Today, an estimated 21 million people around the world are victims of forced labor, generating $150 billion in illegal profits in the private economy.1

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In the wake of forced
labor abuse revelations in
global supply chains, companies
are increasingly expected by
consumers, investors, media, and
governments to maintain
transparent and responsible
supply chains.

KNOW YOUR SUBCONTRACTORS

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In the wake of forced
labor abuse revelations in
global supply chains, companies
are increasingly expected by
consumers, investors, media, and
governments to maintain
transparent and responsible
supply chains.

In the wake of forced labor abuse revelations in global supply chains, companies are increasingly expected by consumers, investors, media, and governments to maintain transparent and responsible supply chains.

Goods are often produced far from where they are bought, successively changing
hands along complex and opaque supply chains. This outsourcing of production or
procurement often creates an environment in which little is known about the conditions under which people labor. Companies without effective and adaptive management and risk mitigation practices may unknowingly be linked to forced labor, trafficking or other severe labor practices through their direct and indirect suppliers.

A responsible supply
chain management
can be a
differentiator.

COMPLYING WITH THE LAWS

Responsible supply
chain management
can be a
differentiator.

Responsible supply
chain management can be a differentiator.

Laws and regulations in the U.S, U.K. and the E.U. now require companies to disclose their efforts to eradicate forced labor within their supplier network. Worldwide, other transparency measures are gaining momentum. But this is not just a legal or ethical concern; it’s a business risk. Abusive labor practices by a company’s suppliers jeopardize performance and shareholder confidence.
Companies with responsible supply chain practices not only protect vulnerable workers, but they also guard against risk, maintain customer loyalty, and attract new investors. The more companies proactively engage in responsible supply chain management practices, the better equipped they will be to respond when a disruption occurs. Those that do not could face financial and legal risk, in addition to the tarnished perception of their brand.

1 International Labour Organization: www.ilo.org/global/about-the-ilo/newsroom/news/WCMS_181961/lang–en/index.htm

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