UN Global Compact 10th Principle on Anti-Corruption Olajobi Makinwa Head, Transparency and Anti-Corruption Initiatives
International agreements against corruption
• Multilateral written agreements between countries that recognize corruption as a worldwide and cross-border problem, and express a shared political commitment to addressing the problem. • They are binding on countries and other entities that signed and ratified/acceded and must uphold its tenets. • Implementation is the primary duty of parties . • Parties must not do anything to defeat the purpose • Any sanction for non-compliance?
Some international agreements and national laws on corruption
• UN Convention against Corruption adopted in Merida, Mexico in December 2003 and entered into force on 14 December 2005. Most global.
• OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions (1997) and 2009 Recommendation • Regional conventions: African Union Convention on Preventing and Combating Corruption (2003), Organization of American States InterAmerican Convention (1996), European Union Policy on Corruption (1997), Council of Europe Conventions on Corruption (1997-1999) • National legislation : US FCPA, Dodd Frank Act, etc • UK Bribery Act
Some other initiatives
v G20 from Pittsburgh in 2009, to Toronto and Seoul in 2010, and to Paris 2011. Preventing and tackling corruption must be a key part of [the G-20's] efforts to shape an international economic architecture that is rules-based and transparent; that promotes trade and fair competition among businesses; and that fosters prosperity and development, by recognizing the fact that corruption, illicit outflows of capital, and their absorption in the global financial system represent impediments to economic growth. President Obama
v The G20 Seoul Summit, Leaders Declaration, 11-12 November 2010 (13). To provide broader, forward-looking leadership in the post-crisis economy, we will also continue our work to prevent and tackle corruption through our Anti-Corruption Action Plan; …. http://www.g20.org/Documents2010/11/seoulsummit_declaration.pdf
Some other initiatives
v International Chamber of Commerce - Business Code of Conduct v Transparency International Business Principles v World Economic Forum PACI (Partnering Against Corruption Initiative) v v v v
IBLF / Global Witness Whistleblower Guide Publish What you Pay Extractive Industry Transparency Initiative (EITI) Transparency International Integrity Pacts
v Multilateral Banks
UNGC 10th Principle : what we ask companies to do
• UNGC 10th Principle : Business should work against corruption in all its forms, including extortion and bribery • Companies are required to follow the following three steps to be compliant with the tenets of the 10th Principle:
• Internal a) Provide leadership: clear signals, zero tolerance b) Adopt a company ethics code: introduce anti-corruption policies within the organization and business operations. 10th principle as orientation point, industry codes c) Adopt internal reporting
What we ask companies to do
• External
a) Be accountable & transparent: foster a culture of transparency c) Report on anti-corruption activities and measures : report on 10th principle in the annual Communication on Progress (COP) using the UNGC/TI Guidance on Reporting on the 10th Principle c) Share experiences and good practices through case stories
• Collective action a) Take steps for collective action: join forces with peers, NGO s and industry, regional and country initiatives b) Promote public policy responses: lobbying for full implementation of UNCAC and transparent public procurement
Working Group on the 10th Principle
• Multi-stakeholder platform that discusses implementation of the 10th P by the business community . • Also provides guidance for the work plan of the Global Compact Office on the 10th P.
• Members of WG Ø Global Compact business participants (companies and small and medium Ø Ø Ø Ø
enterprises (SMEs) from different industry areas. Business associations and civil society organizations engaged in the fight against corruption Labor representatives engaged in the fight against corruption* Representatives from international organizations engaged in the fight against corruption Global Compact local networks that have identified the 10th P as a priority
Current WG thematic areas
• Taskforce on Reporting Guidance • Supply Chain Sub-Working Group • Ombudsman • Policy Outreach: 2011 UNCAC and G20 process • UNGC-PRI Working Group • PPD/P (Public-Private Dialogue/Partnerships) Local Network Guidance • Engaging with PRME (Principles for Responsible Management Education)
Some tools developed by WG and partners
• • • • • • •
Guidance on Reporting on the 10th P Fighting Corruption in the Supply Chain- A Guide Clean Business is Good Business Resisting Extortion and Solicitation in International Transactions Collective action- Building a Coalition Against Corruption Fighting Corruption through Collective Action Anti-Corruption Tools Inventory
http://www.unglobalcompact.org/Issues/transparency_anticorruption/AntiCorruption_Guidance_Material.html
• UNGC/UNODC : E-learning interactive program http:// thefightagainstcorruption.unglobalcompact.org
10th P Project: Collective Action in five countries
• Anti-Corruption Collective Action in Brazil, Egypt, India, Nigeria, and South Africa • Main Objectives: Establish and maintain a sustainable and effective anticorruption collective action platform; promote public-private dialogue on anti-corruption; strengthen the business case for collective action; strengthen the implementation of the GC 10th principles at a country-level • Primary Project Partners: Ethos Institute (Brazil); Egyptian Junior Business Association; GC Society India; Nigerian Economic Summit Group; and National Business Initiative (NBI) • Other Partners: Commonwealth Business Council (Nigeria); Ethics Institute (South Africa); Global Compact Network in Egypt; UNODC
•
10th P Project: Anti-Corruption Education Project for Business Schools
• Anti-Corruption Education for Business Schools • Main Objectives: Promote dialogue on anti-corruption and transparency teaching in management education; develop anticorruption guidelines for curriculum change in business schools; and builds the business case for anti-corruption by linking research and practice with advanced knowledge on anti-corruption practices in the private sector • Project Partners: PRME Secretariat & PRME Working Group on Anti-Corruption (over 20 business schools around the world)
Thank you www.unglobalcompact.org