STRATEGIC FRAMEWORK ON A NATIONAL ACTION PLAN ON BUSINESS AND HUMAN RIGHTS FOR MALAYSIA ensures corporate respect for human rights will also provide reassurance about doing business in Malaysia and with Malaysian businesses, and promote economic growth. 13. The Commission recognises that it is the Government that has the legitimacy, capacities and resources to make the difficult balancing decisions required to reconcile competing societal needs. However, the occurrence of business-related human rights abuses in Malaysia and by Malaysian companies signals that the Government should do more to get the balance right. 14. An NAP on business and human rights that is based on the Guiding Principles will: (a) Be a much needed driver of action. Civil society actors and victims are calling for more effective prevention and remedy for business-related human rights abuses. Business participants at the Commission’s roundtable discussions have expressed the need for the Government to provide them with clearer expectations and standards on how to respect human rights. Businessrelated human rights abuses, such as in relation to migrant workers and trafficking, negatively impact the reputation of Malaysia and Malaysian companies. Effective action is needed to minimise the exposure of society to business-related human rights abuses and the exposure of businesses to reputational and operational risks. (b) Provide a common platform for cross-governmental policy coordination and coherence. Businesses interact with the Government in multiple and diverse regulatory areas. Providing an appropriate policy and regulatory environment to foster corporate respect for human rights requires cross-governmental involvement. (c) Activate the private sector to contribute to fulfilling Malaysia’s development goals, including Vision 2020; and the post-2015 SDGs to be adopted by UN Member States in September 2015. Noting that the private sector may be harnessed to ensure the successful implementation of the SDGs, Chairpersons of the UN human rights treaty bodies have jointly called on UN Member States to ensure accountability of the private sector and the full application of the Guiding Principles.6 Further, global civil society has called for the SDGs to be built on human rights, and universal values of equality, justice and security.7 Indeed, the fulfillment by the private sector of their corporate responsibility to respect human rights, and the State’s provision of an appropriate regulatory and policy environment for the private sector to do so, will be an important means of fulfilling the SDGs. The Guiding Principles are crucial in this regard, as they identify “the differentiated, but complementary roles of States and companies with regard to human rights.”8 (d) Foster Malaysia’s international business competitiveness. Integrating human rights principles into the workplace helps maximise productivity, and helps a company stay competitive.9 Further, corporate respect for human rights is becoming a key criterion for competing internationally. For example, in today’s globalised palm oil and electronics supply chains, corporations abroad are taking concrete steps to ensure that their Malaysian palm oil and electronics suppliers respect human and environmental rights in their operations.10 Countries such as the United States, the United Kingdom, and others in the European Union, are adopting responsible 4

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