Tag Archives: Supply Chain

New Paper: Addressing Downstream Human Rights Risks in the Cotton Value Chain

January 22, 2025Uncategorizedapparel, certification, cotton industry, due diligence, human rights, labour rights, modern slavery, partnerships, reshoring, right-shoring, strategic enforcement, Supply Chain, textiles, traceability, transparency, Value Chain, worker-driven initiativesmartijn

The textile and apparel industry, although immense in its economic contributions and global reach, harbours persistent challenges in working conditions. In my latest co-authored paper, conducted alongside a fantastic team of co-authors, I set out to explore how actors at the very beginning of the value chain—namely Australian cotton producers—could help address downstream human rights risks that arise far beyond the farm gate. While cotton grown in Australia is widely considered to have a low risk of exploitation, it journeys through multiple tiers of spinners, fabric mills, and garment factories in overseas locations. Understanding and mitigating the labour and human rights risks in these downstream stages became our focal pursuit.

Conceptualising the Cotton Value Chain

We began by examining the way in which the value chain is typically framed. It is easy to imagine a neat, linear progression—cotton fields to yarn spinners to textile producers to garment assemblers, ultimately reaching retailers and then consumers. Yet the reality is very different. Cotton bales from Australia may be blended with fibres from other regions; apparel production occurs in distant factories run by subcontractors, and retailers may struggle to track exactly which fields supplied the cotton in their clothing and apparel. This fragmentation is precisely what makes oversight and accountability so difficult.

Through interviews and desktop analyses, we find that cotton producers typically focus on on-farm issues, such as pesticide use or water management, while fashion brands and retailers concentrate on labour rights in the cutting-and-sewing stages. The zone in between—the realm of yarn and fabric manufacturing—remains partially neglected. Our findings highlight that, although the Australian cotton industry cannot monitor or control every tier of the supply chain, it can still make headway through strategic actions that extend past its usual sphere of influence.

Finding Points of Intervention

Our research revealed several possible intervention points, which include ramping up transparency, implementing robust traceability systems, promoting meaningful certification, forging deeper partnerships with mills and merchants, and supporting worker-driven initiatives on the factory floor. These strategies, however, bring their own obstacles. Small producers rarely have leverage over large global mills. Merchants seldom track precisely where bales travel after a sale, and it can be daunting for an Australian grower to impose contract terms on spinning or weaving facilities in multiple countries. Despite these barriers, there is a shared understanding that doing nothing is neither practical nor sustainable in a world where regulators, investors, and consumers are increasingly scrutinising each link in global production.

Establishing stronger ties with downstream actors rests on recognising that value chains are more intertwined than many of us imagine. Where there is trust and transparency, everyone stands to benefit: crop cultivators gain a more credible reputation for quality and ethical standards, mills secure reliable cotton supplies, retailers reduce reputational risks, and workers find themselves less vulnerable to exploitation. A willingness to break away from purely transactional arrangements—and form stable, multi-year collaborations—could pave the way for improved labour conditions. It may also enhance resilience for all involved in the chain.

Taking a Strategic Enforcement Approach

Another central concept in our work is strategic enforcement. Traditionally, enforcement falls to government agencies that inspect workplaces and impose sanctions for non-compliance. Yet the apparel industry’s far-flung operations have made it difficult for regulators to keep pace. Our research suggests that private, industry-led efforts can complement public regulation by focusing on areas where modest shifts—like including labour clauses in purchase contracts or participating in worker-driven social responsibility programs—may produce outsized effects. This hinges on identifying pivotal points of influence rather than attempting wholesale reform in one swift motion.

Some readers may wonder what this means for brands and consumers. Retailers keen to demonstrate responsible sourcing could champion Australian cotton precisely because it offers well-documented environmental and labour credentials at the farm level and shows promise for strategic engagement downstream. Shoppers, meanwhile, can look for products that disclose meaningful information about the fibres’ origins and the standards maintained throughout the supply chain. While certification logos and traceability innovations are no magic bullet to address downstream human rights risks, they can at least illuminate that formerly opaque passage from field to fashion.

Addressing Downstream Human Rights Risks

Our research underscores the significance of looking beyond the farm gate, of forging new collaborations, and of recognising the potential for downstream and upstream stakeholders to contribute to a fairer, safer, and more transparent value chain. The work is not merely about diagnosing downstream human rights risks, but about proactively brainstorming and testing constructive solutions. In the complex network of global fashion and apparel, Australian cotton has a chance to stand out as a trusted and responsible fibre if it is willing to follow its crop downstream and help cultivate better outcomes for the people who spin, weave, sew, and ultimately wear cotton around the world.

Submission: Ethical Clothing Extended Responsibilities Scheme 2005 (NSW)

March 9, 2024Uncategorizedaddressing modern slavery, and footwear, Australia, clothing, companies, consumers, corporate social responsibility, CSR, ethical clothing, exploitation, forced labour, government, migrant workers, NSW, outworkers, Supply Chain, TCF, textiles, transparency, Unions, vulnerable workers, working conditionsmartijn

The Inquiry into the Ethical Clothing Extended Responsibilities Scheme 2005 (NSW), undertaken by the Modern Slavery Committee, is a comprehensive evaluation focused on the Scheme’s role in mitigating modern slavery within the clothing manufacturing sector of New South Wales (NSW). It delves into the textiles, clothing, and footwear (TCF) industry’s characteristics, examining aspects such as industry size, workforce demographics, supply chain complexities, and the prevalence of modern slavery. Additionally, the inquiry reviews the Scheme’s current application, its alignment with international human rights standards, and the need for any modifications to enhance its effectiveness. It also explores the Scheme’s enforceability, including methods to promote compliance, and considers extending the Scheme to other industries vulnerable to modern slavery due to their supply chain characteristics. This investigation is crucial for identifying strategies to combat modern slavery, ensuring that the TCF industry, and potentially other sectors, operate in line with global human rights commitments and provide better protection for workers in NSW.

My co-authored submission offers several recommendations to enhance the Ethical Clothing Extended Responsibilities Scheme to mitigate modern slavery within the clothing manufacturing sector NSW:

Promote Supply Chain Mapping: The scheme’s unique approach to examining the entire supply chain from retailer to outworker helps in identifying vulnerabilities and instances of modern slavery that may be overlooked by Commonwealth legislation. It’s suggested that state action is needed to mandate such mapping for smaller entities not covered at the Commonwealth level.
Create a Supply Chain Database: The establishment of a comprehensive database to capture detailed supply chain information is recommended. This would aid various stakeholders, including the NSW Office of Industrial Relations, the Fair Work Ombudsman, and the NSW Anti-Slavery Commissioner, by providing them with readily accessible information.
Articulate Collaboration between Government Agencies: The proposals for supply chain mapping and database creation are in line with the objectives of both NSW and Commonwealth governments to combat modern slavery. The recommendation emphasizes enhanced inter-agency collaboration, which can augment existing policy goals and lead to more effective oversight and action against modern slavery within supply chains.
Explore Extension of the Scheme: The recommendation suggests that the scheme could serve as a model for other industries. By enhancing transparency, accountability, and worker protection, it could pave the way for similar oversight in industries that are at high risk of modern slavery and labor standards violations, especially those industries with many entities below the Modern Slavery Act (2018) reporting threshold.

Review of the NSW Modern Slavery Act 2018

November 7, 2023Uncategorizedaddressing modern slavery, civil society, companies, Corporate Governance, corporate social responsibility, due diligence, exploitation, forced labour, global supply chains, government, human rights, modern slavery, modern slavery act, modern slavery committee, nsw modern slavery act, Supply Chain, transparency, worker exploitationmartijn

On Monday 30 October I gave evidence to the Modern Slavery Committee of the NSW Legislative Council, regarding the review of the NSW Modern Slavery Act 2018. I spoke about the need for continued attention and resolve to ensure both fiscal and ethical responsibility in public spending. A transcript of the evidence can be found below.

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Modern Slavery Good Practice Toolkit

July 2, 2023Uncategorizedaddressing modern slavery, Australia, civil society, companies, Corporate Governance, corporate social responsibility, CSR, exploitation, forced labour, global supply chains, human rights, labour, labour standards, legislation, Martijn Boersma, modern slavery act, Supply Chainmartijn

The final instalment of a research series jointly conducted by nine academic and civil society organisations has been made publicly available. The publication, known as the Good Practice Toolkit, offers businesses crucial insights into human rights due diligence and ways to amplify their compliance with Australia’s Modern Slavery Act (MSA).

Drawing upon data collected over several years, the toolkit examines corporate responses to the MSA and their engagement in human rights due diligence. It zeroes in on two notably weak facets of business practice: stakeholder engagement and supplier relations.

The Toolkit’s main recommendations are:

Prioritise suppliers with demonstrated respect for human rights.
Work in partnership with suppliers in designing and communicating expectations.
Conduct meaningful and sustained engagement with workers and their representatives.
Engage with relevant stakeholders in the design of policies.
Use effective grievance mechanisms as an engagement tool.

The Australian Human Rights Institute (UNSW Sydney), Business and Human Rights Centre (RMIT), the University of Melbourne, the University of Notre Dame Australia, the University of Western Australia and Willamette University, in association with the Human Rights Law Centre, the Business & Human Rights Resource Centre and Baptist World Aid, conducted this research. It follows earlier reports, ‘Australia’s Modern Slavery Act: Is It Fit For Purpose?’, ‘Broken Promises’ , and ‘Paper Promises’ .

Using Market Devices to Address Labour Abuses

September 9, 2022Uncategorizedaddressing modern slavery, civil society, cleaning, Cleaning Accountability Framework, companies, Corporate Governance, corporate social responsibility, exploitation, forced labour, labour standards, Market Devices, Supply Chain, transparency, Unions, vulnerable workers, wage theft, worker exploitationmartijn

This study examines how the risk of labour standards noncompliance can be rendered calculable and commensurable through a market device. We present a case study of the Cleaning Accountability Framework (CAF), an industry certification scheme, which seeks to address labour exploitation in the Australian contract cleaning industry. We pay particular attention to the central device of the certification scheme – the pricing schedule. We examine how the pricing schedule shaped the calculative space informing contracting parties during the procurement process. In doing so, the pricing schedule increased transparency around the potential risk of labour standards noncompliance. The nature of this transparency and the perceived objectivity of the pricing schedule acted to reshape the market for contract cleaning, resulting in a redistribution of accountability for labour exploitation. We also examine how the pricing schedule formed part of a wider framework of accountability, and how these mechanisms enabled strategic co-enforcement of labour standards compliance by supply chain stakeholders. Overall, our study indicates the potential for accounting practices to play a more active role in shaping how markets address modern slavery risks.

The Law Down Under Podcast: Modern Slavery

September 9, 2022Uncategorizedaddressing modern slavery, Corporate Governance, corporate social responsibility, exploitation, forced labour, global supply chains, human rights, labour standards, migrant workers, modern slavery act, regulation, Reporting, Supply Chain, trafficking, transparency, worker exploitation, working conditionsmartijn

Modern Slavery Risks in the Cleaning and Security Industry

August 8, 2022Uncategorizedaddressing modern slavery, civil society, cleaning accountability frae, companies, consumers, Corporate Governance, corporate social responsibility, CSR, exploitation, forced labour, governance, labour standards, modern slavery act, regulation, Reporting, Supply Chain, supply chains, trafficking, transparency, Unions, vulnerable workers, worker exploitation, working conditionsmartijn

This briefing session brings together academic experts in the fields of modern slavery, labour law compliance, supply chain due diligence and temporary migrant workers, to share insights and advice on how universities can demonstrate leadership in promoting good labour practices. The aim of this briefing is to assist relevant stakeholders in the higher education sector to understand their role in promoting good labour practices, and provide guidance on practically how to do this. This briefing is aimed at professionals working in university procurement and contract management, university modern slavery working groups, university risk and compliance, cleaning and security contractors that currently hold contracts at university campuses.

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Why a degree in modern slavery is a valuable addition to your CV

June 15, 2022Uncategorizedaddressing modern slavery, Australia, civil society, companies, Corporate Governance, corporate social responsibility, CSR, ethics, exploitation, Fair Work Ombudsman, forced labour, global supply chains, governance, government, human rights, human rights abuses, labour, labour standards, legislation, Martijn Boersma, migrant workers, modern slavery, modern slavery act, regulation, stakeholders, Supply Chain, supply chains, trade unions, trafficking, transparency, vulnerable workers, work, worker exploitation, working conditionsmartijn

Modern slavery may seem a distant issue in Australia, but a new course will teach graduates why an understanding of it is increasingly important in every business

It might be easy to imagine, especially in Australia, that slavery is a thing of the past. But an estimated 15,000 people were living in conditions of modern slavery here in 2016, through forced marriage and labour, sexual exploitation, debt bondage and human trafficking – exploitation that disproportionately affects women, children, asylum seekers and migrants. Globally, in that same year, 40.3 million victims were being abused.

Martijn Boersma is an associate professor of human trafficking and modern slavery at the University of Notre Dame Australia, where a new course aims to provide the skills and knowledge that will enable people to work proactively to put an end to the exploitation of vulnerable people.

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Consultation on Modern Slavery and Worker Exploitation (New Zealand)

June 14, 2022Uncategorizedaddressing modern slavery, civil society, companies, Corporate Governance, corporate social responsibility, exploitation, forced labour, governance, government, human rights abuses, justine nolan, Martijn Boersma, migrant workers, modern slavery, multistakeholder collaboration, Reporting, Supply Chain, trade unions, trafficking, worker exploitation, working conditionsmartijn

Modern slavery and worker exploitation are severe types of exploitation that can be found both internationally and in New Zealand. To address these behaviours, significant collaboration between government agencies as well as civil society, corporations, trade unions, academics, and international partners is needed.

The New Zealand Government sought feedback on a new law aimed at addressing modern slavery and worker exploitation in New Zealand and around the world. The law would introduce new obligations for organisations with operations and supply chains in New Zealand. Below is a submission made by academics and representatives from civil society that work on modern slavery and labour exploitation.

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

January 24, 2022Uncategorizedchild labour, corporate social responsibility, cotton, exploitation, forced labour, governance, human rights, labour, labour risk, labour standards, migrant workers, modern slavery, stakeholders, Supply Chain, supply chains, trade unions, transparency, vulnerable workers, worker exploitation, working conditions, xinjiangmartijn

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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