NCP
The one formal obligation that the OECD Guidelines have put on countries is to set up National Contact Points (NCPs). A NCP's primary responsibility is to ensure the follow-up of the Guidelines. NCPs are responsible for encouraging observance of the Guidelines in a national context and for ensuring that the Guidelines are well known and understood by the national business community and other interested parties.
NCPs also deal with 'specific instances', the term used for complaints. If a 'specific instance' has occurred and the parties involved have not reached an agreement, the NCP is required to issue a statement. However, NCPs do not monitor whether or not companies are following the Guidelines.
NCPs should respond to enquiries about the Guidelines from other NCPs,
the business community, employee organisations, NGOs, the public and
governments from non OECD-adhering countries. NCPs also have the right to screen
cases, deciding whether they are admissible or not through an initial
assessment procedure. When a party raises a case, the NCP is required
to make an initial assessment of whether the issue raised merits
further examination. The NCP must decide this and respond to the party. Generally, issues are dealt with by the NCP in whose country the issue has arisen.
If, however, there is no NCP in that country, cases can instead be brought before
the NCP in the country where the company is headquartered.
The
institutional set up of NCPs differs from country to country. 21
NCPs consist of a single government department, 6 consist of
multiple governmental departments, 8 are tripartite and 2 are
quadripartite. Thereby, there is an obvious risk that NCPs make
different initial assessments.
After completion of an initial
assessment, an NCP must focus on problem solving. This often requires mediation with the parties involved and help from experts,
stakeholders, other NCPs and the OECD Investment Committee.
Any
person or organisation may approach a National Contact Point to enquire
about a matter related to the Guidelines. Because of the central role
it plays, the effectiveness of an NCP is a crucial factor in
determining how influential the Guidelines are in each national
context. All NCPs should function in a visible, accessible, transparent
and accountable manner.
OECD Watch performs independent annual reviews of the functioning of NCPs. Please click here to go to the reviews.
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