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Reporting and Disclosure under the OECD Guidelines for Multinational Enterprises Tabe D. van Hoolwerff Third Annual Conference on Corporate Social Responsibility Cairo, March 23, 2010. Broad set of guidelines for responsible business conduct (1976, revised in 2000 and possibly in 2011)

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Presentation Transcript
slide1
Reporting and Disclosure

under the

OECD Guidelines for Multinational Enterprises

Tabe D. van Hoolwerff

Third Annual Conference on Corporate Social Responsibility

Cairo, March 23, 2010

oecd guidelines for multinational enterprises
Broad set of guidelines for responsible business conduct(1976, revised in 2000 and possibly in 2011)

Based on international treaties:

Universal Declaration of Human Rights (1948)

ILO Conventions (1919 - 2000)

Rio Declaration on Environment and Development (1992)

OECD Guidelinesfor Multinational Enterprises
oecd guidelines contents
OECD Guidelines: contents
  • General Principles & Human Rights
  • Disclosure
  • Employment (labour rights)
  • Environment
  • Combating Bribery
  • Consumer Interests
  • Science & Technology
  • Competition
  • Taxation
  • Grievance mechanism (NCP)
chapter iii disclosure
Chapter III: Disclosure
  • Enterprises are encouraged to:
    • use high quality standards for disclosure of non-financial information (HSE, labour)
    • Disclose info on risk management
    • Disclose info on relationships with stakeholders
  • No practical guidance  Legal, GRI, etc.
grievance mechanism
Grievance mechanism?

National Contact Point (NCP) per adhering country (42)

Two tasks:

  • Promotion of the OECD Guidelines
  • Dealing with complaints about non-compliance

 informal resolution of conflicts, through e.g. mediation

ncp complaints a threat
NCP complaints a threat?
  • Creates platform for dialogue with stakeholders
  • Future oriented
  • Solution oriented
  • Recommendations were relevant

Practical examples? Relation to reporting?

slide7

Case experience of Dutch NCP 1

Pakistani joint-venture of Dutch multinational

  • Before complaint was filed, Dutch enterprise had withdrawn
  • Brand name remained present in Pakistan
  • Complainant (NGO) unaware of withdrawal

Lesson learnt:

Different stakeholders require different means of communication

case experience of dutch ncp 2
Case experience of Dutch NCP 2

Oil depot in the Philippines of Dutch multinational

  • Safety ok, but surrounding neighbourhoods were worried

Recommendation of DNCP:

Apply highest level of stakeholder communication in host and home country

conclusion
Conclusion
  • The OECD Guidelines for Multinational Enterprises encourage disclosure and transparency on non-financial performance
  • Mode of stakeholder communication may differ per stakeholder
  • NCPs may provide for guided dialogue when bilateral communication fails
  • Outcomes of NCP cases may be used as an indicator for SRI purposes
thank you
Thank you

Dutch NCP: www.oecdguidelines.nl

OECD: www.oecd.org/investment

OECD-MENA: www.oecd.org/mena/ministerial/2009

Additional questions to: t.d.vanhoolwerff@minez.nl