Denmark

2. State Duty to Protect

2.3 Actions Taken

Companies that receive substantial support and services from State agencies [pages 13-15]

Since 2007 Denmark has worked actively in the OECD to ensure that export credit agencies have a common approach for evaluating human and labour rights as well as the protection of the environment (GP 10).

Promoting transparency through the Group of Friends of Paragraph 47

The Group of Friends of Paragraph 47 is a government led initiative formed by the governments of Brazil, Denmark, France and South Africa in June 2012 following the acknowledgement of the importance of corporate sustainability reporting in Paragraph 47 of the outcome document of the 2012 United Nations (UN) Conference on Sustainable Development (Rio +20). Since then several governments have joined the group. The Group issued their Charter on 7 November 2012, declaring their shared belief that corporate transparency and accountability are key elements

of a well-functioning market economy, that substantially enhances the private sector’s contribution to sustainable development, and that governments have a primary role to play in this agenda. This agenda includes all aspects of CSR, including human rights. The group is supported by the UN Environment Programme (UNEP) and the Global Reporting Initiative (GRI) in a Secretariat capacity.

Promoting shared understanding and international cooperation on UNGPs

Denmark participated actively in the 2011 revision of the OECD Guidelines for Multinational Enterprises. A main focus of the Danish efforts was to ensure that the revision of the OECD guidelines was made in accordance with the UNGPs.

The Danish Government is highly committed to the UN Global Compact and works for even closer cooperation between the UN Global Compact and the UN Guiding Principles on Business and Human Rights. Danida has provided financial support to the UN Global Compact for a number of years and has also provided support to John Ruggie’s work on developing the UNGPs as well as support to the UN Working Group’s work in promoting the implementation of the principles in practice. Denmark continues to work actively to ensure consistency between the different policies in the OECD including in the area of export credits. Denmark also works to ensure that the future EU policy in the field of CSR and human

rights is based on UNGPs. At EU level, Denmark is an active player in the EU-Commission’s high level group on CSR.

At the multilateral level, Denmark actively works to promote and strengthen the implementation of the UN Guiding Principles. In May 2012, as part of the Danish EU Presidency, the Danish Government organised an international conference on the UN Guiding Principles to increase the awareness among both EU member states and companies on the implementation of the UNGPs (GP 10). Moreover, Denmark participates in the annual UN Forum on Business and Human Rights held in Geneva, focusing on trends and challenges in relation to the effective implementation of the UN Guiding Principles.

Extraterritorial legislation

Direct extraterritorial legislation and enforcement includes criminal regimes that allow for prosecutions based on the nationality of the perpetrator no matter where the offence occurs. The Danish Government wishes to engage in the discussion on extraterritorial legislation as proclaimed in the UNGPs and as recommended by the Danish Council for CSR. Acknowledging the complexity of the issue, the Government has taken the following initiatives:

– At international level the Danish Government actively promotes the discussion on extraterritorial legislation, in particular the need for joint solutions. The Government has recommended that the Council of Europe should take the lead on the issue of extraterritoriality. The Council of Europe would be an excellent point of departure for this discussion as it covers virtually the entire European continent and focuses on the protection of human rights. Furthermore the Council of Europe is already working on these issues through its Steering Committee for Human Rights.

– The Government has recommended that the second annual UN Forum on Business and Human Rights could focus on the issues of   extra-territoriality as this is a challenge for every country to implement.

Appendix 1. Overview of the implementation of the state duty to protect

Status in Denmark (initiatives implemented before the UN ratification of the Guiding Principles) [page 32]

  • The government works to promote human rights bilaterally and multilaterally. This work is described in the Danish 2009 human right strategy “International human rights work”.
  • The government works actively in bilateral and multilateral institutions such as the UN and the EU to strengthen the observance and respect for human rights.
  • The government supports that the post-2015 development agenda is firmly anchored in human rights and universally accepted values and principles, including those encapsulated in the Charter, the Universal Declaration of Human Rights and the Millennium Declaration. Further, Denmark has been instrumental in the establishment of the World Bank’s Nordic Trust Fund which aims to promote the application of the human rights framework in World Bank policies and operations. Denmark has also been active in promoting that The International Finance Cooperation (IFC) actively supports its clients in addressing human rights risks and impacts. Furthermore, human rights are reflected in trade agreements.

 GP 10 continued-

Encourage those institutions, within their respective mandates and capacities, to promote business respect for human rights and, where requested, to help States meet their duty to protect against human rights abuse by business enterprises, including through technical assistance, capacity-building and awareness-raising;

Status in Denmark (initiatives implemented before the UN ratification of the Guiding Principles)

  • The government contributes actively to the promotion and dissemination of CSR in the UN and the EU through cooperation with donors. CSR is an important element in the donor Declaration “Bilateral Donors’ Statement in Support of Private Sector Partnerships for Development”, which was presented by the Danish Prime Minister at the UN Summit in September 2010;
  • Denmark’s participation in ILO cooperation contributes to the promotion of decent work for all. The focus is on the need to prioritise the relationship between employment, social security, labor standards and social dialogue in the ILO’s work, and the promotion of decent work in other international contexts.

Initiatives taken or planned as a dedicated measure to implement the UNGPs (after the UN ratification of the Guiding Principles)

– The Government has pro-actively supported the European Commission’s proposal for an EU Directive as regards disclosure of non-financial and diversity information. The Danish government finds that the expected European regulation is a timely opportunity for Europe and European;

– companies to further strengthening reporting practices with regard to human rights. In addition, it sends an important signal globally that while transparency is important in itself, a leveling playing field is needed.

GP 10 continued [page 33]

Draw on these Guiding Principles to promote shared understanding and advance international cooperation in the management of business and human rights challenges.

Initiatives taken or planned as a dedicated measure to implement the UNGPs (after the UN ratification of the Guiding Principles)

  • To raise awareness about the new UN Guiding Principles on Business and Human Rights, both among companies and the general public, the Governement has organised an international conference on human rights 7–8 May 2012 in connection with the Danish EU Presidency.
  • Denmark participated actively in the 2011 revision of the OECD Guidelines for Multinational Enterprises. A main focus of the Danish efforts was to ensure that the revision of the OECD Guidelines was made in accordance with the UNGPs.
  • Denmark continues to work actively to ensure consistency between the different policies in the OECD including in the area of export credits. Denmark also works to ensure that the future EU policy in the field of CSR and human rights is based on UNGPs.