Social – Workers – User Resources: How To Higg

Workers

The Workers section focuses on evaluating a company’s commitment to promoting ethical and sustainable labor practices, and to ensure human rights for all workers in the value chain are protected. Questions focus on the company’s strategies and processes for monitoring and improving human rights, as well as specific goals and targets related to responsible purchasing practices including fair payment, penalties, effective planning and forecasting of production. The section also asks about an organization’s efforts to address labor rights standards, such as forced labor, child labor, and unsafe working conditions.

Helpful Resources

For International Labour Standards:

For responsible purchasing practices:

OECD Due Diligence:

Due diligence guidance for responsible supply chains in the garment and footwear sector (OECD, 2017)

Important disclaimer:

Please note that there are no applicabilities in the questionnaire, this means that even if a user answers “no” to a question, the follow up questions will still apply to the user and result in a point loss. In particular, if you answered “no/none” to the questions in this section asking if targets have been formally set and approved for a specific impact and/or topic area, the N/A answer option is not available for the related questions asking whether annual milestone targets have been met and whether those have been publicly reported, and you must answer “no”.

SWK01. Does your company consistently monitor and report on worker related human rights' risks at your value chain in a process that includes the following elements? (Select all that apply OR None)

About this question

Regularly monitoring the human rights risks to which workers at factories may be exposed is an essential element of a company’s due diligence process.

In line with risk based due diligence processes, a company’s monitoring process should be informed by the identified risks and the categorization of risk (impact, frequency). The monitoring process should be used to keep track of the extent to which adverse impacts have been resolved, risks have been mitigated and new issues emerge.

This question specifically aims at evaluating whether your company has a monitoring strategy that is informed by the worker-related human rights risk assessment.

Select one or more of the options that apply to your company’s monitoring and reporting strategy
Select none if your company’s monitoring and reporting strategy does not include any of the characteristics mentioned

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MQ

Additional information

Monitoring questions relating to each of the ILO´s core labor standards as well as monitoring questions referring to local labor law that include at least questions related to occupational safety and health, contracts, compensation and working time.

For further information, it is worth reviewing:

Section 4 of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear Sector
UNGP operational principle 17 and 20 UNGP
Associated with WDI Section 12: Monitoring suppliers
WDI 12.4 Describe the process for monitoring or auditing supplier performance against the document disclosed at 12.3, including beyond the first tier, the standards used for the monitoring process, and whether the results are made public. State the percentage of suppliers independently audited.

Evidence

Either

A public link to the company’s monitoring strategy including the company’s code of conduct and
Evidence that it is endorsed by leadership such as a link/copy of a statement of endorsement, minutes noting the approval of leadership, a leadership’s foreword to the strategy/code of conduct

Evidence with the company’s monitoring strategy including the company’s code of conduct

and

Evidence of oversight by board/senior leadership (e.g., role description of responsible person)

and

Evidence that the strategy is routinely shared with all suppliers, such as copy/link to the standard information package shared with suppliers and evidence that the strategy and code of conduct was shared, such as copies of emails or screenshots of suppliers portal/ system accessible to suppliers to access the code of conduct

Topic areas

Forced labor and human trafficking, child labor, employment terms, wages and benefits, worker voice and representation, diversity, equity and inclusion, training and development, health, safety and wellbeing, transparency

SWK02. Was worker feedback a standard component of your monitoring process?

About this question

Workers are an important stakeholder group to provide feedback throughout your company’s due diligence process. Systematically integrating worker feedback as part of the monitoring process helps companies more effectively identify red flags, and corroborate identified issues.

This question aims to measure if your company included indepedent worker feedback as a standard component of its social and labor monitoring activities. Independent worker feedback is often a combination of, for instance, interviews at the factory, meetings outside the factory and/or trusted (anonymous) online feedback tools.

In some factories workers may be coached by management to answer questions of auditors, so monitoring staff need to be trained in getting honest feedback. Also, workers should be selected by the monitoring staff and not by management. Worker feedback is an essential source to identify red flags and corroborate identified issues.

Answer yes if your company includes independent worker feedback systematically in its worker related human rights monitoring
Answer no if your company does not systematically incorporate independent worker feedback in its worker related human rights monitoring

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_Mg

Additional information

For further information, see:

UNGP operational principle 18
Paragraph meaningful stakeholder engagement in the introduction chapter and Section 2 in the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear Sector

Evidence

Provide:

Link/copy to the company’s policy document/processes that define how worker feedback is used as part of the company’s worker related human rights monitoring strategy

and

Evidence of oversight by board/senior leadership (e.g., ESG Committee minutes, Social Impact/CSR Director report, Board papers)

and

Evidence of the consistent use of worker feedback in the monitoring strategy such as notes of interviews, reports/data from online feedback tools

Topic areas

SWK03. Has your company formally set targets to stop, prevent or mitigate the prioritized worker related human rights risk and impacts?

About this question

As part of their due diligence process, companies are expected to cease, prevent or mitigate risk and adverse impacts.

Frequent and high risks areas in the garment and footwear sectors are child labor, forced labor, working time, occupational health and safety, freedom of association and collective bargaining, grievances, wages and sexual harassment and gender-based violence. However, depending on the outcome of the risk and impact assessment, other risks include, amongst others, bipartite dialogue, worker-voice, discrimination, migrant workers, worker accommodation, and worker transportation.

This question aims to measure to which extent your company has set targets to ensure that prioritized risks and impacts are ceased, mitigated or prevented.

To drive effective progress, targets should be specific, measurable, achievable, realistic and time bound. Targets should be approved by the company’s senior management, and relevant employees should be accountable for the monitoring and achievement of KPIs.

Answer yes if you can provide evidence that your company has set formal targets for each of the prioritized risks and adverse impacts
Answer partial yes if can provide evidence that your company has set formal targets for more than half of the prioritized risks and adverse impacts
Answer no if your company did not set formal targets or has set formal targets for less than half of the prioritized risks and adverse impacts

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_Mw

Additional information

For further information, see:

Section 3 of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear Sector
UNGP Operational Principle 19

Evidence

Either

Link to/copy of the prioritization of the results of the risk and impact assessment

and

Link to published targets (e.g., ESG strategy or report, worker rights/social strategy or report)

Link to/copy of the prioritization of the results of the risk and impact assessment and- Internal strategy or program documentation indicating targets

and

Evidence of oversight by board/senior leadership (e.g., ESG Committee minutes, Social Impact/CSR Director report, Board papers)

Topic areas

SWK04. In addition to the identified risks and impacts, has your company set targets for other worker-related priorities (workers well-being) that go over and beyond the law and/or international regulations?

About this question

This question is an opportunity for companies with mature value chain labor strategies to demonstrate their advanced practice. We are looking for ‘beyond compliance’ targets for strategic programs aimed at improving worker well-being. The scope of the targets should include more than one country and/or cover multiple factories and have a duration of at least one year. The concept of ‘Well-being’ extends to issues that impact apparel value chain workers within and/or beyond the facility walls, and should reflect deep engagement with the needs of the stakeholder community. It can include, for example, community health issues, financial literacy, women’s reproductive health.

Answer yes if you can provide evidence that your company has set formal targets for beyond compliance worker well-being programs within the scope described above
Answer no if your company has not set formal ‘beyond compliance’ targets related to worker well-being

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_NA

Additional information

Examples of issues over and beyond compliance are those covered in Step 3 of the SLCP’s Compliance Assessment Tool.

Evidence

Either

Link to published targets (e.g., ESG strategy or report, worker rights/social strategy or report)

Internal strategy or program documentation indicating targets

and

Evidence of oversight by board/senior leadership (e.g., ESG Committee minutes, Social Impact/CSR Director report, Board papers)

Topic areas

SWK05. Does your company assess and monitor worker related human rights risks and impacts in subcontractors?

About this question

Due diligence responsibilities also apply to subcontractors. This question measures if your company also assesses and monitors worker related human rights and impacts in subcontractors and refers to contractors that are hired by your supplier to carry out (part of) the production process for your company’s order, rather than suppliers deeper in the value chain.

Answer yes if your company has a process to assess and monitor the worker related Human Rights risks and impacts in subcontractors, or if you company does not allow any kind of subcontracting.
Answer no if your company has no process to assess and monitor the worker related Human Rights risks and impacts in subcontractors.

Applicability: Brand, Brand and Retailer

Reference ID: swk_My

Additional information

Information on subcontractors in section 1 of the OECD due diligence guidance for responsible supply chains in the garment and footwear sector.

Evidence

Either

Link to published policy or procedure that describes how your company assesses worker-related human right risks and impacts subcontractors. May be found in CSR/responsible business section of website.

Internal policy or process that describes how your company assesses worker-related human right risks and impacts subcontractors

and

Evidence of oversight by board/senior leadership (e.g., role description of responsible person – CSR/responsible business/social impact Director/VP)

Documented decision by leadership of your company that subcontractors cannot be used in your company’s production process

Topic areas

SWK06. Has your company formally set targets to mitigate and remediate prioritized risks and impact in subcontracting factories?

About this question

Once a company has identified and prioritized the worker related human rights risks and impacts in subcontractors, it needs to set targets to cease, prevent or mitigate the prioritized risks and impacts. This question asks whether formal targets have been set in relation to risks and impacts prioritized.

Answer yes if your company has set targets for each of the prioritized risks and impacts in subcontractors
Answer no if your company has not set targets for each of the prioritized risks and impacts in subcontractors

Applicability: Brand, Brand and Retailer

Reference ID: swk_Mz

Additional information

Mechanisms to assess and address risks of harm beyond tier 2 in section 2 of the OECD due diligence guidance for responsible supply chains in the garment and footwear sector
Information on subcontractors in section 1 of the OECD due diligence guidance for responsible supply chains in the garment and footwear sector

Evidence

Either

Link to published targets that relate to subcontractors (e.g., ESG strategy or report, worker rights/social strategy or report). If the targets that concern subcontractors are included in the overall worker related human rights targets, this should be clarified/evident in the report

Internal strategy or program documentation indicating relevant targets. If the targets that concern subcontractors are included in the overall worker related human rights targets, this should be clarified/evident in the report

and

Evidence of oversight by board/senior leadership (e.g., ESG Committee minutes, Social Impact/CSR Director report, Board papers)

Topic areas

SWK07. Has your company formally set and approved targets to continuously improve its purchasing practices?

About this question

Purchasing practices is an umbrella term that refers to how buyers engage with their suppliers. Research has linked poor purchasing practices to adverse human rights outcomes (e.g., if a brand or retailer unexpectedly cancels an order this can make it difficult for their suppliers to make payroll on time). A company’s public commitment to improving its purchasing practices needs targets to ensure that this commitment is translated into measurable improvements and progress.

This question aims to understand if your company has set targets to measure progress on responsible purchasing practices.

Answer yes if you can provide evidence that your company has set formal targets to improve its purchasing practices
Answer no if your company has not set formal targets to improve its purchasing practices

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_NQ

Mapping: Principle one (Integration and Reporting) of The Common Framework on Responsible Purchasing Practices including, Principle Five (Shared Responsibility) Better Buying

Additional information

For further information, see:

Evidence

Either

Link to published targets that relate to purchasing practices (e.g., ESG strategy or report, worker rights/social strategy or report)

Internal strategy or program documentation indicating relevant purchasing practices targets

and

Evidence of oversight by board/senior leadership (e.g., ESG Committee minutes, Social Impact/CSR Director report, Board papers)

Topic areas

Responsible purchasing practices

SWK08. Has your company formally set and approved targets to improve the effectiveness of its production planning process, in particular as it relates to reducing changes to orders after they were agreed?

About this question

Effective production planning is a key component of responsible purchasing practices. The quality of production planning can directly impact the suppliers’ ability to uphold labor standards. If forecasting is accurate, if the number of changes to the design are limited and if orders don’t change last minute after they were agreed, suppliers have increased ability to plan their production effectively to avoid, for instance, negative impact on overtime or last-minute outsourcing.

This question aims to understand if your company has targets in place to reduce the potential negative impacts of changes to orders, and other production planning related impacts as defined by industry standards such as ACT, FLA, CFRPP and STTI.

Answer yes if you can provide evidence that your company has set formal targets to improve the effectiveness of its production planning process
Answer no if your company has not set formal targets to improve the effectiveness of its production planning process

Applicability: Brand, Brand and Retailer

Reference ID: swk_Ng_b

Mapping: Principle three (Integration and Reporting) of The Common Framework on Responsible Purchasing Practices including, Commitment 3 (Better Planning and Forecasting) of the ACT purchasing practices, Sustainable Terms of Trade Initiative key recommendations related to forecasting, order modifications and timelines

Principle 1 (Visibility) and 2 (Stability) Better Buying

Evidence

Provide:

A link, copy, or screenshot of the targets identified in your human rights monitoring that relate to the accuracy of orders, and preferably include additional targets such as the accuracy of forecasting and the number of changes to the design

Topic areas

Responsible purchasing practices

SWK09. Has your company formally set and approved targets for fair payment terms that include the following topics? (Select all that apply OR none)

About this question

Fair payment terms are a key component of responsible purchasing practices. A company’s practices with regard to how it pays its suppliers can directly impact their ability to uphold labor standards. For instance late payments can directly impact payment of wages to workers. Other unexpected costs such as penalties that were not agreed, or prepayment of costs that can only be reimbursed late, also impact the suppliers’ ability to make the necessary investments to remediate or further improve social and labor conditions.

This question asks if your company has set payment terms targets to improve its purchasing practices.

Select one or more of the topic areas related to fair payment terms where you can provide evidence that your company has set formal targets to improve its purchasing practices performance
Select none if there are no formal targets in place related to the topic areas listed related to fair payment terms

Applicability: Brand, Brand and Retailer

Reference ID: swk_Nw_b

Mapping: Principle four (Fair Payment Terms) of The Common Framework on Responsible Purchasing Practices , Commitment two of the ACT purchasing practices

Sustainable Terms of Trade Initiative key recommendations related to payments and payment terms, Principle four (financials) Better Buying

Evidence

Provide:

Link/Copy/screenshot of targets as identified in SKW 7 that related to each of fair payment terms defined in the answer options

Topic areas

Responsible purchasing practices

SWK10. Does your company ask for suppliers' feedback through a structured and comprehensive approach (such as Better Buying, ACT, other approaches broadly accepted by the industry, or through direct dialog with suppliers) as part of the monitoring and evaluation of its purchasing practices?

About this question

Companies that invite suppliers to give them feedback on the impact of their purchasing practices are pro-actively looking to improve and add validation to their own assessment of progress. To help ensure that the feedback is honest and reliable, it is important that the feedback mechanisms are trusted by suppliers so that they don’t worry that the feedback might lead to negative implications on their business relationship with your company.

This question asks whether your company asks its suppliers for feedback on its purchasing practices, and what percentage of suppliers are asked for their feedback.

Answer yes if your company invites 50% or more of its direct suppliers for feedback on your company’s purchasing practices
Answer partial yes if your company invites between 10-50% if its direct suppliers for feedback on your company’s purchasing practices
Answer no if your company invites less than 10% of its direct suppliers for feedback on your company’s purchasing practices

Applicability: Brand, Brand and Retailer

Reference ID: swk_OA_b

Mapping: Principle Two (Equal Partnerships) of the Common Framework for Responsible Purchasing Practices

Evidence

Provide:

Evidence (e.g., copy, link, screenshot) of an adopted feedback mechanism to collect trusted (anonymous or carried out by a third-party) feedback from suppliers

and

Evidence that the mechanism is used, such as links to or screenshots of reports, or completed questionnaires

Topic areas

Responsible purchasing practices, stakeholder engagement

SWK11. Did your company implement specific programs to achieve its targets in relation to prioritized worker-related human rights risks for workers in the value chain?

About this question

To drive sustainable improvement in their value chains, companies must think about the bigger picture and not just take corrective action on specific issues. This question asks whether or not your company has implemented strategic plans, initiatives or programs to deliver its worker related Human Rights targets and refers to initiatives or programs over and beyond corrective action plans.

Answer yes if you can provide evidence that your company has implemented strategic plans or programs to deliver its prioritized worker-related human rights targets
Answer no if your company has no strategic plans or programs in place

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_OQ

Additional information

For further information, see:

UNGP operational principle 19
Section 3 OECD Due Diligence Guidance for Responsible supply chains in the garment and footwear sector

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the programs/strategies which your company implements to reach its worker related human rights targets (for example internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the programs/strategies which your company implements to reach its worker related human rights targets (e.g., internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., HR Director’s report to the board, board papers and minutes, contract with third-party audit company, report by third-party audit company)

Topic areas

SWK12. Which of the following initiatives did your company implement as part of its program or strategy to achieve its targets related to the improvement of worker-related human rights risks for workers in the supply chain? (Select all that apply OR None)

About this question

This question is an opportunity to highlight programs implemented by your company that are intended to address specific worker-related human rights risks.

Select one or more of the activities listed that your company has implemented
Select none if your company has not implemented any of the activities listed

Applicability: Brand, Brand and Retailer

Reference ID: swk_MTA_b

Additional information

For further information, see:

UNGP operational principle 19
Section 3 OECD Due Diligence Guidance for Responsible supply chains in the garment and footwear sector

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the initiatives which your company implements to reach its worker related human rights targets (e.g., training programs, financial documentation specifying contribution, strategy documents, transparency reports/data)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the programs/strategies which your company implements to reach its worker related human rights targets (for example training programs, financial documentation specifying contribution, strategy documents)

and

Evidence of oversight by board/senior leadership (e.g., HR Director’s report to the board, board papers and minutes, contract with third-party audit company, report by third-party audit company)

Topic areas

SWK13. What percentage of your company's total fibers and materials use (by weight) is assessed and third-party certified for labor conditions against a relevant standard?

About this question

This question seeks information on whether your company integrates its Human Rights strategy with its fibers and materials sourcing approach, and to what extent its materials sourcing is covered by certified labor conditions standards. Examples of standards would be certifications standards that include human and labour rights, as included in the Textile Exchange Preferred Fiber & Materials Matrix.

Select the percentage figure that represents the proportion of materials sourced that are assessed and certified by a relevant third-party standard
Select unknown if this data is not captured by your company, if the data cannot be evidenced, or if there are no certifications in place

Applicability: Brand, Brand and Retailer

Reference ID: swk_MTE_b

Evidence

Either

Link to published report specifying the % of fibers and materials certified for assessing labor conditions (e.g., ESG report, Annual Report and Accounts, relevant report on corporate website)

and

Proof of certification

Internal progress report specifying the % of fibers and materials certified for assessing labor conditions with oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, screenshot of satisfaction survey results)

and

Proof of certification

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization

Topic areas

SWK14. Which of the following initiatives did your company implement in third-party Logistics and Distribution as part of its program or strategy to achieve its targets related to the improvement of labor conditions? (Select all that apply OR None)

About this question

This question explores how broadly your company embeds its worker-related human rights/labor conditions strategy by asking specifically about activity within the logistics and distribution value chain stage.

Third-party Logistics and Distribution workers in warehouses, shipping, re-processing, delivery, sorting, picking and packing can be at risk of human rights/labor rights infringements. It is critical that companies pay attention to these workers’ conditions and rights as well as workers in supply chain manufacturing roles.

The list of activities are considered examples of good practice in third-party distribution and logistics.

Select one or more of the options if you can provide evidence that your company implements the selected activity in third-party logistics and distribution settings
Select none if your company’s worker-related programs do not extend into the third-party logistics and distribution value chain stage

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MTI

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the initiatives which your company implements to reach its worker related human rights targets within the logistics and distribution value chain (e.g.,) training programs, financial documentation specifying contribution, strategy documents, transparency reports/data)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the programs/strategies which your company implements to reach its worker related human rights targets within the logistics and distribution value chain (e.g., training programs, financial documentation specifying contribution, strategy documents)

and

Evidence of oversight by board/senior leadership (e.g., HR Director’s report to the board, board papers and minutes, contract with third-party audit company, report by third-party audit company)

Topic areas

SWK15. Did your company meet its targets to address the prioritized worker-related risks and adverse impacts as identified in its human rights risk assessments?

About this question

This question aims to measure to what extent the targets and timelines set in your company’s worker related human rights monitoring strategy were met.

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MTg

Additional information

For further information, see:

UNGP operational principle 20
Section 4 of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear sector

Evidence

Either

Link to published report or update demonstrating targets and milestones related to prioritized worker related human rights risks, and your company’s progress against them for the reporting period (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating targets and milestones for the prioritized worker related human rights risks, and your company’s progress against them for the reporting period

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights report Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization

Topic areas

SWK16. Was worker feedback a standard component of your worker-related human rights remediation action plans?

About this question

Stakeholder engagement is a process of identifying, analyzing, planning and engaging with individuals, groups that are affected by a company’s activities. In relation to labor conditions and value chain human rights, stakeholders include workers and their representatives, as well as expert advisors.

This question asks whether your company has engaged with workers and associated stakeholders (such as trade unions) to inform the development of remediation plans and strategies. Worker involvement in remediation plans will help ensure that the identified solutions work for workers, and that workers are included in the remediation effort where applicable. For worker involvement in remediation plans to be effective, they need to be part of regular dialogue, for instance through a formalized bipartite body.

Answer yes if you can provide evidence that your company engaged with workers, workers representatives and workers stakeholders in relation to the development of action plans and strategies to remediate breaches of human rights
Answer no if your company did not engage with workers or their representatives in relation to the development of remediation programs, or if there are no remediation action plans or processes in place

Applicability: Brand, Brand and Retailer

Reference ID: swk_MTk_b

Additional information

For further information, see:

Section 3 of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear Sector
For good practices, see Better Work’s advisory services through a bi-partite approach

Evidence

Provide

Link to publication, process description or strategy document 1) confirming your company’s commitment to including workers and their representatives throughout the remediat
ion process and 2) describing how your company involved workers and their representatives throughout the remediation process

and

Evidence that worker and their representatives were included in the remediation process, e.g., copies of composition of bi-partite committees, minutes of worker interviews or meetings with worker representatives or corrective action plans that clearly state the involvement and responsibilities of worker and their representatives

Topic areas

Worker voice and representation

SWK17. Did your company implement a specific program or strategy to support the payment of living wages for workers in its value chain that includes? (Select all that apply OR None)

About this question

The OECD Guidelines recommend paying a wage that “should be at least adequate to satisfy the basic needs of the workers and their families”. This wage level is usually described as a living wage. In many garment producing countries, minimum wages are not sufficient to satisfy the basic needs of the workers and their families. Often, the majority of garment workers earn the minimum wage, which leads to workers needing to work overtime to cover their basic needs. There is increasingly more international commitment in various forms to the payment of living wages in global supply chains, including through legislative proposals, international responsible business conduct frameworks, industry collective action programs, and expectations from consumers.

This question assesses your company’s approach on supporting the payment of living wages in its value chain.

Select the company has publicly committed to support living wages in its value chain if your company has a publicly available statement expressing that it is committed to supporting the payment of living wages in its supply chain
Select the company has identified where the risk of wage gaps is greatest if your company as part of its human rights risk assessment has included wage gap risks
Select the company has a plan to close wage gaps in priority areas if your company has developed a plan (incl. targets, timelines and monitoring process) to close wage gaps in priority areas. This can include memberships with wage initiatives such as ACT, IDH’s WARP, FLA’s fair compensation strategy
Select the company uses a costing methodology (such as ring fencing labor costs) to reflect wage increases to close the wage gap in the prices if such a costing methodology is to determine prices
Select the company can demonstrate progress on the % of workers in the value chain that receive a living wage if the company is measuring in a verifiable way the % of workers in the supply chain with a wage that is progressively increasing towards or beyond living wage as a result of your company’s efforts
Select none if your company has not implemented activity or cannot show evidence of activity implementation

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MTM

Mapping: Principle Five (Sustainable Costing) of the Common Framework for Responsible Purchasing Practices

Additional information

For further information, see:

Module 7 of the OECD due diligence guidance for the garment and footwear sector on the sector risk ‘Wages’

Examples of collective action programs and tools on wages include:

ACT: (Action, Collaboration, Transformation) is an initiative between international brands & retailers, manufacturers, and trade unions to address the issue of living wages in the textile and garment sector through Collective Bargaining
IDH: the sustainable trade initiative has developed a living wage roadmap that can be used by enterprises to close the wage gap, a living wage action guide that helps understand the underlying challenges and best practices and a collective action program on living wages in the apparel and footwear sector
FLA: Fair Labor Association’s fair compensation strategy includes an overview of the organizational commitment to fair compensation and includes the goals, tactics, and timelines for these efforts.
Fair Wear’s living wage related tools can be found here
Other relevant organizations include wage indicator, fair wage network , the global living wage coalition

Evidence

Provide

The company has publicly committed to support living wages in its value chain
- Link to public commitment that clear mentions your company’s support to the payment of living wages in its supply chain

Company has identified where the risk of wage gaps is greatest
- Link to/copy of report of risk assessment section that relates to wages, with evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights/wage report Director report to board)

Company has a plan to close wage gaps in priority areas
- Link/copy to document that explains your company’s approach to closing the wage gap with evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights/wage report Director report to board)

The company uses a costing methodology (such as ring fencing labor costs) to reflect wage increases to close the wage gap in the prices
- Link to/copy of costing methodology with evidence that it is systematically used (screenshots of cost price calculations)

Company can demonstrate progress on the % of workers in the value chain that receive a living wage
- Link to published report or update demonstrating targets and milestones related to prioritized worker related human rights risks, including wages and your company’s progress against living wage targets for the reporting period (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating targets and milestones for the prioritized worker related human rights risks, including wages, and your company’s progress against living wage targets for the reporting period with evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights report Director report to board)

Topic areas

Wages and benefits

SWK18. Did your company implement a specific program or strategy to support freedom of association and collective bargaining in its value chain?

About this question

Freedom of association refers to the basic human right to form and participate in groups. In a value chain context this refers to the right of a worker to seek to join a trade union or another group to represent them for the purpose of negotiating with the employer on employment standards, including wages, hours, benefits, equal treatment, health and safety and other working conditions. Collective bargaining refers to a process whereby trade unions negotiate employment standards with employers on behalf of their members. Studies have shown that workplace compliance and employment standards are higher where freedom of association and collective bargaining are in place.

Therefore, this question asks if your company is implementing strategies and plans to improve the level of freedom of association and collective bargaining in its value chain.

Answer yes if you can provide evidence that your company has implemented strategic plans or programs to improve freedom of association and collective bargaining that targets countries and/or the suppliers where freedom of association and collective bargaining has been identified as a salient risks/ where freedom of association and collective bargaining is an impact area
Answer partial yes if you can provide evidence that your company has developed strategic plans and programs to address freedom of association and collective bargaining and is beginning to implement them, targeting countries/suppliers where freedom of association and collective bargaining has been identified as salient risks/where freedom of association and collective bargaining is an impact area
Answer no if your company has no strategic plans or programs in place related to freedom of association and collective bargaining, or if you are unable to provide evidence of action taken

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MTQ

Additional information

For further information, see:

ILO Convention 87 on Freedom of Association
ILO Convention 98 on Right to Organize and Collective Bargaining
Module 6 of the OECD due diligence guidance for the garment and footwear sector on the sector risks ‘Trade Unions and Collective Bargaining’

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the Freedom of Association (FoA) and Collective Bargaining (CB) programs/strategies which your company implements to reach its FoA and CB targets (e.g., strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the FoA and CB programs/strategies which your company implements to reach its FoA and CB targets (e.g., approved strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/Responsible Sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with third-party implementing organization, report by third-party implementing organization)

Topic areas

Worker voice and representation

SWK19. Did your company implement a specific program or strategy to address issues of forced labor and modern slavery in its value chain?

About this question

Forced labor refers to situations in which persons are coerced to work through the use of violence or intimidation, or by more subtle means such as manipulated debt, retention of identity papers or threats of denunciation to immigration authorities. Modern Slavery also includes forced labor, as well as other forms of exploitation including human trafficking. The complexity of global supply chains increases the risk of forced labor and modern slavery.

This question therefore asks if your company has implemented a specific strategy to address issues of forced labor and modern slavery in its value chain.

Answer yes if you can provide evidence that your company has implemented strategic plans or programs to take action on forced labor/modern slavery that targets the countries and/or suppliers where forced labour has been identified as a salient risks and or an impact area
Answer partial yes if you can provide evidence that your company has developed strategic plans and programs to address forced labor/modern slavery and is beginning to implement them, targeting countries and/or suppliers where forced labour has been identified as a salient risks and or an impact area
Answer no if your company has no strategic plans or programs in place related to forced labor/modern slavery, or if you are unable to provide evidence of action taken

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MTU_b (For: Brand, Brand and Retailer)

Reference ID: swk_MTU_r (For: Retailer)

Additional information

For further information, see:

ILO Convention 29 on Forced labor
ILO Convention 105 on the Abolition of Forced labor
Module 3 of the OECD due diligence guidance for the garment and footwear sector on the sector risk ‘Forced labor’
Examples of relevant legislation:
Examples of collective action initiative: Mekong Club
ILO Global Business Network on Forced labor

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the Freedom of Association (FoA) and Collective Bargaining (CB) programs/strategies which your company implements to reach its FoA and CB targets (e.g., strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the FoA and CB programs/strategies which your company implements to reach its FoA and CB targets (e.g., approved strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/Responsible Sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with third-party implementing organization, report by third-party implementing organization)

Topic areas

Forced labor and human trafficking, child labor

SWK20. Did your company implement a specific program or strategy to increase gender equality amongst workers in its value chain?

About this question

There are over 190 million women working in global supply chains, often working in low paid, insecure and unsafe working conditions. Issues of gender inequality and power imbalances between often male supervisors/managers and a typically female workforce, compounded by what society accepts as ‘appropriate’ work for women, means that women are often working in the lowest paid and most insecure jobs. Women are also more vulnerable to sexual harassment and violence, with limited bargaining power and union representation. Making progress towards gender equality is critical to the achievement of decent work particularly for women.

This question therefore asks if your company has implemented a specific strategy to improve gender equality in its value chain.

Answer yes if you can provide evidence that your company has implemented strategic plans or programs to increase gender equality in its value chain that targets the suppliers where gender has been identified as a salient risks and or an impact area
Answer partial yes if you can provide evidence that your company has developed strategic plans and programs to address gender equality and is beginning to implement them, targetting suppliers where gender has been identified as a salient risks and or an impact area
Answer no if your company has no strategic plans or programs in place related to gender equality in the value chain, or if you are unable to provide evidence of action taken

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MTY_b (For: Brand, Brand and Retailer)

Reference ID: swk_MTY_r (For: Retailer)

Additional information

For further information, see:

ILO Convention 100 Equal Remuneration
ILO Convention 111 Discrimination
International Bill of Rights for Women
Module 2 of the OECD due diligence guidance for the garment and footwear sector on the sector risk ‘Sexual harassment and sexual and gender-based violence’
Examples of relevant initiatives/organizations:

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the Gender programs/strategies which your company implements to reach its Gender related targets (e.g., strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the Gender programs/strategies which your company implements to reach its Gender related targets (for example approved strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/Responsible Sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with third-party implementing organization, report by third-party implementing organization)

Topic areas

Diversity, equity and inclusion

SWK21. Did your company implement a specific program or strategy to address issues of child labor in its value chain?

About this question

To drive sustainable improvement in their value chains, companies must think about the bigger picture and not just take corrective action on specific issues. This question asks whether or not your company has implemented strategic plans, initiatives or programs to deliver its worker related human rights targets in subcontracting factories. and refers to contractors that are hired by your supplier to carry out (part of) the production process for your company’s order, rather than suppliers deeper in the value chain.

Answer yes if you can provide evidence that your company has implemented strategic plans or programs to take action on child labor in its value chain, that targets the countries and/or suppliers where child labour has been identified as a salient risks and or an impact area
Answer partial yes if you can provide evidence that your company has developed strategic plans and programs to address child labor and is beginning to implement them targeting the countries and/or suppliers where forced labour has been identified as a salient risks and or an impact area
Answer no if your company has no strategic plans or programs in place related to child labor in the value chain, or if you are unable to provide evidence of action taken

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MTc_b (For: Brand, Brand and Retailer)

Reference ID: swk_MTc_r (For: Retailer)

Additional information

For further information, see:

ILO Convention 138 Minimum Age
ILO Convention 182 Worst Forms of Child labor
UN Declaration on the Rights of the Child
UN Convention on the Rights of the Child
Module 1 of the OECD due diligence guidance for the garment and footwear sector on the sector risk ‘Child labor’
Examples of relevant organizations:
- UNICEF
- ILO’s IPEC program
- Child labor Platform
- UN Global Compact, Business action to eliminate Child labor
- The Centre for Child Rights and Business

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the Child labor programs/strategies which your company implements to reach its Child labor related targets (e.g., strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the Child labor programs/strategies which your company implements to reach its Child labor related targets (e.g., approved strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/Responsible Sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with third-party implementing organization, report by third-party implementing organization)

Topic areas

Child labor

SWK22. Did your company meet the targets to support the payment of living wages for workers in its value chain?

About this question

As part of its due diligence process, companies should track if measures taken to address the prioritized risks and impacts have been effective. This question assesses whether your company has met its targets for payment of living wages in its value chain.

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MjEa

Evidence

Either

Link to published report or update demonstrating progress for the reporting period on targets and milestones related to payment of living wages, (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating progress for the reporting period on targets and milestones related to payment of living wages,

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization e.g., website accessibility audit

Topic areas

Wages and benefits

SWK23. Did your company meet the targets to support freedom of association and collective bargaining in its value chain?

About this question

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MjEb

Evidence

Either

Link to published report or update demonstrating progress for the reporting period on targets and milestones related to Freedom of Association (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating progress for the reporting period on targets and milestones related to Freedom of Association,

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization e.g., website accessibility audit

Topic areas

Worker voice and representation

SWK24. Did your company meet the targets to address issues of forced labor and modern slavery in its value chain?

About this question

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MjEc

Evidence

Either

Link to published report or update demonstrating progress for the reporting period on all targets and milestones related to Forced labor (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating progress for the reporting period on all targets and milestones related to Forced labor

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization

Topic areas

Forced labor and human trafficking, child labor

SWK25. Did your company meet the targets to increase gender equality amongst workers in its value chain?

About this question

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MjEd

Evidence

Either

Link to published report or update demonstrating progress for the reporting period on all targets and milestones related to Gender Equality (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating progress for the reporting period on all targets and milestones related to Gender Equality

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization

Topic areas

Diversity, equity, and inclusion

SWK26. Did your company meet the targets to address issues of child labor in its value chain?

About this question

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MjEe

Evidence

Either

Link to published report or update demonstrating progress for the reporting period on all targets and milestones related to Child labor (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating progress for the reporting period on all targets and milestones related to Child labor

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/Human Rights Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization

Topic areas

Child labor

SWK27. Did your company implement specific programs to achieve its targets related to the prioritized worker-related human rights risks and impacts in subcontracting factories?

About this question

Answer yes if you can provide evidence that your company has implemented strategic plans or programs to deliver its prioritized worker-related human rights targets in subcontracting factories
Answer no if your company has no strategic plans or programs in place in subcontracting factories

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjEf

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating the programs/strategies which your company implements to reach its targets related to prioritized worker-related human rights risks and impacts in subcontractors (e.g., strategy document, internal audit, annual review)

and

Evidence of oversight by board/senior leadership (e.g., CSR/responsible sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with and report of third-party implementing organizations)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating the programs/strategies which your company implements to reach its targets related to prioritized worker related human rights risks and impacts in subcontractors (e.g., approved strategy document, internal audit, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/Responsible Sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with third-party implementing organization, report by third-party implementing organization)

Topic areas

SWK28. Did your company meet its targets to mitigate and remediate prioritized risks and impacts in subcontracting factories?

About this question

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjEg

Evidence

Provide:

Link to published report or update demonstrating progress for the reporting period on all targets and milestones related to prioritized worker-related human rights risks and impacts in subcontractors e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating progress for the reporting period on all targets and milestones related to prioritized worker-related human rights risks and impacts in subcontractors

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization

Topic areas

SWK29. Did your company implement a program or strategy to ensure that the costs incurred by suppliers for meeting social and labor requirements are covered when determining prices?

About this question

Compliance with labor standards and the implementation of social and labor programs carry a cost for your suppliers (e.g., fees for audits, investments to ensure safe and healthy factories, wages). This question aims to understand if your company takes these costs into account when determining prices.

Answer yes if your company’s costing methodology allows for social and labor related costs to be included
Answer no if your company’s costing methodology does not allow for social and labor related costs to be included, or if it is not clear that your company’s costing methodology allows for social and labor related costs to be included

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjA_b

Mapping: Principle Five (Sustainable Costing) of The Common Framework on Responsible Purchasing Practices, Sustainable Terms of Trade initiative key recommendation on costs of compliant production, Principle four (Financials) Better Buying

Evidence

Provide:

Link to/copy of costing methodology or financial policy/regulations and evidence that the methodology/financial policy or regulation is appropriately used (screenshots of cost price calculations)

Topic areas

Responsible purchasing practices

SWK30. Did your company implement a program or strategy to compensate suppliers for costs incurred due to blocked / unused production capacity?

About this question

Based on forecasts, companies block production capacity with suppliers. If this production gets canceled late, the supplier may not be able to use its blocked production capacity for other orders, which results in a financial impact. Within the framework of responsible purchasing, it is important that your company has a policy, that is agreed with suppliers, that specifies when and how suppliers are financially compensated for costs incurred due to unused production capacity.

This question measures to what extent your company has compensated suppliers for costs they incur due to your company not using (part of) the capacity they blocked at a supplier. This type of compensation is important in demonstrating responsible purchasing.

Answer yes if your company has a compensation policy that details in which cases and for how much suppliers are compensated, that is shared and agreed with suppliers and used appropriately
Answer my company did not book capacity if your company did not book capacity at its suppliers
Answer no in all other cases

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjE_b

Mapping: Principle Three (Collaborative Production Planning) of The Common Framework on Responsible Purchasing Practices, Sustainable Terms of Trade initiative key recommendation on confirmation of production capacity, Commitment 3 (Better planning and forecasting) of ACT’s Purchasing Practices, Principle 1 (Visibility) Better Buying

Evidence

Provide:

Link to/copy of your company’s commitment, or (financial) policy/regulations or financial terms and conditions of contract indicating that suppliers will be compensated for blocked and unused production capacity

and

Evidence that this commitment/policy/regulation/terms is routinely shared with all suppliers, such as copy/link to the standard information package shared with suppliers

and

Evidence that the policy/regulation/terms or regulation is appropriately used (screenshots of proof of financial compensation)

Topic areas

Responsible purchasing practices

SWK31. Did your company implement a program or strategy for expanding its business relationship with long term strategic suppliers?

About this question

Often changing suppliers can hinder your company’s ability to effectively and credibly perform due diligence activities, while also reducing visibility and control of the supply chain. This practice can also have adverse impacts on your suppliers’ ability to make improvements. This question measures the existence and nature of your company’s strategy for building long term relations with its suppliers. It is important that your strategy to build strategic relations with suppliers include definition of benefits for suppliers (which could include financial or production related benefits) and transparent dialogue.

Answer yes if your company has a purchasing strategy to build long term relations with suppliers. The strategy should have a target aiming for the majority of its sourcing to happen with strategic suppliers in tier 1 as well as increasingly sourcing volume with strategic relations deeper into the supply chain. The strategy should also clearly identify the benefits for strategic suppliers
Answer no if your company does not have a purchasing strategy to manage long term relationships with suppliers

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjI_b

Mapping: Principle Two (Equal Partnership) of The Common Framework on Responsible Purchasing Practices, Principle 2 (Stability) Better Buying

Evidence

Provide:

Link to/copy of your company’s policy/regulations regarding long term suppliers and/or conditions of contracts

and

Evidence that this policy/regulation/terms is routinely shared with all suppliers, such as copy/link to the standard information package shared with suppliers

and

Evidence that the policy/regulation/terms is appropriately applied

Topic areas

Responsible purchasing practices

SWK32. Did your company agree with suppliers on penalties before starting business or placing purchase orders?

About this question

Penalties that are not clear and not agreed by your company’s suppliers can negatively impact their ability to produce responsibly.

This question aims to measure to what extent your company has agreed penalties with its suppliers. It is important to note that, as part of a company’s commitment towards responsible purchasing practices, penalties should be fair and not excessively punitive. For instance, a reduction of the price due to late delivery should be fair with respect to the number of days the delivery is late.

Answer yes if your company has a clear policy which details its penalty structure that is shared and agreed with suppliers and used appropriately
Answer no in all other cases

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjM_b

Mapping: Principle Four (Fair Payment Terms) of The Common Framework on Responsible Purchasing Practices, Sustainable Terms of Trade initiative key recommendation related to penalties, Principle 4 (Financials) Better Buying

Evidence

Provide:

Link to/copy of your company’s (financial) policy/regulations regarding penalties or financial terms and conditions of contracts

and

Evidence that this policy/regulation/terms is routinely shared with all suppliers, such as copy/link to the standard information package shared with suppliers

and

Evidence that the policy/regulation/terms is appropriately applied (screenshots of proof of use of penalties)

Topic areas

Responsible purchasing practices

SWK33. Did the payment terms agreed with your suppliers, and detailed within contracts, include the following topics? (Select all that apply OR none)

About this question

Pressure on working conditions such as workers’ wages can be caused by late or unpredictable payment terms. This question aims to measure to what extent your company has clarified and agreed with its suppliers payment terms that support responsible purchasing.

Select one or more of the listed areas if your company has included one or more of these in the contractual arrangement with its suppliers
Select none if your company has not included ant of the listed areas in the contractual arrangement with its suppliers

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjQ_b

Mapping: Principle Four (Fair Payment Terms of The Common Framework on Responsible Purchasing Practices, Sustainable Terms of Trade initiative key recommendations referring to payment terms, Commitment 2 (Fair Payment Terms) of ACT’s Purchasing Practices, Principle 4 (Financials) Better Buying

Evidence

Provide:

Link to / copy of your company’s (financial) policy/regulations regarding payment terms or financial terms and conditions of contracts

and

Evidence that this policy/regulation/terms is routinely shared with all suppliers, such as copy/link to the standard information package shared with suppliers

and

Evidence that the policy/regulation/terms is appropriately applied (screenshots of proof of use of penalties)

Topic areas

Responsible purchasing practices

SWK34. Did your company advance payments for the purchase of raw materials when the Purchase Order (PO) is placed?

About this question

This question concerns only orders that require the supplier to purchase the material. Advancing payments to cover the cost of raw materials increases the suppliers’ ability to produce responsibly.

Answer yes if your company has a standard agreement with suppliers that proves that your company advances payments for suppliers that are asked to purchase materials
Answer partial yes if your company advances payments for materials that need to be purchased as of a certain (longer) period in advance
Answer no in all other cases

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjU_b

Mapping: Principle Four (Fair Payment Terms) of The Common Framework on Responsible Purchasing Practices, Sustainable Terms of Trade initiative key recommendations referring to payment terms, Commitment 2 (Fair Payment Terms) of ACT’s Purchasing Practices, Principle 4 (Financials) Better Buying

Evidence

Provide:

Link to/copy of your company’s (financial) policy/regulations regarding payment terms or financial terms and conditions of contracts

and

Evidence that this policy/regulation/terms is routinely shared with all suppliers, such as copy/link to the standard information package shared with suppliers

and

Evidence that the policy/regulation/terms is appropriately applied (screenshots of proof of use of penalties)

Topic areas

Responsible purchasing practices

SWK35. In those cases where the force majeure clause was invoked, did your company reimburse the costs already incurred by the supplier?

About this question

The issue of reimbursing costs in cases of force majeure has become more important since the Covid-19 crisis started and the impact this had on the apparel industry. There were examples of companies who canceled orders that were already agreed and finished. Examples of costs already made included things like: materials, accessories, and production costs.

This question aims to assess if your company, in the cases where a force majeure was triggered, reimbursed costs that a supplier made to proceed with the orders.

Answer yes if, in the case of a force majeure, your company reimbursed all costs already incurred by suppliers
Answer no if, in the case of a force majeure, your company did not reimburse (all the) costs already made by suppliers
Answer force majeure was not invoked if your company did not have to face a case of force majeure during the reporting period

Applicability: Brand, Brand and Retailer

Reference ID: swk_MjY_b

Mapping: Principle Two (Equal Partnership) of The Common Framework on Responsible Purchasing Practices, Sustainable Terms of Trade initiative key recommendations referring to Force Majeure

Evidence

Provide:

Link to/copy of your company’s (financial) policy/regulations regarding payment terms or financial terms and conditions of contracts

and

Evidence that this policy/regulation/terms is routinely shared with all suppliers, such as copy/link to the standard information package shared with suppliers

and

Evidence that the policy/regulation/terms is appropriately applied (screenshots of proof of use of penalties)

Topic areas

Responsible purchasing practices

SWK36. Did your company have a responsible exit strategy to ensure that, in the event of ending a factory and supplier relationship, the termination is managed in a manner that reduces the impact on suppliers and workers, including providing severance payments to workers?

About this question

If your company decides to disengage from a supplier it should do so in a responsible way so as to avoid any negative impact on workers. There may be a variety of business reasons why a company ends its relationship with a supplier. If a company ends a relationship without sufficient notice or preparation, it increases the risks for adverse impact on workers, such as massive lay-offs, impact on payroll or severance pay. In addition, if suppliers worry that business relations might suddenly end, they may offer workers repeatedly short term contracts so as to avoid severance pay and dismissal procedures. With respect to ending relations due to worker related human rights issues, both the UN Guiding Principles on Business and Human Rights and the OECD due diligence guidance point out that companies should end the relationship with business partners only if – even after several attempts – the adverse impacts on people (and the environment) cannot be addressed.

This question assesses whether your company has processes in place to manage disengagement from a supplier responsibly.

Answer yes if your company has a strategy, in line with the elements provided in the definition, how it manages its exit from supplier relationships. The responsible exit strategy should be translated into appropriate systems (processes, responsible staff) and applied
Answer no if your company does not have a responsible exit strategy in line with the elements of the definition, or if it did not apply the strategy

Applicability: Brand, Brand and Retailer

Reference ID: swk_Mjc_b

Mapping: Principle Two (Equal Partnership) of The Common Framework on Responsible Purchasing Practices, Commitment 5 (Responsible Exit Strategies) of ACT’s Purchasing Practices

Evidence

Provide:

Internal CSR/responsible sourcing documentation or policies describing your company’s exit approach

and

Evidence of oversight by board/senior leadership (e.g., CSR/Responsible Sourcing/Social program VP/Director’s report to the board, board papers and minutes)

and

Evidence that the strategy/policy is appropriately applied (copy of communication and contracts with suppliers that your company exited from during the reporting period)

Topic areas

Responsible purchasing practices

SWK37. Did your company consistently inform relevant staff (buyers, senior management), about its progress against Responsible Purchasing Practices (RPP) targets?

About this question

To ensure that your company’s commitment to improving its purchasing practices is integrated into its business operations, it is important that relevant staff is informed about progress on targets so that it can be used to make necessary changes to your company’s responsible purchasing practices (RPP) strategy and practices. In addition, sharing data regularly is important to increase awareness of staff and help build a stronger company culture in support of RPP.

Answer yes if your company provides at least annual updates on progress on targets to CSR staff, purchasing staff and senior management and if it uses updates on progress to make annual adjustments to continuously improve the RPP strategy
Answer no in all other cases

Applicability: Brand, Brand and Retailer

Reference ID: swk_Mj_b

Mapping: Principle One (Integration and Reporting) of The Common Framework on Responsible Purchasing Practices, Principle 5 (Shared Responsibility) Better Buying

Evidence

Provide:

Link to published or internal report or update demonstrating progress for the reporting period on all targets and milestones related to your company’s purchasing practices (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

and

Evidence that this report was pro-actively shared with relevant staff (copies of emails or papers)

and

Evidence that the reports were used to inform target setting and/or your your company’s strategy for improving its purchasing practices such as minutes of meetings or adjusted targets/strategies

Topic areas

Responsible purchasing practices, stakeholder engagement

SWK38. Did your relevant staff (buyers, senior management) participate in a Responsible Purchasing Practices (RPP) training program?

About this question

While there is increasing scientific evidence of the link between a supplier/factory’s ability to meet social and labor standards and the procurement practices of their customers, many brands and retailers still have to start, or are at the early stages of making an RPP strategy. Training of staff on responsible purchasing practices (RPP), including on your company’s RPP commitment and strategy, is an important part of the cultural and systematic change that is required in companies to make their purchasing practices more responsible. Training can be developed internally, but there are also external training sources available.

Answer yes if staff across relevant departments (incl. purchasing and CSR/responsible business departments) participated in RPP training during the reporting year
Answer partial yes if only staff from the CSR/responsible business department participated in RPP training during the reporting year
Answer no if staff did not participate in RPP training this year

Applicability: Brand, Brand and Retailer

Reference ID: swk_Mjk_b

Mapping: Principle One (Integration and Reporting) of The Common Framework on Responsible Purchasing Practices, Commitment 4 (Training on Responsible Sourcing and Buying) of ACT’s Purchasing Practices, Principle 5 (Shared Responsibility) Better Buying

Additional information

Examples of overview of external training, available here.

Evidence

Either

Documentation outlining training approach, content and attendee type (e.g., Board paper, HR documentation/strategy, public document)

Link or Documentation of training materials
Outline of training purpose and attendees

Optional supplementary evidence:

Training records of specified teams, or implementation plans and employee feedback on training. Evidence must show the date of training falls within assessment period.
Qualitative or Quantitative data that shows evidence of success of training (e.g.,feedback)

Topic areas

Responsible purchasing practices, stakeholder engagement

SWK39. Did your company consistently collaborate with suppliers in support of their production planning methodology through the following elements? (Select that apply OR None)

About this question

Placing orders without insight into a supplier’s or facility’s production capacity can put pressure on supplier’s ability to produce responsibly, for instance, on overtime, payroll and verbal abuse. Particularly since suppliers might be scared to refuse orders even though they know that they might not have sufficient production capacity.

Close collaboration with a supplier with regard to planned production and forecasts of orders at factory level is an important element of responsible purchasing and will help a supplier’s capacity to mitigate excessive peaks and drops in orders and challenging timelines, which are important root causes for labor violations

Select providing forecasts and updates in advance if it is a standard practice that your company provides timely forecast and regular updates to its suppliers
Select having clarity of supplier’s production capacity if your company understands restrictions of suppliers production capacity
Select aiming for production to take place within normal working hours if your company has insights at the moment of placing an order how that might impact your suppliers ability to produce
Select commitment to spreading order volume if your company has an active approach towards spreading orders to minimize large order fluctuations
Select mutual agreement for order modifications if your company at the moment of agreeing on changes to the order, the production capacity of the supplier is taken into account to avoid downward pressure
Select none if you cannot provide evidence of any of the above collaborative activities with suppliers to improve purchasing practices

Applicability: Brand, Brand and Retailer

Reference ID: swk_MzA_b

Evidence

Provide:

Link to/copy of your company’s policy/regulations/processes for production planning

and

Evidence that this policy/regulations/processes is/are appropriately applied (screenshots of proof of use, or link to internal systems for production planning)

Topic areas

Responsible purchasing practices, stakeholder engagement

SWK40. What percentage of your tier 1 suppliers were covered by your collaborative production planning approach?

About this question

To calculate the percentage of direct suppliers covered by your company’s collaborative production planning process, use the formula:

Select the percentage figure that represents the proportion of Tier 1 manufacturing that is covered by your company’s collaborative production planning process
Select unknown if this data is not captured by your company, if the data cannot be evidenced, or if there is no collaborative production planning in place

Applicability: Brand, Brand and Retailer

Reference ID: swk_MzE_b

Mapping: Principle three (collaborative production planning) Common Framework for Responsible Purchasing Practices, Principle 2 (Stability) Better Buying

Evidence

Either

Link to published report specifying the percentage of tier 1 suppliers covered by the collaborative production planning (e.g., ESG report, Annual Report and Accounts, relevant report on corporate website)

Internal progress report specifying the percentage of tier 1 suppliers covered by the collaborative production planning with oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, screenshot of satisfaction survey results)

Topic areas

Responsible purchasing practices

SWK41. Did your company meet its targets for the improvement of its Responsible Purchasing Practices (RPP)?

About this question

Answer yes if you can provide evidence that 100% of your company annual milestone targets have been fully met
Answer partial yes if you can provide evidence that at least 50% of your company annual milestone targets have been fully met
Answer no if less than 50% of your company annual milestone targets have been fully met

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MzI

Mapping: Principle One (Integration and Reporting) of The Common Framework on Responsible Purchasing Practices

Evidence

Either

Link to published report or update demonstrating progress for the reporting period on targets and milestones related to Responsible Purchasing Practices (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Internal progress report demonstrating progress for the reporting period on targets and milestones related to Responsible Purchasing Practices

and

Evidence of oversight by senior management (e.g., Board ESG Committee papers, ESG ‘Dashboard’, social impact/human rights Director report to board)

Report on your company’s progress from a third-party assessment framework, NGO or benchmarking organization

Topic areas

Responsible purchasing practices

SWK42. Did your company report publicly on its Responsible Purchasing Practices (RPP) targets and progress? (Select all that apply OR None)

About this question

This question focuses specifically on public communication related to your company’s RPP strategy and results. Evidence should include links to published documents.

Select one or more of the topic areas related to responsible purchasing practices where you can provide evidence that your company has set formal targets to improve.
Select none if your company does not publicly communicate its RPP strategy, or if there is no strategy in place.

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MzM_b (For: Brand, Brand and Retailer)

Reference ID: swk_MzM_r (For: Retailer)

Additional information

For further information, see:

Section 5 of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear Sector

Evidence

Provide:

Link to published report or update demonstrating progress for the reporting period on targets and milestones related to Responsible Purchasing Practices (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)

Third-party report on your responsible purchasing targets and progress published on your company’s website (e.g., by a consultancy, NGO partner or multi-stakeholder initiative that your company participated in)

Topic areas

Responsible purchasing practices, transparency

SWK43. Did your company publicly communicate on the identified worker related to human rights risks and impacts? (Select all that apply OR None)

About this question

As part of a company’s due diligence responsibilities, it is expected to communicate on, amongst other areas, its due diligence process. This includes policies, management systems, most important risks and adverse impacts, strategies to address them and results. This question focuses specifically on public communication related your company’s worker related to human rights risks and impacts.

Select one or more topics which your company has publicly communicated on the identified worker related human rights risks and impacts.
Select none if your company has not communicated any of these topics.

Applicability: Brand, Brand and Retailer

Reference ID: swk_MzQ_b

Additional information

For further information, see:

Section 5 of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear Sector
UNGP operational principle 21

Evidence

Provide:

Link to published report or information presenting the identified worker-related human rights risks and impact as a result of your company’s due diligence (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)
Third-party report presenting the identified worker related human rights risks and impact as a result of your company’s due diligence published on your company’s website (e.g., by a consultancy, NGO partner or multi-stakeholder initiative that your company participated in)

Topic areas

SWK44. Did your company report publicly on the worker-related human rights performance of its value chain? (Select all that apply OR none)

About this question

Disclosing due diligence policies and outcomes are an important responsibility within companies’ external communication strategies.

This question aims to assess to what extent your company publicly communicates the results of its ongoing social and labor risk monitoring of its supply chain.

Select one or more of the areas where your company publicly communicates the performance of its supply chain at an aggregate level.
Select none if your company does not publicly communicate on at least the ILO core labor standards.

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MzU

Additional information

For further information, see:

Section 5 of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear Sector
UNGP operational principle 21

Evidence

Provide:

Link to published report or information presenting the worker-related human rights performance of your company’s value chain (e.g., ESG report, Annual Report and Accounts, social impact/human rights progress update on corporate website)
Third-party report presenting the the worker-related human rights performance of your company’s value chain (published on your company’s website (e.g., by a consultancy, NGO partner or multi-stakeholder initiative that your company participated in)

Topic areas

SWK45. Did your company have any specific partnerships, agreements or collaborations with stakeholders related to addressing workers related human rights across the value chain?

About this question

This question does not relate to memberships with audit/assessment bodies, or industry initiatives, but relates to agreements with stakeholders focussed on improving worker related human rights issues in the supply chain.

Examples are the Accord on Fire and Building Safety, Global Framework Agreements with the union movement, Better Work (partnership level), ACT.

Answer yes if your company has an agreement with an industry stakeholder that supports improving worker related human rights either at global or sectoral level
Answer no if your company has no agreement with an industry stakeholder that supports improving worker related human rights at the global or sectoral level

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_MzY

Additional information

For further information:

See section on collaboration on due diligence in the introduction of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear sector

Evidence

Either

Links to published CSR/responsible sourcing documentation or reports, indicating your company’s agreement with stakeholders focussed on improving worker related human rights issues (e.g., strategy document, MoU’s, annual review, responsible persons)

and

Document or link to information indicating how the topic is addressed through the collaboration with stakeholders

Internal CSR/responsible sourcing documentation, policies, or reports, indicating your company’s agreement with stakeholders focussed on improving worker related human rights issues (e.g., agreement, annual review, responsible persons)

and

Document or link to information indicating how the topic is addressed through the collaboration with stakeholders

Topic areas

SWK46. Did your company actively participate in joint industry efforts to reduce duplicative social and labor audits/assessments?

About this question

Duplicative auditing is an important financial and capacity burden for suppliers.

This question measures to what extent your company is supporting industry collective action (e.g. SLCP, Better Work) to reduce duplicative auditing, through continuously reducing its own auditing effort by using existing valid audits.

Answer yes if you can provide evidence that your company has participated in collaborative initiatives to reduce duplicative auditing
Answer no if you cannot provide evidence of any collaborative work on duplicative auditing, or if collaboration has not formed part of your strategy

Applicability: Brand, Brand and Retailer

Reference ID: swk_Mzc_b

Additional information

For further information:

See section on collaboration on due diligence in the introduction of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear sector

Evidence

Either

Links to published CSR/responsible sourcing documentation, or reports, indicating your company’s collaboration with industry initiatives to reduce duplicative social and labor (e.g., strategy document, membership documents, MoU’s, annual review, responsible persons)

and

Evidence that your company is using the audit reports of industry bodies in place of audits specifically done for your own company (e.g., links to internal audit/rating systems demonstrating the use of these audit reports) and, if this industry initiative is a membership model, link to the member page of the industry initiative’s where the name of your company is presented

Internal CSR/responsible sourcing documentation, policies, or reports, indicating your company’s collaboration with industry initiatives to reduce duplicative social and labor (for example strategy document, membership documents, MoU’s, annual review, responsible persons)

and

Evidence that your company is using the audit reports of industry bodies in place of audits specifically done for your own company

Topic areas

Responsible purchasing practices, stakeholder engagement

SWK47. Did your company actively participate in industry collective programs/partnerships to improve suppliers' social and labor performance? (Select all that apply OR none)

About this question

This question is an opportunity to demonstrate that your company works collaboratively with stakeholders on the specific social and labor risks and opportunities listed.

Examples could include working with a cross-sector group, a topic specific group, NGO’s, trade unions, a group of businesses, a membership organization, a regulatory body. To select one or more topic, you will need to be able to demonstrate that your company is playing an active role in the collaboration.

Select one or more topics which your company has collaboratively addressed with other organizations and stakeholders (a proactive program is required, membership alone of an organization addressing these topics is not sufficient)
Select none if your company has not addressed any of these topics collaboratively, or if collaboration is not part of your company’s strategic approach

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_Mzg

Additional information

For further information:

See section on collaboration on due diligence in the introduction of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear sector

Evidence

Either

Links to published CSR/responsible sourcing documentation, policies, or reports, indicating your company’s collaboration with stakeholders on specific social and labor risks (e.g., strategy document, proof of financial or in kind contribution, progress reports, membership documents, MoU’s, annual review, responsible persons)

Internal CSR/responsible sourcing documentation, policies, or reports, indicating your company’s collaboration with stakeholders on specific social and labor risks (for example strategy document, proof of financial or in kind contribution, progress reports, membership documents, MoU’s, annual review, responsible persons)

and

Evidence of oversight by board/senior leadership (e.g., CSR/Responsible Sourcing/Social program VP/Director’s report to the board, board papers and minutes, contract with third-party implementing organization, report by third-party implementing organization)

Topic areas

SWK48. Did your company actively advocate for worker-related human rights to influence improved policies, laws, or regulations?

About this question

It is the duty of the government to provide protection against human rights abuses through law, policies, regulations, inspection and enforcement of the law. However, there are instances where governments are not meeting this duty which may result in risks and adverse impacts that cannot be remediated at the factory level. Examples may include labor regulations stimulating short term contracts, or an environment that leads to freedom of association violations. In those cases, companies can use their leverage (collectively or individually) with the government to influence the necessary changes.

Examples of active use of leverage include high level meetings with governmental representatives requesting the change, high level brand/retail delegations to countries for high level meetings with governmental representatives, letters signed by senior leadership in your company, or joint letters of a group of brand/retailers to senior political leadership in countries.

Answer yes if your company has actively used its leverage to influence regulatory bodies in identified countries to make legal changes to remediate prioritized adverse impacts or mitigate prioritized risks as described by the examples in the guidance
Answer no if your company has not actively used its leverage to influence regulatory bodies in identified countries to make legal changes to remediate prioritized adverse impacts or mitigate prioritized risks

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swk_Mzk

Additional information

For further information:

See section on collaboration on due diligence in the introduction of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear sector

Evidence

Provide:

Links to documentation supporting evidence of your company’s involvement such as official letters (co)signed by your company’s senior management, minutes of meetings, agendas of meetings of officials, copy of communication with relevant officials

Topic areas

SWK49. Did your company have any specific partnerships, agreements or collaborations with stakeholders related to the improvement of the responsible purchasing practices across the value chain?

About this question

This question is an opportunity to demonstrate that your company works collaboratively with stakeholders on strategies to address sector challenges around implementing responsible purchasing practices. Examples could include working with well established organisations that promote specific action on purchasing practices, such as FLA, ACT, Fair Wear, ETI, IDH and others.

Answer yes if you can provide evidence that your company has actively participated in collaborative initiatives to address the implementation of responsible purchasing practices
Answer no if you cannot provide evidence of any collaborative work on purchasing practices, or if collaboration has not formed part of your strategy

Applicability: Brand, Brand and Retailer

Reference ID: swk_NDA_b

Additional information

For further information:

See section on collaboration on due diligence in the introduction of the OECD due diligence guidance for Responsible Supply Chains in the Garment and Footwear sector

Evidence

Either

Link to membership/signatory page or annual report published on the website of the relevant multi-stakeholder initiative(s), indicating the topics addressed and your company’s logo/name plus signatory/membership level during the reporting period

Membership/signatory agreement/s including company’s name and level of commitment

and

Document or link to information indicating how the topic is addressed by the multi-stakeholder initiative/s

Optional supplementary evidence:

Examples of your company’s data/reporting submission required by the MSI
Feedback from an NGO on your company’s contribution to the MSI

Topic areas

Responsible purchasing practices, stakeholder engagement

SWKD1. What percentage of the following value chain tiers did your company monitor and assess worker-related human rights' risks?

About this question

It’s widely assumed that the risks for worker related human rights impact is higher deeper into the supply chain. This question explores how deep into the supply chain your company applies its assessment and monitoring activities for worker related human rights risks and impacts.

Note the % figure that represents the proportion for each of the Tiers that is covered by your company’s worker related human rights assessment and monitoring activities
Select unknown if this data is not captured by your company or if the data cannot be evidenced

Applicability: Brand, Brand and Retailer

Reference IDs: swdk_a_1, swdk_a_2, swdk_a_3, swdk_a_4, swdk_a_5

SWKD2. What percentage of workforce in Tier 1 have trade union representation?

About this question

Freedom of workers to join or form a union is a fundamental labor right. Independent unions are important for mitigating worker related human rights risk and remediating impact. They also strengthen the bargaining power of workers, an essential element for a continuous improvement of working conditions. In addition, the presence of a union can have a positive impact on the supplier by stabilizing industrial relations and resolving workplace problems and grievances.

Note the % figure that represents the proportion for your company’s Tier 1 supplier has one or more union
Select unknown if this data is not captured by your company or if the data cannot be evidenced

Applicability: Brand, Brand and Retailer

Reference ID: swdk_b

SWKD3. What percentage of workforce in Logistics and Distribution have trade union representation?

About this question

Note the % figure that represents the proportion of your company’s logistic and distribution providers has one or more union
Select unknown if this data is not captured by your company or if the data cannot be evidenced

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swdk_c

SWKD3. What percentage of workforce in Logistics and Distribution have trade union representation?

About this question

Note the % figure that represents the proportion for your company’s Tier 1 supplier has one or more union
Select unknown if this data is not captured by your company or if the data cannot be evidenced

Applicability: Brand, Retailer, Brand and Retailer

Reference ID: swdk_c

SWKD4. What is the gender split (in percentage) of the workforce at manager level and above across Tier 1 facilities?

About this question

An equal representation of women at management and higher level functions can drive improved working conditions, amongst others where it concerns issues such as gender based violence, specific reproductive health, care or pregnancy related rights and issues. It can also impact business outcomes of suppliers.

Note the % figure that corresponds with the proportion in management and higher level leadership positions for each of the options (male/female/other genders)
Select unknown if this data is not captured by your company or if the data cannot be evidenced

Applicability: Brand, Brand and Retailer

Reference ID: swdk_d_1, swdk_d_2, swdk_d_3

SWKD5. What percentage of workforce in Tier 1 receives a living wage as defined by an internationally recognized methodology?

About this question

Note the % of the workforce in tier 1 suppliers who receive a living wage as defined by an internationally recognized methodology
Select unknown if this data is not captured by your company or if the data cannot be evidenced

Applicability: Brand, Brand and Retailer

Reference ID: swdk_e

SWKD6. What percentage of the following value chain tiers were covered by the collective programs/partnerships to address sector-wide critical human rights issues?

About this question

It’s widely assumed that the risks for worker related human rights impact is higher deeper into the supply chain. This question explores how deep into the supply chain your company actively collaborates with other companies or organizations to address specific social and labor risks.

Note the % figure that represents the proportion for each of the Tiers that is covered by collaboration with other companies or organizations to address specific social and labor risks
Select unknown if this data is not captured by your company or if the data cannot be evidenced

Applicability: Brand, Brand and Retailer

Reference ID: swdk_f_1, swdk_f_2, swdk_f_3, swdk_f_4, swdk_f_5

SWKD7. What percentage of worker rights-related issues in your company's supply chain have been successfully remediated or are in the process of remediation, in comparison to the total issues detected during the reporting period?

About this question

This question evaluates the effectiveness of your company’s response to worker rights-related issues within the supply chain. Examples of such issues could include working conditions, wage concerns, forced labor, child labor, excessive working hours, or instances of labor rights being compromised

To calculate the percentage of worker rights-related issues that were successfully remediated or are in the process of remediation during the reporting period, use the following formula:

Note the percentage figure based on the ratio of remediated and currently being remediated issues to the total issues detected in your supply chain, including both zero tolerance and critical issues.
Leave blank only if this data is not captured by your company, or if the data cannot be evidenced.

Applicability: Brand, Brand and Retailer

Reference IDs: swdk_remediation_pct