Tuesday, 22 September 2020

Glimpses from the United Nations Virtual Forum Discussions







The United Nations Virtual Forum on Responsible Business and Human Rights : New Challenges New Approaches (for  Asia and the Pacific) happened from 9th to 12th June 2020. These webinar discussions  are to be seen in the light of the concerted efforts of UN to strive for responsible business and human rights discourse in Asia and the pacific. 

In 2020, the UN Working Group on Business and Human Rights (UNWG), United Nations Development Program (UNDP), International Labour Organization (ILO), United Nations Children's Fund (UNICEF), United Nations Entity for Gender Equality and the Empowerment of Women (UN Women) and United Nations Economic and Social commission for Asia and the Pacific (ESCAP) have joined forces to provide further stimulus in this regard.  

As the conference was held virtually this year on account of the Pandemic Covid 19, it afforded an opportunity  for a larger and wider audience to participate from around the world. I registered for and attended four of the many sessions that were available. I chose the sessions  based on the relevance of the topic to India and  those with a panel that included Indians or persons of Indian origin so that more insights relevant to our country could be gained. In this blog, I propose to give the gist of what was discussed rather than who said what. The topics of the sessions attended were (1) Overcoming Human Rights challenges (2) Managing Human risks in supply chain (3) Business in times of disruption and (4) Responsible business and human rights.

  • Companies have a big impact on people around the world. The process of Globalization  has necessitated Human rights policies. The UN operating practices are required to be reinforced by the states. There is a need for industry to respect HR, redesign and restructure supply chain to protect human rights. It is essential to promote, respect and remedy.  
  • The sustainable development goals of UN are to be pursued relentlessly and continuously, monitoring the risks and opportunities (The sustainable development goals are a collection of 17 global goals designed to be a " a blue print to achieve a better and more sustainable future for all". The SDGs  set in 2015 by the United Nations General assembly and intended to be achieved by the year 2030 are part of a UN resolution called the "2030 Agenda")    
  • It is necessary to work closely with Governments to develop a National plan which in turn can help industries to develop framework and implement.  
  • The labour challenges such as the ones thrown up by the pandemic can be addressed by looking at the root causes much before a crisis strikes- issues such as low wages/ under payment, non access to social security systems,  non access to food and nutrition.  
  • The Covid 19 experience has dealt a blow to the motivation of migrant workmen to come and work in cities. Their trust is to be regained. Those returning should not be stigmatized. Companies should follow ethical recruitment practices. More information should be provided during the the on boarding process and Governments should intervene to ensure improved living conditions.  
  • Covid 19 crisis has thrown up problems such as orders being cancelled by buyers, inability of many companies to pay workmen and the problems faced by migrant workmen.  
  • A panel member said that in the Brisbane area in Australia vulnerable communities such as the aboriginals and indigenous communities living in remote areas have not been adequately educated on the importance of social distancing. There is a need of a separate fund to support them.
  • A survey was initiated to understand how suppliers are affected as also the migrant workers. Migrant workmen have been stranded in international locations and are living in dormitories. Based on information obtained from the survey, follow up calls/ video calls were made with suppliers.  However, face to face interaction with workers have not been possible.    
  • An innovation that happened in a company during the Covid setback, is that training was organized through QR code with participation of suppliers.  
  • Another thing that Coco Cola did was not to stop their financial audits but to conduct them virtually - 20,000 audits in 200 countries. In a couple of regions follow up assignments were also taken up with third party audio and video facility. As the exercise was very encouraging the company feels that in future this method can be used to supplement the activity if not to  supplant it.   
  • This is the time to examine cross sectoral collaboration. As for example in expenditure on CSR activity can be collaboratively made by companies to address major social concerns. This enables chipping  in by more than one company. Collaboration from impact investors could also come wherein finance can be extended at reasonable rates to manufacturers for the environment sustainability programs . The Government can also involve and contribute in this regard.    
  • As Covid 19 has resulted in many people returning to their villages, scouting for local work force has become necessary and reverse migration could be a solution.  
  • The challenges of the changed scenario would be meeting an increased demand  when the opening up happens, which would put a huge pressure on the supply chain. One has to be vigilant about increased working hours and increase in overtime working. Another problem that could come up is harassment. When more hiring happens once the economies open up, it is necessary to see that the foreign migrant workers are ethically recruited.  
  • There tends to be a modern slavery of migrant foreign workmen. This happens when their supply is more as against the demand. Detailed study of the situation in the Middle East in 2007 revealed many wrong practices such as retention of the passports of workmen by employers, collecting fee for applying/ securing job, manipulation of contract etc. The auditory programs that followed provided for updated policies to avoid such practices.  
  • One of the solutions to the kind of problems faced by migrant workmen in India during the Covid crisis is to start industries in the source states like Bihar and Jharkhand.  Reskilling and reintegration policies need to be developed. The Government should keep some emergency funds for handling industry upheavals.  
  • Communication plays an important role in assuaging the anxieties and concerns of all those affected.The job issues  of white collared  employees also need to be addressed. National plan for businesses in India in line with Sustainable Development Goals (SDGs) of UN is most essential. Empathy is the need of the hour.  
  • The pandemic magnified social inequalities in the society with many job losses. Asian migrant workers and informal economy workers were affected the most. Earning from foreign countries was severely impacted with 9 million Bangladeshis, 10 million Indians, 1 million Nepalese working abroad, losing their livelihood. They tend to be stigmatized even when they come back. Further, it is not economically  possible  to stay back and not return  in  view of the uncertainty.  
  • Protecting people is critical  more so in supply chain ( 70% of the work happens here) . In this connection industries, such as Petronas,  an oil and gas company based out of Malaysia have gone into manufacture of medical equipment such as ventilators to meet requirements of the day. Focus should be on strengthening finances and on the resolve to come through this period.   
  • Companies have been receptive to their employees working from home, post Covid. Surveys show that travel, hotel and tourism industries have been hit the most. Crisis has enhanced the opportunities of businesses in the field of mask making and other medical equipment. 
  •  This is a wake up call to business to make alternative plans. 
  • It is however a fact that only large businesses may be able to plan long term and act in a more responsible manner. Malaysia's Petronas and a company in Bangladesh have adapted to the situation and are now manufacturing products like medical equipment  that meet the current needs. 
  • Matching skills of your workmen with skills required by other companies will come in handy to help them find jobs when the company no longer needs them. It is to be noted that the scheme "PM cares" takes away the money that the company could have used for paying salaries to their workmen and meeting other obligations.  
  • To a question as to whether reputed brands failed to show character in line with a branded company in  their action during the crisis, it was opined that some companies lived up to their commitment and bought the goods at the rates contracted. However, other brands failed to do so. 
  • In difficult times Governments tend to relax labour legislation. In such a situation it is necessary  to be in the shoes of both the business and the workers and then take decisions and actions in overall interest. During the process it is very important to be  transparent. 
  • Paying labour low wages or assigning them degrading work will not pay in the long run. Business should take the initiative to pay workmen better and acknowledge their skills.  
  • As the way forward,  it is necessary to listen to the voices of all stakeholders who are affected and that of the Government and then jointly work for solutions. Questions need to be asked like " What will make sense to small scale industries? .  What is the space that has been created  to have an honest conversation for moving everyone to mainstream?" 
  • How far should regulations and incentives go?  What should be the role of big organizations  and the role of industrial associations for coming out of the crisis?  What are the things we do well and what are the things we do not do well?   it is important to give enough time listening to each other.   
  • To a question  "which are the countries if any that managed the situation well or better,"  it was informed  by a panelist that the Central and  North European countries have done well. They have more social dialogue and  developed trust. There is accountability for health and a collaborative approach is adopted for problem solving. 
  • Asian countries don't do well in corporate governance. There are no internal challengers. The weakest link is the alignment of pay and reward.   
  • The panelist from China stated that some industrial associations have social guidelines in terms of Human rights. Awareness amongst the business community and technical assistance are necessary to put UN guidelines into practice. There is also a need to share stories and best practices. 
  • Supply chain management is a challenge area and more needs to done. UNDP rankings showing  the companies following the guidelines will go a long way, in alerting companies to do better. 
  • In China, Multinational companies are better when it comes to following the UN guidelines. In Japan, only 45% are following the guidelines. It is necessary to ensure that all the tiers in the supply chain are covered in the implementation.   
I enjoy attending the monthly meetings of the professional bodies in HR and writing about them in my blog. This time. covering this virtual forum of UN  was a trifle more satisfying as the perception gained  from the discussions was more global in nature. The discussions centered around  a very important subject that of combating a global pandemic which is a challenge not just for  one or two countries  but the whole of mankind. It is my earnest wish and hope that my readers enjoy reading and benefit from the contents of this blog.