Corruption is a significant obstacle to economic and social development globally. It also has negative impacts on sustainable development and disproportionately affects poor communities. For companies, corruption impedes business growth, escalates costs, undermines long-term foreign and domestic investment and distorts development priorities. Increasingly, investors are understanding that corruption can negatively impact the value of a company and post financial, operational and reputation risks to their investments.
As value chains become more complex and diverse, and we see a range of challenges being integrated including the connections between human rights, labour issues, environment and corruption, businesses need to understand the risks and drivers of corruption — and how to address them within their organisations.
The 10th Principle of the UN Global Compact states that “Businesses should work against corruption in all its forms, including extortion and bribery.” This Principle aligns with the United Nations Convention against Corruption; the world’s only legally binding universal anti-corruption instrument. We encourage all companies to develop policies and programmes that address corruption – not only to protect their own business, but the interests of their stakeholders and society as a whole.
The Global Compact Network Australia convenes several in-person workshops and events on Anti-Bribery and Corruption each year. Register your interest at firstname.lastname@example.org.