The United Nations Global Compact, launched on July 26 2000, offers an opportunity for UN bodies, corporations, unions and non-governmental organizations with a variety of interests to come together and reinforce ongoing efforts around the world to promote greater corporate accountability. UN Secretary-General Kofi Annan has challenged world business leaders to "embrace and enact" the Global Compact, both in their individual corporate practices and by supporting appropriate public policies. The Global Compact encompasses principles relating to human rights, labor and the environment.

In order for the Global Compact to be an effective tool, however, the UN must ensure transparency and accountability in the operation of this initiative. The standards which the parties have agreed to protect and promote must be clarified and the methods through which they intend to enforce those standards must be openly scrutinized. Companies should be encouraged to do more than ‘support’ the principles and provide the UN with best practice case studies. The UN should take the lead and work with all parties involved to develop methods of verifying these principles are being put into practice and that they are translating into real benefits for local communities. As one of several NGOs involved in the UN Global Compact, we will be watching developments closely.