BUSINESS AND HUMAN RIGHTS / Šturma, Mozetic (eds)

territories to observe the Guidelines wherever they operate.” 22 The territorial extension to business operations in non-adhering countries is important because the majority of adverse effects occur in developing countries and not in the OECD member states. 23 This reflects the fact that one of the main purposes of the Guidelines is supporting RBC investment at a global, international level. 3. Structure and functioning of National Contact Points Despite the soft law nature of the Guidelines, there is a legal obligation regarding NCPs due to the binding nature of the OECD Council decision from 1984. 24 All governments adhering to the OECD Declaration on International Investment and Multinational Enterprises are required to set up a NCP to promote the Guidelines, handle enquiries, and contribute to the resolution of issues that arise in relation to the implementation of the Guidelines in specific instances. 25 The last function is the most important one in relation to situations when non-observance of the Guidelines is alleged. 26 In addition, NCPs are also expected to participate in a proactive agenda by engaging at the national level with social partners and other stakeholders to assist them with identifying and responding to risks of adverse impacts associated with business operations. 27 In effect, the decision of the OECD Council thus “laid the groundwork for the development of NCPs.” 28 Moreover, the decision was amended to specify that NCP should have available human and financial resources to fulfil their responsibilities. 29 This means that “the Guidelines regime is the only international CSR regime with a built-in, state-based governance mechanism.” 30 Such implementation mechanism is a significant comparative advantage in comparison to other international initiatives in the sphere of MNEs regulation. 31 NCPs may have various forms, structure, and functioning as these issues are left to the discretion of the adhering States, 32 provided the NCP meets the core 22 OECD Declaration on International Investment and Multinational Enterprises, adopted 25 May 2011. 23 DAVARNEJAD, p. 356-357. 24 OECD Council decisions regarding an instrument (i.e. the Guidelines) are legally binding for all OECD member countries (as well as for non-OECD countries if they adhere to the instrument) provided they do not abstain at the time these Decisions are adopted. Available at: https://www.oecd.org/legal/legal- instruments.htm (accessed 15 January 2018). 25 OECD Guidelines for Multinational Enterprises (2011), Decision of the Council on the OECD Guidelines for Multinational Enterprises, C(2000)96/FINAL, as amended, para I.1. 26 OECD Guidelines for Multinational Enterprises (2011), Procedural Guidance, C. Implementation in Specific Instances. 27 OECDGuidelines for Multinational Enterprises (2011), Commentary on the Implementation Procedures of the OECD Guidelines for Multinational Enterprises, para 18. 28 VANT FOORT, S.: The History of National Contact Points and the OECD Guidelines for Multinational Enterprises, 25 Journal of the Max Planck Institute for European Legal History , 2017, p. 202. 29 OECD Guidelines for Multinational Enterprises (2011), Decision of the Council on the OECD Guidelines for Multinational Enterprises, C(2000)96/FINAL, as amended, para I.2-I.4. 30 ROBINSON, p. 69. 31 ČERNIČ, p. 83. 32 OECD Guidelines for Multinational Enterprises (2011), Procedural Guidance, Section I.A.

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