The SupplyChainBrain Podcast Smoking Out Supply Chain Non-Compliance in North America
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Jan 31, 2025 Claire Fitton leads ethical trade audits at CEDEX and uncovers shocking truths about supply chain non-compliance in North America. She reveals that human rights violations, forced labor, and environmental breaches are closer to home than many think. The discussion emphasizes the value of SMETA audits and the need for in-person assessments to ensure worker safety. Fitton also stresses the importance of transparent supplier relationships and proactive compliance measures, especially amidst rising risks and climate change impacts affecting supply chains.
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North American Supply Chain Violations
- Nearly half of audited North American sites have wage-related compliance issues.
- Thousands of sites commit waste management violations, including lack of permits for wastewater disposal.
Increased Scrutiny of North American Supply Chains
- Sedex saw a tenfold increase in North American audits in recent years.
- This reflects growing awareness of near-shore risks among businesses.
Widespread Non-Compliance
- Non-compliance issues are present across North America (US, Mexico, and Canada).
- The US shows the most significant increase in audits and associated risks.