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Article

7 Oct 2013

Author:
Margaret Wachenfeld, Institute for Human Rights and Business, on Responsible Investor

Recent decisions clarify investor responsibility to address human rights concerns

The [OECD Guidelines for Multinational Enterprises'] new chapter [on human rights] reflects the increasingly mainstream place of human rights on the business agenda, including for the financial sector. The final statement of the Norwegian NCP in the NBIM [Norges Bank Investment Management] case...[sets] out in a clear, step by step discussion, why and how the OECD Guidelines apply to investors and in particular, to minority shareholders...What the UN Guiding Principles signal, and the NCP case clarifies, is the shift away from a topic-focused approach that some investors have taken...towards an approach that is systematic and prompts businesses, including investors, to address all their key human rights impacts – identified (and then managed) through the human rights due diligence process..[Refers to APG, Nike, Posco]