Guidance on developing effective grievance mechanisms in the banking sector
Author: BankTrack & Oxfam Australia, Published on: 9 July 2018
This paper reviews banks’ responsibilities and provides suggestions and recommendations for how banks can develop and implement effective operational-level grievance mechanisms that will be legitimate, trusted and meet their responsibilities under the Guiding Principles. Recommendations: 1. Acknowledge banks’ responsibilities under the Guiding Principles regarding remedy and grievance mechanisms...2. Map the channels already in place and build on them...3. Design grievance mechanisms with careful attention to the Guiding Principles effectiveness criteria...4. Ensure that all main stakeholder groups have access to bank grievance mechanisms...5. Consider both single-bank and multiple-bank options...6. Ensure the Equator Principles Association develops a grievance mechanism that meets effectiveness criteria...7. Write consent into agreements with clients to publish corporate loan and project finance information related to businesses engaged in high risk areas...8. Design mechanisms that can provide or enable remediation... 9. Engage with clients’ grievance mechanisms to ensure they are effective...10. Seek guidance where responsibilities are unclear. [Refers to ABN Amro, Australia and New Zealand Bank, Banco do Brasil, Credit Suisse, DEG, Deutsche Bank, FMO, HSBC, National Australia Bank, Standard Chartered, Westpac]
Related companies: ABN Amro Credit Suisse DEG (part of KfW) Deutsche Bank FMO HSBC National Australia Bank Standard Chartered Westpac