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23 Feb 2012

The Dow side of corporate sponsorship

"U.N. guidelines are the yardstick to assess the human rights record of corporations."

Dow Chemical got it wrong if it thought when it acquired the worldwide assets of Union Carbide that it wouldn't have to deal with the legacy of the 1984 Bhopal disaster that killed thousands of people. The Hindu : Opinion / Op-Ed : The Dow side of corporate sponsorship

The liability of Dow with regard to the disaster in 1984 itself is not easy to establish, but activists and lawyers in India assert that Dow cannot escape responsibility for the ongoing contamination of ground water in Bhopal, and its health impacts.

The conversation about Bhopal has rightly focused on corporate responsibility, but it is important to remember the role of the Indian government as well. This case shows corporate failure to respect rights (Union Carbide), state failure to protect rights (Indian government), and the absence of an adequate remedy for victims.

Wider questions still remain — what sort of screening should be in place when selecting sponsors? Should only companies with a squeaky clean reputation be chosen? And if so, how is such reputation defined? The U.N. Guiding Principles on business and human rights — which provide the authoritative due diligence steps all companies need to take — offer a promising yardstick.

The Olympics represent the noblest of human efforts to strive towards higher standards. Organisers should aspire towards the highest standards when they undertake due diligence to select partners, in celebration of this ultimate test of human endeavour.

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