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Article

12 Jan 2011

Author:
Hugh Willliamson, Financial Times

Conflict zone pressure rises on companies

Multinational companies are facing new pressure to tighten their operating standards in developing countries and conflict zones…according to the leading global expert in the field. John Ruggie, United Nations special representative for business and human rights, told a London audience on Tuesday evening that a framework of tougher standards he had drafted “has acquired a life of its own”…Mr Ruggie’s draft framework, tabled last November, has been broadly welcomed by business…Human rights groups support its adoption by the HRC, but point to weaknesses...Compliance goes beyond corporate social responsibility activities, Mr Ruggie said. “Where responsibility for human rights [within a company] is segregated in an outward-facing CSR department, cosmetic compliance is the most likely response”. The responsibility needs to be “integrated into all relevant business functions”, he said.…[refers to Anglo American, BHP Billiton, HP, Tesco, Wachtell Lipton]