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Multinational corporations and human right violations in emerging economies: Do commitment to social and
Subhan Ullah1, Kweku Adams2, Dawda Adams3
1Accounting Division, Nottingham University Business School, University of Nottingham, UK.
Abstract:
With the surge in economic growth in the global-north vis-a-vis social and economic inequalities in the global-south (north-south dichotomy), there is an increasing requirement for critical research and an examination of the policy implications with respect to human rights in emerging economies. This paper draws on the concept of convergence and institutional theories to enhance our understanding of how multinational corporations (MNCs) fulfil their profit maximisation agendas using capitalist principles; and the extent to which these ideologies produce human rights violations in emerging economies. Using multiple data sources from the Human Rights Watch, our study provides a comprehensive list of various human rights violations perpetrated by MNCs from 2002 to 2017. We verified 273 violations by 160 MNCs mostly from developed countries. More than 90% of our sample firms have CSR/sustainability committees, are signatories to the UN Global Compact and have reported compliance with the International Labour Organisation (ILO). This raises questions about the effectiveness of these programmes for CSR compliance. We contribute to the CSR/sustainability literature by providing new insights into the nature and location of human rights violations committed by MNCs.
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