Follow the practical solutions outlined in this free guidance produced by Liberty Shared and Orrick on the relevant safeguards to prevent human trafficking, forced labour and other forms of exploitation in franchises.
Taking accountability for the labour supply
The complex value chain connected with every hotel, demand for reasonably priced services, and the seasonality of the business expose the industry to risks related to labour supply.
Franchises are particularly exposed due to the structure of the business, with brands not having full control over the ethical standards and practices applied by franchisees.
Specific actions can be taken to address risks. These include supply chain mapping, thorough due diligence into different parts of the supply chain, and subsequent mitigation and management.
A further important action is to include risk management and mitigation processes into commercial terms of agreement with third parties be they suppliers or franchisees.
Lack of action could prove costly
Combating exploitation in business is no longer simply a moral imperative but a legal, financial and reputational issue with increasing regulation, momentum and awareness of exploitation in supply chains and beyond. As consumers become more educated and aware of the issue, there will certainly be much closer scrutiny of the efforts being made by the hotel industry to address the risks of exploitation.
Best practice guidance for franchising
“Implementing human rights in a franchise models is one of the most challenging steps of a human rights strategy. This guidance will be helpful to any hotel company willing to ensure that their franchisee’s operations have the relevant safeguards in place. We’re happy to support it and this will help the implementation of our Principles on Forced Labour and human rights goal.” Madhu Rajesh, Director, International Tourism Partnership
Download the free guidance to find out more.
