BUSINESS AND HUMAN RIGHTS / Šturma, Mozetic (eds)

The major goal of the study is to show the relevance of the UN Guiding Principles for the EU, which is one of the three major world trading powers and one of the most favoured locations of transnational corporations. 2. Setting standards for addressing the risk of adverse impact of business activities on human rights After unsuccessful attempts to codify soft law standards in the United Nations Economic and Social Council Code of Conduct during the 1970s and 1980s or through the “Norms on the Responsibilities of Transnational Corporations and Other Business Enterprises with Regard to Human Rights” elaborated in 2003 by the United Nations Sub-Commission on the Promotion and Protection of Human Rights 3 and besides some voluntary commitments adopted by business corporations, the UN Global Compact of 2000 4 paved the way for further international attempts to address issues related to business and human rights. In this part we focus on the UN Guiding Principles of 2011 and the ongoing efforts to elaborate on an international legally binding instrument. 2.1 UN Guiding Principles on Business and Human Rights The UN Guiding Principles on Business and Human Rights, endorsed by a consensus in the UN Human Rights Council in June 2011, 5 represent the authoritative framework and the global standard of practice for preventing and addressing the risk of the adverse impact of business activities on human rights. The Guiding Principles were developed by the Special Representative of the Secretary-General on the issue of human rights and transnational corporations and other business enterprises John Ruggie. 6 They were the result of broad and in-depth consultations with States and relevant stakeholders. While they do not constitute a legally binding document, they build on existing standards and include elements covered in international and domestic law. The three-pillar framework includes: firstly the State’s duty to protect human rights, secondly corporate responsibility to respect human rights, and thirdly access to remedies for victims of business-related abuse. The document clarifies and details duties of States and responsibilities of business entities which are distinct but complementary. 14 of the 31 Guiding Principles are addressed to businesses. As the Guiding Principles have been conceived to be as inclusive as possible, they shall apply to all States and to all companies of all sizes, in every sector, and in any country. Whereas the Guiding Principles, on one hand, do not create new legal obligations, on the other hand, they do not preclude developments leading to the adoption of a legally binding instrument in the future. Especially through the principles of the second pillar, they provide a foundation 3 The “Norms” were considered but not approved by the UN Commission on Human Rights in April 2004. 4 In more detail see NOWROT, K. The New Governance Structure of the Global Compact – Transforming a “Learning Network” into a Federalized and Parliamentarized Transnational Regulatory Regime, Beiträge zum Transnationalen Wirtschaftsrecht, No. 47, 1/2005, p. 13. 5 Human Rights Council resolution 17/4 of June 2011. 6 The Special Representative annexed the Guiding Principles to his final report to the Human Rights Council A/HRC/17/31.

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