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Some Ethical Explications
of the UN-Framework
for Business and Human Rights
Georges Enderle
John T. Ryan Jr. Professor of International Business Ethics
Mendoza College of Business, University of Notre Dame,
Notre Dame, Indiana 46556 / USA

Introduction: Some cases
Overview
1. Basic assumptions of the UN-Framework
2. Moral obligations of securing human rights
3. Determining corporate responsibility for human
rights
4. Does responsibility for human rights conflict with
the self-interest of the corporation?

Some cases of corporate (ir)responsibilities
for human rights 1995 - 2011
Shell shocked and in the dock
CNPC (China National Petroleum Corporation) in Sudan
Google facing internet censorship in China
Sweatshops in developing countries
Access to basic medicines in developing countries

1995-2009:
As Shell
finally
stands trial
for its
alleged
complicity
in the death
of Nigerian
activist Ken
Saro-Wiwa,
the case
could have
significant
implications
for
international
corporate
liability

CNPC imports Chinese labor for
Sudan projects rather than employing
local Sudanese citizens
Labor force of 10,000 Chinese to build
Sudan’s largest oil pipeline
Underbids local firms
Utilizes bribes
Tends not to hire Africans
CNPC in Darfur

Environmental behavior in Africa
tied to worse offenses
CNPC is accused of complicity to all sorts of behavior.
No active participation, but company conducted business
relationships with the criminal parties (as of 2007).
CNPC is largest buyer of Sudanese oil; 70% of revenue is spent on
military activities, including genocide in Darfur region.
Watchdog groups called for large US mutual funds to dump
investments in PetroChina (owned by CNPC) on this account.
Targeted funds include Franklin Templeton, JPMorgan Chase,
Fidelity, and Vanguard.

Freedom or censorship on the Internet

Short history:
January 2006: Google announces the launch of
Google.cn, a self-censored version of the original site
Google.com.
January 2010: Google is no longer willing to censor
results on its China site.
March 2010: All search requests on Google.cn are now
being redirected to Hong Kong arm and not censored
any longer.
July 1, 2010: China renews Google license.

GlaxoSmithKline believes slashing prices and sharing patents will help
the one in six people in the world of suffering from a neglected tropical
disease.

Weekly Update – 16 March 2011
Business & Human Rights Resource Centre
In this issue
International
Africa
Americas
Asia & Pacific
Europe & Central Asia
Middle East & N. Africa
Lead Story
Japan nuclear crisis: Reports on responsibility of
TEPCO (Tokyo Electric Power Company), impacts of
reactor safety failures on long-term health, pregnant
women, food chain
Justmeans; New America Media; New York Times;
Reuters; Wall Street Journal
link to TEPCO website also provided
Japan: Actions by companies to help victims of
earthquake & tsunami
Website:
www.business-humanrights.org
Companies & issues
All latest news
Search
Recent company responses & non-responses
Responded to allegations:
ICTI Care Foundation, & factories Dongguan Heng Li Tian
Tou Chuang Ying Toys, Tang Xia Yat Hing Plastic and Metal
Manufactory, Hui Zho Win Merchant Tour Product, re labor
rights abuses in China
Maersk re allegations of trafficking workers
Starbucks re worst rating of UK coffee chains across 19
ethical categories
Deno Gold on pollution of communities in Armenia
Have not sent us a response:
Corriente Resources re alleged human rights abuses in
Ecuador
All responses from past Updates

1. Basic assumptions of the UN-Framework
1. Human rights are universally valid moral norms, which, today,
have been recognized worldwide, although not undisputedly.
2. Human rights comprehend all human rights: civil, political,
economic, social, and cultural rights, including the right to
development.
3. Human rights are minimal moral norms and do not encompass all
relevant moral norms and values.
4. The justification of human rights is here not addressed.

All human rights are relevant
• Freedom of association
• Right to organize and participate
in collective bargaining
• Right to non-discrimination
• Abolition of slavery and
forced labor
• Abolition of child labor
• Right to work
Labor rights:
• Right to equal pay for equal
work
• Right to equality at work
• Right to just and favorable
remuneration
• Right to a safe work
environment
• Right to rest and leisure
• Right to family life

All human rights are relevant
• Right to life, liberty and security
of the person
• Freedom from torture or cruel,
inhuman or degrading
treatment
• Equal recognition and
protection under the law
• Right to a fair trial
• Right to self-determination
• Freedom of movement
Other rights:
• Right of peaceful assembly
• Right to marry and form a
family
• Freedom of thought,
conscience and religion
• Right to hold opinions,
freedom of information and
expression
• Right to political life
• Right to privacy

All human rights are relevant
Other rights (continued):
Right to an adequate standard of living (including food, clothing, and
housing)
Right to physical and mental health; access to medical services
Right to education
Right to participate in cultural life, the benefits of scientific progress,
and protection of authorial interests
Right to social security

2. Moral obligations of securing human rights
1. All human rights must, as a minimal norm, be secured
completely.
2. Each individual and all organs of society must
contribute to meet this norm, to the extent they are
capable of.
Distinguish:
- Subject of obligations
- Types of obligations
- Criteria of assigning obligations

States
Transnational
corporations
and other
business
enterprises
Other Organs
of society
Individuals
Subjects and Types of Obligations for Securing Human Rights
Respect
Direct: Indirect (no
complicity):
Protect
against
third parties
Remedy Promote

Criteria of attributing obligations
1. Strict separation of private and public interests: The state is
responsible for the public interests; the other actors are
responsible for the private interests.
2. Impact of the actor on the victims of violations of human
rights.
3. Complicity of the actor: direct, indirect, beneficial, silent, and
structural.
4. Sphere of influence of the actor on the victims and
perpetrators of violations of human rights.
5. Capability of the actor to securing human rights, although
the actor did not cause human rights violations directly nor
indirectly.

States
Transnational
corporations
and other
business
enterprises
Other organs
of society
Individuals
Criterion #1: Strict separation of private and public interests
Respect
Direct: Indirect (no
complicity):
Protect
against
third parties
Remedy Promote

States
Transnational
corporations
and other
business
enterprises
Other organs
of society
Individuals
Criterion #2 and #3: Direct and indirect impact
Respect
Direct: Indirect (no
complicity):
Protect
against
third parties
Remedy Promote

Criterium #4: Sphere of influence of the actor on victim and perpetrator
States
Transnational
corporations
and other
business
enterprises
Other organs
of society
Individuals
Respect
Direct: Indirect (no
complicity):
Protect
against third
parties
Remedy Promote

States
Transnational
corporations
and other
business
enterprises
Other organs
of society
Individuals
Criterium #5: Capability of the actor
Respect
Direct: Indirect (no
complicity):
Protect
against third
parties
Remedy Promote

3. Determining corporate responsibility for human
rights
What is the corporation?
Production function, nexus of contracts, property, economic
mechanism, economic animal, community, organization, corporate
citizen?
The corporation as a moral actor (not moral person):
Collective entity acting with intention to achieve its goal and
impacting on society and nature. Can be held responsible for its acts
and impact.
The corporation as a responsible, moral actor:
Bipolarity of “responsibility” (W. Schulz):
Inner pole: self-commitment originating from freedom.
Outer pole: in worldly relationship (through corporate behavior) with
stakeholders.

States
Transnational
corporations
and other
business
enterprises
Other organs
of society
Individuals
UN-Framework for business and rights (2008)
Respect
Direct: Indirect (no
complicity):
Protect
against third
parties
Remedy Promote

Corporate responsibility includes:
1. Corporations have to “respect” all human rights worldwide. This
means, they must not cause directly, or be involved directly or
indirectly in, human rights violations.
2. Corporations have to exercise “due diligence” to examine, on a
regular basis, their corporate strategies and activities with regard to
all potential and actual impact on human rights and to make sure
that all human rights are “respected.”
3. Corporations are not responsible for all types of human rights
violations, but “only” for “respecting” them, though in their entirety.

4. Corporate responsibility in conflict with the selfinterest
of the corporation?
Self-interest in a narrow sense, in which only short-term and
financial matter “count”: conflict in many situations.
“Enlightened “self-interest, which also includes a long-term
perspective and the benefits of all (economic and other) factors for
the corporation. “Due diligence” is taken seriously, and the business
case for human rights can be made in many cases.
Can corporate responsibility for human rights go beyond selfinterest?
Yes.
Why?

Thank you

UN-Framework for Business and Human Rights
The Corporate Responsibility
to Respect
The State Duty to Protect
Access to Remedies

States
Transnational
corporations
and other
business
enterprises
Other organs
of society
Individuals
Actors challenged outside the UN-Framework
Respect
Direct: Indirect (no
complicity):
Protect
against third
parties
Remedy Promote