| For the full case study, see Part II
1. Recognising international human rights standards
BP Amoco’s Ethical Conduct Policy explicitly supports the principles set
forth in the UN Universal Declaration on Human Rights and the ILO
Tripartite Declaration of Principles concerning Multinational Enterprises
and Social Policy. In addition its Relationships Policy commits the
company to demonstrating respect for human dignity and the rights of
individuals.
2. Conducting country risk reviews
BP Amoco now conducts a Country Risk Review. Amongst other factors, this
process takes into consideration the social, political, cultural and human
rights context of the country using a 20-year planning horizon. Market and
shareholder risks are also important factors in the process, as are
potential reputational risks. The process involves a select number of
internal staff from business units and the corporate centre, as well as
external experts.
3. The Rule of Law
BP Amoco respects the rule of law, recognising the hierarchy of
international, regional, national and local laws. The
|
company supports the establishment
of the rule of law. Sound laws create greater investment certainty and reduce risk.
4. Resolving conflicts
The Relationship Policy guidelines are more explicit in committing the
company, as part of its relations with governments, to work in partnership
with others to resolve tensions or conflicts arising between international
expectations on human rights and local or national practice. BP Amoco
views this commitment as part of its mandate to make a constructive
contribution to society.
5. Ultimate step of disinvestment
Where human rights abuses are of concern, BP Amoco’s preference is to
stay and engage rather than disinvest. “The two main exceptions”
says David Rice, Director of BP Amoco’s Government and Public Affairs
Policy Unit, “are where our ability to maintain the safety and
security of employees is compromised, and where it becomes impossible to
operate in accordance with business policies”.
|
