Forced Labour: An Emerging Concern for Investors?

Global supply chains have become increasingly complex. Investors, shareholders, and stakeholders concerned about responsible business conduct in supply chains are paying increasing attention to risks in this area.
Investors could benefit from recognizing, assessing, and addressing the forced labour risks present in investee company supply chains. The United States government, along with international organizations, has issued guidelines to address and mitigate these risks.
ISS ESG research illustrates that even in cases where there is a high risk of association with forced labour, a majority of companies involved have not initiated processes to manage these risks.
ISS ESG has a range of tools available to aid investors in the identification, mitigation, and taking of action on forced labour risks in their portfolios.