2024-05-05
Sarosh Kuruvilla et Jason Judd
Measure 6: Legal status of workers Research in multiple sectors shows that migrant workers are particularly susceptible to exploitation, increasing risk of harms for workers and for lead firms whose suppliers rely on workers who are internal or cross-border migrants (Balch 2016). The specific metric to be used here is the percentage of migrant (foreign) in the workforce (by factory). This data is readily available to supplier management and external auditors. The larger the ratio of migrant workers, the greater the risk for workers, including risk of forced labor. A second, related percentage—migrant workers with recruiting/placement debts—is a useful measure of forced labor risk among migrants. This data is harder to find but should collected by firms conducting meaningful due diligence. This metric is consistent with the nature of causal contribution identified in the guidance that accompanies the German law. Specifically, the question is whether the supply chain structure of the company causes it to be susceptible to human rights risk. If suppliers have a high proportion of migrant workers in their workforce, that constitutes susceptibility for forced labor violations, and whether the company permits, enables or motivates that action, the company could be contributing to the risk. The metric therefore useful for companies in their analysis of risk.
Regional relevance et National relevance