Business and Human Rights : Current Developments in Malaysia

This article discusses to what extent obligations must be imposed on companies to protect human rights fro and applying the UN Guiding Principles on business and human rights. In Malaysia, the violation of corporate human rights are mainly addressed by or related to labor rights, sustainable development and indigenous rights, human trafficking, corruption and the lack of good governance. Malaysia is a participant in the UN Global Compact and complies with its ten principles, including human rights. More than 120 Malaysian companies have joined the Roundtable on Sustainable Palm Oil and comply with the United Nations Universal Declaration of Human Rights. The Human Rights Commission of Malaysia (SUHAKAM) introduced its Strategic Framework on a National Action Plan on Business and Human Rights for Malaysia Bursa Malaysia and the Companies Commission of Malaysia (SSM) also emphasizes international standards for corporate social responsibility and human rights protection. The Malaysian Constitution does not prescribe the state's obligation to protect human rights from corporations, but this can be achieved through court interpretation. The Noorfadilla ruling is a good precedent for the application of international human rights principles, in recognition of the possibility of applying the UN Convention on the Elimination of All Forms of Discrimination against Women. Malaysian government agencies deal with corporate human rights violations, some of which are mandated and directly investigate human rights violations. However, these bodies do not have the authority to punish or compensate for violations. In Malaysian legislation, companies are subject to criminal responsibility, but are not directly regulated. In addition, Malaysian companies are not making substantial corrective efforts, even though they are under pressure to consider sustainability. The Malaysian government will need to not only carry out implementation guidelines, but will also make efforts to establish domestic laws.