Unfair wages, exploitation, child labour: If German companies abroad to do business, stay rights on the track. The Federal government is threatening to, by law.
Whether it’s platinum, cobalt or cocoa: German companies obtain their raw materials from Africa. However, the working conditions are often poor. “At the beginning of the supply chains of Mr incredible conditions still: Over 150 million children worldwide work. Forced labour and starvation wages are in many places, everywhere,” said Federal development Minister Gerd Müller (CSU) at the beginning of March.
The only way to prevent the “National action plan on business and human rights” by the Federal government in 2016, had decided. He obliges German companies in business abroad to respect human rights standards – but only on a voluntary Basis. The response has been rather muted.
Government remains committed on a voluntary basis
Müller is now threatening with a law. It is intended to force German companies, if necessary, in the case of foreign transactions, basic human rights standards. First, the development Minister wants to ask but in the next few months, the first 4000 German companies, whether they comply with the action plan. “We will evaluate this return, and if it turns out that less than 50 percent of the companies participating voluntarily, then this so-called duty of Care-law is to come”, said Parliamentary state Secretary Norbert Barthle the DW.
Development Minister Müller threatens with the new law
Thus, the Federal government is planning to take around 14,000 companies from the so-called “high-risk” sectors. These include agriculture, mining, food, textiles, electrical equipment, and power supply. Companies in these industries to ensure that foreign transactions, to ensure that their suppliers do not violate human rights. Also the protection of the environment should be taken into account.
Such legislation is long overdue, says Eva-Maria Reinwald from the development policy Institute “South wind” in Bonn. “We note that previous approaches have not worked, based on voluntary participation. For decades, is being expressed by businesses that they operate. But we will not achieve the changes we want for the workers on the spot”, so pure forest to the DW.
Local laws do not reach
Proponents of the bill point to the example of the so-called “Marikana massacre” of 2012 in South Africa. During a strike against the low wages and poor working conditions, the police shot and killed 34 miners from the platinum mine. The Mine owned by the Lonmin group, which is also the most important platinum-suppliers to the German company BASF. The United Nations organization, the shop for platinum, also for the compliance with the minimum standards in the Supplier responsible. BASF rejects, however, the responsibility for the strike and its consequences, although the critical Situation of the workers was known.
The protests in Marikana, 34 people were killed
“The case of Marikana shows that it is a risky endeavor to rely on local security forces and the police on the spot, and that there is a shared responsibility,” says Südwind-employee of pure forest. In Africa, a transparency, it could be the law of their opinion, therefore, a major advance: “In many African countries, local laws are not drafted appropriately, or there is a lack of controls to enforce them,” said Reinwald.
Resistance from the industry
The economy rejects the plans, however, strictly. “A rigid legal framework for human rights due diligence can lead to a withdrawal of German companies from the challenging markets on the African continent and endangers investments and business activities in African countries,” believes the Africa Association of German business, an entrepreneur network. “Our global competitors are us to sweep easily from the market,” fear of the total Association “textile + Mode”.
The Afrika-Verein, the law rejects plans strictly
The development Ministry does not share such fears. “Of course, there is the concern that the draft law contained criminal a deterrent threats effect could be achieved. But that does not mean that companies no longer operate in Africa, when you get out of your resources. It is not so easy to find cobalt in this world,” says the Parliamentary Secretary of state, Barthel.
A standstill by 2020?
According to the plans of the Federal government, it would take anyway for a long time, until the law could become a reality. Minister of labour, Hubertus Heil (SPD) wants to wait until 2020, to discuss on EU-level rules. This is pure forest to late: “we Therefore call on the Federal government to now move forward and decide, in Germany such a law, and that the Minister of labour brings salvation to the stone in the coming time, in Europe.”
The company will have time to do something voluntarily to improve the working conditions of their suppliers. Barthle is optimistic that it will also work without a law. “We hope that plenty of companies declare voluntarily their supply chains to fair trade Goods.” This effort is also in the interest of the company. Because more and more consumers attach great value to know, such as your shoes, chocolate, or your coffee is produced.