Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due Diligence
The last decades are indicative of an increasing global attention on the negative externalities that come from business operations: human rights violations and environmental harms related to business operations. Globalization has led to increasingly complex, dynamic and non-transparent global sup...
Saved in:
| Main Authors: | , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
THOT Publishing House
2024-11-01
|
| Series: | Journal of Research and Innovation for Sustainable Society |
| Subjects: | |
| Online Access: | https://jriss.4ader.ro/wp-content/uploads/2024/11/28.-Daniel-Malutan-Teodora-Maria-Rusu-Daiana-Eniu-Improving-Corporate-Accountability-Through-Mandatory-Human-Rights-and-Environmental-Due-Diligence.pdf |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1841555974998982656 |
|---|---|
| author | Daniel Maluțan Teodora Maria Rusu Daiana Eniu |
| author_facet | Daniel Maluțan Teodora Maria Rusu Daiana Eniu |
| author_sort | Daniel Maluțan |
| collection | DOAJ |
| description | The last decades are indicative of an increasing global attention on the negative
externalities that come from business operations: human rights violations and environmental
harms related to business operations. Globalization has led to increasingly complex, dynamic
and non-transparent global supply and value chains, thus making the burden of protecting
human rights and environment even more difficult. The concept of mandatory human rights due
diligence has been increasingly endorsed and proclaimed as a necessary solution to address
these issues. This research aims to assess the ability of such a regulatory tool to serve as an
instrument to protect human rights and the environment throughout the supply chain. The first
part dives into examining recent developments in human rights due diligence adopted in the
European Union. The second part of the research comprises an indepth assessment of the most
recent legislative Draft proposed by the European Commission which aims to introduce an EUwide mandatory sustainability due diligence corporate duty. The last part is a doctrinal analysis
of Corporate Governance which proves its important role in addressing human rights and
environmental issues, as it is a tool for integrating the mandatory due diligence into the
organisational culture of a business. The assessment of current national mandatory due diligence
regulations shows that companies are not incentivized to develop a holistic approach but rather
to focus on specific issues that are targeted through legislation. Moreover, they often apply only
to certain categories of companies based on domicile or country of operation and number of
employees or turnover which leads to fragmentation and discrepancies between states. The
European Proposal is revolutionary in many aspects as it introduces a comprehensive human
rights due diligence mechanism for companies. However, the provisions of the current draft
have many weaknesses and loopholes that are likely to jeopardize the Directive’s effectiveness |
| format | Article |
| id | doaj-art-5dd1d0fcfeaa4a3fbee3cbae5c3ce409 |
| institution | Kabale University |
| issn | 2668-0416 |
| language | English |
| publishDate | 2024-11-01 |
| publisher | THOT Publishing House |
| record_format | Article |
| series | Journal of Research and Innovation for Sustainable Society |
| spelling | doaj-art-5dd1d0fcfeaa4a3fbee3cbae5c3ce4092025-01-07T16:06:49ZengTHOT Publishing HouseJournal of Research and Innovation for Sustainable Society2668-04162024-11-016225026210.33727/JRISS.2024.2.28:250-262Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due DiligenceDaniel Maluțan0https://orcid.org/0000-0002-9941-2675Teodora Maria Rusu1https://orcid.org/0000-0001-9510-6163Daiana Eniu2https://orcid.org/0009-0006-2218-9846Babes-Bolyai University, RomaniaUniversity of Agricultural Sciences and Veterinary Medicine, RomaniaBabes-Bolyai University, RomaniaThe last decades are indicative of an increasing global attention on the negative externalities that come from business operations: human rights violations and environmental harms related to business operations. Globalization has led to increasingly complex, dynamic and non-transparent global supply and value chains, thus making the burden of protecting human rights and environment even more difficult. The concept of mandatory human rights due diligence has been increasingly endorsed and proclaimed as a necessary solution to address these issues. This research aims to assess the ability of such a regulatory tool to serve as an instrument to protect human rights and the environment throughout the supply chain. The first part dives into examining recent developments in human rights due diligence adopted in the European Union. The second part of the research comprises an indepth assessment of the most recent legislative Draft proposed by the European Commission which aims to introduce an EUwide mandatory sustainability due diligence corporate duty. The last part is a doctrinal analysis of Corporate Governance which proves its important role in addressing human rights and environmental issues, as it is a tool for integrating the mandatory due diligence into the organisational culture of a business. The assessment of current national mandatory due diligence regulations shows that companies are not incentivized to develop a holistic approach but rather to focus on specific issues that are targeted through legislation. Moreover, they often apply only to certain categories of companies based on domicile or country of operation and number of employees or turnover which leads to fragmentation and discrepancies between states. The European Proposal is revolutionary in many aspects as it introduces a comprehensive human rights due diligence mechanism for companies. However, the provisions of the current draft have many weaknesses and loopholes that are likely to jeopardize the Directive’s effectivenesshttps://jriss.4ader.ro/wp-content/uploads/2024/11/28.-Daniel-Malutan-Teodora-Maria-Rusu-Daiana-Eniu-Improving-Corporate-Accountability-Through-Mandatory-Human-Rights-and-Environmental-Due-Diligence.pdfmandatory due diligencecorporate accountabilitcorporate governancehuman rightsenvironmental issues |
| spellingShingle | Daniel Maluțan Teodora Maria Rusu Daiana Eniu Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due Diligence Journal of Research and Innovation for Sustainable Society mandatory due diligence corporate accountabilit corporate governance human rights environmental issues |
| title | Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due Diligence |
| title_full | Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due Diligence |
| title_fullStr | Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due Diligence |
| title_full_unstemmed | Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due Diligence |
| title_short | Improving Corporate Accountability Through Mandatory Human Rights and Environmental Due Diligence |
| title_sort | improving corporate accountability through mandatory human rights and environmental due diligence |
| topic | mandatory due diligence corporate accountabilit corporate governance human rights environmental issues |
| url | https://jriss.4ader.ro/wp-content/uploads/2024/11/28.-Daniel-Malutan-Teodora-Maria-Rusu-Daiana-Eniu-Improving-Corporate-Accountability-Through-Mandatory-Human-Rights-and-Environmental-Due-Diligence.pdf |
| work_keys_str_mv | AT danielmalutan improvingcorporateaccountabilitythroughmandatoryhumanrightsandenvironmentalduediligence AT teodoramariarusu improvingcorporateaccountabilitythroughmandatoryhumanrightsandenvironmentalduediligence AT daianaeniu improvingcorporateaccountabilitythroughmandatoryhumanrightsandenvironmentalduediligence |