authorities and representatives of the workers in their employment and their organizations so that the implications may be examined jointly in order to mitigate adverse effects to the greatest possible extent. This is particularly important in the case of the closure of an entity involving collective lay-offs or dismissals.“

Training “multinational enterprises should ensure that relevant training is provided for all levels of their employees in the host country”, …,” to meet the needs of the enterprise as well as the development policies of the country.” “multinational enterprises should ensure that relevant training is provided for all levels of their employees in the host country”, …,” to meet the needs of the enterprise as well as the development policies of the country.” “Such training should, to the extent possible, develop generally useful skills and promote career opportunities.” “Such training should, to the extent possible, develop generally useful skills and promote career opportunities.”

Wages, benefits and conditions of work “Wages, benefits and conditions of work offered by multinational enterprises should be not less favourable to the workers than those offered by comparable employers in the country concerned.” “Wages, benefits and conditions of work offered by multinational enterprises should be not less favourable to the workers than those offered by comparable employers in the country concerned.” They should be “at least adequate to satisfy basic needs of the workers and their families.” They should be “at least adequate to satisfy basic needs of the workers and their families.”

Safety and health “Multinational enterprises should maintain the highest standards of safety and health, in conformity with national requirements …”. “Multinational enterprises should maintain the highest standards of safety and health, in conformity with national requirements …”.

Industrial relations

Freedom of association and the right to organise “Workers employed by multinational enterprises, as well as those employed by national enterprises should, without distinction whatsoever, have the right to establish and, subject only to the rules of the organization concerned, to join organizations of their own choosing without previous authorisation.” “Workers employed by multinational enterprises, as well as those employed by national enterprises should, without distinction whatsoever, have the right to establish and, subject only to the rules of the organization concerned, to join organizations of their own choosing without previous authorisation.” “They should also enjoy adequate protection against acts of anti-union discrimination in respect of their employment”. “They should also enjoy adequate protection against acts of anti-union discrimination in respect of their employment”.

“Where governments of host countries offer special incentives to attract foreign investment, these incentives should not include any limitation of the workers' freedom of association or the right to organize and bargain collectively.”

Collective bargaining “Workers employed by multinational enterprises should have the right, in accordance with national law and practice, to have representative organizations of their own choosing recognized for the purpose of collective bargaining.” “Workers employed by multinational enterprises should have the right, in accordance with national law and practice, to have representative organizations of their own choosing recognized for the purpose of collective bargaining.” “Measures appropriate to national conditions should be taken”… “with a view to the regulation of terms and conditions of employment by means of collective agreements”. “Measures appropriate to national conditions should be taken”… “with a view to the regulation of terms and conditions of employment by means of collective agreements”.

Follow-up procedure The ILO Declaration is, unfortunately, not very effective in practice. This is, in large part, because the procedures for implementation are weak. It basically relies on  periodic surveys to accomplish its work.  a procedure for submission of cases for interpretation to a sub-committee of the ILO Governing Body on Multinational Enterprises. This comes in the form of “requests for interpretation”.

The procedure excludes any cases concerning violation of freedom of association and the right to collective bargaining. Such cases are better dealt with in the Committee of Freedom of Association of the Governing Body. The procedure excludes any cases concerning violation of freedom of association and the right to collective bargaining. Such cases are better dealt with in the Committee of Freedom of Association of the Governing Body. For other cases, the receivability rules make access difficult. There have been only a small handful of cases in history. It has been very difficult for requests for interpretation to be considered. For other cases, the receivability rules make access difficult. There have been only a small handful of cases in history. It has been very difficult for requests for interpretation to be considered.

There is also no problem-solving role for the ILO Declaration as there is for the OECD Guidelines. There is also no problem-solving role for the ILO Declaration as there is for the OECD Guidelines. Trade unions had hoped that this would in effect create an international complaint procedure against specific companies but, in fact, specific companies are not mentioned. Trade unions had hoped that this would in effect create an international complaint procedure against specific companies but, in fact, specific companies are not mentioned.

The OECD Guidelines for Multinational Enterprises (OECD: Organisation for Economic Co- operation and Development)

What are the OECD Guidelines for Multinational Enterprises? The text (the guidelines) are recommendations for good corporate behaviour, primarily addressed to enterprises whose headquarters are based in those countries that adhere to them. The text (the guidelines) are recommendations for good corporate behaviour, primarily addressed to enterprises whose headquarters are based in those countries that adhere to them. The adhering countries are the 30 OECD countries -plus Argentina, Brazil, Chile, Estonia, Lithuania, Slovenia and Israel. However, they apply to the corporate activities of companies from these countries wherever they operate worldwide. However, they apply to the corporate activities of companies from these countries wherever they operate worldwide.

OECD member countries AustraliaKorea AustriaLuxembourg Belgium Mexico Canada Netherlands the Czech Republic New Zealand Denmark Norway Finland Poland France Portugal Germany the Slovak Republic GreeceSpain Hungary Sweden Iceland Switzerland Ireland Turkey Italy the United Kingdom Japan the United States

The contents of the Guidelines IConcepts and Principles IIGeneral Policies IIIDisclosure of Information IVEmployment and Industrial Relations VEnvironment VICombating Bribery VIIConsumer Interests VIIIScience and Technology IXCompetition XTaxation

Extracts of the OECD Guidelines

II. General Policies Enterprises should « Respect the human rights of those affected by their activities consistent with the host government’s international obligations and commitments »

Enterprises should « Encourage, where practicable, business partners, including suppliers and sub-contractors, to apply principles of corporate conduct compatible with the Guidelines »

III. Disclosure « Ensure that timely, regular, reliable and relevant information is disclosed regarding activities, structure, financial situation and performance » « Ensure that timely, regular, reliable and relevant information is disclosed regarding activities, structure, financial situation and performance » « Apply high quality standards for disclosure, accounting and audit » « Apply high quality standards for disclosure, accounting and audit »

IV. Employment and Industrial Relations “Enterprises should,: “Enterprises should,: Respect the right of their employees to be represented by trade unions and other bona fide representatives of employees, and engage in constructive negotiations, either individually or through employers’ associations, with such representatives with a view to reaching agreements on employment conditions.”Respect the right of their employees to be represented by trade unions and other bona fide representatives of employees, and engage in constructive negotiations, either individually or through employers’ associations, with such representatives with a view to reaching agreements on employment conditions.”

“Contribute to the effective abolition of child labour”“Contribute to the effective abolition of child labour” “Contribute to the elimination of all forms of forced or compulsory labour”“Contribute to the elimination of all forms of forced or compulsory labour” “Not discriminate against their employees with respect to employment or occupation on such grounds as race, colour, sex, religion, political opinion, national extraction or social origin, unless selectivity concerning employee characteristics furthers established governmental policies which specifically promote greater equality of employment opportunity or relates to the inherent requirements of a job.”“Not discriminate against their employees with respect to employment or occupation on such grounds as race, colour, sex, religion, political opinion, national extraction or social origin, unless selectivity concerning employee characteristics furthers established governmental policies which specifically promote greater equality of employment opportunity or relates to the inherent requirements of a job.”

“Provide information to employees and their representatives which enables them to obtain a true and fair view of the performance of the entity or, where appropriate, the enterprise as a whole.“ “Provide information to employees and their representatives which enables them to obtain a true and fair view of the performance of the entity or, where appropriate, the enterprise as a whole.“ “Take adequate steps to ensure occupational health and safety in their operations.“ “Take adequate steps to ensure occupational health and safety in their operations.“ “employ local personnel and provide training with a view to improving skill levels” “employ local personnel and provide training with a view to improving skill levels”

In case of relocation “In considering changes in their operations which would have major effects upon the livelihood of their employees, in particular in the case of the closure of an entity involving collective lay-offs or dismissals, provide reasonable notice of such changes to representatives of their employees, and, where appropriate, to the relevant governmental authorities, And co-operate with the employee representatives and appropriate governmental authorities so as to mitigate to the maximum extent practicable adverse effects.”

« In light of the specific circumstances of each case, it would be appropriate if management were able to give such notice prior to the final decision being taken.” «….while employees are exercising a right to organise, not threaten to transfer the whole or part of an operating unit from the country concerned nor transfer employees from the enterprises’ component entities in other countries…» «….while employees are exercising a right to organise, not threaten to transfer the whole or part of an operating unit from the country concerned nor transfer employees from the enterprises’ component entities in other countries…»

V. Environment Reflects the principles and objectives in the Rio Declaration. Reflects the principles and objectives in the Rio Declaration. “Provide adequate education and training to employees in environmental health and safety matters, … “ “Provide adequate education and training to employees in environmental health and safety matters, … “

VI. Combating Bribery “Enterprises should not, directly or indirectly, offer, promise, give, or demand a bribe or other undue advantage to obtain or retain business or other improper advantage.“ “Enterprises should not, directly or indirectly, offer, promise, give, or demand a bribe or other undue advantage to obtain or retain business or other improper advantage.“ Enhance transparency, and use management control systems that discourage bribery. Enhance transparency, and use management control systems that discourage bribery.

VII. Consumer Interests Enterprises “should take all reasonable steps to ensure the safety and quality of the goods or services they provide.” Enterprises “should take all reasonable steps to ensure the safety and quality of the goods or services they provide.”

Chapter VIII-X VIII Science and Technology Adopt practices that permit transfer and diffusion of technologies and know-how in the countries where they operate. Adopt practices that permit transfer and diffusion of technologies and know-how in the countries where they operate. IX Competition Refrain from anti-competitive activities like fixed prices. Refrain from anti-competitive activities like fixed prices. X Taxation Comply with tax laws and regulation and provide information to authorities. Comply with tax laws and regulation and provide information to authorities.

The review of the Guidelines The Guidelines were revised in 1979, 1982, 1984 and 1991 The Guidelines were revised in 1979, 1982, 1984 and 1991 A major revision took place in 1998 – 2000, in consultation with trade unions, business and NGOs A major revision took place in 1998 – 2000, in consultation with trade unions, business and NGOs

Resulted in major improvements: Resulted in major improvements:  global applicability of the Guidelines;  reference to the supply chain;  stronger language on human rights;  two new chapters on bribery and consumer interests;  reinforced chapter on environment; and  enhanced implementation procedures

National Contact Point (NCP) According to the OECD Guidelines, every adhering country has to set up a National Contact Point (NCP) to « promote and implement the Guidelines ». The NCP role has been made much more important after the revision of 2000.

Governments have to set up these NCPs within their administration (e.g. inside a ministry, or as an multi-agency, covering several ministries). Governments have to set up these NCPs within their administration (e.g. inside a ministry, or as an multi-agency, covering several ministries). NCPs can be organised differently (tripartite, tripartite +NGO, or government office) - governments have the ultimate responsibility. NCPs can be organised differently (tripartite, tripartite +NGO, or government office) - governments have the ultimate responsibility. Representatives of labour, business and other interested parties (NGOs) need to be informed of their availibility. Representatives of labour, business and other interested parties (NGOs) need to be informed of their availibility. NCPs shall develop and maintain relations with representatives of trade unions, business and NGOs. NCPs shall develop and maintain relations with representatives of trade unions, business and NGOs.

What do they do? NCP are supposed to Promote the guidelines Promote the guidelines Prepare reports on their activities for the OECD Committee on International Investment and Multinational Enterprises (CIME). Prepare reports on their activities for the OECD Committee on International Investment and Multinational Enterprises (CIME). Meet annually to share their experiences with their counterparts. Meet annually to share their experiences with their counterparts. One of its main functions is problem solving One of its main functions is problem solving

In case of a violation of the Guidelines When a company is believed to be in violation of the Guidelines, a trade union or other party can raise the case with the NCP. (the OECD refers to a Guidelines case as a specific instance”) When a company is believed to be in violation of the Guidelines, a trade union or other party can raise the case with the NCP. (the OECD refers to a Guidelines case as a specific instance”) Cases can be brought to the NCP of the country where the violation of the guidelines is occurring, or to the NCP of the country where the company involved has its headquarters. Cases can be brought to the NCP of the country where the violation of the guidelines is occurring, or to the NCP of the country where the company involved has its headquarters. The NCP first has to make an initial assessment as to whether the case merits examination (and give reasons if it thinks the case doesn’t merit examination) The NCP first has to make an initial assessment as to whether the case merits examination (and give reasons if it thinks the case doesn’t merit examination)

If the case goes ahead, the NCP is required to help the parties to resolve the problem. The NCP will act as a forum for discussion and is supposed to assist the parties involved in an efficient and timely manner. It can (and is supposed) take the following steps: Offer conciliation or mediation to assist in dealing with the issues. Offer conciliation or mediation to assist in dealing with the issues. Seek advice from relevant authorities, trade unions, business, NGOs and other experts. Seek advice from relevant authorities, trade unions, business, NGOs and other experts. Consult the NCP in the other country or countries concerned Consult the NCP in the other country or countries concerned Seek guidance of the CIME where there is doubt about the interpretation of the Guidelines. Seek guidance of the CIME where there is doubt about the interpretation of the Guidelines.

In case that doesn’t work If the parties are unable to agree on how to solve the problem, the NCP is normally required to issue a public statement on the case. If the parties are unable to agree on how to solve the problem, the NCP is normally required to issue a public statement on the case. If appropriate, it should make recommendations to the parties on how the Guidelines apply to the case. NCPs may, therefore, inform a company that its activities breach the Guidelines. If appropriate, it should make recommendations to the parties on how the Guidelines apply to the case. NCPs may, therefore, inform a company that its activities breach the Guidelines. There are some limits as to publicly commenting on the case (facts and arguments may bring some people in danger) but in essence, if the parties, after the proceedings, still do not agree, they are free to comment publicly on the case. There are some limits as to publicly commenting on the case (facts and arguments may bring some people in danger) but in essence, if the parties, after the proceedings, still do not agree, they are free to comment publicly on the case.

One step higher The OECD headquarters have a body that is responsible for the guidelines: CIME (the Committee on International Investment and Multinational Enterprises) The OECD headquarters have a body that is responsible for the guidelines: CIME (the Committee on International Investment and Multinational Enterprises) CIME is the next step in the procedure when things go wrong at the national level. CIME is the next step in the procedure when things go wrong at the national level. It is the forum where requests are considered for assistance from the NCPs about how to carry out activities, including handling specific cases. This includes how to interpret the guidelines when a problem arises. It is the forum where requests are considered for assistance from the NCPs about how to carry out activities, including handling specific cases. This includes how to interpret the guidelines when a problem arises.

Trade unions, employers or governments also have the right to take a case to the CIME if they believe that an NCP has not fulfilled its ‘procedural’ responsibilities related to a specific case. But they have to go through the NCP procedure first. Trade unions, employers or governments also have the right to take a case to the CIME if they believe that an NCP has not fulfilled its ‘procedural’ responsibilities related to a specific case. But they have to go through the NCP procedure first.

CIME is the body that can “clarify” the OECD guidelines. In an important clarification to the meaning of freedom of association, CIME has stated that “The thrust of the Guidelines in this area is towards management adopting a positive approach towards the activities of trade unions and other bona fide representatives of employees of all categories and, in particular, an open attitude towards organisational activities of workers within the framework of applicable rules and practices”.

If the procedure has been followed and the company still refuses to change its behaviour then the involved trade union organisation(s) should return to the NCP and request intervention. If the procedure has been followed and the company still refuses to change its behaviour then the involved trade union organisation(s) should return to the NCP and request intervention. The procedure foresees some form of ‘closure’ of the procedure, after which the argument can be used that the company is refusing to comply. The procedure foresees some form of ‘closure’ of the procedure, after which the argument can be used that the company is refusing to comply.

Did the revision work? There are signs that many governments are taking their responsibilities to implement the revised Guidelines seriously. There are signs that many governments are taking their responsibilities to implement the revised Guidelines seriously. Many NCPs that were previously dormant or non-existent have been re-activated. Many NCPs that were previously dormant or non-existent have been re-activated. The OECD guidelines are mentioned by many different organisations and in many documents, statements or decisions. The OECD guidelines are mentioned by many different organisations and in many documents, statements or decisions.

The OECD guidelines have been used as benchmarks in resolutions by the European Parliament and communications from the European Commission. The OECD guidelines have been used as benchmarks in resolutions by the European Parliament and communications from the European Commission. The Dutch Government has taken the decision to link access to export credits to companies' compliance with the OECD Guidelines for Multinational Enterprise The Dutch Government has taken the decision to link access to export credits to companies' compliance with the OECD Guidelines for Multinational Enterprise Some of the framework agreements have borrowed text from the Guidelines. Some of the framework agreements have borrowed text from the Guidelines.

Who does what? On the trade union side, a lot of the work related to the OECD Guidelines is being carried out by TUAC (Trade Union Advisory Committee to the OECD). TUAC is based in Paris, represents national trade unions centres of the member countries of the OECD with the OECD. Most TUAC affiliates are also affiliated with the ICFTU.

TUAC has consultative status with the OECD and its various committees. It co- operates closely with the ICFTU and the GUFs on a wide variety of economic policy, sectoral and other issues. TUAC has consultative status with the OECD and its various committees. It co- operates closely with the ICFTU and the GUFs on a wide variety of economic policy, sectoral and other issues. Obviously, as all this concerns international issues, all the Global Union Federations have an important role to play in bringing forward and developing cases. Obviously, as all this concerns international issues, all the Global Union Federations have an important role to play in bringing forward and developing cases.

Concrete examples Before the revision of 2000 The Renault case – Belgium – 1997 The question: what constitutes reasonable notice of changes in operations? (the company announced one morning that the factory in Belgium was going to close) The question: what constitutes reasonable notice of changes in operations? (the company announced one morning that the factory in Belgium was going to close) The answer: “it would be appropriate, in the light of the specific circumstances of each case, if management were able to provide such notice prior to the final decisions being taken”. The answer: “it would be appropriate, in the light of the specific circumstances of each case, if management were able to provide such notice prior to the final decisions being taken”.

The Rio Tinto case – Australia – 1999 The question: “Is compliance with national law necessarily, in of itself, sufficient to conform to the Guidelines”? (the company wanted to replace collective bargaining with individual contracts – the Australian NCP decided that this was no in breach with the Australian law) The question: “Is compliance with national law necessarily, in of itself, sufficient to conform to the Guidelines”? (the company wanted to replace collective bargaining with individual contracts – the Australian NCP decided that this was no in breach with the Australian law) The answer: “Although compliance with national law is necessary, this is not necessarily sufficient to observance the Guidelines”. “The guidelines are not substitute for national laws”…”They represent supplementary standards of behaviour of a non-legal character).” The answer: “Although compliance with national law is necessary, this is not necessarily sufficient to observance the Guidelines”. “The guidelines are not substitute for national laws”…”They represent supplementary standards of behaviour of a non-legal character).”

After the revision of 2000 Marks and Spencer (announcement of closure done without prior consultations) Marks and Spencer (announcement of closure done without prior consultations) Result: French NCP stated publicly that M&S had not consulted its employees properly. In a letter to the company, the NCP pointed out that the company had violated the Guidelines.

Several cases have been introduced in relation to companies operating with Burma. (in France, Sweden, USA, Canada, UK and the Netherlands to NCPs on companies in their countries and by TUAC to CIME for clarification) Several cases have been introduced in relation to companies operating with Burma. (in France, Sweden, USA, Canada, UK and the Netherlands to NCPs on companies in their countries and by TUAC to CIME for clarification) The results varied. Some cases are ongoing. CIME replied to TUAC that “delegates emphasise the important contribution that observance of the Guidelines’ recommendations by MNEs can make to the elimination of all forms of forced or compulsory labour, in Myanmar and elsewhere.” The AFL-CIO never received a reply. In France, Accor left Burma. In the Netherlands, the case was stopped as the Premier Oil left Burma.

A number of cases were settled after the companies involved agreed to negotiate and take part in social dialogue. A number of cases were settled after the companies involved agreed to negotiate and take part in social dialogue. Siemens and Bosch – Czech republic – 2001 (companies threatened to fire workers if they formed a union).Siemens and Bosch – Czech republic – 2001 (companies threatened to fire workers if they formed a union). Choi Shin/Cima textiles (Korean firm) harrased and threatened workers in Guatemala as part of an anti-union campaign. (case raised by the ITGLWF) Result: the company signed a first collective bargaining agreement and started to reinstate the union members that had been dismissed.Choi Shin/Cima textiles (Korean firm) harrased and threatened workers in Guatemala as part of an anti-union campaign. (case raised by the ITGLWF) Result: the company signed a first collective bargaining agreement and started to reinstate the union members that had been dismissed.

In general, the results of the work of the NCPs and/or the further decisions and clarifications by CIME have been satisfactory for many cases, from a trade union point of view. In general, the results of the work of the NCPs and/or the further decisions and clarifications by CIME have been satisfactory for many cases, from a trade union point of view. In some cases, the case didn’t go anywhere because the information provided was not sufficient or not sufficiently clear. Other cases did not continue for various reasons. In some cases, the case didn’t go anywhere because the information provided was not sufficient or not sufficiently clear. Other cases did not continue for various reasons. Well prepared cases have a better chance of succeeding. TUAC can provide assistance in this respect. Well prepared cases have a better chance of succeeding. TUAC can provide assistance in this respect.

Why are the ILO Declaration and the OECD guidelines important?

What’s the purpose? Both the OECD guidelines and the ILO declaration should be seen as « tools in a toolbox ». There are many ways to use them. They are, on the one hand, an instrument as such – and can be the core of a campaign – in trade union campaigns involving key global corporations on issues such as trade union rights violations, human rights, supply chain issues, the environment, etc.. They are, on the one hand, an instrument as such – and can be the core of a campaign – in trade union campaigns involving key global corporations on issues such as trade union rights violations, human rights, supply chain issues, the environment, etc..

But - they can also be seen as just one part of a larger campaign, an extra form of pressure. The introduction of a guidelines case (or threat thereof) can be considered in addition to other, more ‘usual’ campaign tactics, such as strike action or political campaigning at the national level. But - they can also be seen as just one part of a larger campaign, an extra form of pressure. The introduction of a guidelines case (or threat thereof) can be considered in addition to other, more ‘usual’ campaign tactics, such as strike action or political campaigning at the national level.

Both are international standards that have been adopted by governments and others. They therefore also are benchmarks for other standards. And they (or part of them) can be used as an integral part in other benchmarks. Both are international standards that have been adopted by governments and others. They therefore also are benchmarks for other standards. And they (or part of them) can be used as an integral part in other benchmarks.

With the explosion of all kinds of Corporate Social Responsibility efforts, it’s useful to have these instruments to counter self-made standards. These are often drawn up by companies and used in codes of conduct. Many of these codes are vague, don’t mean much and do not have accepted standards as a basis. With the explosion of all kinds of Corporate Social Responsibility efforts, it’s useful to have these instruments to counter self-made standards. These are often drawn up by companies and used in codes of conduct. Many of these codes are vague, don’t mean much and do not have accepted standards as a basis. Multilateral examples where the Guidelines have been used: the Global Reporting Initiative, Socially Responsible Investment standards, social labels, … Multilateral examples where the Guidelines have been used: the Global Reporting Initiative, Socially Responsible Investment standards, social labels, …

Unlike, most of what is labelled corporate responsibility, the Guidelines do not represent a privatisation of the government role to ensure that workers’ rights are protected. Indeed, they extend the role of the State so that it reaches beyond national boundaries.