When a charged object is brought near to but does not touch a neutral object, it causes the side of the neutral object that the charged object is near to become the other charge. It causes charge migration within the neutral object so the two charges (positive and negative) move to opposite sides of the object. Because the two objects do not touch, they do not repel each other, but rather have a slight attraction because of charge migration. If the two object were to touch then they would repel.
