Contempt for the Guiding Principles

NGOs call on banking group to reaffirm commitment to human rights

In January, the group of banks known as the Thun Group, which was set up in Switzerland to discuss the UN Guiding Principles on Business and Human Rights, published a paper challenging the validity of these guidelines in a move that drew condemnation from civil society organizations. The principles were approved by the United Nations in 2011 and they are intended to ensure that companies respect human rights and provide adequate remedy in the event of violations.

The Thun Group paper, signed by Barclays, BBVA, Credit Suisse, ING Bank, RBS Group, UBS and UniCredit, specifically criticizes principles 13 and 17 that deal, respectively, with the responsibility of companies to prevent their activities from having adverse human rights impacts and the need to carry out due diligence to identify and redress violations.

According to civil society organizations, the position of the Thun Group is serious because “it is based on the premise that banks do not contribute to the human rights impacts caused by their clients and, therefore, they have no responsibility to address these impacts”, which contradicts the advice of the OHCHR (Office of the United Nations High Commissioner for Human Rights) – the body responsible for the application of the Guiding Principles.

In a letter, the organizations are asking the Thun Group to retract the paper and make clear that it respects the advice of the Office of the High Commissioner. “We see this as an alarming attempt on the part of the Thun Group banks to sideline the advice of the UN and unilaterally redefine the responsibilities of the sector,” said the signatories of the letter, among them Conectas.

They also request that the Thun Group engage in discussions with NGOs, affected communities and other experts before publishing papers on human rights in the future.

In addition to Conectas, the letter was signed by another 24 organizations associated with the topic.

•  Click here to read the open letter in full.