Ranking Digital Rights Corporate Accountability Index To Ensure Respect For Users’ Digital Rights

NEW YORK, NY, TUESDAY, JANUARY 15TH, 2019 – A group of 49 investors has endorsed the Ranking Digital Rights (RDR) Corporate Accountability Index as an important tool for helping tech companies meet their human rights responsibilities and for helping investors identify digital rights risks.

The investors, members of the Investor Alliance for Human Rights (IAHR), a coalition of global funds focused on advancing corporate human rights due diligence, issued a statement to the 22 internet, mobile and telecommunications companies evaluated in the Ranking Digital Rights (RDR) Corporate Accountability Index urging these companies to use the Index to improve governance systems and performance on salient human rights risks related to privacy and freedom of expression. The group also highlighted growing financial and reputational risks in the ICT sector due to the mishandling of user data and real and potential human rights abuses.

In the statement, the investors say they rely on the RDR Index to assist in investment decision-making and to inform corporate engagements with the ICT sector. Investors argue that, as custodians of their users’ data and digital rights, these companies have a responsibility to respect users’ right to privacy and freedom of expression and must be accountable for how they handle users’ data.

Since 2015, RDR has produced three editions of its Corporate Accountability Index (RDR Index) evaluating and ranking many of the world’s most powerful internet, mobile, and telecommunications companies on their disclosed policies and practices affecting freedom of expression and privacy. In 2018, the RDR Index found that many ICT companies disclose little or no information on due diligence or board oversight of risks affecting online privacy and expression. The fourth RDR Index covering 24 companies will be released in May 2019.

Rebecca MacKinnon, Director of Ranking Digital Rights:

“While more than half of the companies evaluated for the 2018 Index made some meaningful improvements, most still fell short of disclosing basic information to users about the design, management, and governance of the digital platforms and services that affect human rights. Companies don’t disclose enough about how user information is handled, including what is collected or shared, by and with whom. Nor do they adequately inform the public about how content and information flows are policed and shaped through their platforms and services.”

Paloma Muñoz Quick, Program Director for the Investor Alliance for Human Rights:

“ICT companies have a key role to play in realizing human rights and achieving the vision laid out by the United Nations 2030 Sustainable Development Agenda. Yet, without the necessary oversight structures in place, these same companies may cause or contribute to a wide range of human rights abuses affecting billions of people worldwide. The RDR Index provides critical guidance to companies to improve human rights performance and our investor members rely heavily on its data to inform our engagement strategies.”

Rosa van den Beemt, Senior ESG Analyst at NEI Investments:

"Privacy breaches and data controversies put users at risk and can impact the value of the companies involved. With major digital economy companies representing such a large weighting in stock market indexes, the investment community is increasingly exposed to the ICT sector's digital rights risks. It is absolutely critical for companies with business models based on user trust to get this right. As investors, we are committed to using the transparent and comparable data the RDR Index provides to hold companies accountable.”

Danielle Essink, Engagement Specialist at Robeco:

“One of the key resources we used for the assessment of companies in our data privacy engagement since 2016 is the Ranking Digital Rights Index. Having experienced the added value of the research first hand, we welcome the opportunity to engage collectively through the Investor Alliance for Human Rights on further uptake of the RDR by companies and investors.”