Norway

2. The State duty to protect human rights

2.3 State ownership and practice for supprting the business sector

Responsible management [page 22]:

Norges Bank has chosen to focus on certain areas in order to achieve the best and most effective risk management and exercise of ownership rights. At present the bank has three focus areas that are directly linked with environmental and social conditions: children’s rights, climate change and water management.

3. The Corporate responsibility to respect human rights,

Principle no. 12 [page 31]:

Internationally recognised human rights are those set out in the Universal Declaration of Human Rights of 1948, the two 1966 International Covenants, on Economic, Social and Cultural Rights and on Political and Civil Rights, and the ILO core conventions. In some cases, other standards may also be applicable, such as the rights of women, indigenous peoples, national, ethnic or linguistic minorities, children, people with disabilities, or foreign workers and their families.

…

4.2 Non-state-based grievance mechanisms [page 41]:

Norway has a number of well-functioning institutions such as the Labour Inspection Authority, the Ombudsman for Children. (…) There are also complaints mechanisms in connection with the rights of employees, children, women and men.

Read more about Children’s rights

Section 2.3: State ownership and practice for supporting the business sector

Responsible management [page 23]:

Another criterion concerns serious violations of individual rights in war or other conflict situations. In 2014, the council reviewed a number of cases of human rights violations in connection with extraction of natural resources, agriculture, food production and textile manufacturing.It follows from the mandate from the Ministry of Finance to Norges Bank that in certain cases the GPFG is prevented from investing in government bonds. The GPFG is not a foreign policy instrument, and only in special cases of comprehensive international sanctions or measures that Norway has endorsed, has such restrictions been imposed on investing in government bonds.

…

Section 2.6 Human Rights in Conflict Areas

Companies themselves have a responsibility to identify serious risks connected with areas that have been or are affected by conflict. There is an increasing demand from the business sector for dialogue and cooperation with the public authorities on security, risk assessment and corruption in conflict areas and demanding markets in these areas. The Ministry of Foreign Affairs is the contact point for companies in matters of security abroad.[paragraph 1, page 26]

…the same section lists measures undertaken or planned by Norway regarding conflict affected areas [page 26], which include: “Strengthen the dialogue with the business sector through the missions abroad on the risks associated with human rights violations, security concerns and corruption in conflict areas.

Section 3.2 Responsible Business Conduct  [page 32]:

Political unrest and conflict entail a particularly high risk of human rights abuses. Companies that operate in such areas should therefore exercise particular due diligence if they are to avoid becoming involved in such abuses. A typical example is abuses perpetrated by security personnel hired to protect the company. There is also a higher risk of corruption, illegal transactions, sexual abuse and other forms of violence against civilians.

…

Compliance with Legislation [page 36]:

In some geographical areas, such as conflict-affected areas, a company may unintentionally enter into a business relationship with an enterprise, such as a security company, that is guilty of gross human rights abuses. In such a situation, the Norwegian company should be aware that this may have legal consequences such as liability. The Norwegian Penal Code of 2005, which entered into force on 1 October 2015, also applies to certain punishable offences committed on behalf of an enterprise registered in Norway when the offence is also punishable under the law of the country where it has been committed.

Responsibility to Respect Human Rights page 31]:

In cases of armed conflict companies should respect the standards laid down in international humanitarian law.

Read more about Conflict-affected areas

The Norwegian NAP makes no direct reference to construction.

Read more about Construction sector

Summary [page 8]:

Norway already has sound legislation for safe guarding human rights. In many fields processes have already been started and changes made that are relevant to UN and OECD instruments, for example the Government’s state ownership policy, corporate governance of the Government Pension Fund Global and a number of measures implemented by diplomatic and consular missions.

1. Global developments and CSR

1.3 CSR in the Norwegian business sector [page 10]:

The Norwegian Corporate Governance Board (NUES) has published recommendations that have to be followed by all companies listed on the Oslo Stock Exchange.

2. The State Duty to Protect Human Rights

GP3 [page 18]:

In meeting their duty to protect, States should: (…) Ensure that other laws and policies governing the creation and ongoing operation of business enterprises, such as corporate law, do not constrain but enable business respect for human rights.

Read more about Corporate law & corporate governance

1.1 Developing an International Framework for CSR [pages 12-13]:

There is an increasing trend for international organisations, individual countries and civil society to establish partnerships and cooperation with companies. The UN Global Compact is one such initiative. This is a network-based organisation that works with business enterprises. The enterprises are committed to aligning their strategies and operations with 10 principles in the areas of human rights, labour, environment and anti-corruption….

…The UN Guiding Principles are intended to promote more sustainable, socially beneficial economic development. Promoting human rights is directly and indirectly linked with environmental protection, climate and anti-corruption efforts.

2.2 The State as adviser [page 20]:

Many Norwegian enterprises operate in new markets in weak states with poorly developed legislation or a poor capacity to enforce human rights legislation. Such companies are requesting advice and cooperation on CSR and related subjects such as security, risks and corruption.

The NAP provides examples of measures taken to address this risk, which includes: [page 21]: “strengthen guidance and dialogue with companies on human rights, business ethics, security and corruption in especially demanding markets.”

…

Due Diligence by GIEK, Export Credit Norway and Innovation Norway [page 24]:

The information on the company and the project for which support has been requested is assessed on the basis of a red flag checklist and a checklist based on the 10 principles of the UN Global Compact and adapted to Innovation Norway’s mandate and target groups. The red flags are: risk of corruption, the nature of the company’s activities in low-cost countries, ethical dilemmas and environmental pressure from commercial activities. CSR scores reflect the level of CSR-related risk connected with the project or whether CSR may be a reason for giving the case priority. One of the conditions laid down in the contract with the client is that the enterprise must have high ethical standards and avoid contributing to corruption, human rights violations, poor working conditions or adverse impacts on local communities or the environment.

2.6 Human Rights in Conflict Affected Areas [page 26]:

Companies themselves have a responsibility to identify serious risks connected with areas that have been or are affected by conflict. There is an increasing demand from the business sector for dialogue and cooperation with the public authorities on security, risk assessment and corruption in conflict areas and demanding markets in these areas.

The NAP then provides examples of measures to address human rights in conflict affected areas [page 26], namely: “strengthen the dialogue with the business sector through the missions abroad on the risks associated with human rights violations, security concerns and corruption in conflict areas” and “strengthen project cooperation with the business sector on ethics, security and corruption.”

…

Responsible Business Conduct [page 32]:

Political unrest and conflict entail a particularly high risk of human rights abuses. Companies that operate in such areas should therefore exercise particular due diligence if they are to avoid becoming involved in such abuses. A typical example is abuses perpetrated by security personnel hired to protect the company. There is also a higher risk of corruption, illegal transactions, sexual abuse and other forms of violence against civilians.

Read more about Corruption

The Norwegian NAP makes no explicit reference to Data Protection and Privacy.

Read more about Data protection & privacy

The Norwegian NAP does not make an explicit reference to Development Finance Institutions.

Read more about Development finance institutions

1. Global developments and CSR

1.1.Developing an international framework for CSR [page 13]

Promoting human rights is directly and indirectly linked with environmental protection, climate and anti-corruption efforts. For example, the right to health can be affected by hazardous substances and air, soil and water pollution. Measures to prevent deforestation and forest degradation can safeguard the climate and at the same time promote the rights of indigenous peoples and local communities.

1.3. CSR in the Norwegian business sector [page 14]

The Business for Peace Foundation promotes business practices that contribute to sustainable development.

2. The State Duty to Protect Human Rights

2.1 The State as legislator [page 18]

In 2014, a number of human rights were also enshrined in the Norwegian Constitution. The duty of business enterprises to respect human rights is set out in Norwegian legislation, for example in the Working Environment Act,… and the Environmental Information Act. In addition there are acts regulating other areas that may have consequences for human rights, such as the Nature Diversity Act, the Pollution Control Act and the Greenhouse Gas Emission Trading Act. These are intended to contribute to a stable climate and a healthy environment, and to help safeguard the right to health.

3. The Corporate responsibility to respect human rights

3.2 Responsible Business Conduct [pages 31-32]

The 13th principle clarifies what companies’ responsibility to respect human rights involves:

An enterprise may cause or contribute to adverse human rights impacts if for example …the living conditions of the local community that are directly affected by the company’s operations decline without prior explanation from or dialogue with the relevant parties, including the local authorities. Impacts on the climate and the environment resulting from the enterprise’s activities, for example through land use, exploitation of natural resources, greenhouse gas emissions or releases of hazardous substances, may also have adverse impacts on a broader range of human rights, such as minority and indigenous people’s rights or the right to life, health, food, water or adequate housing. If a company is responsible for such impacts, it is also responsible for addressing them.

Read more about Environment & climate change

1. Global developments and CSR

1.2 Human Rights and States Obligations [page 13]

Human rights are the fundamental rights of the individual that apply irrespective of race, colour, sex, language, religion, political or other belief, property, birth and other factors. It is the state’s duty to protect human rights, both by avoiding human rights abuses themselves and ensuring that human rights are respected by private parties under their jurisdiction. Protection of human rights is laid down in international agreements and customary international law, which is binding on states. Any violation of these rights by a state is considered to be a violation of international law.

2. The State Duty to Protect Human Rights

2.1 The State as legislator [page 18]

In 2014, a number of human rights were also enshrined in the Norwegian Constitution. The duty of business enterprises to respect human rights is set out in Norwegian legislation, for example…the Gender Equality Act.

Read more about Equality & non-discrimination

2.3 State ownership and practice for supporting the business sector

Principle 4 concerns the business activities of stateowned enterprises and enterprises that receive economic support or other services from state agencies:

4. States should take additional steps to protect against human rights abuses by business enterprises that are owned or controlled by the State, or that receive substantial support and services from State agencies such as export credit agencies and official investment insurance or guarantee agencies, including, where appropriate, by requiring human rights due diligence.

…

Conditions for government support for business promotion and private sector development section, [page 23]:

“The state is responsible for exercising due diligence when it provides significant economic support or other types of benefits to the business sector. This particularly affects the Norwegian Export Credit Guarantee Agency (GIEK), Export Credit Norway, Innovation Norway, Norad and the Foreign Service. The expectation that companies will observe a high standard of CSR reduces the risk that those that receive credit, loans or other financial support fail to respond correctly in difficult situations, which would affect Norway’s credibility and reputation as well as that of the company concerned. Responsible business conduct also constitutes a competitive advantage.”

Due diligence by GIEK, Export Credit Norway and Innovation Norway [page 24]:

GIEK and Export Credit Norway often provide financing for the same projects, and have established formal cooperation on CSR. The cooperation includes human rights due diligence based on the expectations of export credit institutions set by the UN Guiding Principles, and is an integrated part of GIEK’s and Export Credit Norway’s loan and guarantee activities.

Read more about Export credit

2.1 The state as a legislator: The Minerals Acts [page 19]:

In Norway as in other countries, conflicts may arise between commercial activity and indigenous peoples’ rights. Protection of Sami rights is laid down in the Constitution and other legislation, and obligations towards the Sami people follow from international conventions, particularly Article 27 of the International Covenant on Civil and Political Rights and ILO Convention 169 concerning Indigenous and Tribal Peoples in Independent Countries. In Norway, Sami rights are also enshrined in special legislation and through consultation procedures between the public authorities and Sámediggi (the Sami Parliament). As part of its follow-up of ILO Convention 169, Norway is conducting a dialogue with ILO on how the convention is being implemented in Norwegian law, including in the area of mineral resources. In the Official Norwegian Report 2007:13 on legislation pertaining to the Sami, the Sami Rights Commission reviewed measures relating to mineral resources and in legislation that regulates mineral extraction. Some of the commission’s proposals were evaluated in connection with the preparatory work on the Minerals Act. The Act, which replaced five existing acts, entered into force on 1 January 2010. As part of the Government’s follow-up of the report from the Sami Rights Commission, the Ministry of Trade, Industry and Fisheries will evaluate proposals for amendments to the Minerals Act.

…

2.1: Regulations on country-by-country reporting:

 Under the country-by-country reporting regulations, large enterprises that are required to submit accounts, and issuers of financial instruments listed on the stock exchange, in the extractive industry and/or forestry and logging, are required to prepare and publish an annual report on their activities by country and by project.

Read more about Extractives sector

The Norwegian NAP makes no direct reference to extraterritoriality.

Read more about Extraterritorial jurisdiction

Read more about Finance & banking sector

The ILO Core Conventions [page 31]:

The eight ILO core conventions provide a globally recognised framework for what constitutes a decent working life. The conventions are of key importance for the UN Guiding Principles on Business and Human Rights, the UN Global Compact and the OECD Guidelines for Multinational Enterprises. They include the following areas: (…) The elimination of forced or compulsory labour (Convention No. 29 on Forced Labour, and Convention No. 105 on the Abolition of Forced Labour).

Read more about Forced labour & modern slavery

ILO Core Conventions [page 31]:

Freedom of association (Convention No. 87 on Freedom of Association and Protection of the Right to Organise, and Convention No. 98 on the Application of the Principles of the Right to Organise and to Bargain Collectively).

Read more about Freedom of association

2. The State duty to protect human rights

2.1 The State as Legislator[paragraph 1, page 18]

“The duty of business enterprises to respect human rights is set out in Norwegian legislation, for example in the Working Environment Act, the Gender Equality Act and the Environmental Information Act.

2.6 Human rights in conflict areas [Paragraph 2, page 26]:

The Ministry of Foreign Affairs is the contact point for companies in matters of security abroad. The dialogue on the risk of gender-based and sexual abuses will be intensified where appropriate.

…

The 12^th Principle [page 31]:

Internationally recognised human rights’ are those set out in the Universal Declaration of Human Rights of 1948, the two 1966 International Covenants, on Economic, Social and Cultural Rights and on Political and Civil Rights, and the ILO core conventions. In some cases other standards may also be applicable, such as the rights of women, indigenous peoples, national, ethnic or linguistic minorities, children, people with disabilities, or foreign workers and their families.

…

The ILO Core Conventions [page 31]:

The elimination of discrimination (Convention No. 100 on Equal Remuneration for Men and Women Workers for Work of Equal Value, and Convention No. 111 on Discrimination in Respect of Employment and Occupation).

…

4. Access to remedy

4.2 Non-state-based grievance machanism [page 41]

Norway has a number of well-functioning institutions such as the Labour Inspection Authority, the Ombudsman for Children, the Consumer Ombudsman, the Equality and Anti-discrimination Ombudsman, the Norwegian Environment Agency and the Parliamentary Ombudsman for the Public Administration. There are also complaints mechanisms in connection with the rights of employees, children, women and men.

Read more about Gender & women’s rights

2. State Duty to Protect Human Rights

2.2 The State as Adviser [page 20]:

A large number of public or officially supported institutions that work with business internationalisation provide guidance on CSR and human rights. Among them are the Foreign Service, Norad, the Ministry of Trade, Industry and Fisheries, and Innovation Norway. Norway’s OECD National Contact Point also provides information and guidance.

…

Measures [page 21]

The Norwegian NAP highlights the intention to “improve the level of competence on the UN Guiding Principles and the OECD Guidelines among the public bodies that offer guidance on CSR; strengthen guidance and dialogue with companies on human rights, business ethics, security and corruption in especially demanding markets.”

…

Conditions for Government Support for Business Promotion and Private Sector Development – Measures [page 24]

The Norwegian NAP notes the intention to “give companies with international operations that apply for public funding or services adequate and coherent information and guidance on the Government’s expectations concerning respect for human rights.”

…

2.5 Public Procurement [page 25]:

The Government has held a public consultation on a proposed amendment to section 6 of the Procurement Act to include a provision stating that contracting authorities should have adequate procedures for ensuring social responsibility in connection with public procurement. The Agency for Public Management and Government (DIFI) provides guidance on such matters.

…

2.9 International Cooperation on CSR [page 27]:

States should harmonize their expectations in international forums that support, enter into partnerships with and provide guidance to enterprises. Norway is therefore working for the integration of the OECD Guidelines for Multinational Enterprises into the OECD framework for export financing.

Read more about Guidance to business

1. Global developments and CSR

1.1 Developing an international framework for CSR

[Page 13]

The UN Guiding Principles are intended to promote more sustainable, socially beneicial economic development. Promoting human rights is directly and indirectly linked with environmental protection, climate and anti-corruption eforts. For example, the right to health can be afected by hazardous substances and air, soil and water pollution.

2. The State duty to protect human rights

2.1 The state as legislator

[Page 18]

The Norwegian Human Rights Act9 states that certain key human rights conventions have the force of Norwegian law10 and take precedence over any other legislative provisions that are in conflict with them. In 2014, a number of human rights were also enshrined in the Norwegian Constitution. The duty of business enterprises to respect human rights is set out in Norwegian legislation, for example in the Working Environment Act, the Gender Equality Act and the Environmental Information Act. In addition there are acts regulating other areas that may have consequences for human rights, such as the Nature Diversity Act, the Pollution Control Act and the Greenhouse Gas Emission Trading Act. These are intended to contribute to a stable climate and a healthy environment, and to help safeguard the right to health. Generally speaking, Norwegian legislation safeguards human rights in Norway, so that companies that operate only in Norway are in little danger of violating these rights as long as they comply with the legislation.

Read more about Health and social care

3. The Corporate Responsibility to respect human rights

Acquiring expertise for risk identification and assessment [pages 33-34]

The NAP indicates that it may be necessary for company to “conduct a dialogue on due diligence with stakeholders”, which as per the UNGPs, include human rights defenders.

Read more about Human rights defenders & whistle-blowers

3. The Corporate responsibility to respect human rights 

Due diligence [page 33]:

In order to identify, prevent, mitigate and account for how they address their adverse human rights impacts, business enterprises should carry out human rights due diligence. The process should include assessing actual and potential human rights impacts, integrating and acting upon the findings, tracking responses, and communicating how impacts are addressed. Human rights due diligence:

(a) Should cover adverse human rights impacts that the business enterprise may cause or contribute to through its own activities, or which may be directly linked to its operations, products or services by its business relationships;

(b) Will vary in complexity with the size of the business enterprise, the risk of severe human rights impacts, and the nature and context of its operations;

(c) Should be ongoing, recognizing that the human rights risks may change over time as the business enterprise’s operations and operating context evolve.

Norwegian NAP refers to HRDD also in following sections:

The Government’s expectations of business enterprise [page 9]:

Business enterprises have an independent responsibility under the UN Guiding Principles to respect human rights by developing a public strategy or policy, exercising due diligence and helping to ensure a consultation and remediation process for individuals and communities affected by their activities. (…) In brief, the Government expects business enterprises to: (…) exercise due diligence and assess the human rights-related risks in the context of their operations. This applies particularly to enterprises that operate in demanding markets.

Due Diligence by GIEK, Export Credit Norway and Innovation Norway [page 24]:

GIEK and Export Credit Norway often provide financing for the same projects, and have established formal cooperation on CSR. The cooperation includes human rights due diligence based on the expectations of export credit institutions set by the UN Guiding Principles, and is an integrated part of GIEK’s and Export Credit Norway’s loan and guarantee activities. All projects for which financing is being considered are submitted to an internal risk classification, even projects where this is not required by the OECD Recommendation of the Council on Common Approaches for Officially Supported Export Credits and Environmental and Social Due Diligence. On the basis of the risk classification and considerations relating to opportunities for exerting influence, appropriate measures are taken to avoid, reduce and/or remedy potentially negative outcomes. In markets where there is a high risk that human rights will not be safeguarded in connection with business operations, it may be logical for example to require business enterprises to have adequate systems and strategies for risk assessment and follow-up. Innovation Norway practises environmental and social due diligence when dealing with all financing applications from business enterprises. The information on the company and the project for which support has been requested is assessed on the basis of a red flag checklist and a checklist based on the 10 principles of the UN Global Compact and adapted to Innovation Norway’s mandate and target groups.

The red flags are: risk of corruption, the nature of the company’s activities in low-cost countries, ethical dilemmas and environmental pressure from commercial activities. CSR scores reflect the level of CSR-related risk connected with the project or whether CSR may be a reason for giving the case priority. One of the conditions laid down in the contract with the client is that the enterprise must have high ethical standards and avoid contributing to corruption, human rights violations, poor working conditions or adverse impacts on local communities or the environment.

The Corporate responsibility to respect human rights with regards to conflict areas [page 32]: Political unrest and conflict entail a particularly high risk of human rights abuses. Companies that operate in such areas should therefore exercise particular due diligence if they are to avoid becoming involved in such abuses.

Read more about Human rights due diligence

3.2 Responsible business conduct

Integrating And Managing The Finding From Due Diligence Process And Risk Analyses [page 34]:

The 19th principle concerns how companies should follow up the findings of the impact assessments: 19. In order to prevent and mitigate adverse human rights impacts, business enterprises should integrate the findings from their impact assessments across relevant internal functions and processes, and take appropriate action.

Read more about Human rights impact assessments

The Norwegian NAP makes no explicit reference to ICT.

Read more about ICT & electronics sector

1. Global developments and CSR

1.1.Developing an international framework for CSR [page 13]

Measures to prevent deforestation and forest degradation can safeguard the climate and at the same time promote the rights of indigenous peoples and local communities.

2. The State Duty to Protect Human Rights

2.1 The State as legislator

The Minerals Act [page 19]

In Norway as in other countries, conflicts may arise between commercial activity and indigenous peoples’ rights. Protection of Sami rights is laid down in the Constitution and other legislation, and obligations towards the Sami people follow from international conventions, particularly Article 27 of the International Covenant on Civil and Political Rights and ILO Convention 169 concerning Indigenous and Tribal Peoples in Independent Countries. In Norway, Sami rights are also enshrined in special legislation and through consultation procedures between the public authorities and Sámediggi (the Sami Parliament). As part of its follow-up of ILO Convention 169, Norway is conducting a dialogue with ILO on how the convention is being implemented in Norwegian law, including in the area of mineral resources. In the Official Norwegian Report 2007:13 on legislation pertaining to the Sami, the Sami Rights Commission reviewed measures relating to mineral resources and in legislation that regulates mineral extraction. Some of the commission’s proposals were evaluated in connection with the preparatory work on the Minerals Act. The Act, which replaced five existing acts, entered into force on 1 January 2010. As part of the Government’s follow-up of the report from the Sami Rights Commission,13 the Ministry of Trade, Industry and Fisheries will evaluate proposals for amendments to the Minerals Act.

3. The Corporate responsibility to respect human rights

3.2 Responsible Business Conduct [pages 31-32]

The 13th principle clarifies what companies’ responsibility to respect human rights involves:

An enterprise may cause or contribute to adverse human rights impacts if for example …the living conditions of the local community that are directly affected by the company’s operations decline without prior explanation from or dialogue with the relevant parties, including the local authorities. Impacts on the climate and the environment resulting from the enterprise’s activities, for example through land use, exploitation of natural resources, greenhouse gas emissions or releases of hazardous substances, may also have adverse impacts on a broader range of human rights, such as minority and indigenous people’s rights or the right to life, health, food, water or adequate housing. If a company is responsible for such impacts, it is also responsible for addressing them.

Acquiring expertise for risk identification and assessment [page 33]

The 18th principle outlines procedures for risk management based on internal or external expertise and dialogue with stakeholders:

It may be necessary to conduct a dialogue on due diligence with stakeholders. This will give the company a better picture of which rights may be under pressure and what can be done to prevent potential misunderstandings or conflicts. Dialogue can help to clarify expectations and reduce conflict.

The Rights of Indigenous People [page 34]

Indigenous peoples have a right to be consulted on projects that will have an impact on land where they live and earn their livelihoods (for example reindeer husbandry). The most important international standards concerning indigenous rights and the right to be consulted are the United Nations Declaration on the Rights of Indigenous Peoples and ILO Convention No. 169 on Indigenous and Tribal Peoples in Independent Countries. In many countries, indigenous peoples are largely excluded from political, economic and cultural life, and indigenous groups have a lower score than other population groups on many standard-of-living indicators, for example health and education. Indigenous peoples are also particularly vulnerable to the impacts of climate change.

Read more about Indigenous peoples

2. The State duty to protect human rights

2.8 Free-trade Agreements and Investment Contracts [page 26]:

States should maintain adequate domestic policy space to meet their human rights obligations when pursuing business-related policy objectives with other States or business enterprises, for instance through investment treaties or contracts.

Responsible management [page 22]:

Through the Government Pension Fund Global (GPFG) and the Government Pension Fund Norway (GPFN), Norway has financial investments both in Norway and the world at large. The role of the Fund is that of a financial investor, and the overriding objective is to achieve the highest possible return at moderate risk…The GPFG is not a foreign policy instrument, and only in special cases of comprehensive international sanctions or measures that Norway has endorsed, has such restrictions been imposed on investing in government bonds.

Read more about Investment treaties & investor-state dispute settlements

3. The Corporate responsibility to respect human rights

3.5 Compliance with legislation [page 36]:

In some geographical areas, such as conflict-affected areas, a company may unintentionally enter into a business relationship with an enterprise, such as a security company, that is guilty of gross human rights abuses. In such a situation the Norwegian company should be aware that this may have legal consequences such as liability. The Norwegian Penal Code of 2005, which entered into force on 1 October 2015, also applies to certain punishable offences committed on behalf of an enterprise registered in Norway when the offence is also punishable under the law of the country where it has been committed.

Norwegian companies that are faced with demands from the authorities in the host country that appear to be in conflict with international guidelines are encouraged to contact either the nearest Norwegian mission or the Ministry of Foreign Affairs. Examples of such situations are a demand for a bribe or a request to keep certain information secret.

4. Access to Remedy

4.1 State-based grievance mechanisms

Judicial grievance mechanisms [page 40]:

The 26th principle concerns judicial mechanisms for addressing human rights abuses:

26. States should take appropriate steps to ensure the effectiveness of domestic judicial mechanisms when addressing business-related human rights abuses, including considering ways to reduce legal, practical and other relevant barriers that could lead to a denial of access to remedy.

Norway has comprehensive human rights legislation and legislation in other areas that is also applicable to CSR. We also have an effective judicial system, and the Norwegian law of damages provides for financial compensation or redress under certain conditions.

Norwegian companies may become involved in legal cases dealing with human rights abuses in the host country. If the case is to be brought before a Norwegian court, it must satisfy the requirement in the Dispute Act that the facts of the case ‘have a sufficiently strong connection to Norway’. In order to determine whether the connection is sufficiently strong, an overall evaluation must be made of all the circumstances in the case that includes both judicial and other relevant circumstances. There are also other conditions for bringing a case before a Norwegian court.

It is important to ensure that individuals who feel that their rights have been violated have access to effective remedy. The Government will actively follow the international efforts to strengthen access to judicial grievance mechanisms at the national level.

The measures listed in the NAP regarding judicial remedy include [page 40]:

• “Participate in international cooperation to ensure that victims of grave and systematic human rights violations as a result of business activities have access to effective remedy;
• Support the work headed by OHCHR to strengthen national judicial systems to protect the rights of the victims of grave and systematic human rights violations;
• Participate in the process in the Council of Europe on following up the recommendations of the UN Guiding Principles on access to effective remedies at national level.”

Read more about Judicial remedy

3. The Corporate responsibility to respect human rights

3.2 Responsible Business Conduct [pages 31-32]

The 13th principle clarifies what companies’ responsibility to respect human rights involves:

An enterprise may cause or contribute to adverse human rights impacts if for example …the living conditions of the local community that are directly affected by the company’s operations decline without prior explanation from or dialogue with the relevant parties, including the local authorities. Impacts on the climate and the environment resulting from the enterprise’s activities, for example through land use, exploitation of natural resources, greenhouse gas emissions or releases of hazardous substances, may also have adverse impacts on a broader range of human rights, such as minority and indigenous people’s rights or the right to life, health, food, water or adequate housing. If a company is responsible for such impacts, it is also responsible for addressing them.

Read more about Land

3. The Corporate responsibility to respect human rights

The 12^th Principle [page 31]:

Internationally recognized human rights’ are those set out in the Universal Declaration of Human Rights of 1948, the two 1966 International Covenants, on Economic, Social and Cultural Rights and on Political and Civil Rights, and the ILO core conventions. In some cases, other standards may also be applicable, such as the rights of women, indigenous peoples, national, ethnic or linguistic minorities, children, people with disabilities, or foreign workers and their families.

Read more about Migrant workers

4. Access to remedy

4.2 Non-state-based grievance mechanisms [page 41]:

Norway has a number of well-functioning institutions such as the Labour Inspection Authority, the Ombudsman for Children, the Consumer Ombudsman, the Equality and Anti-discrimination Ombudsman, the Norwegian Environment Agency and the Parliamentary Ombudsman for the Public Administration. There are also complaints mechanisms in connection with the rights of employees, children, women and men. For example, on the basis of the Environmental Information Act, the Appeals Board for Environmental Information handles appeals concerning rejected requests from private and public agencies for access to environmental information. The National Contact Point provides information on the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles. The Contact Point also deals with individual cases independently of the government. In line with the Guidelines, the parties to cases that come before the Contact Point are expected to participate in good faith during the procedure.

Read more about National Human Rights Institutions/ Ombudspersons

2. The State duty to protect human rights

2.1 The state as legislator

Amendments to EEA legislation [page 19]

Small amendments to Norwegian legislation may be necessary in order to implement the expected new EEA rules corresponding to the new EU Directive (2014/95/EU) on disclosure of non-financial and diversity information by certain large companies and groups, which includes CSR.

2.9 International cooperation on CSR [page 27] 

Measures:

• … seek to ensure that the reporting framework set out in the UN Guiding Principles is incorporated into the United Nations Global Compact and the Global Reporting Initiative.

3.3 External communication and reporting [page 34] 

… The Guiding Principles also provide further details on how companies should address the human rights impacts of their operations. It is the company itself that decides how to communicate and report on this in the light of its situation and target groups. We recommend companies to use international reporting frameworks, and to have their reports verified by an independent auditor or other expert. It is also important to publish the reports in the language of the country where the company operates. The company itself chooses the most appropriate reporting framework, and the Norwegian authorities can advise on this.

International reporting Standards

The UN Guiding Principles (UNGP) Reporting

Framework was launched in February 2015. It evolved from the Human Rights Reporting and Assurance Frameworks (RAFI) and is co-facilitated by Shift and Mazars. Business was actively involved in the development of the reporting framework, and many companies began using it during the development process. The High Commissioner for Human Rights (OHCHR), and the Working Group on the issue of human rights and transnational corporations and other business enterprises, have expressed their support for the project but are not involved in it. Norway has supported the project. www.ungpreporting.org

United Nations Global Compact requires its members to report on their eforts to implement its 10 principles in four areas: human rights, labour, environment and anti-corruption. Enterprises’ reports are graded as GC Advanced, GC Active or GC Learner (minimum requirement). Norway supports Global Compact. www.gcnordic.net/ www.unglobalcompact.org

Global Reporting Initiative (GRI) is the most widely used standard for reporting on CSR, and includes human rights indicators. There are three levels of reporting, from A, the most advanced, to C, the least advanced. Independent auditing/verification of the report earns a plus, making A+ the highest level. Norway supports GRI. CSR Norge maintains an overview of Norwegian companies that follow GRI, and regularly holds GRI Certified Training courses. www.globalreporting.org www.csrnorge.no

Read more about Non-financial reporting

4. Access to Remedy [pages 40-41]:

The 27th principle concerns public non-judicial grievance mechanisms:

27. States should provide effective and appropriate non-judicial grievance mechanisms, alongside judicial mechanisms, as part of a comprehensive State-based system for the remedy of business-related human rights abuse.

Norway has a number of well-functioning institutions such as the Labour Inspection Authority, the Ombudsman for Children, the Consumer Ombudsman, the Equality and Anti-discrimination Ombudsman, the Norwegian Environment Agency and the Parliamentary Ombudsman for the Public Administration. There are also complaints mechanisms in connection with the rights of employees, children, women and men. For example, on the basis of the Environmental Information Act, the Appeals Board for Environmental Information handles appeals concerning rejected requests from private and public agencies for access to environmental information. The National Contact Point provides information on the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles. The Contact Point also deals with individual cases independently of the government. In line with the Guidelines, the parties to cases that come before the Contact Point are expected to participate in good faith during the procedure.

…

Section 4.3 Criteria for ensuring effective non-judicial grievance mechanisms [page 42]:

The criteria are designed to ensure that those for whom the mechanism is intended are aware of it, have confidence in it and are in a position to use it. Companies that establish grievance mechanisms should familiarise themselves with the criteria and seek to satisfy them. The OECD National Contact Point Norway follows these criteria.

Read more about Non-judicial grievance mechanisms

1. Global developments and CSR

Developing an International Framework for CSR [page 12]:

All OECD countries must establish National Contact Points to ensure implementation.

2. The State duty to protect human rights

2.2 The state as Adviser [page 20]:

A large number of public or officially supported institutions that work with business internationalisation provide guidance on CSR and human rights. Among them are the Foreign Service, Norad, the Ministry of Trade, Industry and Fisheries, and Innovation Norway. Norway’s OECD National Contact Point also provides information and guidance.

…

Norway’s OECD National Contact Point [page 20]:

As a member of the OECD, Norway is committed to promoting the OECD Guidelines for Multinational Enterprises. The Guidelines were updated and adopted at the OECD Ministerial Council Meeting in May 2011. All OECD countries must appoint a National Contact Point that in addition to promoting the Guidelines provides on request assistance in specific instances of alleged non-observance of the Guidelines. The Contact Point is not a supervisory or control body, but provides advice and facilitates access to conciliation and mediation procedures. National Contact Points are also mandated to cooperate with each other on promoting the Guidelines. Norway’s Contact Point is appointed by the Ministry of Foreign Affairs in consultation with the Ministry of Trade, Industry and Fisheries and the Ministry of Finance, from candidates proposed by the social partners (the Confederation of Norwegian Enterprise (NHO) and the Norwegian Confederation of Trade Unions (LO) and civil society (the Norwegian Forum for Environment and Development).

4. Access to remedy

4.1 State-based grievance mechanisms [page 41]:

The National Contact Point provides information on the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles. The National Contact Point provides information on the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles. The Contact Point also deals with individual cases independently of the government. In line with the Guidelines, the parties to cases that come before the Contact Point are expected to participate in good faith during the procedure.

…

Grievance Mechanisms at Company Level [page 41]:

The National Contact Point, in cooperation with enterprises that have made considerable progress in this area, can provide practical advice on the establishment of consultation and grievance mechanisms.

…

Criteria for Ensuring Effective Non-Judicial Grievance Mechanisms [page 43]:

The criteria are designed to ensure that those for whom the mechanism is intended are aware of it, have confidence in it and are in a position to use it. Companies that establish grievance mechanisms should familiarize themselves with the criteria and seek to satisfy them. The OECD National Contact Point Norway follows these criteria.

Read more about OECD National Contact Points

The Norwegian NAP makes no explicit reference to Persons with Disabilities.

Read more about Persons with disabilities

2. The State duty to protect human rights

2.7 Policy Coherence in the Central Government Administration [page 26]:

The eighth principle deals with the state’s responsibility for ensuring coherence in the central government administration:

8. States should ensure that governmental departments, agencies and other State-based institutions that shape business practices are aware of and observe the State’s human rights obligations when fulfilling their respective mandates, including by providing them with relevant information, training and support.

To strengthen coordination, the Government will establish an interministerial working group headed by the Ministry of Foreign Affairs to ensure that Norway’s CSR-related positions in international forums are coherent, and that the relevant ministries are notified of international decisions. See also section 2.1, The state as legislator. The Government’s consultative body on matters relating to CSR, KOMpakt, will continue to serve as a forum for regular dialogue at top level between the authorities, the private sector, trade unions, academics and civil society.

Read more about Policy coherence

2. the state duty to protect human rights

2.4 Competitive tendering for public services [page 25]

The fifth principle states that:

5. States should exercise adequate oversight in order to meet their international human rights obligations when they contract with, or legislate for, business enterprises to provide services that may impact upon the enjoyment of human rights.

Examples of public services subject to competitive tendering that may have consequences for human rights are the operation of asylum reception centres, hospitals and schools. The state may also be held responsible for human rights violations if these result from inadequate management or control of private service providers within the state’s sphere of responsibility. The Government considers that Norwegian law and supervisory authorities are adequate for this purpose, and that there is no need for special measures at present.

Read more about Privatisation

2. The State duty to protect human rights

2.5 Public procurement [page 25]:

“The sixth principle deals with public procurement:

6. States should promote respect for human rights by business enterprises with which they conduct commercial transactions.

Since the UN Guiding Principles and the OECD Guidelines do not distinguish between public-sector and private-sector business conduct, it is important that the state should have high standards. It is not logical to have high expectations of private companies if the state does not set the same expectations for itself. The state is also Norway’s largest purchaser, a fact that was emphasized by companies and organisations in their input to the action plan. For example, in 2013 the public sector purchased goods and services worth NOK 432 billion. The state’s procurement practices should therefore reflect the UN Guiding Principles.

The Government has held a public consultation on a proposed amendment to section 6 of the Procurement Act to include a provision stating that contracting authorities should have adequate procedures for ensuring social responsibility in connection with public procurement. The Agency for Public Management and eGovernment (DIFI) provides guidance on such matters.

Measure:

• continue the efforts to develop measures to promote respect for international human rights in public contracts.

Read more about Public procurement

2. The State duty to protect human rights

Measures [page 21]:

Strengthen guidance and dialogue with companies on human rights, business ethics, security and corruption in especially demanding markets.

…

2.6 Human Rights in Conflict Areas [page 26]:

There is an increasing demand from the business sector for dialogue and cooperation with the public authorities on security, risk assessment and corruption in conflict areas and demanding markets in these areas… Security personnel hired to protect Norwegian interests, whether private or public, pose a potential problem. States that hire private security guards must ensure that these comply with the state’s obligation to protect against human rights violations. The Voluntary Principles on Security and Human Rights and the International Code of Conduct for Private Security Service Providers are useful guidelines for private business enterprises on how best to ensure their security.

Read more about Security sector

The Norwegian NAP makes no explicit reference to SMEs.

Read more about Small & medium-sized enterprises

2. The State Duty to Protect Human Rights

2.3 State ownership and practice for supporting the business sector

Principle 4 concerns the business activities of state-owned enterprises and enterprises that receive economic support or other services from state agencies:

State ownership [page 21]

In 2014, the Government presented a white paper on the importance of ownership for diversity and value creation (Meld. St. 27 (2013–2014)), which discusses the state’s expectations of enterprises in which it has a direct ownership interest, including expectations based on the UN Guiding Principles. The expectation that state-owned enterprises will exercise CSR is based on the belief that this is desirable in itself and that it helps to maintain the state’s shareholder value. Enterprises are exposed to different levels of risk and face different challenges. This means that they can adapt the “comply or explain” principle and the materiality principle to their own operations. The “comply or explain” principle applies to cases where a company’s practice deviates from the state’s expectations. There may be good reasons for this, and the board of directors must provide a public explanation of the reasons for the lack of compliance. The materiality principle implies that companies work with and report on factors that are of major importance to the way its operations affect people, communities, climate and the environment. The Government has noted that there is a need to focus more strongly on the responsibility of the boards also of enterprises in which the state has an ownership interest and their approach to CSR, including human rights. We believe that greater involvement by company boards will improve risk management and thereby help to maintain shareholder value. The follow-up of CSR and human rights performance is conducted through the owner dialogue in quarterly and/or annual meetings on CSR. In special cases it may be necessary to follow the company’s activities more closely. The work of companies and boards on CSR, including human rights, is taken into account in the election of board members.

Read more about State Owned Enterprises/ Public Private Partnerships

The Norwegian NAP makes no explicit reference to supply chains.

Read more about Supply chains

The Norwegian NAP makes no direct reference to tax.

Read more about Taxation

The Norwegian NAP does not make an explicit reference to the Sustainable Development Goals.

Read more about The 2030 Agenda for Sustainable Development

The Norwegian NAP does not make an explicit reference to the tourism sector.

Read more about Tourism sector

 1. Global development and CSR [page 12]:

Globalisation is therefore a basically positive process, and over the last 20 years Norway has benefited from global trade. (…) Although Europe and the Nordic countries are our most important trading partners, trade with and investment in Asia, South America and Africa are growing.

1.1 Developing an international framework [page 12]:

The idea behind this is that business is a driving force for globalisation that can help ensure that trade, markets and technology are developed in ways that benefit economies and societies throughout the world.

…

1.4 Purpose of The Action Plan, [page 14]:

Norwegian foreign and development policy is based on promoting democracy, human rights, growth economies that create jobs, a proactive trade policy, sustainable development and an international legal order. We are also intensifying our economic diplomacy efforts by focusing more strongly on trade, energy and climate, and, in our development policy, on private sector development.

…

2.8 Free-trade agreements and investments contracts [page 26]:

Norway is bound by reciprocal obligations through its membership of international trade organisations such as EFTA and WTO. The Ministry of Trade, Industry and Fisheries has the overall responsibility for bilateral free trade agreements (EFTA) and investment contracts, while the Ministry of Foreign Affairs is responsible for WTO negotiations.

…

Measures [page 27]:

Seek to ensure that provisions on respect for human rights, including fundamental workers’ rights, and the environment are included in bilateral free trade and investment agreements.

Read more about Trade

2. The State duty to protect human rights

2.3 State ownership and practice for supporting the business sector

Responsible management [page 23]:

However, it should be emphasized that Norges Bank’s work on responsible management is not confined to these areas. In its annual report on responsible management for 2014 the bank has elaborated on how it deals with a number of other issues and areas as well, including social conditions such as human rights and workers’ rights.

…

2.8 Free-trade agreements and investment contracts

Measures [page 27]:

sSeek to ensure that provisions on respect for human rights, including fundamental workers’ rights, and the environment are included in bilateral free trade and investment agreements.

Read more about Workers’ rights