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111. The proposition of creating a single, mandatory, non-judicial but adjudicative mechanism
at the international level inevitably poses greater difficulty. In handling complex disputes that
involve diverse and economically unequal parties in remote locations, processes based solely on
written submissions are unlikely to meet basic standards of fairness and rigor. The demands of
appropriate investigations and/or hearings are likely to raise significant evidentiary, practical,
financial and political challenges, while offering only limited prospects of remedies that are
timely, enforceable and extend beyond a few complaints a year.
112. An alternative option would be to look to an existing body or network with international
standing that could offer mediation of disputes involving human rights issues. If it had capacity
to enable mediated processes in the locations where disputes arise, this could avoid many of the
challenges noted above. At the same time, the mediation process would have to reflect the
grievance mechanism principles set out by the Special Representative. Complainants might need
advice and support to engage as equal participants in the process, and a funding model would be
needed to avoid their facing prohibitive costs.
113. Arbitration by such entities might also be an option. In particular, companies operating in
conflict affected areas should have a strong incentive to agree ex ante to use such
mediation/arbitration bodies in the event of disputes with communities, and their investors and
States should have a strong interest in seeing them do so. Arbitration would be subject to the
same caveats as above, and should not preclude judicial recourse.
114. The Special Representative continues to explore options for institutional innovations where
they hold promise of quantitative and qualitative improvements in access to effective remedy,
with a view to future recommendations.
E. Summing up
115. Grievance mechanisms, judicial and non-judicial, form part of both the State duty to
protect and the corporate responsibility to respect. They are essential to ensuring access to
remedy for victims of corporate abuse. For States, they are also means of enforcing or
incentivizing corporate compliance with relevant law and standards, and of deterring abuse. For
companies, operational-level mechanisms have the added benefit of giving early warning of
problems and helping mitigate or resolve them before abuses occur or disputes compound. But
too many barriers exist to accessing judicial remedy, and too few non-judicial mechanisms meet
the minimum principles of effectiveness. Further improvements, shared learning, and
innovations are required.
VI. CONCLUSION
116. The Special Representative is honoured and humbled by the task the Human Rights
Council has set for him of operationalizing the “protect, respect and remedy” framework
so as to provide concrete guidance for all relevant actors.
117. In the face of what may be the worst worldwide economic downturn in a century,
however, some may be inclined to ask: with so many unprecedented challenges, is this the
appropriate time to be addressing business and human rights? This report answers with a
resounding “yes”. It does so based on three grounds.
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