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2018 | OriginalPaper | Buchkapitel

12. The UN Guiding Principles on Business and Human Rights in (National) Action: The Dutch Agreement on Sustainable Garment and Textile

verfasst von : Antoine Duval, Enrico Partiti

Erschienen in: Netherlands Yearbook of International Law 2017

Verlag: T.M.C. Asser Press

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Abstract

The regulation of transnational corporations is increasingly a multi-actor and multi-level phenomenon. This trend is particularly visible in the garment global value chain. Spurred by the collapse of the Rana Plaza building in Bangladesh, a flurry of public and private initiatives addressing responsible production and supply in the global garment industry appeared on the transnational stage. The Dutch government played its part by entering into a national Agreement on Sustainable Garment and Textile (‘Agreement’ or ‘Dutch Agreement’) together with industry, labour unions and non-governmental organisations. The parties to the Agreement undertake specific commitments connected to responsible business conduct and set up a monitoring mechanism for their enforcement. This chapter aims to critically reflect on the Dutch Agreement and the process that led to its conclusion. It does so by putting the Agreement in the context of transnational rule-making by several other actors in different fora. It reflects on the transnational origin of the obligations contained in the Agreement and illustrates its contribution to the implementation of instruments such as the Organisation for Economic Co-operation and Development (OECD) Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector and the United Nations (UN) Guiding Principles on Business and Human Rights.

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Vorheriges Kapitel Between Shifts and Continuum in Cooperation: The International Securities Regulatory Regime and its Gradual Evolution

Nächstes Kapitel Recognition of Sign Language Under International Law: A Case Study of Dutch Sign Language in the Netherlands

For an analysis of the self-regulatory failures associated with the Ali garment factory fire, see Levi Faur and Starobin 2014.

For an overview, see Catà Backer 2016.

UN Human Rights Council, Guiding Principles on Business and Human Rights: Implementing the United Nations ‘Protect, Respect and Remedy’ Framework, UN Doc A/HRC/17/31, 21 March 2011.

On the drafting process of the UNGPs and their aim, see Ruggie 2013.

UNGPs, Principle 6.

Sarfaty 2015, at 435.

Taylor et al. 2009. On management standards, see generally Coglianese and Lazer 2003.

UNGPs, Principle 3.

See Social and Economic Council of the Netherlands (2016) 75 Signatures Endorse Sustainable Garment and Textile Sector agreement, 4 July 2016, https://www.ser.nl/en/publications/news/20160704-sustainable-garment-textile-sector.aspx, accessed 29 November 2017.

Kaplinsky 2004, at 80; Gereffi et al. 2005.

Sobel-Read 2014. See also more recently Eller 2017.

Cafaggi et al. 2012.

On the importance of investigating the role of law in global supply chains, see The IGLP Law and Global Production Working Group 2016.

Li-Wen 2009, at 719.

Kaplinsky and Morris 2008, at 287.

See for example Nadvi and Thoburn 2004.

A situation highlighted very well in Catà Backer 2016.

See the Alliance for Bangladesh Worker Safety, supported by US businesses (http://www.bangladeshworkersafety.org, accessed 29 November 2017), and the Accord on Fire and Building Safety in Bangladesh, which features a tripartite structure (http://bangladeshaccord.org/about/, accessed 29 November 2017). For a first academic appraisal, see Reimecke and Donaghey 2015. Pointing to the limits of these mechanisms, see Labowitz and Baumann Pauly 2015.

Understanding for a Practical Arrangement on Payments to the Victims of the Rana Plaza Accident and Their Families, amended 20 November 2013 (‘Rana Plaza Arrangement’), http://ranaplaza-arrangement.org/mou/, accessed 29 November 2017.

European Commission (2013) Staying engaged: A Sustainability Compact for continuous improvements in labour rights and factory safety in the ready-made garment and knitwear industry in Bangladesh, 8 July 2013, http://trade.ec.europa.eu/doclib/docs/2013/july/tradoc_151601.pdf, accessed 29 November 2017.

For an example of EU-wide mandatory approach, see the motion tabled by the European Parliament for mandatory regulation human rights due diligence in the garment sector (European Parliament, Report on the EU flagship initiative on the garment sector, A8-0080/2017, 27 April 2017, Motion for a European Parliament Resolution on the EU flagship initiative on the garment sector). At the national level, see for example the UK Modern Slavery Act (although limited to the reporting component of due diligence) and the French law on the duty of vigilance.

UN Human Rights Council, Protect, respect and remedy: A framework for business and human rights: Report of the Special Representative of the Secretary-General on the Issue of Human Rights and Transnational Corporations and Other Business Enterprises, John Ruggie, UN Doc A/HRC/8/5, 7 April 2008.

Though the argument is being made in the literature that the UNGPs should impact on the way civil liability is understood by national courts in the business and human rights context (see Sanders 2015; Muchlinski 2012).

Ruggie 2014, at 9.

UNGPs, Principle 2.

UNGPs, Principle 3.

UNGPs, Principle 10.

UNGPs, Principle 17.

Consistent with the limited obligations of multinational corporation under international law, the UNGPs never refer to a breach of human rights, but only to adverse impacts on human rights.

UNGPs, Principle 21.

UNGPs, Principles 26 to 30.

UN Human Rights Council, Report of the Special Representative of the Secretary-General on the issue of human rights and transnational corporations and other business enterprises, UN Doc A/HRC/11/13, 22 April 2009, para 25.

Ruggie and Sherman 2017, at 927.

Ibid.

UNGPs, Principle 13.

UNGPs, Commentary to Principle 22.

These ambiguities, and other shortcomings, led to strong criticisms of the UNGPs. See for a sample the essays included in Deva and Bilchitz 2013. See also Wettstein 2015. More recently, see Santoso 2017.

As pointed out by Buhmann 2015a, at 432.

See, generally, Robinson 2014.

Ward 2004, at 1.

Queinnec 2007.

OECD (2011) OECD Guidelines for Multinational Enterprises, http://www.oecd.org/daf/inv/mne/48004323.pdf, accessed 4 January 2018.

Ibid., Commentary on General Policies, at 23.

Ibid., at 25.

Ibid., Commentary on Human Rights, at 33.

Other Guidance documents cover conflict minerals, agricultural supply chains, and the institutional financial sector. See http://www.oecd.org/corporate/mne/, accessed on 29 November 2017.

OECD (2017) OECD Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector, http://mneguidelines.oecd.org/OECD-Due-Diligence-Guidance-Garment-Footwear.pdf, accessed 4 January 2018, Foreword, at 3.

OECD (2011) OECD Guidelines for Multinational Enterprises, Implementation Procedures of the OECD Guidelines for Multinational Enterprises, at 68.

Ibid., Procedural Guidance, at 72–73.

Ochoa Sanchez 2015.

On the implementation challenges of the OECD guidelines, see Ruggie and Nelson 2016.

Egelund Olsen and Engsig Sørensen 2014.

OECD (2011) OECD Guidelines for Multinational Enterprises, Commentary on General Policies, at 24.

Buhmann 2015a, at 432. This implementation through distributed network in an act of polycentric governance was the professed aim of the UNGPs, as embraced by John Ruggie in his writings (see Ruggie 2017).

Social and Economic Council of the Netherlands, Background and Rationale for IRBC Agreements, http://www.internationalrbc.org/why/background?sc_lang=en, accessed 29 November 2017. This is reflected in the Dutch National Action Plan, which hailed this multi-stakeholder initiative as one of the flagships actions of the Netherlands to implement the UNGPs (see Dutch Ministry of Foreign Affairs (2014) Dutch National Action Plan on Business and Human Rights, April 2014, https://business-humanrights.org/sites/default/files/documents/netherlands-national-action-plan.pdf, accessed 29 November 2017, at 14).

Social and Economic Council of the Netherlands (2014) Agreements on International Responsible Business Conduct, Advisory Report 14/04, April 2014, http://www.ser.nl/~/media/files/internet/talen/engels/2014/international-responsible-business-conduct.ashx, accessed 29 November 2017.

Reflected in: Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, https://www.ser.nl/~/media/files/internet/talen/engels/2016/agreement-sustainable-garment-textile.ashx, accessed 29 November 2017, Appendix 3.

Social and Economic Council of the Netherlands (2014) Agreements on International Responsible Business Conduct, Advisory Report 14/04.

Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, at 4.

Ibid., at 6.

See https://www.internationalrbc.org/garments-textile/signatories?sc_lang=en, accessed 29 November 2017.

Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, at 7–8.

Directive 2013/34/EU of the European Parliament and the Council of 26 June 2013 on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, OJ L 182/19, 29 June 2013, as amended by Directive 2014/95/EU of the European Parliament and the Council of 22 October 2014 amending Directive 2013/34/EU as regards disclosure of non-financial and diversity information by certain large undertakings and groups, OJ L 330/1, 15 November 2014.

Regulation (EU) 2017/821 of the European Parliament and the Council of 17 May 2017 laying down supply chain due diligence obligations for Union importers of tin, tantalum and tungsten, their ores, and gold originating from conflict-affected and high-risk areas, OJ L 130/1, 19 May 2017.

European Parliament, Motion for a European Parliament Resolution on the EU flagship initiative on the garment sector, A8-0080/2017, 28 March 2017.

Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, at 6.

For an example of a State measure rendering due diligence mandatory and enforceable, see the French law on the duty of vigilance, which basically incorporates the UNGP framework for due diligence, and couples it with a liability regime.

See generally Partiti and van der Velde 2017.

Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, Appendix 1 and 2.

Ibid., Appendix 4.

Ibid., Appendix 3.

Ibid., Article 1.1.

OECD (2017) OECD Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector, at 42 and following.

See ibid., at 65–66.

Ibid., respectively at 79 and following, and 85 and following.

See Social and Economic Council of the Netherlands (2017) Aggregated List of Production Locations, 4 July 2017, http://www.internationalrbc.org/garments-textile/factories?sc_lang=en, accessed 29 November 2017.

OECD (2017) OECD Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector, at 86 and following.

Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, Article 1.1.

See generally Sabel and Zeitlin 2012.

For a list of its members see: Social and Economic Council of the Netherlands, Organisation, http://www.internationalrbc.org/garments-textile/organisation?sc_lang=en#steering, accessed 29 November 2017.

Social and Economic Council of the Netherlands, Organisation: Secretariat hosted by the SER, http://www.internationalrbc.org/garments-textile/organisation?sc_lang=en#secretariat, accessed 29 November 2017.

All institutional features are provided for in: Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, Article 5.1.

Social and Economic Council of the Netherlands, Organisation: Funding, http://www.internationalrbc.org/garments-textile/organisation?sc_lang=en#funding, accessed 29 November 2017.

Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, Article 1.2.

Ibid., Article 1.1 and Appendix 4.

Social and Economic Council of the Netherlands, July 2017–June 2018, http://www.internationalrbc.org/garments-textile/method/period2?sc_lang=en, accessed 29 November 2017.

Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, Article 1.2.

Article 1.1.

The Agreement states: ‘This procedure will be based on UN Guiding Principle 31 on the Effectiveness of Non-Judicial Grievance Mechanisms’ (ibid., Article 1.3).

Social and Economic Council of the Netherlands (2017) Rules of Procedure of the Complaints and Dispute Mechanisms of the Agreement on Sustainable Garment and Textile. As this article was written prior to the publication of the Rules, we did not have the time to comprehensively incorporate them in this section. However, a quick assessment of the Rules does not reveal any important changes (or improvements) with regard to the Agreement.

See in general Article 1.3.

Article 1.3.

The clause will state: ‘All disputes arising between one or more Parties to the Agreement and the enterprise concerned with regard to the failure by the enterprise concerned to comply, in a timely manner or at all, with the binding advice of the Complaints and Disputes Committee concerning a dispute shall be settled in accordance with the Arbitration Rules of the Netherlands Arbitration Institute’ (Article 1.3).

Article 1.3.

The ‘elements of equivalence’ provided by the Agreement in Article 1.3 include:

Relevant in the light of the nature of the complaint;
Accessible to the complainant;
Procedure conforms to UN Guiding Principle for Business and Human Rights No. 31;
Can deal with complaints about infringements elsewhere in the chain;
Provides public information on the result of the procedure after the complaint has been settled.

One of the changes introduced by the new Rules of Procedure referred to above is the inclusion in Article 6 of the binding nature of the alternative mechanism as an element to be taken into account in the evaluation.

Article 1.3.

Emphasis added.

UNGP Principle 31 states:

In order to ensure their effectiveness, non-judicial grievance mechanisms, both State-based and non-State-based, should be:

(a) Legitimate: enabling trust from the stakeholder groups for whose use they are intended, and being accountable for the fair conduct of grievance processes;

(b) Accessible: being known to all stakeholder groups for whose use they are intended, and providing adequate assistance for those who may face particular barriers to access;

(c) Predictable: providing a clear and known procedure with an indicative time frame for each stage, and clarity on the types of process and outcome available and means of monitoring implementation;

(d) Equitable: seeking to ensure that aggrieved parties have reasonable access to sources of information, advice and expertise necessary to engage in a grievance process on fair, informed and respectful terms;

(e) Transparent: keeping parties to a grievance informed about its progress, and providing sufficient information about the mechanism’s performance to build confidence in its effectiveness and meet any public interest at stake;

(f) Rights-compatible: ensuring that outcomes and remedies accord with internationally recognized human rights;

(g) A source of continuous learning: drawing on relevant measures to identify lessons for improving the mechanism and preventing future grievances and harms;

Operational-level mechanisms should also be:

(h) Based on engagement and dialogue: consulting the stakeholder groups for whose use they are intended on their design and performance, and focusing on dialogue as the means to address and resolve grievances.

A dimension very much emphasised by Ruggie himself (see Ruggie 2017).

100

The list of the Dutch members of Working Group tasked with drafting the Agreement is available in Appendix 8 of the Agreement.

101

The Dutch National Action Plan on Business and Human Rights notes that ‘consultations failed to produce consensus on whether the obligations of Dutch companies in relation to CSR are adequately regulated by law, or whether more specific provisions are necessary’ (Dutch Ministry of Foreign Affairs (2014) Dutch National Action Plan on Business and Human Rights, at 28). Nonetheless, on 7 February 2017, the Dutch lower house adopted the ‘Child Labour Due Diligence Law’ (‘Wet zorgplicht kinderarbeid’), which has been discussed by the Dutch Senate in December 2017.

102

The SER has created a dedicated website for all the agreements (Social and Economic Council of the Netherlands, IRBC Agreements, https://www.internationalrbc.org/, accessed 29 November 2017). Until now, agreements have been signed only in the garments/textile and banking sectors, but many others are currently being negotiated in a range of sectors.

103

On the role of media and publicity in CSR, see El Ghoul et al. 2016.

104

The lack of verifiable transparency has been identified as one of the roots of the ‘promise-performance gap’ identified in the context of the United Nations Global Compact (see Prakash Sethi and Schepers 2014).

105

Dutch Ministry of Foreign Affairs (2014) Dutch National Action Plan on Business and Human Rights, at 18 and 25. See also Social and Economic Council of the Netherlands (2016) Agreement on Sustainable Garment and Textile, Article 4.1.

106

Ruggie himself considers that ‘further legalization is an inevitable and necessary component of future developments’ (Ruggie 2017, at 55). On this trend towards juridification, see also Buhmann 2015b.

107

For a first evaluation of the tangible impact of the due diligence obligations imposed by EU Timber Regulations, see Douma 2017.

108

See in particular European Parliament, European Parliament resolution of 12 September 2017 on the impact of international trade and the EU’s trade policies on global value chains (2016/2301(INI)), P8_TA-PROV(2017)0330, 12 September 2017, point 26. On the feasibility of EU legislation on human rights due diligence, see Dziedzic et al. 2017.

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Titel: The UN Guiding Principles on Business and Human Rights in (National) Action: The Dutch Agreement on Sustainable Garment and Textile
verfasst von: Antoine Duval
Enrico Partiti
Verlag: T.M.C. Asser Press
Buch: Netherlands Yearbook of International Law 2017
Print ISBN: 978-94-6265-242-2

Electronic ISBN: 978-94-6265-243-9

Copyright-Jahr: 2018
DOI: https://doi.org/10.1007/978-94-6265-243-9_12

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