Question 1 – do we need a binding convention on corporate accountability for labour standards in supply chains?
We do. Sitting on top of global supply chains (GSCs), multinational corporations (MNEs) coordinate complex webs of subsidiaries, subcontractors, and suppliers. Lead firms choose where they operate and from whom they source, and as a result have a great deal of power within the GSC model. However, traditional legal frameworks have proved insufficient to hold MNEs to account for the abuses taking place in their own supply chains. Victims of severe exploitation – including human rights violations – are often left unprotected, without justice or compensation.
A binding international convention would represent an opportunity to address some of the key governance gaps that are currently letting corporations ‘off the hook’ for the negative human rights impacts of their conduct. In particular, it could address:
