The Algorithmic Law of Business and Human Rights: Constructing a Private Transnational Law of Ratings, Social Credit, and Accountability Measures

Abstract

This paper examines the rise of algorithmic systems—that is systems of data driven governance (and social credit type) systems in the context of business and human rights and its ramifications (especially its challenges) for law. The context centers on the examination of the landscape of such algorithmic private legal systems as it has developed to date by considering the extent to which a rating or algorithmic system has been emerging around recent national efforts to combat human trafficking through so-called Modern Slavery and Supply Chain Due Diligence legal regime and international norms. Section 2 provides a brief contextualization of the problems and challenges of managing compliance with emerging law and norms against forced labor and in its most extreme forms, modern slavery. Section 3 (From Law to Rating Systems--The Theory and Practice of Forced Labor Ratings) examines the landscape of such algorithmic private legal systems as it has developed to date in the context of forced labor ratings systems. There is a focus on the connection between the power to impose the normative basis of data analytics and the increasingly tightly woven in-connection between principal actors in this endeavor. Section 4 then briefly considered ramifications for liberal democratic orders and the constitution of law. Among the more relevant are those tied to issues of privacy, of the integrity of data, and on transparency.

Type of paper: Conceptual

Main Contribution to Literature: (1) AI, democracy, development, and the rule of law; (2) Algorithmic decision systems.

Key Methodological Considerations: comparison based research drawing inferences from a review of current practice in light of conceptual framework developed.

Keywords: artificial itellence, data driven governance, modrn slavery, busness and human rights, csr, social credit, human rights

JEL Classification: K33, K42, L23, L31, M14, O35, P16, P37