Sector Risks

Corruption

About the sector risk

Bribery and corruption, according to the OECD , are often gateway offences to many other forms of violations, including child and forced labour, discrimination, non-compliance with labour protection and environmental standards. They are among the sector risks defined by the OECD for the textile and clothing industry. Corruption offences include bribery and corruption as well as granting and accepting benefits. Corruption often goes hand in hand with the violation of human rights and the circumvention of environmental standards by contracted suppliers.

The OECD recommends that companies implement a corruption risk assessment process before entering into a business relationship with suppliers or producers. This is particularly true if they operate in countries with a high risk of corruption. Companies should establish clear rules and procedures on how to carefully screen and select suppliers.

How does the Textiles Partnership address the sector risk?

The Partnership for Sustainable Textiles requires its members to commit to zero tolerance of all forms of corruption, including extortion and bribery, in their own organisation and in the supply chain. Each member must demonstrate this in the review process, for example in the form of a policy or code of conduct. Measures to prevent corruption include risk analyses, contractual agreements with suppliers and agents, supplier qualification measures, training on anti-corruption and integrity, transparent audits and reporting or an anonymous reporting sys-tem with whistleblower protection.

The guide "Preventing Corruption in the Supply Chain – How Companies can address Chal-lenges" helps companies to successfully implement measures to prevent corruption in the supply chain. It was published in cooperation with the Alliance for Integrity and the German Global Compact Network. The guide is now available in five languages: German, English, Bahasa, Portuguese and Spanish.

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