Actioning global standards
Discover how Australia has implemented the UN Guiding Principles on Business and Human Rights over a decade, with key findings and progress on corporate
Summary
The United Nations Guiding Principles on Business and Human Rights (UNGPs) are the authoritative global standard outlining expectations of governments and businesses in preventing and addressing business related human rights abuses.
The UN Human Rights Council unanimously adopted the UNGPs in 2011, with Australia co-sponsoring the resolution.
To mark the 10-year anniversary of the UNGPs in 2021, the Commission and the Australian Human Rights Institute collaborated on this report to assess Australia's progress and identify gaps in implementation.
Download the report
At the crossroads:
10 years of implementing the UN Guiding Principles on Business and Human Rights in Australia
Watch the launch of the report
About the report
What are the UN Guiding Principles?
The UNGPs comprise 31 principles within a 3-pillar framework:
- Pillar I: The state duty to protect against human rights harms by businesses.
- Pillar II: The business responsibility to respect human rights.
- Pillar III: The need to ensure access to remedy for business related human rights harms.
Six key focus areas
The report examines progress and gaps across 6 priority areas:
- combatting modern slavery
- embedding human rights due diligence into business practice
- respecting the land rights of Aboriginal and Torres Strait Islander peoples
- addressing the adverse human rights impacts of climate change
- leveraging the role of institutional investors
- ensuring access to remedy for victims.
Why this matters for Australia
Australia is at a crossroads. While there has been some progress in implementing the UNGPs over the past decade, the COVID-19 pandemic has highlighted the need for stronger social safeguards and a people-centred approach to business. At the same time, climate change poses one of the most significant threats to human rights globally.
Summary of progress
Key achievements:
- introduction of the Modern Slavery Act 2018(Cth)
- strengthening of the Australian OECD National Contact Point complaint mechanism
- growing awareness of business responsibility to respect human rights.
Areas requiring further work:
- policy coherence in implementing the UNGPs across government
- creating an enabling environment for rights-respecting business practices
- addressing governance gaps in corporate accountability
- ensuring victims have access to remedy
- operationalising the business responsibility to respect human rights.
Challenges:
- ad-hoc policy development lacking cohesion
- prevalent 'corporate social responsibility' mindset rather than rights-based approach
- limited understanding of human rights due diligence
- disconnect between UNGPs and key issues like climate change and land justice.
Variable corporate responses to Modern Slavery Act requirements.
Recommendations
For government:
- Strengthen the enforcement framework of the Modern Slavery Act.
- Legislate for mandatory human rights due diligence.
- Meaningfully incorporate free, prior and informed consent principles into the Native Title Act.
- Support the Paris Agreement's climate goals through stronger emissions targets.
- Support mainstreaming of UNGP-aligned investment practices.
- Develop comprehensive legal and policy responses to human rights impacts of Australian companies.
For businesses and investors:
- Build human rights knowledge and capacity.
- Implement the UNGPs through policy, due diligence and remediation processes.
- Address specific issues including modern slavery, climate impacts and Indigenous rights.
- Work toward common, UNGP-aligned environmental, social and governance methodologies.
Key UNGP developments in Australia
- 2011: UNGPs unanimously adopted with Australia's support
- 2017: The Australian Government established a multi-stakeholder advisory group
- 2018: The Modern Slavery Act was introduced in Australia
- 2021: 10-year anniversary of UNGPs implementation
