For all companies, “respecting human rights” means that the company establishes a management system through which the company is able to document that it has addressed the risk of adverse impacts on people’s dignity. Concretely, this means that the company regularly assesses which adverse impacts it has and potentially may have on people’s human rights. All companies have some adverse impacts on people’s human rights.
The company becomes transparent regarding how it impacts all the basic elements of human dignity. The way to establish the management system is well-defined through the UN Guidelines for Human Rights and Business (UNGPs).
When the company is transparent about its risks of adverse impacts and how it manages them, it increases its credibility among employees, guests, suppliers, and other collaborators. The actions are clearly visible, and become a strong testament to the company doing what it says it is going to do.
Every company must take measures to address its potential adverse impacts on all 48 human rights. There will be no risk of adverse impacts on some of the human rights, but most companies will identify the risk of adverse impacts on approximately 20 human rights.
In the next section there are some examples of adverse impacts and how they should be dealt with. The examples are drawn from widely recognized challenges within the industry. Good practices in dealing with those challenges are outlined, which will result in the prevention and mitigation of the adverse impacts on people’s human rights.