overview of eti subtitle here. modern slavery what is it? what does it mean for you? about eti...
TRANSCRIPT
Overview of ETI
Subtitle here
Cindy BermanHead of Knowledge & Learning
Modern SlaveryWhat is it? What does it mean for you?
• About ETI• Modern Slavery definitions• Legislation – requirements• What do you need to do? • Making the case, convincing others• Questions / Comments
ETI ethicaltrade.org
What is the Ethical Trading Initiative?
The ETI Base Code
Forced labourChild labourHealth & safetyAgreed hoursLiving WagesNo discriminationSecurityFreedom of association
ETI ethicaltrade.org
The Global Context
• Millions of people around the world endure inadequate, sometimes shocking, conditions at work
• Some 370 million workers support their families on less than $1.25 a day.
• Around 830 million workers support their families on less than US$2 a day
• There are at least 21 million people in forced labour• There are an estimated 168 million child labourers
ETI ethicaltrade.org
The Global Context …
• Every day, more than 6,000 people die as a result of occupational accidents or work-related diseases. This is more than 2.3 million deaths per year
• Complex supply chains, complex labour markets
• More vulnerable workers – desperate for jobs (at any cost) subject to exploitation & abuse (migrant workers; women, children, marginalised groups)
ETI ethicaltrade.org
Modern Slavery – what is it?
• Modern Slavery
• Forced labour
• Human trafficking
• Key indicators
ETI ethicaltrade.org
UK Legislation: The Modern Slavery Act
• Modern Slavery Act – royal assent March 2015; came into force July 31st 2015
• New offences, penalties, Anti Slavery Commissioner, victim support & protection
• Section 54 of the Modern Slavery Act 2015 will require commercial organisations to prepare a slavery and human trafficking statement for each financial year.
ETI ethicaltrade.org
Legislation Requirements
• Annual gross revenues of £36 million per year• Companies that carry on a business, or part of a
business, in the UK, supplying goods and services• Approval at the highest level • Publish statement on home page of website• Comes into force October 2015• Statutory Guidance soon
ETI ethicaltrade.org
Statement - what should be included?
• Company structure, business and supply chains• Policies in relation to slavery and human
trafficking• Due diligence processes in relation to slavery and
human trafficking in its business and supply chains – in UK & overseas
• Steps taken to assess, manage & mitigate risk of modern slavery the parts of its business and supply chains
ETI ethicaltrade.org
Requirements & consequences
ETI ethicaltrade.org
• Statement can state that the organisation has taken no such steps
• But… subject to scrutiny by Anti-Slavery Commissioner, NGOs, trade unions
• Central repository• Risk to reputation and commercial success
What should purchasers do?
• Understand your value chain – raw materials to recycling; assess the risk of modern slavery
• Understand regional, national & local labour market context; high risk sectors
• ‘Salient risk’ concept• Consolidate your business partners – the more
suppliers, the greater the risk• Collect data on employment practices at supplier
factories, track key indicators for signs of F.L.
ETI ethicaltrade.org
What should purchasers do?
• Assess risks – temporary workers, contract status Check labour recruitment – labour brokers; have workers paid for their job? Are labour brokers licensed (all the way along the chain)
• Check suppliers have effective HR systems (recruitment, contracts, hours, pay, grievance)
• Do suppliers have mechanisms to engage with workers? Trade union / representative worker committee?
ETI ethicaltrade.org
What should purchasers do?
• Engage with stakeholders – other companies, NGOs, trade unions, government agencies, academics – insight, intelligence, advice
• Collaborate!!! You cannot do this alone
ETI ethicaltrade.org
Next steps…
• Talk to people – within organisation & outside• Review systems, map your supply chain• Bring in expertise & get advice• Build allies• Make the case… change is needed!
ETI ethicaltrade.org
The Business Case for Ethical Trade
• Companies with greater visibility & control of their supply chains are better run, more likely to be competitive and successful
• Workers treated with respect - more motivated and more productive; less absenteeism & turnover - avoids disruption and financial cost to business
• Open communication; grievance mechanisms and pay negotiation processes benefit workers and reduce the likelihood of wage disputes and industrial action – predictable and more secure supply chain
ETI ethicaltrade.org
ETI ethicaltrade.org
Where can I get more information?• Ethical Trading Initiative:
www.ethicaltrade.org/eti-base-code
Ethical Trading Initiative8 Coldbath Square London EC1R 5HL UKT +44 (0) 20 7841 4350 [email protected]
www.ethicaltrade.org