Making Business in China more Responsible

China has frequently received international criticism for repressing the rights of workers and people living near industrial plants. However, DIHR has now developed a new tool specifically designed to help companies operating in China detect potential violations of the rights of employees and local residents.

By Brendan Sweeney

 

With the aim of increasing Corporate Social Responsibility (CSR) standards in China, the Human Rights and Business Project at DIHR has launched the China Business and Social Sustainability Check (CBSS Check), a self-assessment tool designed to help companies identify and comply with the most essential human rights standards in relation to their activities in China.

 

The CBSS Check builds on previous human rights and business tools developed by the Danish Institute for Human Rights including the Human Rights Compliance Assessment (HRCA), a Quick Check version of the HRCA (HRCA QC), and the China Country Risk Assessment (China CRA).

 

The development of the CBSS Check was headed by Mads Holst Jensen, Adviser, PhD at the Human Rights and Business Project. In the following interview, he speaks about the genesis and the significance of this new tool.

 Mads Holst Jensen, Adviser PhD

How long has this project been underway? How long did it take to prepare?

 

It’s been a long process, but the net time spent on this was about one year. We have been working very intensively on this though for the last four months. Throughout the development of the CBSS Check we have been generously supported by the Swiss Government [Swiss Federal Department of Foreign Affairs].

 

How did you organise the CBSS Check?

 

It was based on a number of sources. We received input from a variety of Chinese stakeholders. We also updated our China country assessment last year which provided further inputs, and then my work in China over the last 20 years provided a further source of information. The CBSS Check is China-specific in three respects. The first is that we have identified 28 key issue areas. Although these are not issues that exist only in China, their composition makes them particularly pertinent to Chinese conditions. The second is that we have carried out a full-scale mapping of all Chinese legislation to see what parts are relevant under these 28 headings and all this is summarised with reference to the laws. The third China-specific feature derives from the narrative descriptions which appear under each question.

 

What is the main target group? Is it foreign companies operating in China, or is it also aimed at Chinese companies?

 

By nature it’s a self-assessment tool for companies and as such it is equally apt for foreign as well as Chinese companies. Moreover, it can be used by anyone wishing to assess how businesses operate. As one step in terms of rolling out the tool, we aim to introduce it as a common frame of reference for dialogues and partnerships between all stakeholders concerned in the field of CSR in China.

 

 

When people work in China, the state is always very important. Do you feel there is a willingness from the Chinese state to improve workers’ conditions and the human rights profile of Chinese companies?

 

Yes, that’s the overall signal you get from the central government. All human rights work in China is conditioned by sudden and frequent changes in the political climate and work with human rights and business is no exception.

 

How do you the see the CBSS Check affecting ordinary Chinese employees in the future? What difference will it make on the ground?

 

Mads Holst Jensen standing outside DIHR headquartersFirst of all I see the CBSS Check as creating a common frame of reference so everyone knows what they are talking about in terms of the baseline standards for sustainable business: NGOs, international labour rights activists, Chinese government officials, and companies. That is one aspect. It is also important with regard to the key problematic issues with regard to China. For instance, the fact that the right to freedom of association and free trade unions are politically sensitive issues in China results in a dilemma for all stakeholders who are committed to international standards and principles in this area. […] This is one of the areas we deal specifically with in the CBSS Check. We can follow up with bespoke advice to companies on what to do and we can carry out pilot studies. That’s one very direct way we can contribute towards encouraging the participation of Chinese workers.

 

Could this Check also push forward other reforms in China?

 

Yes, and part of the reason for this is that it is not considered to be a top-level document and in fact I hope it will never be considered as such by any of the partners because it will end up getting caught up in political intrigue. So you could describe it as bottom-up development, a way of planting seeds, and a way of creating a common frame of reference.

 

How will the Check be distributed? How will companies access it?

 

The roll out process is based on several components. To ensure that the CBSS Check is available to all interested parties we will upload it to our website and we have posted announcements to that effect at various relevant internet forums. We are also doing targeted distribution. For instance, we are cooperating with The Danish-Chinese Business Forum and IFU [the Danish Industrialisation Fund for Developing Countries] on doing launches in their networks of companies operating in China…

 

Just one last point; you have also produced a handbook. What is its purpose?

 

The key target audience for the handbook entitled TOWARDS GLOBAL CITIZENSHIP - A Handbook for Chinese Companies Promoting Global Standards and Rights are Chinese business people and managers. Basically it introduces the concept of human rights and business so they know what we are talking about.[…] It can be difficult in China – due to many factors – to introduce innovative things like this. It took Western companies many years to create fully integrated Corporate Social Responsibility strategies for instance so we have to realise that this will be a long process in China too.   

 




For further information, please contact Brendan Sweeney at bjs[AT]humanrights.dk