The chief executives of 52 members of the Employers' Federation of Pakistan signing a memorandum on December 22, marked the formal launch of the Global Compact Pakistan for a "New Code of Business and Industrial Relations in 21st Century".
The ceremony held for this purpose was organised by the EFP, in collaboration with the International Labour Organisation (ILO). An idea of the importance of the event may be had from the inaugural address by the Consul General of Switzerland, Julies Andregg, who said that Pakistani people should have every reason to feel proud on the establishment of Global Compact.
Referring to his three years experience in Karachi, he said that from his close contact with the business community, he found them competent and of immense leadership qualities, and particularly lauded the positive and important role of Pakistan in the meeting of ILO at Geneva.
In the context of earthquake relief operations, he pointed out that the private sector of the country has been playing a very important role in the rehabilitation of earthquake survivors, and congratulated the business leadership of Pakistan on their efforts to help the quake victims.
Earlier, the EFP President Ashraf W. Tabani, in his address, said that the signing of the declaration of Global Compact by the CEOs of member organisation of EFP would send a strong message internationally, of our readiness to match the efforts of the rest of the business community in the world to ensure a sustainable future of socio-economic growth.
It will also be noted that Tabani recalled that, since the United Nations Secretary General, Kofi Annan's call to the world business community in 2000, to adopt Global Compact, EFP has been closely working with the International Organisation of Employers, the ILO Office, in Islamabad, and the regional employers' federations in promoting the principles of Global Compact.
Again, referring to the nine principles of Global Compact that define the new code of business and industrial relations in 21st century in the wake of growing challenges of globalisation, he said two principles relate to human rights, four to labour rights, and three to environment.
He also pointed out that later in January 2004, at the global summit, the 10th principle on "corruption" was added in the Global Compact, about which the international employers' community has expressed certain reservations.
However, in his speech on the occasion, the ILO Representative, Zafar Shaheed, said his organisation considered all the 10 principles equally important, and that it pays particular attention to the four principles relating to labour, as adopted by the Global Compact from the 1998 Declaration on Fundamental Principles and Rights at Work.
In his opinion, these principles work together and reinforce each other, while work in turn with other principles of the Global Compact to produce a conducive environment for business, free of human and labour rights and environmental abuse.
In so far as the approach of Pakistani business community to catching up with modern ideas of social responsibility is concerned, the event should bring it to the fore from the enthusiasm displayed at this event.
It may also be recalled that earlier in October this year the European Foundation for Management Development, and the United Nations Global Compact had announced world-wide launch of the Globally Responsible Leadership Initiative, a strategic coalition to groom the next generation of globally responsible business leaders, who could responsibly and successfully, handle global challenges.
EFMD President Ray Van Schaik was then reported to have said, 'Global responsibility is the new necessity for companies', pointing out that this would not create just a society of goodies or softies, but the one in which a more acceptable but still effective business community can exist.
It will also be recalled that Responsible Business Initiative, a national institution promoting corporate social responsibility, was nominated its launch partner for Pakistan and the Asia-pacific region.
Notably, RBI figures among 21 companies, business schools, and centres for leadership learning, around the world that have worked together to found the GRLI, while EFMD is the Brussels-based central organisation, for research and innovation in management best practice, which helps shape management education through more than 500 member organisations in academia, business, public service and consulting in 65 countries of the world.
The GRLI was launched with the release of a report titled Globally Responsible Leadership 'A Call For Engagement,' said its Chairman, Anders Aspling. According to him, its aim is to establish norms and expectations of business behaviour for the 21st century, as also to ensure that the emerging generation of business leaders lives by them.
It is about the need to overhaul business education world-wide to provide a foundation of global responsibility in every area of learning. However, its formal launch was postponed in sympathy for the victims of the 8th October earthquake in Pakistan, and was held in December 2005.