More on modern day of slavery:
Lack of Transparency in Supply Chains
Inadequate disclosures by companies are causing millions of supply chain workers to remain hidden, with companies failing to recognize or ensure their protection and well-being. A staggering 43% of companies provided no information about their supply chains, and not a single company disclosed the identities of their suppliers.
3. Renewables-Only Companies Falling Short
Surprisingly, companies exclusively reliant on renewable energy sources (44%) are trailing behind their peers with mixed energy offerings across various performance metrics. This revelation is particularly concerning given that the renewable energy transition is built upon sustainability and equity principles. It raises alarming concerns that some renewable energy companies may prioritize environmental concerns over human welfare.
4.Risk Mitigation as a Box-Ticking Exercise
The way companies respond to risks and incidents in the context of modern-day slavery appears, in some cases, to be a mere formality. Despite operating in a high-risk environment, 32% of companies failed to disclose any measures for identifying modern slavery risks. Shockingly, only three companies reported detecting an incident of modern-day slavery within their supply chains, suggesting that the actual number of incidents could be significantly higher. This implies either inadequate risk assessment and identification processes or a lack of transparency.
5.Lack of Supply Chain Due Diligence
More than a quarter of companies have no supply chain due diligence procedures in place, highlighting a critical gap in addressing modern-day slavery risks. While 67% of companies disclosed the presence of a whistleblowing mechanism, only 17% of these mechanisms included a focal point for reporting.
6.Concerningly Low Engagement with Modern Slavery Risks
The engagement of all companies with modern slavery risks within renewable energy product supply chains is alarmingly low. Shockingly, over half of the companies (53%) provided no disclosures related to sector-specific modern slavery risks.
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