USCIB Advocates for Implementable, Workable OECD Guidelines for Multinational Enterprises

During the meeting of the OECD Responsible Business Conduct (RBC) Working Party in Paris last week, USCIB’s Corporate Responsibility and Labor Affairs team – Director Ewa Staworzynska and Policy Manager Jose Arroyo – attended the sessions as part of Business at OECD (BIAC) delegation for the ongoing update of the OECD Guidelines for Multinational Enterprises (Guidelines).

The Guidelines are a set of recommendations from governments to businesses for ensuring responsible business conduct.

According to Arroyo, the BIAC delegation conveyed to OECD governments relevant points to make sure the Guidelines are implementable and workable for business while maintaining a high bar for responsible business conduct.

“USCIB and BIAC were able to get support in the room from several governments as we continue to address key issues that remain to be resolved,” said Arroyo.

“A common line of reasoning is that the Guidelines are voluntary and, therefore, can go well beyond what is asked of business in legislation. However, we insisted that if the Guidelines are increasingly referenced in new law bills, and should these bills pass, there may be substantial practical challenges for business.”

USCIB and BIAC advocated for new language that clarify the intent of the Guidelines, meaning they are not designed to be applied in hard law. Ultimately, governments will have the last word on the issue, according to Arroyo. Other challenges discussed were the downstream due diligence approach and substantial changes in the Environment Chapter.

USCIB, as the U.S. affiliate to BIAC, has been the only U.S. business association on the ground for all the OECD RBC Working Party meetings.

“We are in the home stretch of the update, and we thank all USCIB members who provided their expertise, inputs, questions and concerns to secure a workable, implementable document,” said Arroyo.

The Guidelines are expected to be approved by the OECD in June and USCIB will continue to advocate for the business community for a workable outcome while promoting the highest standards of responsible business conduct.

Staff Contact:   Kira Yevtukhova

Deputy Director, Marketing and Communications
Tel: 202.617.3160

Kira Yevtukhova manages USCIB’s print and online publications, including the website, e-newsletter and quarterly magazine, and serves as the organization’s digital media strategist. Prior to this role, Kira worked for over five years within USCIB’s Policy Department, focusing on climate change, environment, nutrition, health, and chemicals related policy issues. She is a graduate of Mount Holyoke College and has an MBA from Georgetown University’s McDonough School of Business.
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