Lawyers for Palestinian Human Rights (LPHR) & JCB
Lead NCPUnited Kingdom
Supporting NCP(s)Israel
DescriptionSpecific instance alleging a non-observance of the OECD Guidelines.
Theme(s)Human rights
Date10 Dec 2019
Host country(ies)Israel, Palestinian Administered Areas
Industry sectorConstruction, Transportation and storage

Read the initial statement published on 12 October 2020: English

Read the final Statement published on 12 November 2021: English

On 10 December 2019, the NGO, Lawyers for Palestinian Human Rights (LPHR), submitted a specific instance alleging that JCB, a manufacturer of construction equipment, had not observed the Human Rights (Chapter IV) provisions of the OECD Guidelines. The submitter claimed that JCB’s products and construction machinery was used in the demolition of Palestinian property and settlement-related construction that have adverse human rights impacts.

On 12 October 2020, the UK NCP published an initial assessment whereby it decided that:

  • The claims related to JCB’s human rights due diligence processes, the claims regarding JCB’s directly linked business relationships and their human rights policy commitments merited further examination.
  • The claims related to JCB contributing to abuses of human rights did not merit further examination.

The UK NCP offered its good offices to the parties. JCB declined the offer of mediation, and therefore the NCP examined the complaint with a view to drafting its final statement. JCB continued to submit information on the case and was responsive to the NCP’s questions as LPHR also continued to submit information.

On 12 November 2021, the UK NCP published the Final Statement determining that JCB did not breach the Guidelines by virtue of its relationship with Comasco, which is the exclusive dealer of JCB products in Israel, but that it had not observed the Guidelines by failing to have a policy commitment to respect human rights and by not carrying out human rights due diligence in its supply chain.

The UK NCP issued the following recommendations for JCB:

  • Write a policy statement that expressly states its commitment to respect human rights. This statement should be separate from its statement on Modern Slavery, Supplier’s Code of Conduct and the Dealer’s Charter.
  • Carry out human rights due diligence to assess actual and potential human rights impacts. In line with the OECD Guidelines and Due Diligence Guidance, JCB should also set out a plan on how it will integrate and act upon the findings of its due diligence – including how to address impacts – if adverse human rights impacts are identified in its supply chain. As the human rights risks may change over time, due diligence should be a regular, on-going exercise, which should be part of JCB’s policy statement on human rights

The UK NCP will issue a follow up one year after publication of the Final Statement.