Dozens of technology firms are endangering supply chain workers by failing to meet basic standards for protecting them from forced labor and human rights abuses. A recent analysis by KnowTheChain (KTC), a project from the Business & Human Rights Resource Centre, reveals that many of the world’s leading tech companies are not taking their responsibilities seriously.
KTC looked closely at 45 global tech firms, scoring them from 0 to 100 based on their efforts to combat forced labor. Shockingly, only three companies—Hewlett Packard, Samsung, and Cisco—scored above 50, while the average score was a mere 20.
The problem of forced labor and modern slavery is significant in the tech industry, particularly in the mining of raw materials and the production of components essential to tech products. The International Labour Organization estimates that 24.9 million people are victims of forced labor worldwide, and the Global Slavery Index puts that number at 40.3 million.
The latest KTC report pointed out that after analyzing tech firms again in January 2023, it found them “abjectly failing” to address forced labor risks, even as their profits soared. Despite some progress in establishing policies and governance, KTC highlights a worrying disconnect between what companies say they will do and what actually happens on the ground. Almost half of the firms assessed scored less than 15 out of 100, with several scoring as low as 0 to 4.
The situation is particularly concerning in regions like China, Taiwan, and Malaysia, where the risks associated with forced labor are well-documented. KTC’s findings show that buying practices and support for workers’ rights are the weakest links, with averages as low as 5 out of 100.
While a majority of tech firms shared information on their human rights assessments, only one in five could provide concrete examples of stakeholder engagement related to risk assessment. This suggests a lack of commitment to genuinely prioritizing worker rights. The “just-in-time” production methods common in the sector increase the likelihood of abuses occurring, and Taiwan’s migrant workforce is especially vulnerable to exploitation through practices like recruitment fees and misleading contracts.
Áine Clarke, heading KTC, emphasizes that corporate promises about human rights don’t translate into real change for workers. The gap between stated commitments and actual implementation leaves workers exposed to exploitation. KTC is urging tech leaders to take immediate, actionable steps to integrate comprehensive human rights due diligence into every aspect of their supply chains.
The organization also recommends engaging with unions and labor representatives to better uphold workers’ rights. Despite a growing public awareness and legal demands for accountability in forced labor practices, many companies continue to depend on voluntary reporting and static audits, contributing to an environment of corporate complacency.