Corporate Engagement
Indigenous groups around the world are experiencing acute social and economic upheaval due to increased globalization and economic activity in their traditional territories. Indigenous ancestral homelands, intellectual property, and cultures are threatened by inadequate government policies that allow multinational companies to undertake uncontrolled resource extraction and exploitation as a way of boosting foreign revenues, despite the risk of ecological disaster and impoverishment of citizens.
Businesses and corporations involved in the use and extraction of natural resources on Indigenous Peoples’ lands should consider their relations with Indigenous communities a crucial element in their business process and as a premier element in their commitment to social responsibility. Similarly, the most direct way individuals can bring their concerns into the corporate boardrooms of the world’s largest companies is through socially responsible investing.
Business Practices
First Peoples Worldwide’s Corporate Engagement strategy is multi-faceted and includes influencing corporate policy, educating corporate executives on Indigenous economics and community-based needs, building local Indigenous capacity to negotiate directly with corporations, and promoting socially responsible investing.
First Peoples influences corporations through shareholder resolutions and dialogue to adopt policies and codes of conduct that would prohibit harm to Indigenous communities. Foreign companies usually do not consult with Indigenous Peoples before launching major resource extractive projects such as logging and mining operations; instead, they expect the governments to intercede when Indigenous rights are violated. But governments, eager to attract investments and revenues, often avoid recognizing the rights of Indigenous Peoples and may use police or military power to suppress local opposition.
In 1999, First Peoples Worldwide formed an innovative partnership with Business for Social Responsibility and together developed the Resource/Extractive Company and Indigenous Peoples Engagement (RECIPE) Dialogue. RECIPE is a practical tool and training resource to help corporations explore their relationships with Indigenous Peoples. Our program provides Indigenous communities with extensive training in Indigenous land rights, negotiation techniques, dispute resolution, Indigenous rights under international law, and leadership skills so that they might increase their capacity to deal directly with corporations.
Socially Responsible Investing
Today, more than $2 trillion in assets are under management within the U.S. in socially and environmentally responsible portfolios. In collaboration with the Calvert Group, First Peoples created the first social investing screen that protects the rights of Indigenous Peoples. The comprehensive policy reflects internationally recognized rights and addresses the struggles of Indigenous populations to stay on ancestral lands, maintain community resources, control their intellectual property, and preserve their unique cultures. This tool has been distributed widely to more than 4,000 investment brokers and advisors and is available free of charge from the First Peoples offices.
First Peoples Worldwide is working to mitigate the adverse impacts of economic globalization on Indigenous communities. With increased private sector investment flows and few restrictions on the movement of transnational corporations into regions populated by Indigenous communities, the threat to Indigenous culture and livelihood has increased dramatically in the last five years. Most conscientious corporations are eager to work in effective ways with communities. First Peoples’ Corporate Engagement strategy is designed to bring both sides together to create mutually beneficial, socially responsible relationships.
Current Projects
First Peoples Collaborates with Shell International PLC to Engage Indigenous Communities
The Corporate Engagement department is currently working with Shell International PLC’s Social Performance Management Unit (SPMU) to help facilitate the company’s Sakhalin Indigenous Minorities Development Program (SIMDP). In August, 2007, First Peoples Worldwide undertook an initial assessment trips to Sakhalin Island to get to know the Indigenous communities and find out their particular needs.
We engaged the community in open sessions and meetings in order to assess their economic base of skills and options. During these sessions and meetings we will listen to community members’ ideas on how they envision ways to gain economic leverage and take control of their assets. With the help of the community, we hope to chart economic “maps” which will outline their major skills, proven moneymaking ventures, and profitable subsistence livelihood patterns.
Interaction between Indigenous communities and Shell is likely to increase over the years. This is because (a) Indigenous groups are gaining influence and leverage in areas where Shell operates; (b) Shell is involved in several new projects where Indigenous communities are directly impacted; (c) the Equator Principles and IFC Standards have increased requirements for the consultation and management of impacts on Indigenous communities.
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First Peoples Worldwide
857 Leeland Road • Fredericksburg, VA 22405 • USA
info@firstpeoplesworldwide.org • (540) 899-6545
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| © Copyright 2010-2007, First Peoples Worldwide
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