Company Ranking9 out of
Industria de Diseño Textil SA (Inditex), the largest apparel retailer in the world, ranks 9th out of 37 companies, disclosing more information on its forced labor policies and practices than its peers on all themes except Recruitment. Since 2018, it has improved by disclosing an overview of its corrective action plan and engaging in a public-private partnership with the ILO. However, as it has not improved across themes, its rank decreased by four places. In relation to how it addresses the risks of alleged Uyghur forced labor, in its disclosure to KnowTheChain, the company referred to steps outlined in its “Zero Tolerance Towards Forced Labor” Statement, which however, as of March 2021, had been removed from its website. The company notes that it has strengthened its engagement with stakeholders (including the Ethical Trading Initiative [ETI], the Better Cotton Initiative, and the ILO) and that it conducted an “internal investigation” to confirm that it does not have commercial relations with any factory in Xinjiang, but does not disclose steps to address the risks of alleged Uyghur forced labor across its supply chain tiers and raw materials. Inditex has an opportunity to improve on the themes of Traceability & Risk Assessment, Recruitment, and Remedy.
HOW DO THEY COMPARE?
The comparison tool allows companies' results to be easily compared. Up to two additional companies can be selected and compare against each other as shown below.
THEME & indicator score
The benchmark methodology has seven themes, selected to capture the key areas where companies need to take action to eradicate forced labor from their supply chains. There are a total of 22 indicators accross the seven themes. For each themes, a company can score a total of 100 points.
Commitment and Governance
|Commitment||100 / 100|
|Supplier Code of Conduct||70 / 100|
|Management and Accountability||75 / 100|
|Training||45 / 100|
|Stakeholder Engagement||75 / 100|
Traceability and Risk Assessment
|Traceability and Supply Chain Transparency||37.5 / 100|
|Risk Assessment||75 / 100|
|Purchasing Practices||50 / 100|
|Supplier Selection||100 / 100|
|Integration into Supplier Contracts||0 / 100|
|Recruitment Approach||15 / 100|
|Recruitment Fees||25 / 100|
|Monitoring and Responsible Recruitment||50 / 100|
|Rights of Workers in Vulnerable Conditions||15 / 100|
|Freedom of Association||87.5 / 100|
|Worker Engagement||75 / 100|
|Grievance Mechanism||40 / 100|
|Monitoring Process||90 / 100|
|Monitoring Disclosure||40 / 100|
|Corrective Action Plans||100 / 100|
|Remedy Programs||0 / 100|