INKOTA Editorial
Production processes along global supply chains are increasingly being scrutinised in terms of their impact on working and living conditions at production sites. This is particularly true for the supply chains of leather, leather goods and footwear, or garment and textile.
The Act on Corporate Due Diligence Obligations in Supply Chains requires companies to conduct appropriate human rights and certain environmental due diligence in their supply chains. The Act came into its first phase of effect on January 1, 2023, for companies headquartered in Germany. This reflects the increasing trend towards regulatory frameworks that are guiding both corporate and government action.
The intention is to drive a shift towards social and ecological transformation of global supply chains, aiming to prevent negative impacts on the environment, societies, and people.
In addition to such frameworks for preventing human rights violations and ensuring that working and production conditions comply with human rights, access to effective remedies is becoming increasingly important. Grievance mechanisms play a crucial role, providing redress for rights violations, supporting corporate risk analysis through the nature of complaints received, and supporting preventive action by enabling intervention at an early stage.
Beyond regulatory compliance, the procedural implementation of due diligence by brands, business partners and other stakeholders including Civil Society Organisations (CSOs) builds a basis for work and stakeholder engagement. This process becomes a key building block and provides an opportunity to responsibly address the risks of human rights violations in the supply chain and implement effective preventive measures.
As a Civil Society organisation, we see the potential for progress in solution-orientated social dialogue and cross-stakeholder engagement. Mastering the challenges INKOTA published the Working Paper: An Effective System for Grievances and Remedy in Transnational Supply Chains in cooperation with Prof. Dr. Ulla Gläßer and Helene Bond from the European University Viadrina in Frankfurt (Oder). This working paper offers companies and initiatives concrete recommendations for action on institutionalizing, implementing, designing procedures and setting up grievance mechanisms as learning systems specifically in supply chains for leather, leather goods and footwear.
The risks and challenges are known e.g. studies on the leather industry and working conditions in Bangladesh, Pakistan, and India by the Together for Decent Leather consortium, but proactive adoption of good practices in risk analysis, prevention, remedy procedures, and robust, reliable stakeholder engagement is imperative.
Berndt Hinzmann,
INKOTA-netzwerk, Senior Policy Advisor Business and Human Rights, Sustainability
And Member of the steering committee of the Partnership for Sustainable Textile, Germany