For the first time in four decades, leading business associations, corporations, and the corporate law and governance community are seriously debating moving beyond shareholder primacy toward some form of ‘stakeholder governance. But the how question unveils significant differences of opinion as well as difficulties. We focus on a pathway that complements the ambition of stakeholder governance, but which current reform proposals have largely overlooked. We draw on practical experience in the field of business and human rights, where leading companies are increasingly embedding human rights due diligence processes into their strategic decision-making. We contend that as human rights due diligence is made mandatory for companies, which it is in a growing number of jurisdictions, including for foreign firms with a significant business presence in them, risks to stakeholders become a material corporate governance issue. That makes it necessary for firms to address stakeholder concerns and to demonstrate that they are, with possible legal consequences for having failed to do where harm occurs. Such changes by themselves may not constitute a full-blown system of multi-fiduciary obligations, but they mark substantial strides on the path toward it, and they are doing it in the relatively near-term.

Wages – the monetary payments that workers receive from employers in exchange for their labour – are widely overlooked in academic and policy debates about human rights and business in global supply chains. They shouldn’t be. Just as living wages can insulate workers from human rights abuse and labour exploitation, wages that hover around or below the poverty line, compounded by illegal practices like wage theft and delayed payment, leave workers vulnerable to severe labour exploitation and human rights abuse. This article draws on data from a study of global tea and cocoa supply chains to explore the impact of wages on one of the most severe human rights abuses experienced in global supply chains, forced labour. Demonstrating that low-wage workers experience high vulnerability to forced labour in global supply chains, it argues that the role of wages in shaping or protecting workers from exploitation needs to be taken far more seriously by scholars and policymakers. When wages are ignored, so too is a crucial tool to protect human rights and heighten business accountability in global supply chains.

This article examines private international law issues raised by civil liability cases commenced in the courts of home states against transnational corporations concerning their alleged involvement in the overseas human rights violations. These claims have been particularly successful in the United Kingdom, where in the last several years the framework of Brussels I Regulation (recast) and English common law rules made it appropriate for the English courts to assert jurisdiction over corporate defendants without the possibility of subjecting claims against the parent companies to forum non conveniens control. In 2019, however, the Supreme Court in a high-profile case Lungowe v Vedanta Resources plc expressed doubts as to whether England should always constitute a proper forum for litigating overseas wrongs arising from the operations of British multinationals. The article aims to assess how the search of the most appropriate forum to litigate the dispute might impact victims of business-related human rights abuses in the post-Brexit environment and propose avenues for legal change.

The endorsement of the United Nations Guiding Principles on Business and Human Rights (UNGPs) triggered a remarkable process accelerating the recognition of human rights responsibilities for corporations in law and governance. Perhaps even more important is the emergence of an authoritative narrative on business and human rights (BHR), which arguably has the potential to overcome the often-fragmented approach to global issues. This article discusses the degree to which the BHR narrative has been able to penetrate competing powerful narratives that shape societal and regulatory responses. To what extent is the need to address the responsibility and accountability of corporations for human rights violations acknowledged? This is an especially pertinent question where it concerns imminent major global challenges such as climate change, which poses one of the greatest threats to human rights. Two major milestones of the last decade in the area of (environmental) sustainability are analysed: the Paris Climate Agreement and the Sustainable Development Goals. What role does the BHR narrative play in this context?

National Contact Points (NCPs), which support the OECD Guidelines for Multinational Enterprises, are often invoked as a reliable state-based mechanism for holding transnational corporations accountable for business-related human rights abuses. The objective of this article is to scrutinize the ability of NCPs to offer effective remedy through the lens of an often-quoted success story (the case of the post-colonial brewery Bralima-Heineken at the Dutch NCP) and through a few existing studies that examine factors that curtail or enhance the possibility of NCP mechanisms to deliver effective remedy. Based on these findings, we suggest specific ‘actions for effectiveness’ in the form of recommendations for improving NCPs as a tool to deliver effective remedy. Zooming out, we extend some general observations on how our findings illustrate that NCPs are expressions of a larger systemic problem surrounding the role of law within market globalization and the impact of economic liberalization on the making of norms, changing legal authority and basic fairness under conditions of stark power imbalance. Supporting this approach are historical factors which make the OECD Guidelines and NCPs ripe for such conceptualization.

The attention that the Sustainable Development Goals (SDGs) has given to public–private partnerships in solving global concerns including poverty, sustainable development and climate change has shed new light on the question of duties of corporations in relation to economic, social and cultural (ESC) rights. At the same time, objections to recognizing the obligations of corporations in relation to human rights in general and to ESC rights in particular have continued to be made. At the formal level, these objections are reflected in new distinctions such as between the duties of states and responsibilities of corporations, between primary duties of states and secondary duties of corporations, and between obligations of compliance and obligations of performance. All these objections and distinctions are untenable and serve only to stultify the discourse on business and human rights. The current state of human rights is dynamic, not static; commodious, not stale. There is ample space in it to accommodate duties of corporations regarding ESC rights.

Over 40 million people around the world are victims of modern forms of slavery: forced labour and human trafficking. People are tricked into working under onerous conditions, and unable to leave or return home due to physical, psychological or financial coercion, and many of these trafficking victims produce goods for United States (US) and other multinational corporations that profit by relying on the lower wages earned by workers in their global supply chains. Well-developed legal standards prohibit these practices, and governments, intergovernmental organizations, business associations and non-governmental organizations have developed mechanisms to prevent, detect and provide redress to victims. Some businesses lead or comply with the standards and enforcement mechanisms, but too many do not. US law offers a powerful but under-utilized tool to address trafficking: the 2008 Trafficking Victims Protection Reauthorization Act (TVPRA), which imposes civil liability on those who ‘knew or should have known’ about forced labour or human trafficking in their corporate ventures. Unfortunately, courts have ignored or misinterpreted this standard, at times confusing civil and criminal provisions of the statute. Correct and vigorous legal enforcement is key to addressing the accountability gap between the well-developed standards and the continuing use of forced labour and human trafficking. This article is the first to demonstrate that, with regard to the TVPRA standard, corporations have long been on notice of both the obligation to effectively monitor labour conditions and the mechanisms that would accomplish that task. US courts must enforce the ‘knew or should have known’ standard to protect workers – the most vulnerable people in the supply chain – and to prevent an unfair competitive advantage over companies that have established compliance programmes that actually prevent and punish human trafficking and forced labour.

This paper presents an original framework designed to systematize understanding of corporate power over human rights. The framework disaggregates four sites of this power: corporations have direct power over individuals’ human rights, power over the materialities of human rights, power over institutions governing human rights, and power over knowledge around human rights. This disaggregation is derived primarily from the work of Barnett and Duvall and focuses on the effects of corporate activity rather than the Weberian understanding of power as the ability to achieve desired outcomes. The framework captures a broad set of corporate acts based on their (potential) harm to human rights. It is argued that understanding business and human rights through the lens of power can help to advance a more comprehensive account of business impacts on human rights.

This contribution discusses business attitudes to human rights obligations and how the United Nations Guiding Principles on Business and Human Rights (UNGPs) have affected them. These are best understood historically through a number of periods. The first, between the mid-1970s and the end of the 1980s, coincides with intergovernmental organization-based codifications relevant to corporate social responsibility. Business representatives were highly defensive towards extensive international legal obligations not only in relation to human rights but to corporate social responsibility (CSR) more generally. This was followed by a period of ‘voluntarism’. By the 1990s, businesses had accepted that there could be a link between their operations and human rights violations but continued to reject binding legal duties. Instead, businesses opted for voluntary codes of conduct based on individual corporate, or sectoral, initiatives. It was out of this period that the UN Global Compact emerged. ‘Voluntarism’ continues into the third period, the era of the UNGPs. The UNGPs can be characterized by ‘institutionalized voluntarism’ achieved through the framework for business and human rights represented by the UNGPs. Each period will be examined followed by a concluding section that considers business attitudes to an emerging fourth period that introduces legal obligations through mandatory due diligence laws.

This article explores different approaches to assessing the effectiveness of non-state-based non-judicial grievance mechanisms (NSBGMs) in achieving access to remedy for rightsholders. It queries the approach that has been widely adopted as a result of the United Nations Guiding Principles on Business and Human Rights (UNGPs), which focuses on the procedural aspects of grievance mechanisms. Rather, it stresses the importance of analysing the outcomes of cases for rightsholders. This article tests this hypothesis by undertaking comprehensive empirical research into the complaint mechanism of the Roundtable on Sustainable Palm Oil (RSPO). RSPO is found to perform well when judged according to the UNGPs’ effectiveness criteria. However, it performs poorly when individual cases are assessed to ascertain the outcomes that are achieved for rightsholders. The article therefore argues for the importance of equivalent scrutiny of outcomes in relation to other NSBGMs and provides an approach and accompanying methodology that can be utilized for that purpose.

This article presents a review of the literature on the United Nations Guiding Principles (UNGPs) for the purpose of situating the UNGPs in the voluntary corporate social responsibility (CSR) infrastructure. We identify four key themes that underlie the debate: (1) a critical assessment of the UNGPs, (2) their application to different sectors, (3) a discussion of how to embed key aspects of the UNGPs into national and regional contexts, and (4) reflections on the role of due diligence. We discuss these themes and outline some practical and theoretical take-away messages. Our review highlights some similarities and differences to the discussion of voluntary initiatives in the field of CSR, especially the UN Global Compact. Our discussion helps to understand how the UNGPs are situated in the voluntary institutional infrastructure for CSR. Finally, we show how the theoretical and practical discourse on the UNGPs can be further advanced.

Despite significant progress in business and human rights (BHR) discourse and the practices of multinational corporations (MNCs), persons with disabilities and disability rights are absent from both the key instruments and practice of BHR. This lacuna exists despite the near-universal ratification of the United Nations (UN) Convention on the Rights of Persons with Disabilities, as well as the fact that disabled persons constitute over 15 per cent of the global population and MNC operations impact them greatly and disproportionately. We argue that MNCs have a central role, responsibility and opportunity to foment change globally in fulfilling the human rights of persons with disabilities through their employment practices and by leveraging their economic power to fulfil other aspects of disability-based human rights. Doing so requires the development and self-enforcement of disability-specific human rights due diligence (HRDD) processes, and creating a general culture of diversity, equity and inclusion that encompasses disability.

This article outlines one form Work Integration Social Enterprises (WISEs) can take under international human rights law. It builds on the conviction that social enterprises, and WISEs more specifically, are compatible with the foundations and principles human rights are built on. However, there is a lack of engagement with social enterprises generally, in international human rights law. Building on the characteristics of WISEs and substantive equality theories, it is suggested that they can be conceptualized under the heading of affirmative measures. It is expected that this conceptualization can provide a starting point for increasing the visibility of the sector, while simultaneously ensuring its compliance with human rights standards, most notably under the human right to work. The article further points out WISEs and social enterprises’ potential more generally, illustrating how businesses can position themselves as active agents contributing to the realization of human rights.

This article discusses the evolution, current trends, limitations and controversies around the understanding and practice of human rights due diligence (HRDD), a concept developed in the course of the work of United Nations (UN)-mandate holder, John Ruggie, and enshrined in the UN Guiding Principles on Business and Human Rights. While the concept has gathered broad acceptance and a growing number of legislative proposals are seeking to entrench it in law, significant differences of opinion exist among stakeholders as to its nature, objectives and relationship, if any, with legal liability. These differing understandings are at play in a contest to shape future legislation. Some of these carry significant risks for rights-holders, notably the risk of outcome being superseded by process and superficial, compliance-oriented HRDD prevailing in the law or in its interpretation and practice. As legislative efforts continue, the authors warn against the risk of hollow laws which do little to change the status quo or, even worse, inadvertently provide a tool to further impunity for business-related human rights abuses.

This article makes the case for a ‘holistic’ approach to human rights due diligence, arguing that such a standard must be interpreted in the light of mutually reinforcing principles of environmental law, climate law and human rights law. Through a review of emerging climate change-related litigation, it shows how a concept of ‘climate due diligence’ is gradually consolidating. Building on the United Nations Guiding Principles on Business and Human Rights, the article explores climate due diligence both as a standard of conduct and as a business process, presenting its main features. It argues that corporations should integrate climate due diligence into their processes and policies to be best prepared for likely regulatory and judicial developments, such as the upcoming European Union’s regulation on human rights and environmental due diligence.

This article provides an overview of the key features of multinational human rights litigation in the United Kingdom, including the development of a tort-based parent company duty of care, the principles relating to forum non conveniens and applicable law and other key procedural and practical barriers to victims’ access to justice. The article highlights some of the actual and perceived limitations of litigation. It also considers the concurrent development of and mutually reinforcing relationship between MNC tort litigation and the field of Business & Human Rights.

On 29 November 2020, Swiss citizens voted on a popular constitutional initiative, known as the Swiss Responsible Business Initiative.1 The vote was triggered by an initiative signed by more than the required 100,000 Swiss citizens who used their constitutional right to ask for an amendment of the Swiss Constitution by introducing a new provision on mandatory human rights due diligence and corporate liability. For such an initiative to be successful, both the majority of the people as well as of the cantons (states) is required. While 50.7 per cent of the participating voters accepted the initiative, the proposal did not reach the majority of the cantons and therefore the Responsible Business Initiative was rejected. Its rejection nevertheless triggered the adoption of new reporting and due diligence obligations relating to conflict minerals and child labour, which the Parliament had promised to adopt in case the Responsible Business Initiative was rejected.2 This contribution outlines the content of the newly adopted human rights due diligence legislation that will reflect the due diligence standard for companies in Switzerland for the years to come. It also aims to inform policy makers in other countries by describing the political struggle underlying the adoption of mandatory human rights due diligence in Switzerland.

Germany and Norway are the two latest states to adopt laws mandating human rights due diligence by companies. Germany adopted a Law on Supply Chain Due Diligence (German Law) on 10 June 2021.1 The same day, the Norwegian parliament passed a Transparency Act (Norwegian Act) requiring human rights and decent work due diligence.2 Like the French Loi de Vigilance and the Dutch Child Labour Due Diligence Law, these laws provide further momentum for mandatory measures to promote corporate respect for human rights, including future regulations in the European Union (EU). While the aims are similar, the German and Norwegian laws contain certain important differences when it comes to the substance and scope of the due diligence requirement. In this context, adherence to international standards remains the way forward to ensure compliance with divergent requirements in different jurisdictions.