Businesses to launch UN's Global Compact

Businesses to launch UN's Global Compact

Leony Aurora, The Jakarta Post, Jakarta

Business entities in Indonesia will launch Global Compact -- a
United Nations' (UN) initiative that calls for heightened
awareness of human rights, and the environment among
entrepreneurs -- in Jakarta on Saturday.

The launch is sponsored by the Indonesian Employers
Association (Apindo) and the International Labor Organization
(ILO).

Global Compact promotes nine principles concerning human
rights, labor, and the environment.

In terms of labor, businesses are asked to uphold freedom of
association and recognize the right to collective bargaining.
All forms of forced labor, child labor, and discrimination in
respect to employment and occupation should be eliminated,
according to the compact.

"Global Compact will improve Indonesia's standing before the
international business community," said secretary-general of
Apindo Djimanto.

This, in turn, might attract more investment and better
economic relationships, he added.

Commitment to the compact was voluntary and not legally
binding, said Djimanto. The implementation of the principles
would be according to the ability of each company.

A Global Compact team will be established, comprising of
representatives of UN organizations on labor, human rights,
environment, and development. Representatives of Apindo, which
has about 19,000 members across the country, will also be
included.

The team would monitor companies, which had stated their
commitment to the pact, and provide guidance on the
implementation of programs, said Djimanto.

Committed companies, labor organizations and non-governmental
organizations could post their activities on the UN Global
Compact website, which would serve as an exchange forum.

Global Compact was initiated in January 1999 by UN
Secretary-General Kofi Annan. So far, some 1,272 companies and
organizations from 46 countries have signed up.

Indonesia has been trying to attract more foreign direct
investments, which since the monetary crisis in 1997 have
recorded a negative balance yearly.