Human Rights and Business 2017: Promoting responsibility and ensuring accountability Contents

Contents

Terms of Reference

Summary

1 Introduction

Our inquiry

Conducting the inquiry

The structure of this report

2 Background

Previous work by this Committee

European Convention on Human Rights

The UN Guiding Principles on Business and Human Rights

The UK National Action Plan

National Action Plan update

3 The interaction between human rights and business

Who are the victims of human rights abuses?

Human rights abuses in the garment and textiles sector

Turkey

Leicester

Human rights abuses in other sectors

4 The UK’s Government’s approach to human rights and business

UK leadership

Criticisms of the updated National Action Plan

Limited in scope

No baseline study or timetable

Failure to reflect consultation with NGOs

Other criticisms

Conclusions

The wider governmental approach to business and human rights

Perceived lack of ministerial leadership

Departmental responsibility

Cross-Whitehall Steering Group

Inconsistent messages between departments

Conclusions

Public sector procurement

Current Government advice on human rights in public procurement

Benefits of making human rights a condition of public procurement

Requirement for companies to undertake due diligence for public sector contracts

Conclusions

5 Preventing human rights abuses by businesses

Modern Slavery Act

Shortcomings of the Modern Slavery Act

Suggestions for improvement

Modern Slavery (Transparency in Supply Chains) Bill

Conclusions

The Gangmasters Licensing Authority and the Gangmasters & Labour Abuse Authority

Decrease in inspections and enforcement

Licensing powers

Resourcing

Conclusions

Anti-Slavery Commissioner

Partnership building

Resourcing

Conclusions

Local authorities

Conclusions

Businesses’ approach to auditing, trade unions and preventing human rights abuses

Conducting audits and working with trade unions

Costing models

Incentivising good practice among businesses

Conclusions

6 Access to justice

Current barriers to accessing justice

Difficulties for foreign claimants accessing justice in-country

Legal aid and the effect of Rome II

Employment tribunal fees

High costs of this type of litigation

Conclusions

Access to remedy under civil and criminal law

Complexity of corporate structures

Contracting in supply chains

Importance of access to both civil and criminal remedies

Duty to Prevent

Conclusions

Operation of current criminal law investigations and prosecutions

Resourcing and expertise of investigating authorities

Sentencing

Conclusions

Non-judicial access to justice

UK National Contact Point

Conclusions

7 The implications of Brexit

The effect of Brexit on workers’ rights and reporting standards

Increased vulnerability of workers

EU laws on reporting and procurement

Conclusions

Human rights clauses in trade deals

Case for higher standards

Conclusions

Conclusions and recommendations

Declaration of Lords’ interests

Baroness Hamwee

Formal Minutes

Witnesses

Published written evidence

List of Reports from the Committee during the current Parliament





4 April 2017