4 April 2001

The United Nations News Service announced under this title the signature, earlier this month, of an accord between Statoil, a Norwegian-based energy multinational, and the International Federation of Chemical, Energy, Mine and General Workers' Unions (ICEM).

John Ruggie, UN Assistant Secretary-General, commented that "This agreement between Statoil and ICEM is a very exciting development, which shows how the Compact can be used constructively to advance social dialogue and social partnership - ultimately the only viable response to the many challenges of globalization".

Statoil and the 20-million-strong workers' union ICEM said the agreement was inspired by the principles set out in the Global Compact. In a statement announcing the pact, the parties said they were committed to upholding basic human rights in the community and the workplace. In particular, the agreement lists basic workers' rights enshrined in the Conventions of the International Labour Organization (ILO).

The ICEM-Statoil deal is only the most recent example of a snowballing trend towards international social dialoguing, including "framework" labour agreements, according to Jim Baker, director of the Department of Multinational Enterprises Organising and Recruitment at the International Confederation of Trade Unions (ICFTU).

Such agreements allow unions to deal with multinational corporations at a global as well as local and national level on the basis of common principles, including fundamental workers' rights. The rise to prominence of the Global Compact over the last year has been both a reflection and a spur to this trend, Mr. Baker said.

The pact with the ICEM "makes good business sense," said Geir Westgaard, a Statoil vice president. Furthering the Global Compact is "part of securing our 'license' to operate internationally," he said. "If you are in business in challenging areas of the world, you absolutely want and need to act ethically, sustainably and socially responsibly."

FICSA for its part urges the executive heads of the organisations of the United Nations system to further the Global Compact by entering themselves into agreements with their staff. Charity begins at home.