Global Policy Forum

By Thalif Deen

United Nations - UN Secretary-General Kofi Annan Sunday called on world business leaders to bring their corporate practices and policies in tune with basic principles of human rights, international labour laws and UN environmental norms.

"I propose that you, the leaders of global business, and we, the United Nations, initiate a global compact of shared values and principles, which will give a human face to the global market," he told the World Economic Forum in Davos, Switzerland. The annual Forum is one of the world's largest gatherings of political leaders, academics, Nobel laureates and heads of transnational corporations. This year's theme is ''Global Responsibility.''

Since he took office as Secretary-General two years ago, Annan has attempted to build a new relationship between the United Nations and the private sector. "We have shown through cooperative ventures - both at the policy level and on the ground - that the goals of the United Nations and those of the business community can be mutually supportive," he said. "This year, I want to challenge you to join me in taking our relationship to a higher level still."

Annan's offer comes at a time when some of the world's major transnational corporations are accused of either degrading the global environment or working in collusion with governments accused of violating human rights and international labour laws.

At an off-the-record background briefing on Thursday, a senior UN official told reporters that Annan has discovered "a greater interest on the part of the corporate sector" in working closely with the United Nations. The official said the positive responses have come specifically from three business sectors: oil, mining and insurance, but he refused to identity the businesses by name or their countries of origins.

"These are corporations that have turned the corner," he said, referring to a change in their policies on issues related to human rights, labour laws and the environment.

At a UN meeting of business leaders last year, the participants from the coporate sector included BAT Industries, Bata, Coca Cola, Goldman Sachs, McDonald's Worldwide, Rio Tinto, Unilever and US West.

Annan told the Davos Forum that the everyday work of the United Nations - whether in peacekeeping, settling technical standards, protecting intellectual property rights, or providing much-needed assistance to developing countries - helps expand opportunities for business around the world.

"And I stand quite frankly that, without your know-how and your resources, many of the objectives the United Nations pursues would remain elusive," he added.

Annan told business leaders that three UN agencies - the International Labour Organisation (ILO), the UN Environment Programme (UNEP) and the Office of the UN High Commissioner for Human Rights - stood ready to assist them.

"Many of you are big investors, employers and producers in dozens of different countries across the world," he said. "That power brings with it great opportunities - and great responsibilities."

Annan urged the entrepreneurs "to uphold human rights and decent labour and environmental standards directly, by your own conduct and your own business."

"You can make sure that in your own corporate practices you uphold and respect human rights; and that you are not yourselves complicit in human rights abuses," he added.

He urged business leaders to protect freedom of association and the right to collective bargaining. "You can at least make sure that you yourself are not employing under-age children or forced labour, either directly or indirectly."

"We have to choose between a global market driven only by calculations of short-term profit, and one which has a human face," Annan said. "We also have to choose between a world which condemns a quarter of the human race to starvation and squalor, and one which offers everyone at least a chance of prosperity, in a healthy environment," he added. "I am sure you will make the right choice."

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