Businesses have the responsibility to respect international human rights standards regardless of whether they are operating in an area of weak governance obligations or domestic regulations that do not comply with international human rights, or in a more stable context.
The very process of developing a human rights policy can have positive managerial results. Many organizations reported that developing the policy helped:
ü Generate in-house managerial capacity,
ü Build leadership commitment around human rights,
ü Raise awareness and understanding of the company’s human rights impacts.
1- Commercial purposes.
Demonstrating respect for ethical issues such as human rights and social responsibility is increasingly becoming a common international business practice in order to prove business good intention. Such intention or practices serve the organizations to achieve its commercial purposes, as following:
ü To gain a competitive advantage: Many organizations believe that showing respect for ethical concerns such as human rights and social responsibility gives them a competitive advantage over competitors that overlook the area.
ü To build trust with stakeholders and address their concerns: Good practices especially in the fields of human right and environmental issues enhance the stakeholders trust in the organization’s business.
Many organizations also find that external stakeholders become more willing to engage constructively with them when they have such policies and approaches in place.
2- Legal concerns.
The responsibility to respect human rights is not a legal duty imposed on organizations by treaty, but it is not a law-free zone either. The provisions of many international human rights treaties are embedded in most countries law (e.g., safety, health, anti- discrimination), and many Governments have adopted the Rome Statute of the International Criminal Court, which – depending on the provisions of their own criminal code – may mean that they are empowered to prosecute companies for certain international human rights violations.