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A supply chain 100% free of child labour should be the goal of every business
A supply chain 100% free of child labour should be the goal of every business Photograph: Punit Paranjpe/REUTERS
A supply chain 100% free of child labour should be the goal of every business Photograph: Punit Paranjpe/REUTERS

10 things we learned about eradicating child labour

This article is more than 9 years old

In a recent live chat, a panel of experts took questions on the complexities of child labour in supply chains and the role of companies in eradicating it. Here’s what they said

1. Achieving a supply chain 100% free of child-labour is a never ending task

The International Labour Organisation (ILO) estimates that between 2000 and 2012 child labour fell by 40% among girls and 25% among boys. While encouraging, Aidan McQuade, director of Anti-Slavery International stresses that it would be “beyond ludicrous” to think that a supply chain was free of child labour, claiming that many businesses are happy to take the cost reductions it entails.

While cost reductions might seem a short term win for business, child labour (besides being a clear human rights obligation to eradicate) undermines the long term success of business by inhibiting the development of a productive and skilled future workforce.

A supply chain 100% free of child labour should therefore be the goal of every business, but Gabriella Sethi, senior human rights analyst at Verisk Maplecroft, warns against pressurising companies to find short-term solutions. Eradicating child labour is a never ending process that demands constant monitoring. This is made all the more complicated by multi-layered, fragmented supply chains.

2. Codes of conduct can only go so far

Under the UN Guiding Principles, companies have a responsibility to respect human rights throughout the supply chain. However, supplier codes of conduct (CoC) can only go so far and the complex nature of global supply chains means there’s often a lack of visibility beyond tier one suppliers.

Nick Weatherill, executive director at International Cocoa Initiative, notes that reliably monitoring for CoC compliance in supply chains like African agriculture is tricky and no substitute for tackling root causes of child labour like income poverty, access to basic services or child protection.

3. There are root causes to consider

As Weatherhill suggests, child labour has systemic dimensions that often go beyond what any one company can do. Ursula Wynhoven of UNGC expands:

“Unless the root causes of child labour are addressed, the problem will persist and get shifted around to other companies and sub-sectors. Child labour is a vicious circle. If children do not have education opportunities, they will be unable to break out of the cycle of poverty and their communities will be unable to develop.”

To break the vicious cycle, the issue of child labour should be taken in its totality. For Joost Kooijmans, senior adviser on child labour at Unicef, sustained investment in poverty reduction, education, and girls under the Millennium Development Goals has contributed to the reduction in child labour since 2000.

While companies must be aware of how their own purchasing quotas in terms of quantities, time and price might pressure suppliers to rely on children, they should also understand and support comprehensive, bigger picture solutions which could include pre-competitive collaboration.

4. It’s a bad idea to expect companies to replace government

Although long lasting change will only come from addressing the bigger picture, ILO’s Simon Steyne warns against expecting companies to assume the responsibilities of governments, especially when it comes to ensuring rights to education and health. As Steyne points: “What happens to company provision if the company decides to move its supply chain elsewhere?”

5. Companies can use their leverage to support human rights

While David Weiss, Business Social Compliance Initiative, agrees that “it is probably neither effective nor legitimate to ask the private sector to provide for the fulfillment of all rights”, Sethi says that companies still have a degree of leverage to drive change in human rights policy.

“We mustn’t forget that economic growth is largely dependent on foreign investment – governments are therefore reliant on securing foreign investment for sustainable growth, so companies do indeed have some influence in this respect. A good example of the financial implications of failing to improve the labour rights framework comes from Disney [which terminated all its orders] in Pakistan.”

She adds: “In 2014, the Bolivian government essentially legalised child labour. It would have been really interesting to have seen companies sourcing from, or operating in Bolivia, to have used some of their leverage to persuade the government otherwise.”

6. Cultural acceptance is not an excuse for inaction

McQuade is very clear that businesses should work to eradicate child labour whether or not it is cultural accepted. Where local norms do not fit with universal human rights, Wynhoven says that with clear policies against the use of child labour and clarity about why it is harmful, companies can help to change perceptions.

Steyne explains that in ILO’s experience, working closely with families and communities helps most parents understand children are better off in school than in child labour. Where children are still dropping out of school to work, Steyne suggests delivering better quality, more relevant and rounded education can help prevent this.

7. Paying price premiums to farmers doesn’t necessarily eradicate child labour

The panel agrees that helping farmers earn more money is important, but it’s not the silver bullet. Although paying reasonable prices is good practice, Kooijmans notes that more cash income may not automatically lead to school enrolment and withdrawal from child labour.

From experience in west Africa, Weatherhill observes: “improved income but no access to school doesn’t prevent child labour, whilst access to school with no poverty eradication merely means that kids undertake hazardous work instead of school or outside of school hours.”

McQuade also adds that a farmer who is receiving a premium price for his cocoa is still likely to keep child slaves on his farm if that ethical threshold has already been crossed.

8. Blanket policy on child labour isn’t always useful

There is a huge difference between what is acceptable and what is a violation of human rights. Not all work children do constitutes child labour and a blanket policy against employing under 18s can have adverse consequences. As Wynhoven points out, decent work opportunities for young people are important for their development.

9. Companies can get creative with age verification

Last year, China Labour Watch found that children had been working for Samsung supplier Dongguan Shinyang Electronics after they had used false IDs and been hired by a subcontractor.

For Eniko Horvath, UN guiding principles researcher, Business and Human Rights Resource Centre, this is where the importance of local context and knowledge really comes into play. Sethi supports this with an example from a global food and beverage company sourcing from China which often asks employees which Chinese animal year they were born in rather than the numerical year. Similarly, Steyne adds that when interviewing families and children informally, you can ask about a big community event or festival at the time the child was born.

10. As consumers, we’re part of the puzzle too

A culture where consumers strive to make sustainable choices is important in pushing companies to think about working conditions in their supply chains. However, Hovarth maintains: “Consumer demand is not an excuse for companies. The cost of respecting human rights always needs to be part of any business model.”

Brought to you by Unicef:

The child rights and business hub is sponsored by Unicef. All content is editorially independent except for pieces labelled ‘brought to you by’. Find out more here.

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