The Role of Supply Chains in the Global Business of Forced Labour

Abstract

Supply chains are fundamental to whether decent work flourishes or not. Not only do supply chain dynamics shape employment practices and working conditions, but they also influence business models and capabilities which structure opportunities for decent work. As scholars and policymakers race to strengthen labor standards in supply chains and confront barriers to their effective implementation, management scholars can both benefit from and advance an understanding of the role of supply chains in giving rise to indecent work, especially the business practices commonly described as forced labor and modern slavery. To help realize this potential, this article draws from my research on the business of forced labor to emphasize three points. First, there are clear and discernible patterns with respect to the root causes of forced labor in supply chains. Second, forced labor in supply chains cannot be understood in isolation of broader dynamics of work and employment, since low-waged workers tend to move in and out of conditions of forced labor in relatively short periods of time. Third, on-the-ground studies of the effectiveness of buyer-centric governance programs reveal serious gaps between corporate social responsibility standards and business practices when it comes to indicators most relevant to forced labor. I conclude with a discussion of future directions in this research agenda and highlight the potential for business scholars to make a contribution.