Remarks by UN Resident Coordinator in Thailand at the online workshop "Policy Framework for Promotion of Responsible Business and Corporate Social Responsibility in Thailand”

It is a pleasure to address you today on promoting good practices for responsible business, human rights, and corporate social responsibility, which are fundamental building blocks for business to be globally competitive in today’s environment.

Let me start by thanking Khun Apinya and Khun Ruansak for setting the context, and I commend the Ministries of Labour and Justice for your commitment supporting businesses’ contributions to sustainable development.

I understand that the first such dialogue took place two years ago when the National Action Plan on Business and Human Rights was adopted. What a difference two short years can make, as we now contend with a pandemic in which the business community remains central to securing livelihoods, as the country faces slower growth.

I want to use this opportunity to highlight examples of good practices emerging from the UN’s partnership with Government, business, and civil society, which lay the foundation for scaling up responsible business and human rights initiatives across all sectors in Thailand and the region. In conclusion, I will also highlight the key forward-looking messages embedding these principles in how we do business.

The UN’s strategy is to partner on business and human rights, from the highest-level corporate engagement with a focus on leveraging policy and supporting implementation while prioritizing the most vulnerable workers including migrants, women, youth, and people with disabilities.

At the corporate-level engagement, the UN works with the Securities and Exchange Commission and the National Human Rights Commission of Thailand to embed the “UN Guiding Principles on Business and Human Rights” with support from UNDP.

These Principles set out the duty of the state, the responsibility of the business sector, and their respective roles to protect and respect human rights, while addressing problems as they arise.

They have been adopted by over the 750 companies, including the top 100 with a market capitalization representing over USD 4 trillion. As of 2022, these companies will report on how they incorporated the principles of business and human rights as part of the environmental, social and governance (ESG) ratings, which will be powerful and impactful.

One critical element to enable mandatory reporting has been the investment in a standard curriculum on business and human rights, which is enhancing capacity building.

Likewise, UN Women are advising the Security and Exchanges Commission and the Office of SME Promotion on increasing the number of women in the boardroom to 30% and enabling all listed companies to report on gender and diversity indicators as part of ESG.

Moving to policy and practice, I would like to highlight the flagship Ship to Shore rights programme funded by the EU, that engaged XYZ companies in 12 coastal provinces in the fishing and seafood industry.  The project worked with companies, officials, workers, and employers’ organizations to implement good labor practices.

One notable result included the introduction of electronic ATM wage payments for workers, with Thailand adopting the regulation to ban child labor in the fishing and seafood industry becoming the first country in the Asia Pacific to do so.

The success with the fishing and seafood industry, is now being scaled up to the poultry and automobile sector also in partnership with the EU. ILO is working with member companies of the poultry and broiler associations on how to implement national legislation on working conditions, address issues of migrant and vulnerable workers, and adopt business practices that are environmentally and socially sustainable.

With the automobile industry, which is integrated into the global supply chain, the strategy is to invest in standard guidelines for good labor practices that serve as a common benchmark for the industry.

In every area, the UN prioritized the protection and empowerment of women in the workforce in our private sector interventions. We are partnering with one of the largest hard-disk manufacturers in Thailand to build critical soft and technical STEM-related skills led by ILO.

This engagement is based on in-depth consultation with workers and employers to empower women across the production line and broaden their technical skills on data analysis. Over 2000 women are now certified and the curriculum is accredited by the Government and adopted by technical and vocational education institutions.

Our work is focused on those most vulnerable, with gender and youth employability being critical areas of focus amid disruptions from #COVID19 factor in intersectional challenges. According to labor market analysis the pandemic has impacted women entrepreneurs the most, with many losing their jobs.

We are working with SMEs in the beauty and service industry to increase their access to financial services and market information. We are upskilling these women to upgrade their online presence and use digital technologies effectively.  

The UN is also tackling youth employability at a critical time. Young people have had their career prospects disrupted by the pandemic, precisely at a time when new graduates have high hopes and are newly exploring their independence.

All these programmes, promote multi-stakeholder coordination on labor and human rights, which is crucial for advancing SDGs.

There are 4 takeaways that I would like to highlight as I conclude.

• Comprehensive partnerships with Government, the private sector, workers’ organizations, and civil society are the bedrock for responsible business, which requires collective action from all to make inroads. This in turn allows us to scale up good labor practices to other sectors of the economy.
  
   
• National policy aligned with international standard-setting instruments, ILO conventions, and other UN principles provides the framework for countries to regulate business practices and ensure they are premised on principles of fairness, justice, and sustainability. In the context of “building back better”, analysis from the Economic and Social Commission for Asia and the Pacific tells us that this not only helps reduce poverty and correct inequality, but also translates into increased growth potential.
  
   
• The private sector in Thailand, which generates nearly 9 in 10 jobs and contributes to over 80% of GDP, has an undeniable leadership role and responsibility. I am pleased the private sector is taking such bold initiatives to champion business and human rights, with some companies already setting the bar high. The leadership of the private sector will inspire and enable all of us to take steps to make transformative changes in business – which is no longer an “optional add-on” but an “all-important necessity”.
  
   
• Finally, the SDGs cannot be achieved without the respect for human rights, which must be a cornerstone in the role that business plays in the pursuit of the SDGs.

Dialogues like today are a great example of multi-stakeholder efforts to ensure that the business and human rights agenda continues to be a key priority as we define the “new normal” for the region and the world.

I look forward to the informative and inspirational discussions with all of you here today. Thank you.