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Poor control over long working hours, inadequate pay levels and a lack of proper documentation have emerged as the main areas of concern during the first three years of an ethical supply chain auditing programme set up by European companies.
The Business Social Compliance Initiative says a lack of health and social facilities, as well as health and safety breaches, have also featured prominently as issues, judging by the organization’s code of conduct, which all members endorse.
Fifty-four retail and brand companies from nine countries belong to the BSCI, among them Esprit, Intersport, Kesko, Metro Group and Unibrands. It has overseen 1142 factory audits of member companies’ suppliers since it was set up in 2003, mostly in Asia and Eastern Europe.
In all, 75 per cent of the audits, which were carried out by Bureau Veritas, Det Norske Veritas and other third parties, found serious problems, 18 per cent identified less serious breaches and seven per cent found overall ‘good’ practice at individual factories.
However, most audits found that suppliers performed well in a number of areas, notably on tackling discrimination. Here more than nine in ten suppliers were rated as ‘good’ on disciplinary measures and use of forced labour (eight out of ten) and freedom of association (seven out of ten).
The figures are revealed in the BSCI’s first annual report, which it has produced in an attempt to be more transparent and to ‘foster dialogue with stakeholders’.
Audits are carried out against the BSCI Code of Conduct and reference the SA8000 workplace standard.
The Business Social Compliance Initiative says a lack of health and social facilities, as well as health and safety breaches, have also featured prominently as issues, judging by the organization’s code of conduct, which all members endorse.
Fifty-four retail and brand companies from nine countries belong to the BSCI, among them Esprit, Intersport, Kesko, Metro Group and Unibrands. It has overseen 1142 factory audits of member companies’ suppliers since it was set up in 2003, mostly in Asia and Eastern Europe.
In all, 75 per cent of the audits, which were carried out by Bureau Veritas, Det Norske Veritas and other third parties, found serious problems, 18 per cent identified less serious breaches and seven per cent found overall ‘good’ practice at individual factories.
However, most audits found that suppliers performed well in a number of areas, notably on tackling discrimination. Here more than nine in ten suppliers were rated as ‘good’ on disciplinary measures and use of forced labour (eight out of ten) and freedom of association (seven out of ten).
The figures are revealed in the BSCI’s first annual report, which it has produced in an attempt to be more transparent and to ‘foster dialogue with stakeholders’.
Audits are carried out against the BSCI Code of Conduct and reference the SA8000 workplace standard.
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