NGOs call for EU crackdown over “appalling working conditions” of cashew nut workers
The NGOs ActionAid and Traidcraft are calling on the EU to set up a regulator to improve the conditions of workers at the bottom of international supply chains after reporting that cashew nut workers in India are earning an average of 30 pence a day and are suffering permanent damage to their hands. During the de-shelling process, cashews release a corrosive liquid which causes acid burns in contact with skin. Although hand protection is available in some processing plants, the NGOs state that many workers have to pay for rubber gloves to counteract the acid, which not all workers can afford. Liz May, the head of policy at Traidcraft, said that "farmers and workers across the world are suffering every day because of unfair trading practices by supermarkets. It's time the EU took action and set up a regulator with the power to stop abuses by retailers that result in extremely low pay and appalling working conditions." (The Guardian)
Employees
KPMG report: One in five UK workers paid less than living wage
According to a new report by KPMG, one in five UK workers are paid less than the living wage. The living wage, which is currently £8.80 per hour in London and £7.65 across the rest of the UK, is independently assessed according to the basic cost of living in the UK and is updated annually. According to the Living Wage Foundation, nearly 100 organisations across the UK are accredited living wage employers, including the insurance firm Aviva, the law firm Linklaters, Deloitte, the UK Labour Party and KPMG. The findings of the report show that 16 percent of workers in London, 24 percent of workers in Northern Ireland and 23 percent of workers in Wales are not being paid the living wage, with bar and restaurant staff and cleaners among the worst affected. Marianne Fallon, the head of corporate affairs at KPMG in the UK, said that “paying a living wage makes a huge difference to the individuals and their families and yet does not actually cost an employer much more.” (Blue & Green Tomorrow)
CSR Management
Customers and employees decide H&M charity focus
The Swedish clothing retailer H&M has conducted an online survey of its employees and customers to decide on what issues its Conscious Foundation should address. More than 100,000 people voted online across five categories, with the issue of safe access to clean water and sanitation gaining 40,000 votes, followed by 21,504 votes for opportunities for women through education and economic empowerment and 21,309 votes for championing equal rights to education. Customers and employees voted across the world through an online forum, with the majority of votes from Sweden, Germany and the Netherlands. Voters could also opt for safeguarding natural resources or reducing poverty through self-empowerment. The H&M Conscious Foundation, a non-profit organisation, which was set up in 2007 when the Swedish fashion retailer turned 60, will now decide which three international organisations to partner with to address the three issues and will launch action programmes in 2014. (Bloomberg)
Tax
Deloitte accused of giving tax avoidance advice
The international NGO ActionAid has accused Deloitte of advising global businesses on how to avoid paying tax in some of Africa’s poorest countries. ActionAid has announced that it has obtained documentation showing that Deloitte has advised global companies to structure their investments through Mauritius to gain significant tax advantages, including zero capital gains tax. Deloitte presented the document Investing in Africa through Mauritius, at a conference for international businesses two weeks before this year's G8 conference in Loch Erne, Northern Ireland, when world leaders promised action to help impoverished nations improve their tax regimes. Deloitte said that the strategy is not about tax avoidance and attracts much needed investment to the countries involved. Toby Quantrill, a tax justice policy adviser at ActionAid, said that "developing countries need to grow their tax revenues, which are vital to help lift people out of poverty. But that can only properly happen if large companies stop avoiding their taxes." (The Observer)
Responsible Investment
Dutch town is the first in Europe to divest from fossil fuels
The Dutch town of Boxtel is set to become the first municipality in Europe to divest from fossil fuels companies. At the Fossil Free Europe campaign event organised by the environmental NGOs Greenpeace and 350.org in Amsterdam last week, Boxtel government officials announced that the town will divest from over 200 oil, gas and coal companies in which it has shares. Boxtel, a small town located in the south of the Netherlands, was the first of 100 Dutch municipalities to ban fracking until 2015 on environmental and health grounds in September 2013, pending further research into the technology. Boxtel has called for other towns and cities to divest from fossil fuel companies. This news follows France’s national ban on fracking which was upheld by the French constitutional court in October 2013, despite protests from energy firms. (Blue & Green Tomorrow)
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