You are currently viewing Why State-Owned Companies Should Be the Spearhead of Mainstreaming Human RightsDue Diligence in Indonesia

Why State-Owned Companies Should Be the Spearhead of Mainstreaming Human RightsDue Diligence in Indonesia

Why State-Owned Companies Should Be the Spearhead of Mainstreaming Human Rights Due Diligence in Indonesia

Human Rights Due Diligence (HRDD) is a vital responsibility, especially for state-owned enterprises (SOEs) as outlined in the United Nations Guiding Principles on Business and Human Rights (UNGPs). In Indonesia, however, compliance with these principles remains limited. State-owned companies, like PT Perkebunan Nusantara (PTPN), have been linked to numerous agrarian conflicts, reflecting failures to respect human rights and provide adequate remedies. Despite international recommendations, Indonesia lacks legally binding HRDD regulations, particularly for SOEs. This highlights the need for stronger political will and collaboration among stakeholders to develop an effective, legally binding HRDD framework that aligns with global standards, ensuring corporate accountability and sustainable business practices.

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