2020 Results of the Corporate Human Rights Benchmark 16 ...

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2020 Results of the Corporate Human Rights Benchmark 16 th November 2020 @rankBHR @SDGBenchmarks #chrb #bizhumanrights

Transcript of 2020 Results of the Corporate Human Rights Benchmark 16 ...

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2020 Results of the

Corporate Human Rights Benchmark

16th November 2020

@rankBHR @SDGBenchmarks #chrb#bizhumanrights

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Automotive results

• 30 automotive companies

• Assessed for the first time by CHRB

• 6 measurement themes

• ~50 indicators per company

• Methodology grounded in UNGPs and other recognised frameworks

• Assessment based on publicly available information

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Automotive results

Average score:

12%

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Automotive results

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• 199 companies

• 4 sectors

• CHRB Core UNGP indicators

• 13 indicators per company

• Core expectations of the UNGPs:

• High level commitments

• Human rights due diligence

• Access to remedy

• Assessment based on publicly available information

CHRB Core UNGP results

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• Too many companies are failing to meet

human rights due diligence expectations

• A growing number of companies are getting

better at the fundamental policy and process

requirements, but...

• … many still lag behind

• … and these commitments and processes

need to deliver results on the ground

CHRB Core UNGP results

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Negative human rights impacts are overwhelmingly felt in developing countries

2020 results – all sectors

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• Companies engaged in a dialogue with stakeholders in less than 1/3 of cases

• Companies provided effective remedy that was satisfactory to the victims in only 4% of cases

• Of the 229 companies assessed, 104 had at least one allegation of a serious human rights impact

• 225 allegations of serious human rights impacts

2020 results – all sectors

+447462076085.

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Human Rights Approach

9

Systematic identification and management of human rights risks across the value chain and business partners.

This includes:

• Statement of policy commitment covering own operations, value chain and partners

• Due diligence process including risk mapping

• Assessment including most vulnerable groups and mitigation actions taken

Expectation from companies & performance indicators

Source: S&P Global, Corporate Sustainability Assessment

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Human Rights Approach

10

Systematic identification and management of human rights risks across the value chain and business partners.

This includes:

• Statement of policy commitment covering own operations, value chain and partners

• Due diligence process including risk mapping

• Assessment including most vulnerable groups and mitigation actions taken

Expectation from companies & performance indicators

Source: S&P Global, Corporate Sustainability Assessment

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Human Rights Policy per Industry Sector

Private & Confidential

11

20%

25%

30%

35%

40%

45%

50%

55%

60%

65%

70%

2017 2018 2019

Companies with a Public Human Rights Policyper Sector

Consumer Staples

Materials

Information Technology

Energy

Financials

Utilities

Industrials

Health Care

Communication Services

Consumer Discretionary

Real Estate

Source: S&P Global, Corporate Sustainability Assessment

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Source: S&P Global, Corporate Sustainability Assessment, 2019

0%

10%

20%

30%

40%

50%

60%

70%

Real Estate Health Care Utilities Financials InformationTechnology

Materials Industrials Energy CommunicationServices

Consumer Staples ConsumerDiscretionary

% of Companies with Due Diligence Process in Place by Sector

Human Rights Due Diligence per Industry Sector

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Private & Confidential

13

492551

594

0%

20%

40%

60%

80%

100%

2017 2018 2019

Companies with Due Diligence in Place

No

Under development

Yes

Source: S&P Global, Corporate Sustainability Assessment

Human Rights Due Diligence Process

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*The universe for the region of Africa consists largely of South African companies.

Source: S&P Global, Corporate Sustainability Assessment

72%

68%

55%

53%

40%

45%

50%

55%

60%

65%

70%

75%

80%

2017 2018 2019

Companies Conducting Human Rights Assessments per Region

Europe

Asia Pacific

Africa*

Latin America

North America

Human Rights Assessment

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Source: S&P Global

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

2017 2018 2019

Which groups are being specifically assessed?

Contracted labor/suppliers

Employees

Children

Local communities

Indigenous People

Human Rights Assessment

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Disclaimer

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WBCSD member benchmarking 2020

150 WBCSD member companies benchmarked in 2020 by WBCSD, CHRB or Business & Human Rights Resource Centre (≈ 75% of membership)

Assessment by WBCSD is internal & confidential. Companies receive their individual results and can request a 1-on-1 feedback session

Findings to be released in December 2020 as part of WBCSD Issue brief on trends & developments in corporate respect for human rights

Deep dives for selected, sector-specific projects within WBCSD

WBCSD assessment to be repeated bi-annually to track progress and inform WBCSD projects

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WBCSD member companies scoring distribution

8

16

29

25

20

25

13

8

4 2

0

5

10

15

20

25

30

0-10 10-20 20-30 30-40 40-50 50-60 60-70 70-80 80-90 90-100

Number of companies in each scoring band

Lowest score

0

Highest Score

96

Average score

40

150 companies