Swiss Review 5/2020

Swiss Review / September 2020 / No.5 14 Due diligence in other countries Since 2018, companies in the EU have been held accountable for how they exercise human rights and environmental due diligence. However, the European Commission is now looking to tighten the EU’s applicable directive. There are also grow- ing calls for the introduction of a law on supply chains, which would require a stronger commit- ment by companies to avoid contingent risk. At the end of 2019, the German government held out the prospect of a supply chain law after a volun- tary action plan met with limited success. A “duty of vigilance” law has been in effect in France since 2017, establishing civil liability for the con- sequences of due diligence failures. Other Euro- pean countries are planning legislation that would require companies to perform due dili- gence in accordance with the EU directive. In 2019, the UK Supreme Court decided to allow claims to be heard against companies with regard to human rights violations committed by subsidi- aries of these companies abroad. (TP) Responsible Business Initiative website: www .corporatejustice.ch The No campaign: www .leere-versprechen-nein.ch the rule of law” and will lead to “ex- tortionate international lawsuits”. Tarring all companies with the same brush is unacceptable, says Gmür, who sits on the board of the Central Swit- zerland Chamber of Commerce and Industry. The heat is on this autumn The referendum campaign should heat up at the beginning of October, as soon as Switzerland’s associations and political parties have digested the mammoth round of votes on 27 Sep- tember (see “Swiss Review” 4/2020). In addition to support fromthe SP and the Greens, the initiative is backed by a civic committee consisting of mem- bers of all political parties. Volunteers from civil society have also estab- lished committees at local grassroots level to assist with the campaign effort. Wealthy business federation Econ- omiesuisse is running the No cam- paign. It wants to rectify the “unscru- pulous” image of multinationals and highlight positive factors such as job creation in developing countries. Politics Andrea Gmür: the initiative tars all companies with the same brush and will lead to “extortionate lawsuits”. Photo: parlament.ch “toothless token counterproposal”. “As we all know, theworst culprits tend to be the ones with glossy company bro- chures,” says the former state prose- cutor of the canton of Ticino and for- mer FDP member of the Council of States. Marty, who made a name for himself outside Switzerland as the Council of Europe’s special rapporteur on human rights, believes that compa- nies will only conform when human rights violations have consequences. Opponents from the business community and the centre-right par- ties say that the initiative clearly over- shoots the mark. Andrea Gmür, CVP member of the Council of States for the canton of Lucerne, is particularly concerned that the proposed changes would “reverse the burden of proof”. Obliging companies to prove their in- nocence “contradicts the principles of Dick Marty believes that companies will only conform when human rights viola- tions have conse- quences. Photo: parla- ment.ch A banner supporting the initiative. The ref- erendum campaign is sure to heat up on both sides of the ar- gument. Photo: Keystone