Human Rights and Environmental Due Diligence Legislation in Canada
Canadian companies and global supply chains are implicated in human rights abuses and environmental damage around the globe. However, Canada has failed to establish rules that require Canadian companies to respect human rights and the environment overseas. Instead, Canada relies on a suite of voluntary measures to curb corporate abuse. Experience shows that voluntary measures don’t work.
To end corporate impunity, several countries have enacted, or are in the process of developing, laws that require companies to review all their business activities, identify actual and potential risks to people and the planet, take steps to mitigate and address these risks, and ensure remedy for those harmed. This is called human rights and environmental due diligence.
Building on this global momentum, and on Canadian civil society consensus starting points, our draft model legislation provides lawmakers with a blueprint for writing into Canadian law the corporate duty to respect human rights and the environment.
In March 2022, a private Members’ bill based on the CNCA’s model due diligence legislation was introduced in Parliament: Bill C-262, “Corporate Responsibility to Protect Human Rights Act.”
Human Rights and Environmental Due Diligence Legislation in Canada
*On Monday, May 31st, the Canadian Network on Corporate Accountability (CNCA) released draft model legislation to provide lawmakers with a blueprint for a new international corporate accountability law in Canada.
Canadian companies and global supply chains are implicated in human rights abuses and environmental damage around the globe. However, Canada has failed to establish rules that require Canadian companies to respect human rights and the environment overseas. Instead, Canada relies on a suite of voluntary measures to curb corporate abuse. Experience shows that voluntary measures don’t work.
To end corporate impunity, several countries have enacted, or are in the process of developing, laws that require companies to review all their business activities, identify actual and potential risks to people and the planet, take steps to mitigate and address these risks, and ensure remedy for those harmed. This is called human rights and environmental due diligence.
Building on this global momentum, and on Canadian civil society consensus starting points, our newly released draft model legislation provides lawmakers with a blueprint for writing into Canadian law the corporate duty to respect human rights and the environment.
The draft model law, if adopted, would require Canadian companies to prevent human rights and environmental harm throughout their global operations and supply chains. If a company causes harm or fails to do its due diligence, it could be subject to legal action in Canada.
Over 150 organizations and unions that work with people impacted by the activities of Canadian companies in 32 countries around the world have endorsed the CNCA’s proposed law.
If adopted the CNCA’s model Corporate Respect for Human Rights and the Environment Abroad Act would:
- Establish a corporate duty on companies linked to Canada to prevent human rights abuse and environmental harms.
- Require companies to conduct due diligence and publicly report on the steps taken to prevent human rights and environmental harms.
- Include significant consequences for companies that cause harm and/or fail to conduct due diligence.
Read and share these individual graphics or this full infographic on the proposed Corporate Respect for Human Rights and the Environment Abroad Act.
Our model legislation would help prevent human rights abuse and environmental damage in the global operations and supply chains of companies linked to Canada, hold these companies accountable for their actions, and provide access to remedy for impacted communities.
Latest on Human Rights and Environmental Due Diligence Legislation
Canada should immediately empower the CORE, recent media reports show
Updated on 10 May 2023. Initially published on 11 April 2023. Recent media reports exposing the ineffectiveness of Canada’s Ombudsperson for Responsible Enterprise (CORE) show it should immediately be given the powers to require the production of documents and compel [...]
National Rally: Rana Plaza 10 years later
On Monday, April 24, at 12 noon, at Phillips Square in Montreal, a national rally will be held to: Demonstrate the solidarity of Canadians and Quebeckers with workers in the fast fashion industry in Bangladesh and elsewhere Denounce the inaction [...]
Budget 2023 renews the government’s commitments on forced labour in supply chains, but will that legislation be strong enough?
Budget 2023 committed to introducing legislation by 2024 to eradicate forced labour from Canadian supply chains and strengthen the import ban on goods produced using forced labour. Specifically, the Budget says that “Canada is gravely concerned by the ongoing human [...]
PRESS RELEASE Canadian companies linked to allegations of human rights abuse abroad including killings, torture and forced labour – new reports, testimony
For immediate release 14 February 2023 Canadian companies have been linked to allegations of killings, torture, forced labour, arbitrary detention and intimidation amongst other abuses, according to six new reports published this morning by the Canadian Network on Corporate Accountability [...]
Case Study : Nygard International – Wage theft and unpaid severance
A case study by the Canadian Network on Corporate Accountability (CNCA) Published: February 2023 Case 1 of 6 [1] [View PDF.] Not too long ago, Nygard International, a privately held women’s fashion clothing company, was Canada’s largest producer of women’s [...]
Case Study : Torex Gold Resources Inc. – Freedom of association and threats of violence/death
Torex Gold Resources Inc. - Freedom of association and threats of violence/death A case study by the Canadian Network on Corporate Accountability (CNCA) Published: February 2023 Case 2 of 6 [1] [View PDF] Torex Gold Resources Inc. is a Canadian [...]