Netherlands

3. Results of the consultations and government response

Level playing field [page 14]

“(…) The Netherlands believes that the OECD has an important role to play in reaching agreements on a level playing field. In order to contribute to a level playing field and to give the OECD Guidelines for Multinational Enterprises more authority, the government has appointed a special representative. For the next four years, this official will chair the working group on CSR, and lead the OECD Guidelines Proactive Agenda.

Promoting a level playing field is one of the government’s main tasks in relation to ICSR, and the Netherlands works through the multilateral institutions to achieve this aim. In multilateral forums such as the EU, OECD, ILO and UN, the Netherlands consistently calls for attention to the UN Guiding Principles, and urges member states to adopt them as the guiding principles of their policy. The Netherlands is also committed to universal ratification of the ILO’s fundamental labour standards: the ban on child labour and forced labour, equality of opportunity and treatment, and freedom of association. The ILO’s eight fundamental and four priority conventions support the system of universal labour standards and are crucial for a level playing field.

3. 2 Policy Coherence

International forums [page 18]

The government regards the UN Guiding Principles as an integral part of its foreign and human rights policy. The government can play a role in sector and multi-stakeholder initiatives by forging direct links with government authorities in other countries and by raising issues in multilateral forums and through the embassies. The government is committed to keeping CSR and human rights on the European agenda. In the run-up to the EU Presidency in the first six months of 2016, the Netherlands will consult with like-minded member states on Europe’s commitment to achieving a level playing field and to increasing the effectiveness of multi-stakeholder initiatives. Among the subjects the government will focus on the need for collaboration to achieve ICSR, with a view to greater social impact, the creation of a level playing field for business and implementation of the UN Guiding Principles. The Netherlands and a group of like-minded countries will play a pioneering role with the aim of getting the other EU member states on board.

As a shareholder in the international financial institutions, the Netherlands calls for more systematic attention for human rights and effective internal monitoring mechanisms to safeguard observance of human rights in projects. It is, for example, urging more systematic attention for human rights in the review and update of the World Bank safeguard policies. The Netherlands is also helping to promote human rights through programmes of multilateral institutions. The ILO’s Better Work programme is a good example.

Trade and investment agreements [page 20]

The government is committed to including clear provisions on the relationship between trade, investment and sustainability in trade and investment agreements. Within the EU, the Netherlands urges the inclusion in these agreements of a section on trade and sustainable development, with monitoring and enforcement mechanisms. The aim is for parties to reaffirm their commitment to fulfilling their ILO obligations to eliminate child labour and forced labour and to working together to this end. Agreements also need to be made on cooperating on and promoting CSR, through the OECD Guidelines, for instance. For the Netherlands, involvement of civil society organisations is an essential component of any agreement.

The EU’s aim is for every trade agreement to be linked to a broader partnership and cooperation agreement reaffirming states’ human rights obligations. Where human rights are abused, the trade agreement could ultimately be suspended.”

3.3 Clarifying Due Diligence

ICSR in relation to export credit insurance [page 27]

International agreements on the due diligence procedure for export credit insurance are set out in the OECD’s common approaches for export credit agencies. The common approaches apply to all OECD member states and, in terms of assessment of environmental and social impact, safeguard a level playing field between the member states’ export credit agencies. In the context of the common approaches, the OECD member states represented in the Export Credit Group have agreed that projects with potential adverse environmental and social impacts will always be screened for compliance with the IFC Performance Standards. The OECD Export Credit Group, in which all member states with export credit facilities are represented, is working on a strategy for assessing project-related human rights. The Netherlands plays an active part in this group, which is responsible for improving risk assessment.

3.4 Transparency and Reporting

Reporting [page 29]

The government supports the growing number of international initiatives to promote transparency by means of tax disclosure. It takes an active part in discussions in the EU on a possible expansion of obligatory tax disclosure by companies operating internationally to include payments to countries where they are active. It urges attention for possible adverse economic consequences of making this information public, and for close harmonisation with existing transparency requirements.

4. Action Points

Policy coherence [page 41]

• In the run-up to the Dutch EU Presidency in 2016, the government will consult with like-minded member states on shared priorities and commitments in Europe.