Workforce Health Across the Value Chain 2025
Page 18 of 40 · WEF_Workforce_Health_Across_the_Value_Chain_2025.pdf
You can enforce all the principles you want on the immediate
contract. The challenge arises when the subcontractor
subcontracts. If on their side, they involve other businesses in the
process, it is not immediately known to the original contracting
party unless they are informed or they do an investigation, and
that requires time and money. We often think that supply chains
are like a neat string of pearls. But, in fact, they’re more like a
bowl of spaghetti – each strand is intertwined and overlapping
with another. It’s hard to see where one starts or ends.
Sandro Pettineo, Senior Programme Officer, Employers’ Activities,
International Training Centre of the International Labour Organization
Companies that pursue transparency for strategic
insight will be better positioned to weather the
shocks ahead.65 IKEA, for instance, has long
maintained supplier standards through its IWAY
code of conduct.66 In response to evolving
expectations, the company has built a broader
social performance framework that integrates
labour standards, worker health safeguards
and stakeholder engagement, underpinned by
consistent reporting practices.67 This approach
reflects both regulatory alignment and a strategic
view that resilient workforces contribute to long-
term value creation.
However, the shifting economic landscape –
particularly the resurgence of tariff policies and
geopolitical trade tensions – is complicating these efforts. Some companies are using this disruption
as an opportunity to restructure supply chains
regionally, enhancing transparency and
enabling closer monitoring of environmental
and labour practices.68
The private sector is at an inflection point.69
Awareness is expanding from isolated compliance
functions to broader strategic planning. In this
evolving environment, long-term business success
increasingly depends on whether companies can
align economic strategy with investments in worker
health and climate resilience. The next step is to
move from understanding to action – building
mechanisms to translate this awareness into
durable, scalable investments in labour resilience
across the supply chain.
Our argument is simple: because of climate, you have put
in place reporting standards on emissions for one’s own
organization (i.e. Scope 1) and for the broader supply chain
(i.e. Scope 2 and Scope 3). However, why is this not the case for
health? That is the anomaly. Why is it that when it comes to the
social aspect of reporting there is a lapse and we do not apply
the same rigorous accountability standard?
Glen Mpufane, Director of Mining, Diamonds, Gems, Ornaments
and Jewelry Production and OHS Lead, IndustriALL Global Union
Workforce Health Across the Value Chain: Organizational Insights to Mitigate Risk and Create Sustainable Growth
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