Document Type : Research Paper
Authors
1 .Faculty of Law, Shahid Beheshti, Tehran, Iran
2 Professor of Law, Shahid Beheshti University, Tehran, Iran
Abstract
The United Nations Global Compact, with more than 23000 voluntary participants, is the world’s largest corporate citizenship initiative, gathering multinational enterprises (MNEs) under an agreement. The purpose of the compact is to achieve the principles of human rights, labor, environmental, and anti-corruption in the behavior of multinational enterprises. This compact, which was approved in 2000 by the United Nations Economic and Social Council, differs from other international agreements. In this compact, governments do not have a role in regulating MNEs. The United Nations directly supports MNEs to regulate non-compulsory rules with the tools of dialogue, learning and partnership projects. Such an initiative brought a flood of criticism. (1) Its 10 principles are vague. (2) The Compact supports the capture of the United Nations. (3) The Compact is not accountable. The current article is based on the premise that the requirement for this compact is crucial and (a) vague principles are designed to allow MNEs to provide new solutions, (b) the intervention of MNEs in policymaking leads to the systematization of unwritten and behind-the-scenes policies. (c) The criticism of the non-accountability is due to a lack of understanding of the true nature of the compact.
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