A/HRC/29/28
national labour standards and the enforcement of international standards. 34 However, it also
poses challenges, in terms of the risk of confusion and diverging interpretation, and thereby
of uniform application and protection.35 While it is important to take the latter concern into
account, there should nevertheless be scope for going further, beyond the current focus on
labour provisions. It is pointed out in a research report on the “state of play” of the political
economy of business and human rights that this is possible, as reflected in specific
examples of existing trade agreements. 36 A cautious approach would thus be to couple the
increased call for integration of human rights needs with international coordination and
alignment around common tools and benchmarks.
3.
Public procurement
40.
A specific policy area with links to trade in which there has been considerable
movement since the endorsement of the Guiding Principles is public procurement. It is
noted in the commentary to Guiding Principle 6 that States conduct a variety of commercial
transactions with business enterprises, not least through their procurement activities. One
estimate puts the magnitude of public procurement at 15–25 per cent of the gross domestic
product of OECD member States, and even higher in a number of countries in other
regions. 37 As emphasized in the commentary to Guiding Principle 6, this provides States—
individually and collectively—with unique opportunities to promote awareness of and
respect for human rights in such transactions. Concerns that human rights requirements
would be perceived as trade barriers and be at odds with competition and trade rules have
been cited as a common obstacle to introducing such a consideration into public
procurement procedures.However, in order to meet their duty to protect human rights and
incentivize business respect for human rights in the context of procurement activities,
competition considerations should not trump international human rights standards. Indeed,
trade agreements on procurement make it clear that governments retain the authority to
adopt measures that protect public morals, safety and order.
41.
The impact of sustainable public procurement on responsible business conduct was
the topic of the 2014 inter-agency round table on corporate social responsibility, at which
the importance of standards set by ILO and the Guiding Principles was mentioned. It was
affirmed that there was now near-universal consensus that sustainable procurement practice
was fully compatible with free trade and an important part of public policy. Moreover,
sustainable procurement was a concern for States in all regions and at different levels of
economic development.38
42.
As seen in the 2014 annual Forum on Business and Human Rights, there is increased
interest in a number of jurisdictions in exploring ways to integrate human rights into public
procurement.39 However, specific measures are few. There are ongoing initiatives to
12
34
“Labour provisions in free trade agreements: fostering their consistency with the ILO standards
system”, background paper, Social dimensions of free trade agreements, available from
http://www.ilo.org/wcmsp5/groups/public/---dgreports/--inst/documents/genericdocument/wcms_237940.pdf.
35
Ibid.
36
See Institute for Human Rights and Business, State of Play (see footnote 41), chap. 5.
37
Ibid., p. 53.
38
See www.csrroundtable.org/wp-content/uploads/2014/12/CSR-Roundtable-Sumary-revised4.12.14.pdf.
39
See for example the session overview of the 2014 UN Forum on Business and Human Rights,
organized by the Working Group in collaboration with external partners, available from
Select target paragraph3
Connect to a paragraph
Connect to an entity
Disable highlights
Add to table of contents