Key points
- We have published our Human and Labour Rights Policy, reflecting a clear framework and engagement approach on social issues.
- Supply chain complexity, regulatory scrutiny, reputational risk, and shifting geopolitical pressures mean that businesses must be able to demonstrate robust human rights practices.
- Recent case studies show how we recognise strong practice while pressing companies to address high-risk labour and human rights issues in their operations and supply chains.
Human rights risks have become increasingly material for companies and long-term investors alike. Here we highlight some of our stewardship work in this area with the publication of a new policy.
Supply chain complexity, regulatory scrutiny, reputational risk, and shifting geopolitical pressures mean that businesses must be able to demonstrate robust human rights practices. Further, human rights risks are ever-present for companies. For example, according to the International Labour Organisation, an estimated 27.6 million people were trapped in forced labour globally in 2021, generating around $236bn in profits each year.[1]
Regulatory scrutiny of human rights and labour standards has intensified in certain countries in recent years. New and expanding legislation – including the UK and Australian Modern Slavery Acts, Germany’s Supply Chain Due Diligence Act, and France’s Duty of Vigilance Law – is increasing expectations on companies to identify and address risks across their value chains. Non-compliance can result in fines, legal liability, exclusion from procurement contracts, and reputational damage.
Against this backdrop, Sarasin & Partners has introduced a Human and Labour Rights Policy. It highlights our focus on the ‘social’ dimension of ESG and our structured approach to stewardship in this area.
The policy brings labour rights and human rights together within a single framework. It reflects deepening in-house expertise, enabling intensified engagement with companies and providing a clear articulation of what we expect from them.
A clear framework for companies and stewardship
Our new policy establishes expectations for investee companies in three key areas:
- Human rights commitments and due diligence.
- Labour practices.
- Geographic and commodity-specific risks.
These expectations draw on established international frameworks, including the UN Guiding Principles on Business and Human Rights and ILO Core Conventions.
While human rights challenges persist globally, our policy helps guide where and how we engage with companies on material risks. The three examples below show how this approach informs our stewardship work in practice, highlighting where we have engaged with companies to improve disclosure, strengthen due diligence processes, and raise standards across operations and supply chains.
Ahold Delhaize: strengthening grievance mechanisms across supply chains
Ahold Delhaize is a major international food retailer, operating supermarket and ecommerce brands across Europe, the US and Indonesia.
Why it matters. Grievance mechanisms give workers, including those in supply chains, a safe way to raise concerns. Without effective channels, companies risk being unaware of issues until they escalate into operational or reputational crises.
What we observed. Ahold Delhaize’s ‘Speak Up’ lines offer anonymous, multilingual reporting to employees, suppliers, and third parties. The company discloses usage metrics and reviews effectiveness quarterly.
How we engaged. In 2025, we met the CEO and Head of Sustainability to discuss human rights risk management and opportunities for improvement.
What improvement looks like. We encouraged Ahold to expand the practical reach of its grievance channels, improve reporting on progress, and share outcomes from its human rights impact assessments.
Best practice would be an accessible grievance channel which is accessed by those in the company’s own operations and supply chains alike. The effectiveness should be assessed on a regular basis, and combined with transparent reporting, helps ensure that concerns are raised early and addressed appropriately.
Costco: addressing forced labour in seafood supply chains
Costco is a global membership-based retailer known for its large warehouse stores and extensive own- and private-label ranges.
Why it matters. Seafood supply chains, from fishing vessels to processing facilities, are known to carry forced labour risks. Public investigations have also highlighted concerns about potential links to Uyghur forced labour in the sector.
What we observed. Costco has dedicated significant efforts into enhancing the traceability of seafood supply chains, particularly through its role in the Seafood Taskforce. Its recent work includes supplier mapping for products such as tuna and shrimp.
How we engaged. We led a collective letter to Costco in June 2025 and held a subsequent meeting with the company’s human rights lead which addressed our supply chain concerns.
What improvement looks like. In our dialogue, we asked Costco to:
- Expand disclosure of its traceability progress and oversight mechanisms.
- Explicitly address Uyghur forced labour as a salient human rights risk.
- Improve communication access for vessel-based workers, including Wi-Fi, which is a key enabler for worker voices.
Best practice would look like enhanced efforts to drive supply chain traceability, clear public reporting, and meaningful human rights due diligence to protect vulnerable workers in high-risk supply chains, including participation in industry coalitions to drive up standards.
Bridgestone: improving standards in natural-rubber supply chains
Bridgestone is one of the world’s largest tyre and rubber manufacturers, supplying automotive companies globally and sourcing natural rubber from high-risk regions.
Why it matters. Natural rubber supply chains carry serious human rights and labour risks, including child and forced labour, underpaid wages to vulnerable workers, and dangerous chemical exposure.[2][3][4][5]
What we observed. At Bridgestone’s own Firestone Liberia plantation, civil-society organisations have reported alleged labour rights violations.[6] A separate audit at the Bridgestone Indonesia Bekasi Tire Plant identified gaps against ILO standards, though limited progress updates have been disclosed.[7]
How we engaged. Our recent actions include:
- Raising concerns directly with the company during a meeting in Japan.
- Signing a collaborative investor letter led by SHARE Canada.
- Sending a post-proxy letter outlining expected improvements.
- Organising a further engagement call for early 2026.
What improvement looks like. We have asked Bridgestone to disclose full audit protocols and outcomes of audits conducted at its sites, publish its Human Rights Implementation Guidelines publicly to allow investors to assess its mitigation strategies, and report more transparently on supplier-level due-diligence, traceability, and mitigation.
Looking ahead
Human and labour rights are central to long-term resilience in global supply chains. Our policy provides a clear, consistent framework for assessing risk and directing stewardship efforts where they can have the greatest impact. It also reflects our belief that companies with strong human rights practices are better placed to support long-term value creation.
With internal expertise and an ambitious engagement programme, we aim to continue to drive better standards, and support clients by identifying risks and opportunities that matter for sustainable long-term returns.
[1] www.ilo.org/publications/major-publications/profits-and-poverty-economics-forced-labour
[2] www.spott.org/wp-content/uploads/sites/3/dlm_uploads/2024/09/ZSL_SPOTT-Rubber-Investor-Report-v2-1.pdf
[3] www.spott.org/wp-content/uploads/sites/3/dlm_uploads/2022/06/SPOTT-Rubber-Report-Singles-Jun-22-update.pdf
[4] winrock.org/wp-content/uploads/2022/09/Thailand-CTIP-Tapped-Out-Rubber-Industry-002.pdf
[5] www.bloomberg.com/news/articles/2025-04-16/the-abuse-allegations-at-rubber-plantations-supplying-top-tiremakers
[6] www.ilawnetwork.com/wp-content/uploads/2024/12/International-labor-law-and-violations-of-human-rights-standards-at-Bridgestone-Firestone-rubber-plantation-in-Liberia-1.pdf
[7] www.bridgestone.com/responsibilities/social/human_rights/
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