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A further 203 signatories to the United Nations Global Compact have
been de-listed for failing to issue an annual report on how they are
implementing the Compact's ten principles.
The de-listings, which took effect last month and are the result of a new disciplinary regime at the Compact, come on top of 335 inactive companies 'put in the deep freezer' for the same reason in October (EP8, issue 6, p1). More will follow later this year.
The list is again dominated by small companies from developing nations, but includes some large businesses, among them the UK industrial group Invensys and the Chinese aerospace group Junyao. It also contains a relatively high proportion of companies in France, including Agis and Spanghero (both food and drink), the Fiat Group in France, and the financial ratings group Fimalac, owner of CoreRatings, the corporate responsibility rating agency.
All signatories must publish an annual 'communication on progress' describing the ways in which they are implementing its principles on human rights, corruption and the environment. Those de-listed ('inactive') have either failed to submit such a communication within three years of joining, or have failed to submit one within two years of publishing their last one. They are barred from participating in Compact events and from using its name or logo. However, they can become active participants again if they submit a communication. Of those de-listed since October, 59 have been re-admitted in this way.
The Compact now has just under 3000 active business participants. 'We expect the number de-listed to decrease at some point as the quality of company engagement increases,' a Compact official told EP. 'But you will always have companies that go out of business and don't tell us, or do not take their commitment seriously.'
One signatory, the supplier management services company Achilles, which produced its first progress report last month, told EP that it had been fairly simple to meet the Compact requirements. 'We had to take stock of all our operations and processes around the globe,' said Mark Wilkinson, company secretary. 'That is a good thing to do in any event if you're serious about being a responsible business.'
The de-listings, which took effect last month and are the result of a new disciplinary regime at the Compact, come on top of 335 inactive companies 'put in the deep freezer' for the same reason in October (EP8, issue 6, p1). More will follow later this year.
The list is again dominated by small companies from developing nations, but includes some large businesses, among them the UK industrial group Invensys and the Chinese aerospace group Junyao. It also contains a relatively high proportion of companies in France, including Agis and Spanghero (both food and drink), the Fiat Group in France, and the financial ratings group Fimalac, owner of CoreRatings, the corporate responsibility rating agency.
All signatories must publish an annual 'communication on progress' describing the ways in which they are implementing its principles on human rights, corruption and the environment. Those de-listed ('inactive') have either failed to submit such a communication within three years of joining, or have failed to submit one within two years of publishing their last one. They are barred from participating in Compact events and from using its name or logo. However, they can become active participants again if they submit a communication. Of those de-listed since October, 59 have been re-admitted in this way.
The Compact now has just under 3000 active business participants. 'We expect the number de-listed to decrease at some point as the quality of company engagement increases,' a Compact official told EP. 'But you will always have companies that go out of business and don't tell us, or do not take their commitment seriously.'
One signatory, the supplier management services company Achilles, which produced its first progress report last month, told EP that it had been fairly simple to meet the Compact requirements. 'We had to take stock of all our operations and processes around the globe,' said Mark Wilkinson, company secretary. 'That is a good thing to do in any event if you're serious about being a responsible business.'
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