There can be no sustainability without a focus on human rights

“This is how we clear up the confusion”

In this article, Lydia Boonstra explains why sustainability is inextricably linked to human rights, how companies can take responsibility, and how 2BHonest manages to dispel the confusion surrounding this sometimes “abstract concept” for its clients.

Recently, there has been a lot of attention focused on companies’ duty of care and the International Corporate Social Responsibility Act. What’s going on?

Under the proposed bill, companies would be required to address abuses in their supply chains. In principle, this responsibility is not new. Of course, violating human rights is already prohibited, and the Netherlands has signed the OECD Guidelines, which means that companies are already required to actively address these issues. The only difference is that sanctions will soon be attached to this obligation; it will no longer be voluntary. This is causing concern for many companies and leading to resistance, as they fear they could quickly be dragged into court if something happens in the supply chain that they did not foresee.

Are these concerns justified?

I think many companies are afraid of public opinion. There is indeed a risk that society will jump on any abuse in your supply chain if something isn’t in order. The main source of concern, however, lies in the fact that companies often don’t know how they relate to human rights or where their responsibility begins and ends. It sometimes sounds as if you’re expected to save the whole world, but of course that’s not possible. The point is to demonstrate that, within your sphere of influence, you’re doing what you can to identify and mitigate risks. This creates room to prioritize issues and explain why one issue is more important to address than another. If an employee in your supply chain lives below the poverty line, this isn’t necessarily your fault; it’s often due to a variety of factors in the socioeconomic context. As a company, you have a responsibility to ensure a living wage; you have less influence over other contributing factors. Understanding how your company relates to human rights is therefore the first step.

So how does a company take on the appropriate level of responsibility within its sphere of influence?

We can distinguish three types of involvement in risks: causing (such as an accident at your own workplace), contributing to (an accident at your subcontractor’s site), and being linked to (a negative impact resulting from the use of your product). Depending on this, you take certain measures. This is where “due diligence” policy comes into play; it is a requirement under OECD guidelines and will soon also be legally mandated. First, it’s important to gain insight into your supply chain: where are the greatest risks and salient issues, really? Next, you’ll assess which ones are most important to address. Then, you’re expected to communicate and report on these matters transparently. Establishing a complaint mechanism is also a key responsibility in this regard. Ensure that people are able and feel safe to report issues when something is wrong. There is still a power imbalance between companies and victims, so an accessible reporting channel is necessary.

Human rights still seem to take a back seat in the sustainable transition. Why is that?

The Paris Agreement focuses almost exclusively on climate, CO₂ reduction, and reporting — a perspective often referred to as “carbon tunnel vision.” Human rights, on the other hand, are still too often associated with NGOs. But sustainability is for both nature and people — the two go hand in hand. It’s no coincidence that one of the pillars of the Green Deal is a “just transition,” and the CSRD requires, as a basic condition, that you act in line with OECD guidelines. After all, how sustainable are your solar panels if you don’t know whether they were manufactured fairly? If we overlook human rights, sustainability increasingly becomes the preserve of the elite, at the expense of marginalized people — such as those in the supply chain. Personally, I think it’s common sense that we need to consider this when we talk about sustainability.

What advice would you give to a company that wants to take steps toward supply chain responsibility?

Engage in dialogue with your supply chain. Only by being right in the context itself can you take appropriate action, rather than coming up with a solution from above that might work in theory but turns out differently in practice. Human rights, for example, can also conflict with one another. For instance, the right to reasonable working hours in your well-regulated workplace might unexpectedly lead employees to continue working after hours at another unsafe workplace because they otherwise wouldn’t earn enough. So it’s essential to talk to them: what do you need?

How does 2BHonest help its clients in the area of human rights?

Human rights often feel like something that’s far removed from your daily life. It’s important to bring this issue closer to home and first gain an understanding of what it means for your company before taking action. That’s why our first step is always to raise awareness. A client once called it “demystifying”: clarifying the concept, dispelling the fog of vagueness, and translating it into practical terms. Only when it becomes tangible can you connect it to what you can do yourself. Next, we conduct a risk assessment: What should you address first? Clients then realize that even in their day-to-day work, they can make choices that contribute to a better supply chain.

Want to learn more about supply chain responsibility in your company? Lydia is here to help!