A/HRC/32/45
tool that evaluates performance in relation to key indicators related to corporate social
responsibility, including impact and risk assessments of sustainability issues.
71.
The State could also use independent review and audit mechanisms to review
corporate social responsibility or human rights performance. In Sweden and Chile, the State
appoints auditors to review the fulfilment of corporate social responsibility goals by the
board and the chief executive officer of the company.
E.
Capacity-building
72.
Capacity-building can play an important role in helping State-owned enterprises
fulfil State requirements on human rights. States should promote awareness-raising and
training for members of the boards and management of companies on relevant international
standards. States should also promote the sharing of experience among companies on best
practices and challenges with regard to human rights. For instance, in its National Action
Plan on Business and Human Rights, the Swedish Government commits to increasing
knowledge about the Guiding Principles, due diligence and redress mechanisms in Stateowned enterprises through a series of workshops.
73.
States should encourage the participation of State-owned enterprises in relevant
multi-stakeholder and multilateral initiatives related to responsible business conduct and
human rights. In Brazil for instance, 25 State-owned enterprises are taking part in a
business and human rights initiative launched by the National Secretariat for the Promotion
and Defence of Human Rights. At the global level, just under 250 State-owned enterprises
are members of the United Nations Global Compact.43 Given the number of State-owned
enterprises that are active in the extractive and energy sectors, they should be encouraged to
join the Voluntary Principles on Security and Human Rights.44
F.
Requirements of human rights due diligence
74.
According to guiding principle 4, States should, “where appropriate”, require that
State-owned enterprises conduct human rights due diligence. State-owned enterprises are
also subject to the corporate responsibility to respect (pillar II of the Guiding Principles),
which includes conducting due diligence.
75.
The requirement for State-owned enterprises to implement a full due diligence cycle
is not yet common practice. However, several States require State-owned enterprises to
conduct human rights due diligence in line with the Guiding Principles in a general
manner.45 The sector-specific Chinese Due Diligence Guidelines for Responsible Mineral
Supply Chains require enterprises to “observe the Guiding Principles on Business and
Human Rights during the entire life-cycle of the mining project”, including operations
abroad.46
43
44
45
46
Available at www.unglobalcompact.org.
Only two State-owned enterprises are currently participating. Available at
www.voluntaryprinciples.org/
See for example, the Chilean Principles on Corporate Governance, the Danish National Action Plan
and the Norwegian Ownership Policy.
See China Chamber of Commerce of Metals, Minerals and Chemical Importers and Exporters, “Due
Diligence Guidelines for Responsible Mineral Supply Chains”, p. 8. While the Chamber is a business
association, it includes a large number of State-owned enterprises. The Guidelines were developed
17
Select target paragraph3
Connect to a paragraph
Connect to an entity
Disable highlights
Add to table of contents