Empowering Communities Through Corporate Transparency
Summary
The report 'Empowering Communities Through Corporate Transparency' by the International Right to Know (IRTK) coalition advocates for the creation of disclosure standards for U.S.-based or U.S.-traded corporations operating abroad. It argues that a 'right-to-know loophole' exists where companies are not required to disclose environmental, labor, and human rights data overseas that they must disclose domestically under the Emergency Planning and Community Right to Know Act (EPCRA). Through various case studies, the report illustrates how lack of transparency has contributed to industrial disasters, toxic pollution, and human rights abuses.
Key insights
- The 1984 Bhopal disaster in India, which caused an estimated 16,000 or more deaths, was exacerbated by the Union Carbide Corporation's failure to inform the government, workers, and the community about the toxicity of chemicals used at the plant.
- The Emergency Planning and Community Right to Know Act (EPCRA) of 1986 established the Toxic Release Inventory (TRI) in the U.S., which requires companies to publicly disclose annual emissions of toxic chemicals. This system is credited with helping industries reduce releases by nearly 50% in its first decade.
- The International Right to Know (IRTK) proposal seeks to close the 'right-to-know loophole' by requiring U.S.-based or U.S.-traded companies and their foreign subsidiaries to disclose data on environmental impacts, labor standards, human rights practices, and community relocations.
- Newmont Mining's Yanacocha mine in Peru was linked to a June 2000 mercury spill that hospitalized between 200 and 300 people. Additionally, a 2000 Peruvian government study found that aluminum, zinc, copper, iron, and manganese levels in local rivers significantly exceeded WHO guidelines, with aluminum exceeding limits by more than 15 times.
- Doe Run's lead smelter in La Oroya, Peru, is associated with severe health crises; researchers found that 90% of children in the city have blood-lead levels above international standards, and nearly 20% have levels requiring hospitalization.
- Unocal Corporation is accused of using the Burmese military for security at the Yadana gas pipeline project, despite the military's record of torture, murder, rape, and forced labor.
- Nike's subcontractors in Indonesia, employing over 100,000 people, are reported to lack required health and safety records, with workers facing risks from toxic glues, excessive heat, and forced overtime.
- Child labor is pervasive in the toy industry in China, where 71% of toys imported into the U.S. originate. Reports indicate children as young as 13 have been forced to work 16-hour days for less than $3 per day at facilities like City Toys Limited.
- Freeport McMoRan's mining operations in Papua, Indonesia, have resulted in the forced relocation of Amungme and Kamoro indigenous peoples and the dumping of millions of tons of mining waste into river systems, leading the OPIC to revoke $100 million in political risk insurance in 1995.
- ExxonMobil has been accused of complicity in human rights abuses in Aceh, Indonesia, including allowing the military to use company equipment to dig mass graves, and in Colombia, where the village of Tabaco was forcibly relocated for the El Cerrejon Norte coal mine.
Cite the original document
- APA
- Friends of the Earth International (2003). Empowering Communities Through Corporate Transparency. https://www.foei.org/wp-content/uploads/2020/12/irtk.pdf
- Chicago
- Friends of the Earth International. Empowering Communities Through Corporate Transparency. 2003. https://www.foei.org/wp-content/uploads/2020/12/irtk.pdf.
- Wikipedia
- {{cite report |author=Friends of the Earth International |title=Empowering Communities Through Corporate Transparency |date=January 2003 |url=https://www.foei.org/wp-content/uploads/2020/12/irtk.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{friendsoftheearthinternational2003empowering, author = {{Friends of the Earth International}}, title = {{Empowering Communities Through Corporate Transparency}}, institution = {Friends of the Earth International}, year = {2003}, month = jan, url = {https://www.foei.org/wp-content/uploads/2020/12/irtk.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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