The global slavery index reveals risks of global sourcing

  • Written by Peter Needle
  • Published on 20 November 2014
  • News Blogs

The second edition of the Global Slavery Index has just been released, and reveals that nearly 36 million people are currently in conditions of modern day slavery. Why is this such a threat for ethical companies, and how can supply chain management strategies help to reduce these risks?

A remnant of a bygone era

The Walk Free Foundation estimates that 35.8 million individuals across 167 countries are slaves, following extensive research examining the prevalence of global modern day slavery. This total is 20% more than previously estimated, but measuring modern slavery is fraught with challenges due to the concealed nature of this practice. Victims of human trafficking, forced labour and debt bondage are rarely able to speak up for themselves, much less demand better conditions of employment, and the individuals who benefit from their exploitation are also unlikely to discuss these practices.

“There is an assumption that slavery is an issue from a bygone era,” explains Andrew Forrest, Chairman and Founder of Walk Free Foundation, “Or that it only exists in countries ravaged by war and poverty. These findings show that modern slavery exists in every country.”

However, studies such as these can help countries around the world to make a difference. “The first step in eradicating slavery is to measure it,” says Forrest. This research can act as a tool for civil servants, businesses and non-government organisations to understand the scale of the problem and the contributing factors, so that they can build social and legal policies which can tackle the issue.

Contributing factors for modern slavery

So what factors explain or predict the prevalence of modern slavery? The Global Slavery Index examines many contextual factors that can affect the vulnerability of a population. These include:

  • The level of political stability in the country
  • The level of economic and social development
  • National standards of law enforcement and legal policies
  • The prioritisation of human rights protections
  • The extent of women’s rights and other social discrimination
  • The global garment supply chain

The Asia Pacific region is well-known for the availability of cheap labour, which heavily contributes to global supply chains across various sectors. This area of the world has several contextual factors that contribute to conditions of modern day slavery, including legal corruption, widespread poverty and unemployment issues.

In 2014, 66% of people living in slavery globally are based in the Asia Pacific region. None of these countries have made a commitment to address modern slavery through government procurement processes, and many seem unwilling to implement drastic ethical changes. 

Promoting supply chain transparency

The link between modern slavery and supply chains is often complex, and many consumers want assurance that their purchased items are ethically sourced.

Camilla Brown, CEO of our charity partner Unchosen, explains: “Forced labour implies a supply chain role that affects and is affected by the general public. This makes it a consumer responsibility to address forced labour in the bid for supply chain transparency.”

The United Kingdom was identified in the latest Global Slavery Index as one of the countries leading the fight to end modern day slavery, alongside the United States, Australia and several Nordic nations. However, many UK companies have been found to have supply chain links to conditions of slavery as a result of global sourcing. While we are succeeding in eliminating slavery in our own country, we run the risk of inadvertently supporting such practices in others.

Organisations must carefully monitor their entire supply chain and check that each manufacturer, supplier and subcontractor conforms to set ethical standards. This is easier said than done, but it is possible, and there are technology platforms that can help them to achieve supply chain transparency.

Segura enables companies to monitor their secondary supply chain, tracking orders within a framework of pre-approved suppliers. The cloud-based platform makes supply chain management simple and effective.

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