Bangladesh Tragedy Reinforces Need for Corporate Action to Ensure Health and Safety in Supply Chains

New York, United States of America

(New York, 1 May 2013) – Today, on International Workers’ Day, an international celebration of the labour movement, the UN Global Compact is urging companies to step up efforts and engage in the fight to improve occupational health and safety standards. Following the recent Rana Plaza building collapse in Dhaka, Bangladesh claiming over 400 workers’ lives, there is a long way to go until companies everywhere put principles into practice, not just at headquarters but throughout the supply chain.

“While the recent incidents involve mainly the apparel industry, the problems appear to be systemic,” said Georg Kell, UN Global Compact Executive Director. “It is important that manufacturing industries ensure respect for human rights and labour standards, and commit to supply chain sustainability to avoid similar incidents in the future.”

In its annual implementation survey of corporate participants, the Global Compact has found that companies are highly challenged to take actions that support and incentivize supplier adherence to sustainability principles in the supply chain. Only a minority of companies report that they assist suppliers with setting goals (18%), reward performance on sustainability (15%), and review or verify remediation plans (16%).

The Global Compact has developed a number of tools and resources to address these critical issues:

  • The recently-launched note, Occupational Safety and Health in the Supply Chain, developed in collaboration with Better Work (ILO/IFC), calls on business to invest in good OSH practices to improve long-term value, and provides guidance for companies and their suppliers on improving safety and health in the workplace. It promotes occupational safety and health systems in order to protect the well-being of workers, while reducing operational risks for both suppliers and buyers. Included are practice examples from individual companies and descriptions of partnerships, initiatives and resources to assist companies in improving occupational health and safety.
  • Companies can participate in an online discussion forum on health and safety through the Human Rights and Business Dilemmas Forum, which outlines the challenges faced by multinational companies in their efforts to respect and support human rights when operating in emerging economies. The Forum also provides case studies and resources to help address these issues.
  • Supply chain management resources are available on the Global Compact website, including the Resources and Practices portal, a one-stop-shop for businesses seeking information about supply chain sustainability.

Media Contact

Kristen Coco
Public Affairs and Media Relations
UN Global Compact
cocok@un.org