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04 August 2020 Gender equality now – including in the Supply Chain Act!

Women and girls are particularly affected by the negative effects of global economies. They are paid less than their male counterparts and experience sexualised violence and harassment in the workplace. In August, the Federal Ministers plan to adopt cornerstones for a supply chain law in the Cabinet. Together with an alliance of 12 human rights and development organisations, we are calling for more gender equality in global supply chains.

Federal Ministers present results of NAP monitoring

In mid-July 2020, Federal Minister Gerd Müller and Hubertus Heil presented the results of the Federal Government's survey on human rights compliance along global supply chains. The alarming result: Only about one-fifth of companies comply with their due diligence obligations. A large proportion of German companies disregard human rights in their supply chains. In the so-called NAP monitoring, more than 2,000 German companies with more than 500 employees were surveyed. They should provide information on how they implement their corporate due diligence obligations, as enshrined in the National Action Plan, NAPs for short. Among other things, companies should assess whether their economic activities are detrimental to people and the environment; If this is the case, they should take measures to prevent and remedy it.

Key Points for a Supply Chain Act in August

In August, the Federal Ministers plan to adopt cornerstones for a supply chain law in the Cabinet. The disastrous results of the NAP monitoring are encouraging: Since less than half of companies voluntarily comply with their due diligence obligations, the Federal Ministers are now seeking the adoption of a supply chain law. A few weeks ago, it was already leaked that the liability rules for companies should be defused.

No loosening of liability rules

Together with more than a hundred other organizations of the Supply Chain Act initiative We call for: Companies need to analyse risks along all their supply chains worldwide, take preventive measures, report transparently on their activities and provide relief to injured parties. Companies must be held civilly liable for offences abroad, so that injured parties have the opportunity to claim damages in German courts. There must be no easing of liability rules simply because companies are active in industry or sustainability initiatives.

Gender equality now – including in the Supply Chain Act!

In addition, gender equality must become a central part of the Supply Chain Act. This is what we are calling for together with an alliance of 12 human rights and development organisations. Our common Position paper focuses on human rights violations against women and girls and formulates demands on companies and politics. For example, they are far more exposed to gender-based and sexualised violence in the workplace. And women still earn significantly less than their male counterparts worldwide. In addition, there is a large inequality in the distribution of domestic and care work, which women and girls do free of charge for family and society, leading to a significant double burden for them. Regulations on work during pregnancy, maternity protection and breastfeeding are often systematically disregarded.

Corporate and political demands

We encourage companies to embed gender considerations at all stages of their due diligence. In their risk and impact assessments, companies should be gender-sensitive and take concrete measures to reduce gender inequality. This may include, for example, working with their business partners to achieve equal pay and living wages, as well as offering social security systems. It should also commit all business partners to zero tolerance of sexual violence and harassment at work.

We call on the Federal Government to pay particular attention to gender-specific aspects when drafting a supply chain law. The Federal Government should also establish the position of a Commissioner for Business and Human Rights, who is particularly promoting the issue of gender equality in global supply climbs.