Global Compact Leaders Summit: NGO participants raise concerns
"We had very high expectations, and four years down the road we are disappointed with the results"
Following the UN Global Compact Leaders Summit, held in New York on 24 June 2004, NGOs raised concerns about the impact of the Global Compact and its failure in encouraging companies to effectively implement the nine principles related to human rights, labour rights and the environment.
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Global Compact Leaders Summit: Statement by NGO participants
For immediate release: Thursday, June 24, 2004
The following NGOs participating in the UN Global Compact Leaders Summit recognize the critical role companies play in promoting and protecting human rights and safeguarding the environment. To this end we support the efforts of the Global Compact to bring the United Nation's unique authority to bear on the commitments that companies should make to uphold labour rights, protect the environment and human rights.
The truly global nature of the Global Compact initiative and its efforts to include companies from all regions of the world are commendable. We recognize that some companies have made considerable efforts in implementing the nine original principles of the Global Compact.
However, the overall impact of the Global Compact has fallen far short of expectations and its potential to make a difference. The Global Compact has failed to create among the participants a clear understanding of its principles and how they should be implemented. It continues to have no proper mechanism for the ensuring its integrity or its effectiveness and we are concerned that specific companies may be using their participation in the Global Compact to boost their brand value without changing practices.
The Leaders Summit was unique in bringing together global leaders from the business, trade unions, civil society and the UN. It has been important to acknowledge the good work done by some companies and to motivate Global Compact participants. However, it remains to be seen whether it will lead to a re-energized vision and a strategy for concrete action and outcomes.
Corporate Social Responsibility needs to be matched with a commitment to corporate accountability if civil society is to have confidence in the Global Compact. We believe that the Global Compact must
a) Improve its credibility through the implementation of genuinely independent complaints mechanism and other integrity measures
b) Increase its performance by challenging companies to move from rhetoric to reporting on progress
c) Support the UN Norms on the Responsibilities of Transnational Corporations and Other Business Enterprises with regard to human rights adopted by the UN Sub-Commission on the promotion and Protection of Human Rights and test their efficacy.
The process for changes to the Global Compact announced today need to address these weaknesses to allow the debate to move forward to identify the role of business in tackling the negative aspects of globalization. This process must be done quickly if the Global Compact is going to retain its credibility with civil society.
Amnesty International
Realizing Rights- Ethical Globalization Initiative
Global Witness
Human Rights First
International Save the Children Alliance
Oxfam International
Global Compact Counter Summit
On 23 June 2004, a group of NGOs organised a "Counter-Summit" in New York, a day before the Global Compact Leaders Summit at the United Nations. It included panel discussions about the Global Compact and discussed alternative measures to make companies accountable. Irene Khan, secretary general of Amnesty International, was invited to take part in a debate entitled "Towards Real Corporate Accountability in the UN System" in which she made the case for the UN Norms for Business
UN Global Compact Leaders' Summit: time to move from aspirations to performance
