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.
This week an already impressive list of wage theft offenders has gotten a bit longer.
On Monday, the likes of Caltex, 7-Eleven, Pizza Hut, Domino’s Pizza and Bunnings (to name a few), were joined by Coles, which underpaid its staff $20 million over six years.
On Wednesday, Target admitted to underpaying workers about $9 million.
On Thursday, Super Retail Group – whose brands include Rebel and Super Cheap Auto, said that it had short-changed workers by $8 million more than it had originally estimated, bringing the total to $61.2 million.
On Friday, cleaning and catering company Spotless admitted to underpaying workers $4 million.
The total wage theft uncovered this week: $94.2 million.
The open letter to Coles and Woolworths was covered by the New Daily and the supermarkets have written a response to our letter. The Australasian Centre for Corporate Responsibility (ACCR), who have been engaging both supermarkets since 2017, have prepared a response to the supermarkets. You can find the response here:
Justine Nolan, Laurie Berg and Martijn Boersma have supported a shareholder resolution by ACCR that will be heard at the Coles AGM on the 13th November 2019. You can help by calling on UniSuper to support the resolution. All you need to do is send them a message here. You can use the sample text below, copy and paste, or write your own.
The Australian horticultural sector is one of the most at-risk industries for modern slavery.
A recent survey by the National Union of Workers among 650 workers found severe underpayments and withholding of wages, excessive overtime, retention of identity documents, threats of and actual physical and sexual violence, and coercive and excessive payments for transport and board.
A group of academics, experts in the area of labour and human rights, modern slavery, and supply chains, have initiated an open letter in which they ask Coles and Woolworths to address labour exploitation and the risk of modern slavery.
Australia’s Modern Slavery Act requires businesses to report yearly on the risks of modern slavery in their operations and supply chains, the actions taken in response, and the effectiveness of these actions. The first reporting cycle started on July 1.
Unfortunately, although companies and consumers are increasingly aware that modern slavery exists, it is a phenomenon that is often dismissed or misunderstood.
He embodies a lot of what the Australian trade union movement stands for: vocal about worker’s rights, visible through industrial action, and intimidating when necessary.
He is the archetype of a union ‘thug’. A big bloke with tattoos who is part of a ‘militant’ trade union. Setka and the Construction Forestry Maritime Mining Energy Union (CFMMEU) regularly push the boundaries of industrial action, incurring $15 million in fines since 2005.
A Senate inquiry has revealed that wage theft and underpayment are so prevalent in some industries that they have become the norm. Around 79% of hospitality employers in Victoria, for instance, did not comply with the national award wage system between 2013 and 2016.
Regulators and unions don’t have the resources to combat this issue, and so we need another method to tackle wage exploitation. One way is to introduce a multi-stakeholder certification scheme, using market forces to reward companies that have committed to fair working conditions and punish those that don’t.
At first sight child labour may not appear to be a material issue for Australian companies and investors. However the fragmentation of global production and trade has dramatically increased the length and complexity of supply chains, which can lead to lack of oversight and worker exploitation. The global movement to eradicate child labour has gained significant pace over recent years. Increasingly, global unions and NGOs collaborate with companies and investors to find ways to deal with the risks of child labour in global supply chains. This report looks at those efforts.