Tag Archives: corporate social responsibility

Paper Promises? Examining Australia’s Modern Slavery Act

Two years into its operation, close to 4,000 statements have now been published on the government’s modern slavery register. Yet the extent to which the legislation is transforming business practices or making a tangible difference to the lives of workers remains highly uncertain. This report analyses 102 company statements published in the first reporting cycle of the MSA, to evaluate how many companies are starting to implement effective measures to address modern slavery and how many are lagging.

This report is part of a two-year collaborative research project by academics and civil society organisations aimed at improving responses to modern slavery and access to remedy for affected workers.

Paper Promises

Modern Slavery and the Employment Relationship: Defining the Continuum of Exploitation

The Special Issue on ‘Modern Slavery and the Employment Relationship: Defining the Continuum of Exploitation’ in the Journal of Industrial Relations is now available online. The Special Issue focuses on what the large- and small-scale risk factors are that can cause working conditions to deteriorate, on how people can become trapped in exploitative conditions, and on what can be done to prevent and remedy labour abuses. Included articles explore the macro-level, specifically by examining global value chains and the labour exploitation within the global production regime and by examining the producer-end (rather than buyer end) of value chains and the responsibilities of companies for working conditions further downstream (rather than upstream) in the value chain. Other articles explore the market-based character of business and human rights regulation. One article concludes that market enforcement of modern slavery regulation is sub-optimal and should include $ penalties and a public regulator while another article asks whether business and human rights regulation originating in the Global North can improve working conditions in the Global South (spoiler: it’s complicated). Articles looking at the micro-level examine labour regimes on factory floors, specifically by examining the influence of the post-Rana Plaza labour governance system on worker outcomes and conditions of employment (hardship remains but less sweatshops) and by documenting the work experiences of Romanian transnational live-in care workers in Austria, where workers gave accounts of having been treated unfairly due to their dependence on placement agencies and employers.

Boersma and Nolan - 2022 - Modern slavery and the employment relationship Ex

Research Article: Making sense of Downstream Labour risk in Global Value Chains

While the efforts by actors on the buyer-side of value chains – such as brands and retailers – to address upstream labour abuses are well documented, there is a lack of research into how actors on the production-side of value chains – such as raw material producers – can identify and address downstream labour risks. This research presents the findings of an action research project that focused on the Australian cotton industry. By applying a sense-making lens, we propose four properties that can be used to identify labour risk in global value chains, providing insights into the capacity of producers to address downstream labour abuses. We suggest that there is a possibility for a ‘book-end’ approach that combines upstream and downstream actions by buyers and producers in global value chains.

The article can be found on the Journal of Industrial Relations website.

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The long and winding road to respecting workers’ rights in supply chains

Companies often talk about being on a human rights ‘journey’; a long and winding course with many stops along the way. On the other hand, they are never on a ‘journey’ to profit – this tends to happen as quickly as possible. Given that Big Business has long been accused of paying lip service to its social responsibilities, the statement signed last month by virtually all the members of the US Business Roundtable, has caused quite a stir.

Their statement on the purpose of a corporation talks about dealing fairly and ethically with suppliers, supporting the communities in which they work and respecting people and the environment by embracing sustainable practices. It also highlights that the signatory companies, including Amazon, Ford and JP Morgan, ‘are committed to transparency’.

However, global supply chains are anything but transparent; today there are more than 21 million people around the world trapped in forced labour, most of whom produce goods for consumers around the globe.

Continue reading The long and winding road to respecting workers’ rights in supply chains

Can Blockchain help to break the chains of modern slavery?

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Global supply chains have struggled to deal with poor working conditions including child labour, forced labour and debt slavery. Julien Harneis/Flickr, CC BY-SA

There’s a good chance the device on which you are reading this contains cobalt. It’s an essential metal for batteries in phones and laptops. There’s also a chance the cobalt was mined by slaves. Continue reading Can Blockchain help to break the chains of modern slavery?

Global Corporations and Global Value Chains – The Disaggregation of Corporations?

The Oxford Handbook of the Corporation assesses the contemporary relevance, purpose, and performance of the corporation. The corporation is one of the most significant, if contested, innovations in human history, and the direction and effectiveness of corporate law, corporate governance, and corporate performance are being challenged as never before. Continuously evolving, the corporation as the primary instrument for wealth generation in contemporary economies demands frequent assessment and reinterpretation.

Read chapter 13: “Global Corporations and Global Value Chains – The Disaggregation of Corporations? on Google Books.

 

 

Apple’s $1 trillion riches based on innovation and exploitation

Apple has become the first American company to reach US$1 trillion in market capitalisation – US$1,000,000,000,000 in stockmarket value. Behind this glittering success, however, lies a series of unresolved ethical dilemmas a history of staggering labour exploitation.

The approaches of Apple and the other giant US platform technology companies (Google, Facebook, Amazon) to corporate taxation, concentration and privacy have attracted widespread criticism.

But as a manufacturing company Apple faces a more deep-seated problem. This involves the millions of people employed in its supply chain, which is largely located in China with the major contractor Foxconn.

Our research shows human rights, environmental and ethical problems persist inside Apple’s vast global supply chains.

Continue reading Apple’s $1 trillion riches based on innovation and exploitation

‘Corporate Social Responsibility’ is a Band-Aid for a Broken System

When it comes to doing what is morally right, there are some things that are best not left to the market, writes Martijn Boersma, lecturer in the UTS Management Discipline Group.

Last week, CNBC reported that a Goldman Sachs analyst wrote in a note to clients: “Is curing patients a sustainable business model?” The argument he allegedly put forward was that healing people with a one-shot cure does not bring in the same revenue stream that chronic therapies do and is therefore bad for business in the long run.

Continue reading ‘Corporate Social Responsibility’ is a Band-Aid for a Broken System

A Critical Analysis of Sustainable Finance

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This paper seeks to assess how the international banking community is building sustainability into corporate strategies; how effectively these strategies are being implemented; how sustainability is being embedded into key business processes and decisions; and how sustainability principles are reflected in reporting. It presents an assessment of the sustainability performance of banks using a range of frequently used indicators, while also scrutinizing the indicators by examining the extent to which they effectively measure the performance and commitments of banks. While many banks achieve high scores on these indicators, there is evidence that there are significant flaws which are not adequately addressed.

Continue reading A Critical Analysis of Sustainable Finance