Audit & Risk

OECD publishes supply chain guidance

The Organisation for Economic Cooperation and Development (OECD) has released guidance to help companies in the clothing and footwear sector to identify and prevent potential problems in their supply chains.

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The OECD has released a new Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector designed to help companies identify and prevent potential negative impacts related to human rights, labour, the environment and corruption in garment and footwear supply chains worldwide.

It recommends that enterprises take a collaborative and risk-based approach to identify ways to address the impacts of their operations and sourcing decisions and to monitor progress over time, while encouraging ongoing engagement with business partners in developing economies. It also calls on buyers to embed social, human rights and environmental considerations into their purchasing practices.

The OECD says it worked closely with emerging economies and businesses at all points of the supply chain, as well as with trade unions, non-governmental organisations and other experts to produce the guidance. It calls it a “concrete response” to the G7 Leaders’ Declaration adopted on 7-8 June 2015 in Schloss Elmau, which welcomed international efforts to “promulgate industry-wide due diligence standards in the textile and ready-made garment sector”. 

 

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