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Public Regulators and CSR: The ‘Social Licence to Operate’ in Recent United Nations Instruments on Business and Human Rights and the Juridification of CSR

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  • Karin Buhmann

    (Copenhagen Business School
    Roskilde University)

Abstract

The social licence to operate (SLO) concept is little developed in the academic literature so far. Deployment of the term was made by the United National (UN) Guiding Principles on Business and Human Rights and the UN ‘Protect, Respect and Remedy’ Framework, which apply SLO as an argument for responsible business conduct, connecting to social expectations and bridging to public regulation. This UN guidance has had a significant bearing on how public regulators seek to influence business conduct beyond Human Rights to broader Corporate Social Responsibility (CSR) concerns. Drawing on examples of such public regulatory governance, this article explores and explains developments towards a juridification of CSR entailing efforts by public regulators to reach beyond jurisdictional and territorial limitations of conventional public law to address adverse effects of transnational economic activity. Through analysis of an expansion of law into the normative framing of what constitutes responsible business conduct, we demonstrate a process of juridification entailing a legal framing of social expectations of companies, a proliferation of law into the field of business ethics, and an increased regulation by law of social actors or processes.

Suggested Citation

  • Karin Buhmann, 2016. "Public Regulators and CSR: The ‘Social Licence to Operate’ in Recent United Nations Instruments on Business and Human Rights and the Juridification of CSR," Journal of Business Ethics, Springer, vol. 136(4), pages 699-714, July.
    • Handle: RePEc:kap:jbuset:v:136:y:2016:i:4:d:10.1007_s10551-015-2869-9
    DOI: 10.1007/s10551-015-2869-9
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    References listed on IDEAS

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    2. Maria S. Tysiachniouk, 2020. "Disentangling Benefit-Sharing Complexities of Oil Extraction on the North Slope of Alaska," Sustainability, MDPI, vol. 12(13), pages 1-31, July.
    3. Woźniak, Justyna & Jurczyk, Weronika, 2022. "SLO in CSR perspective - A comparative case study from Poland (2018–2020)," Resources Policy, Elsevier, vol. 77(C).
    4. John Gerard Ruggie, 2018. "Multinationals as global institution: Power, authority and relative autonomy," Regulation & Governance, John Wiley & Sons, vol. 12(3), pages 317-333, September.
    5. Alysha Kate Shivji, 2024. "Rightsholder-Driven Remedy for Business-Related Human Rights Abuse: Case of the Fair Food Program," Journal of Business Ethics, Springer, vol. 193(2), pages 363-382, August.
    6. Martin Bohle & Cornelia E. Nauen & Eduardo Marone, 2019. "Ethics to Intersect Civic Participation and Formal Guidance," Sustainability, MDPI, vol. 11(3), pages 1-17, February.
    7. Geert Demuijnck & Björn Fasterling, 2016. "The Social License to Operate," Journal of Business Ethics, Springer, vol. 136(4), pages 675-685, July.
    8. Elisa GIULIANI, 2020. "Putting human rights into regional growth agendas: Where we stand and where we ought to go," Papers in Evolutionary Economic Geography (PEEG) 2042, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Sep 2020.
    9. Matthew Amengual & Rita Mota & Alexander Rustler, 2023. "The ‘Court of Public Opinion:’ Public Perceptions of Business Involvement in Human Rights Violations," Journal of Business Ethics, Springer, vol. 185(1), pages 49-74, June.
    10. Tong, Xun & Chen, Jianghang & Zhu, Qinghua & Cheng, T.C.E., 2018. "Technical assistance, inspection regime, and corporate social responsibility performance: A behavioural perspective," International Journal of Production Economics, Elsevier, vol. 206(C), pages 59-69.
    11. M. Tina Dacin & Jeffrey S. Harrison & David Hess & Sheila Killian & Julia Roloff, 2022. "Business Versus Ethics? Thoughts on the Future of Business Ethics," Journal of Business Ethics, Springer, vol. 180(3), pages 863-877, October.
    12. Claire Bright & Karin Buhmann, 2021. "Risk-Based Due Diligence, Climate Change, Human Rights and the Just Transition," Sustainability, MDPI, vol. 13(18), pages 1-18, September.
    13. Martin Bohle, 2019. "One Realm: Thinking Geoethically and Guiding Small-Scale Fisheries?," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(2), pages 253-270, April.
    14. Rajiv Maher & Moritz Neumann & Mette Slot Lykke, 2022. "Extracting Legitimacy: An Analysis of Corporate Responses to Accusations of Human Rights Abuses," Journal of Business Ethics, Springer, vol. 176(4), pages 609-628, April.
    15. Svetlana A. Tulaeva & Maria S. Tysiachniouk & Laura A. Henry & Leah S. Horowitz, 2019. "Globalizing Extraction and Indigenous Rights in the Russian Arctic: The Enduring Role of the State in Natural Resource Governance," Resources, MDPI, vol. 8(4), pages 1-20, November.
    16. Christina Deselaers & Alina Dahmen & Sonia Lippke, 2022. "Impact of the COVID-19 Pandemic on CSR Activities of Healthcare Providers," IJERPH, MDPI, vol. 20(1), pages 1-27, December.
    17. Dumbrell, Nikki P. & Adamson, David & Wheeler, Sarah Ann, 2020. "Is social licence a response to government and market failures? Evidence from the literature," Resources Policy, Elsevier, vol. 69(C).
    18. Rogerson, Michael & Scarpa, Francesco & Snelson-Powell, Annie, 2024. "Accounting for human rights: Evidence of due diligence in EU-listed firms’ reporting," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 99(C).
    19. Alatawi, Ibrahim A. & Ntim, Collins G. & Zras, Anis & Elmagrhi, Mohamed H., 2023. "CSR, financial and non-financial performance in the tourism sector: A systematic literature review and future research agenda," International Review of Financial Analysis, Elsevier, vol. 89(C).

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