---------- Forwarded message ---------- Date: Mon, 1 Feb 1999 16:06:58 -0700 From: Emilie Nichols <[EMAIL PROTECTED]> To: [EMAIL PROTECTED] Subject: From the Horse's Mouth I think the USCIB has made it pretty clear that they are accountable to NO ONE. So what can we expect from "business leaders"? Not a whole hell of a lot. "Rejects" is a pretty firm word. Anyone want to talk about corporate accountability? Yeah, right. And I'm going to invite 5 vultures and 2 bankers to my house for dinner and a nice evening. Don't think so. Thanks Ian for posting this illuminating item to the TOES list back in December 1998. --Emilie F. Nichols USCIB Rejects Efforts to Impose and Monitor Standardized Codes on Multinational Corporations NEW YORK, Dec. 21 /PRNewswire/ -- Labor unions and many environmental and human rights non-governmental organizations and their supporters have for the past several years been pressing to impose corporate codes of conduct on multinational corporations (MNCs), covering a wide range of social, labor, human rights, and environmental issues. They seek to judge corporate behavior by monitoring compliance with these codes. According to a policy statement released December 21 by the U.S. Council for International Business (USCIB), such externally imposed codes are unacceptable to the business community, are unworkable, and would be ineffective in resolving labor and environmental problems. The USCIB statement notes that well-documented contributions by MNCs to improved labor and health, safety and environmental conditions in the countries in which they operate are often overlooked in the emotional debate on corporate behavior, and emphasizes the essential obligations of MNCs to comply with the national laws and regulations of the jurisdictions of their operations. The statement describes the broad range of voluntary guidelines, principles, and codes which inform the policies and actions of most corporations, including: -- those internal to the company; -- sectorally-agreed and industry-led, such as the international chemical industry's Responsible Care(R) programs; -- the International Chamber of Commerce's (ICC) Codes and Guidelines on Bribery and Corruption, Sustainable Development, and Marketing; or, -- multilaterally-agreed, such as the OECD Guidelines for Multinational Corporations and the ILO's Tripartite Declaration on Multinational Enterprises and Social Policy. According to USCIB, the range of demands made by various groups are unrealistic, contradictory, and counter-productive. The preponderance of the business community rejects the notion that companies can be held responsible for the overall behavior and policies of their subcontractors and suppliers throughout the supply chain. Many MNCs are involved in a network of relationships numbering in the tens of thousands. The suppliers themselves would be obligated by the requirements of the codes of many different corporate customers. These imposed codes differ widely in their content and application. The business community rejects the notion that standardization is necessary or desirable. Such an approach is bound to conflict with a company's policies and practices, and the laws and regulations of the countries of its operations. Independent verification of corporate adherence is an important component of these imposed codes. Business overwhelmingly rejects demands by outside groups that seek to impose codes and assert the right to independently audit companies' compliance. The USCIB statement explains the hazards of accepting such an intrusion. The USCIB advances the global interests of American business both at home and abroad. The USCIB has a membership of over 300 global corporations, professional firms, and business associations. It is the American affiliate of the International Chamber of Commerce (ICC), the Business and Industry Advisory Committee (BIAC) to the OECD, and the International Organization of Employers (IOE). As such, it officially represents U.S. business positions in the main intergovernmental bodies, and vis-a-vis foreign business communities and their governments. Copies of this statement are available from John Ritchotte by calling 212-703-5047. SOURCE United States Council for International Business [New York]
