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Article

16 Aug 2023

Author:
B4Ukraine Coalition

Follow-up letter to Procter & Gamble regarding its ongoing business activities in Russia

We are writing to follow up on our previous correspondence with Procter & Gamble...regarding potential inconsistencies between Procter & Gamble’s obligations, as articulated in the UN Guiding Principles on Business and Human Rights...and the company’s ongoing business operations and relationships in Russia that may contribute to, or be linked with, human rights harms. We have not received a response to our letter. We are writing once again to formally notify Procter & Gamble on the serious and increasing risks the company faces by continuing its operations in Russia that may amount to complicity in human rights abuses committed by Russia...

On March 8, 2022, Procter & Gamble announced that it would “discontinue all new capital investments in Russia and suspend all media, advertising, and promotional activity [...] significantly reducing [our] product portfolio to focus on basic health, hygiene and personal care items.” Five months after this statement, Procter & Gamble reportedly stopped investing in business development in Russia. However, the company’s chemical plant and Gillette blades and razors plant continued to operate, and the distribution and availability of Procter & Gamble products in Russia remains abundant...

Despite Procter & Gamble’s promise to scale back its operations and suspend all advertising activities in Russia, the company’s career page lists at least 44 open positions in the country...

Procter & Gamble is one of the largest foreign companies still operating in Russia. In 2022, the company’s annual revenue in Russia was $2.2bn. Considering its significant position in the Russian economy, Procter & Gamble is also a significant taxpayer in Russia. This could make the company indirectly involved in financing Russian aggression since corporate taxes are currently estimated to make up approximately 10% of Russia’s GDP — enough to fund 43% of Russia’s military budget...

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