On this page, you will find information on the UN Guiding Principles on Business and Human Rights, the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct (OECD Guidelines) in relation to the Supply Chain Due Diligence Act (LkSG) and the role of the National Contact Point (NCP). It also contains contains a comparison between the NCP complaint procedure and the complaint mechanism in accordance with the Supply Chain Act at BAFA.
With regard to the human rights and environmental due diligence obligations, the Supply Chain Act is part of a process that began in particular with the UN Guiding Principles and the OECD Guidelines and the due diligence obligations enshrined therein. LkSG builds on this international consensus and makes parts of it binding.
The UN Guiding Principles on Business and Human Rights were adopted by consensus in the UN Human Rights Council in 2011 after a six-year research and consultation process led by the UN Special Representative for Business and Human Rights, Prof. John Ruggie. The UN Guiding Principles provide, for the first time, an international reference framework for business and human rights. The three-pillar model of "protect, respect and remedy" clearly define the duties and responsibilities of all actors. A key aspect of the responsibility of companies in global supply and value chains is the demonstration of their human rights due diligence obligations.
The UN Working Group on Business and Human Rights, mandated by the Human Rights Council, has called on the international community to implement the UN Guiding Principles and, in particular, to develop National Action Plans (NAPs). Since 2013, various countries, including Germany, have been developing and implementing NAPs for business and human rights.
With the National Action Plan - Implementation of the UN Guiding Principles on Business and Human Rights 2016-2020 (NAP), the Federal Government is for the first time anchoring the responsibility of German companies to respect human rights in a fixed framework. Its implementation was supposed to be checked through monitoring. In the 2018 coalition agreement, the Federal Government stated: "We are committed to consistent implementation of the National Action Plan for Business and Human Rights (NAP) [...]. If the effective and comprehensive review of the NAP 2020 comes to the conclusion that the voluntary commitment of companies is not sufficient, we will take national legal action and campaign for an EU-wide regulation." Corresponding monitoring was carried out in 2018-2020. Since the implementation target was not achieved, the Federal Government presented the Supply Chain Due Diligence Act in 2021. The law came into force on 1 January 2023.
Further information on the UN Guiding Principles, NAP and LkSG : www.wirtschaft-menschenrechte.de
The OECD Guidelines are the most important comprehensive international instrument for promoting responsible business conduct.
The aim of the Guidelines is a sustainable economy: the positive contribution of companies to economic, environmental and social progress should be promoted and possible negative impacts associated with a company's business activities, products or services should be minimized. To this end, the OECD Guidelines formulate joint recommendations of the 51 participating states (OECD members and non-OECD members) to multinational companies in key areas of corporate responsibility: e.g. human rights (in line with the UN Guiding Principles), workers' rights, environmental and climate protection, corruption prevention, consumer interests, disclosure of information, science, technology and innovation, competition and taxation. The core of the OECD Guidelines is - as with the UN Guiding Principles - the due diligence approach: According to the Guidelines, multinational companies should use risk-based due diligence and appropriate internal procedures to prevent their activities from having a negative impact on or contributing to protected assets covered by the Guidelines; and to address these effects when they occur. In addition, companies should also strive to prevent or reduce negative effects in cases where they do not themselves contribute to this effect, but this effect is directly linked to the company's business activities, products or services due to a business relationship. The due diligence therefore also extends to the business relationships of a multinational company, including the supply chain.
The OECD Guidelines are aimed at all multinational companies - regardless of size, sector or ownership structure - that operate in or from a participating country. The OECD Guidelines are not legally binding, but correspond to the German government's expectations in relation to the behavior of multinational companies in their cross-border activities.
Over the years, the OECD has developed a number of practical sector-specific guidelines and guidance to operationalise the due diligence approach for specific sectors or subject areas and to support practitioners in its implementation. Further information on the OECD Guidelines, the sector-specific guidelines and the subject-specific guidance can be found on the OECD website.
To promote the effectiveness of the OECD Guidelines, National Contact Points (NCPs) have been set up in all 51 participating countries. Among other things, they are intended to promote awareness and effectiveness of the Guidelines and also serve as an out-of-court complaint mechanism.
The German NCP is located in the Federal Ministry for Economic Affairs and Climate Protection (BMWK), in the VC6-NKS unit.
Further information on the NCP can be found on the BMWK website.
The National Contact Point for the OECD Guidelines (NCP) serves as an out-of-court complaint mechanism under the OECD Guidelines.
The NCP will only act upon request. Complaints against multinational companies for possible violations of the OECD Guidelines can be submitted to the NCP by natural or legal persons, trade unions and non-governmental organizations that demonstrate a legitimate interest in the matter in question. The respondent is then given the opportunity to comment.
The NCP examines the complaint in accordance with the OECD Guidelines and the criteria set out in its procedural guideline. If the NCP accepts the complaint after an initial evaluation, it offers the parties its support in the form of a conciliation or mediation procedure to help the parties reach an agreement in accordance with the OECD Guidelines. In this procedure, the NCP holds discussions with the parties involved with the aim of reaching an agreement. The NCP reports on the conclusion of the procedure.
As part of the complaints procedure, the NCP does not determine whether a company has violated the OECD Guidelines. The NCP can make recommendations for better implementation of the Guidelines and monitor the implementation of the agreement reached or the recommendations made.
Further information on the NKS complaints procedure, the procedural guidelines and how to submit complaints can be found on the BMWK website.
Complaints procedures before the NCP and request for action at BAFA exist independently of each other. The procedures each follow their own logic, which arises from the OECD Guidelines (NCP) or the LkSG (BAFA). The key procedural characteristics are set out in the table below. This must be distinguished from the complaints procedure, which must be set up by companies to fulfill their statutory due diligence obligations.
| Complaints procedure before the NCP | Request for action according to LkSG (BAFA) | |
|---|---|---|
Basis | OECD Guidelines for Multinational Enterprises | Supply Chain Due Diligence Act |
| Object | Suspected violation of the OECD Guidelines by a multinational company operating in or from a participating country. | Possible violation or imminent violation of a protected legal position by a company subject to the LkSG or a supplier of the company. |
Complainant/Applicant | Natural or legal persons, e.g. affected persons, trade unions, NGOs. | Persons affected by a violation within the meaning of the LkSG/their authorised representatives (e.g. a German NGO). |
Respondent | German or multinational company operating in Germany. | Companies subject to the LkSG; complaints can also be directed against suppliers of companies subject to the LkSG who are not covered by the law. However, they are not the respondent in the process. |
Content requirements | Complaints must concern the implementation of the guidelines and be sufficiently substantiated, ie supported by sufficient and credible information. There is no burden of proof, as in court. | Substantiated request in which it is claimed that a protected legal position has been violated or that a violation is imminent as a result of the non-fulfillment of an obligation contained in Sections 3 to 9 of the LkSG. |
Information on the facts that are used | Information submitted by complaining parties; and, where applicable , publicly available information on the facts of the case. The NCP may, where necessary, seek advice from competent authorities and/or representatives of industry, workers' organisations or other non-governmental organisations, as well as relevant experts. | The principle of ex officio investigation applies. |
Procedure | Conducting an initial evaluation to decide whether to accept the complaint. If the complaint is accepted: Offer of support to the complainants in the form of an NCP mediation or conciliation procedure. If necessary, follow-up on the implementation of the agreement or recommendations made. | BAFA examines the request after receipt, initiates further measures if necessary and provides feedback to applicants after completion of the examination. |
A complaint to the NCP does not preclude a request for action at BAFA or action by BAFA at its own discretion.
