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Big Chocolate: Child Slavery in the Cocoa Industry
Dick Marty was a Swiss Parliamentarian and former state prosecutor. In 2015, Marty led the Swiss Coalition for Corporate Justice (SCCJ), an alliance of Switzerland-based NGOs, in launching the Responsible Business Initiative (RBI) campaign. The proposed initiative aimed to introduce legal requirements for companies to undertake human rights and environmental due diligence under the Federal Constitution. If passed, corporations based in Switzerland could face legal risks for violations committed abroad. Numerous large corporations adamantly opposed the RBI, including Swiss cocoa giant Nestlé. The company had been at the center of multiple lawsuits and investigations, accused of aiding and abetting the enslavement of child laborers on cocoa plantations in West African countries since the 1990s. Yet, despite multiple efforts to reform Nestlé's supply chain, the child slavery problem persisted. In November 2020, the RBI was narrowly rejected in a national referendum. Marty and the SCCJ pondered how they could strive for corporate accountability in Switzerland. This case delves into concepts of business ethics, business law, corporate accountability, supply chain management, and modern slavery risks in global business environments. Students will explore the complex and pervasive issue of child labour in the global cocoa supply chain, discussing how and why the problem remains, despite broad public pressure, national and international laws, and even companies' own commitments to eradicating child labour. This case will encourage students to contemplate the problem of child slavery and accountability of multinational cocoa giants from diverse stakeholder perspectives. -
Social Auditing in Global Supply Chains: Forced Labor in the Malaysian Rubber Glove Industry
This case is written from the perspective of Ting-ting Loh, CEO of Aguila Safety Group (ASG). A prominent UK-based personal protective equipment (PPE) procurement company, ASG was one of the main suppliers of medical equipment to the UK National Health Service (NHS). During the COVID-19 pandemic, thousands of rubber glove factory workers in Malaysia tested positive for the virus. This reignited discussions and investigations of the labor practices in the factories. Numerous companies were accused of using forced labor, including some of ASG's direct suppliers. Ting-ting had to make important decisions about how to address the allegations of forced labor in ASG's supply chain, while continuing to meet demands for medical supplies during the pandemic.