Business and Human Rights 2025

USA Trends and Developments Contributed by: Michael G. Congiu and Gillian Gilbert, Littler

Littler 1300 IDS Center 80 South Eighth Street Minneapolis Minnesota 55402 Tel: +161 2630 1000 Email: mcongiu@littler.com Web: www.littler.com

Business and Human Rights in the United States: Trends, Developments, and the Rise of State-Based Regulation Introduction: a transforming legal and policy landscape The intersection of business and human rights (BHR) in the United States continues to develop apace. The USA has supported international human rights norms through soft law instru - ments, such as the UN Guiding Principles on Business and Human Rights (UNGPs), but has resisted binding international treaties covering BHR topics. More recently, the USA – both at the federal and state levels – has developed more hard law doctrine covering these topics. The result is a patchwork of federal initiatives, state legislation, and judicial developments that collectively signal a new era of corporate accountability in the USA. Advancing corporate responsibility: the US government’s framework for human rights due diligence The United States has taken a role in promoting responsible business conduct through a suite of policy instruments and resources designed to support corporate human rights due dili - gence (HRDD). One example is the US National Contact Point (USNCP), which serves as a key

mechanism for advancing the implementation of the OECD Guidelines for Multinational Enter - prises on Responsible Business Conduct. These guidelines provide a framework for companies seeking to align their operations with internation - ally recognised human rights standards. The USNCP underscores the strategic value of due diligence, noting that companies with robust HRDD processes are better positioned to anticipate and mitigate adverse human rights impacts. Moreover, such processes can reduce the likelihood of reputational harm and formal complaints, reinforcing the business case for proactive risk management. Complementing this policy infrastructure is the Responsible Sourcing Tool, developed by the U.S. Department of State in partnership with non-governmental organisations. This online platform offers practical guidance to help com - panies identify, assess, and address risks of human trafficking within their supply chains. It serves as a critical resource for operationalising due diligence in complex global contexts. These initiatives are further supported by the US National Action Plan (NAP) on Responsible Business Conduct, which articulates the federal government’s expectations for corporate HRDD.

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