How do multinational enterprises (MNEs) promote decent work in their global supply chains?

This International Labour Organization (ILO) report provides a comparative analysis of good practices across four different sectors to help understand the structure of MNE supply chains and how decent work is encouraged.

Carnstone provided insights into the tourism sector, writing Study 2. Among the key findings, the research indicates that hotel ownership models have a strong influence on the ability of a multinational chain to maintain standards and effect change throughout their supply chain. The approaches to maintaining standards through franchising agreements, informal agreements and through outsourcing and agency labour contracts, including the business opportunities and risks associated with these diverse arrangements are explored.

The ILO is the United Nations specialised agency devoted to advancing opportunities for women and men to obtain decent and productive work in conditions of freedom, equity, security and human dignity. This report was produced to encourage the exchange of ideas and provide inputs to the discussion on decent work in global supply chains at the 2016 edition of the ILO’s International Labour Conference.

To mark Human Rights day 2014, Carnstone provided input to the International Tourism Partnership’s ‘Know How Guide’ on Human Rights for the Hotel Industry. The document provides an introduction to human rights – what human rights are, the context of the hotel industry, steps to implement the UN Guiding Principles and resources for further reading.

The United Nations-supported Principles for Responsible Investment (PRI) Initiative is an international network of investors working together to develop a more sustainable global financial system. It has grown exponentially since 2006, now comprising over 1,200 signatories, with a combined US$45 trillion in assets under management.

Due to the rapid growth and changing nature of the PRI, Carnstone was appointed to carry out a formal review of the PRI’s governance structure and processes. The aim of this review is to assess what governance structure the PRI should adopt to fulfil its mission.

After an extensive fact-finding mission, comprising interviews, desk research, legal reviews and peer benchmarking, we produced a set of 10 practical recommendations to support the future growth and aims of the organisation. We presented these to the PRI Advisory Council at the United Nations Headquarters in July 2014. The PRI is currently consulting with its signatories on the 10 recommendations for change, a process also facilitated by Carnstone.

Please click below to see the full report with our recommendations. The ‘article’ link provides more information about the next steps of the governance review.

The ILO commissioned this report to explore current Human Resources (HR) and labour relations practice within major international hotel chains, regarded as 'standard setters' within the industry, in order to form a basis of future dialogue. The report explores the scope of HR policy across a number of international hotel chains and, by illustrating some of the frameworks they use, the way in which HR policy and labour relations are intended to be implemented.

The report presents an outline framework for what, in the authors' view, Best Practice in Occupational Health and Safety (OHS) governance looks like. This framework consists of seven basic principles covering: director competence; director roles and responsibilities; culture, standards and values, strategic implications; performance management, internal controls; organisational structure.

Corporate Responsibility is often challenging, and there are already heavy demands placed on Directors of large companies. However, effective Board action on sustainability issues need not involve onerous work. The secret of success is to ensure that - in choosing strategy, approaching regulation, designing incentives, shaping the organisational culture, and overseeing internal control - 'virtue' is rewarded.