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Conectas Human Rights and the Articulation of Rural Employees of the State of Minas Gerais (ADERE-MG) & Illy
Lead NCPBrazil
Supporting NCP(s)Italy
DescriptionSpecific instance alleging a non-observance of the OECD MNE Guidelines.
Theme(s)General policies, Human rights, Employment and industrial relations
Date21 Aug 2018
Host country(ies)Brazil
SourceNGO, Trade Union
Industry sectorAgriculture, forestry and fishing
StatusNot accepted
Summary

Read the Final Statement published by the NCP 1 September 2020: English

Read the Follow Up Statement published by the NCP 19 November 2021: Portuguese 


On 21 August 2018, the NGO Conectas Human Rights and the Articulation of Rural Employees of the State of Minas Gerais (ADERE-MG) submitted a specific instance to the Brazilian NCP alleging that six multinational companies, including Illy, had not observed the General policies (Chapter II), Human Rights (Chapter IV) and Employment and industrial relations (Chapter V) provisions of the OECD Guidelines. The issues were related to several violations of labour and human rights in coffee plantations located in the South of Minas Gerais, in Brazil. The submitters further alleged that the company failed to observe due diligence standards in their supply chains. 

On 12 August 2019, the Brazilian NCP accepted the case for further examination. With agreement of the parties, the initial case was then split into six distinct cases each involving one company: Starbucks, Nestlé, Illy, Dunkin’ Donuts, McDonalds, and Jacobs Douwe Egberts

On 11 March 2020, the Brazilian NCP decided not to accept the case concerning Illy given a lack of evidence of non-observance of the Guidelines.

Although the specific instance was not accepted, the Brazilian NCP recommended that Illy continue to enhance its due diligence mechanisms. The NCP further suggested the company to encourage all its business partners to observe principles of responsible business conduct, as compatible with the Guidelines, to promote continuous labour improvements in the coffee farms of its supply chain.

On 19 November 2021, the NCP followed up on the recommendations issued in the final statement. The update was kept confidential per request of the company and in accordance with the Brazil NCP rules of procedure. The NCP noted that gaps remained in the implementation of recommendations and a second follow up is planned for July 2022.