Due diligence in the metal sector
Step 3. Cease, prevent and mitigate adverse impacts and Step 6. Provide for or cooperate in remediation.
What are step 3 and step 6?
Step 3 includes discontinuing activities that cause or contribute to adverse impacts that a company will discover by completing step 2 properly. The company is then expected develop and implement a concrete plan to prevent and mitigate potential and actual adverse impacts.
Despite everything, something can still go wrong at the company itself, their foreign subsidiaries or at business relationships. That can happen. What should not happen, however, is that cases are not put right in time or complaints are not taken seriously, with the result of things escalating. According to step 6, companies must respond adequately to complaints and / or offer remedies to the affected stakeholders or rights holders. This can be done through complaint mechanisms at company or sector level. If these do not produce a satisfactory result, mediation by the National Contact Point for the OECD guidelines may be considered.
Know more about step 3 and step 6?
- OECD Due Diligence Guidance For Responsible Business Conduct - OECD
- Virtual Due Diligence Guidance for Responsible Mineral Supply Chains - OECD
- ‘Stap 3 Verankering’ – Social and Economic Council
- ‘Stap 6 Herstellen’ – Social and Economic Council
- Learn how to implement step 3 - European Partnership for Responsible Minerals
- Frequently Asked Questions Step 3 – European Commission
Step 3 and step 6 and the agreement
The agreement offers an instrument for implementing the third and sixth steps as a company. The ‘template due diligence action plan’ enables companies to create a plan to address potential or actual adverse impacts in the supply chain. This plan is drawn up on the basis of the results of the heat map (step 2) and the consultation of stakeholders and experts, including the civil society organisations that participate in the agreement. Companies can implement the sixth step by consulting the same civil society organisations.