Global Compact (The United Nations Global Compact- UNGC)
Author: Dr Achieng Ojwang - UNGC South Africa Contact at the NBI
( Article Type: Explanation )
The UNGC is a strategic policy initiative and a global leadership platform for businesses that are committed to aligning their operations and strategies with ten universally accepted principles in the areas of human rights, labour, environment and anti-corruption. In so doing, business as a primary agent of globalisation and change acts to ensure that markets, commerce, technology and finance advance in ways that benefit economies and societies everywhere. The UNGC partnership brings business together with UN agencies, governments, civil society, and labour organisations to advance sustainability and responsible business practices. Since its launch in 2000, the UNGC has significantly grown and currently stands as the largest corporate citizenship and sustainability initiative in the world, with over 7700 corporate participants across 130 countries. This growth reflects the increasing understanding by business of the value of collaboration with international actors in the current global context where social, political and economic challenges and opportunities affect companies as never before.
The Global Compact Network in South Africa
National Business Initiative was appointed as South Africa’s Focal Point in 2007. The NBI works closely with signatories to coordinate collective activities of the Global Compact Network (GCN), which is made up of active local signatories to the UNGC. The NBI also assists signatories in developing their annual reports and most critically, in mainstreaming the 10 principles into their business strategy and culture. Currently, over 50 South African businesses, big and small, are active members of the UNGC with key players from different sectors including mining and financial services, pulp and paper, retail and hospitality, associations as well as academia.
To become a member, a company prepares a letter of commitment from the Chief Executive Officer and endorsed by the board, to the United Nations Secretary General expressing support for the Global Compact and its principles. This is followed by an online registration. For more information on registration, visit the UNGC website : http://www.unglobalcompact.org/HowToParticipate
The UNGC TEN Principles
The UN Global Compact’s ten principles in the areas of human rights, labour, the environment and anti-corruption enjoy universal consensus and are derived from:
• The Universal Declaration of Human Rights
• The International Labour Organization’s Declaration on Fundamental Principles and Rights at Work
• The Rio Declaration on Environment and Development
| • The United Nations Convention Against Corruption
The UN Global Compact asks companies to embrace, support and enact, within their sphere of influence, a set of core values in the areas of human rights, labour standards, the environment and anti-corruption
: Human Rights
• Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights; and
• Principle 2: make sure that they are not complicit in human rights abuses.
Labour
• Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;
• Principle 4: the elimination of all forms of forced and compulsory labour;
• Principle 5: the effective abolition of child labour; and
• Principle 6: the elimination of discrimination in respect of employment and occupation.
Environment
• Principle 7: Businesses should support a precautionary approach to environmental challenges;
• Principle 8: undertake initiatives to promote greater environmental responsibility; and
• Principle 9: encourage the development and diffusion of environmentally friendly technologies.
Anti-Corruption
• Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery.
