Mongolia – due diligence

By Daniel Morris | 22. February 2024

CHAPTER II – Actions to improve the duty of the state in protection human rights

4. Create the legal framework for business enterprises of all forms of ownership to carry out human rights due diligence in its operations.

Actions and measures to be implemented:

Develop guidelines and methodologies for human rights due diligence, promote them and build capacity for their practical implementation Conduct pilot projects in state and locally owned enterprises and other companies and present human rights due diligence reports to the public.

  • Time frame: 2023-2025
  • Criteria: The guidelines and methodology for human rights due diligence will be developed. Actions will be taken to promote the guidelines and methodology and to build capacity for conducting human rights due diligence. State and locally owned enterprises, as well as other companies, will be selected to conduct a human rights due diligence pilot project and the results will be presented.
  • Implementing organisations: MoJHA, PCSP, Secretariat of National Committee on Gender Equality (NCGE), NHRCM [National Human Rights Committee of Mongolia], Secretariat of the NCHR.
  • Jointly implementing organisations: MFA [Ministry of Foreign Affairs], Small and Medium Enterprise Agency (SMEA), CMTU, State and locally-owned enterprises, Non-governmental organisations (NGOs), International Organisations (Ios).

Conduct a study and develop conclusions and recommendations to establish the legal framework for companies to conduct human rights due diligence in their operations and supply chain based on certain criteria (e.g. through amendments and changes to the laws regulating the operation of companies, the Law on Company, the Law on Securities Market and other applicable laws, etc.).

  • Time frame: 2025 – 2027
  • Criteria: A study will be conducted and conclusions and proposals will be made. Actions to be implemented will be determined.
  • Implementing organisations: MoJHA, MLSP
  • Jointly implementing organisations: MNCCI [Mongolian National Chamber of Commerce and Industry], Professional associations, state and locally-owned enterprises, NGOs.

Implement a project to support human rights due diligence for business enterprises that provide basic social services (health, education, public transport, landscape management) and legislate the obligations of these companies to prevent, identify and address negative human rights impacts.

  • Time frame: 2025 – 2027
  • Criteria: A draft law will be developed and submitted for approval. A project to support human rights due diligence will be carried out.
  • Implementing organisations: Ministry of Construction and Urban Development (MCUD), Ministry of Education and Science (MES), Ministry of Health (MoH), Ministry of Road and Transport Development (MRTD), Secretariat of the NCHR, Secretariat of the Governor of the capital city, PCSP
  • Jointly implementing organisations: Relevant ministries and organisations, Government monitoring implementing Agency (GMIA), IOs, NGOs.

CHAPTER THREE – Actions to improve the responsibilities of business enterprises to respect human rights

3. Strengthen the capacity to conduct human rights due diligence.

Actions and measures to be implemented:

Study and promote the forms of systems where business enterprises conduct human rights due diligence and risk assessment in business operations.

  • Time frame: 2023-2025
  • Criteria: A study will be carried out and measures to promote the most feasible forms to be introduced will be undertaken
  • Implementing organisations: MNCCI, professional associations
  • Jointly implementing organisations: NGOs

Implement programmes to share practises, promote awareness, training and capacity building among companies and organisations that have adopted business and human rights policies and have conducted due diligence or risk assessments on human rights in their business activities.

  • Time frame: 2023-2027
  • Criteria: The adoption of a human rights policy by businesses and organisations shall be encouraged and supported, and actions shall be taken to disseminate and share best practises in adopting such a policy and conducting human rights due diligence
  • Implementing organisations: MED, MoJHA, SMEA,
  • Jointly implementing organisations: Relevant ministries and organisations, MNCCI, MONEF, state and locally owned enterprises, NGOs.

Build the capacity of law firms, consultancies and civil society organisations providing human rights due diligence services and engage them in activities to introduce and localise the human rights due diligence system in companies and organisations.

  • Time frame: 2023-2025
  • Criteria: Actions to build capacity and ensure the participation of consultancies and civil society organisations providing legal aid services will be planned and implemented in several phases.
  • Implementing organisations: MoJHA, MET, MLSP, MED, MCUD, MEDS, MMHI, MoFALI, MRTD, MoE, NGOs
  • Jointly implementing organisations: MFA, Relevant ministries and organisations, Governors of all levels, MGA, AMA, IOs.