ESRS subtopic
Adequate wages
20
Equal treatment and opportunities for all
20
Other work-related rights
20
Working conditions
20
Name of the IRO
IRO type
Cause
Position in the value chain
Time Horizon
Realization stage
Affected stakeholders
ESRS subtopic
581
Promotion of living wage initiatives among suppliers leading to improved livelihoods
Positive impact
Encouragement and support for suppliers to pay living wages
Upstream supply chain
Investors
Communities
Suppliers
Potential
Adequate wages
582
Implementation of fair wage audits in the value chain leading to sector improvement
Positive impact
Regular assessment of wage practices among suppliers
Upstream supply chain
Investors
Local authorities
Suppliers
Potential
Adequate wages
583
Collaboration with NGOs to promote wage transparency leading to empowerment
Positive impact
Joint projects for wage reporting and advocacy
Upstream supply chain
Investors
Communities
Suppliers
Potential
Adequate wages
584
Support for seasonal and migrant worker wage rights in the value chain
Positive impact
Ensuring contracts and timely payments for temporary workers
Upstream supply chain
Communities
Local authorities
Suppliers
Potential
Adequate wages
585
Development of supplier wage benchmarking practices
Positive impact
Comparison and improvement of supplier wage levels
Upstream supply chain
Investors
Clients
Suppliers
Potential
Adequate wages
586
Payment of sub-minimum wages by suppliers contributing to worker poverty
Negative impact
Non-compliance with wage laws or agreements by suppliers
Upstream supply chain
Communities
Local authorities
Suppliers
Actual
Adequate wages
587
Delayed wage payments in the value chain contributing to insecurity
Negative impact
Irregular payroll by suppliers
Upstream supply chain
Investors
Communities
Suppliers
Actual
Adequate wages
588
Discrimination in wage practices in the value chain
Negative impact
Unequal pay for equal work among supplier employees
Upstream supply chain
Communities
Local authorities
Suppliers
Actual
Adequate wages
589
Use of informal labor by suppliers
Negative impact
Hiring without formal contracts or protections
Upstream supply chain
Communities
Local authorities
Suppliers
Actual
Adequate wages
590
Unclear wage structures among suppliers
Negative impact
Lack of transparency in supplier pay policies
Upstream supply chain
Investors
Clients
Suppliers
Actual
Adequate wages
591
Risk of legal sanctions for wage non-compliance in the value chain
Risk
Discovery of wage violations by authorities among suppliers
Upstream supply chain
Investors
Communities
Local authorities
Potential
Adequate wages
592
Loss of supplier loyalty due to uncompetitive wages
Risk
Suppliers losing workers to better-paying employers
Upstream supply chain
Investors
Clients
Suppliers
Potential
Adequate wages
593
Brand damage from wage scandals in the value chain
Risk
Media coverage of unfair pay by suppliers
Upstream supply chain
Investors
Communities
Clients
Potential
Adequate wages
594
Increased insurance costs for wage-related disputes
Risk
Insurers raising premiums for labor risks in the value chain
Upstream supply chain
Investors
Banks
Potential
Adequate wages
595
Operational disruptions from wage disputes in the value chain
Risk
Strikes or work stoppages at supplier sites
Upstream supply chain
Investors
Clients
Suppliers
Potential
Adequate wages
596
Development of “fair wage” certifications for suppliers
Opportunity
Certification and marketing for ethical pay among suppliers
Upstream supply chain
Investors
Clients
Suppliers
Potential
Adequate wages
597
Access to funding for supplier wage improvement initiatives
Opportunity
Grants or loans for wage reforms in the value chain
Upstream supply chain
Investors
Local authorities
Potential
Adequate wages
598
Partnerships with NGOs for supplier wage monitoring
Opportunity
Collaboration on wage transparency and advocacy upstream
Upstream supply chain
Investors
Communities
Suppliers
Potential
Adequate wages
599
Expansion into markets valuing fair labor practices in the value chain
Opportunity
Meeting requirements for responsible buyers
Downstream supply chain
Investors
Clients
End Consumers
Potential
Adequate wages
600
Brand enhancement through wage leadership in the value chain
Opportunity
Positioning as a sector leader in fair pay upstream
Upstream supply chain
Investors
Communities
Clients
Potential
Adequate wages
601
Promotion of anti-discrimination policies among suppliers
Positive impact
Adoption of strict non-discrimination practices by suppliers
Upstream supply chain
Communities
Clients
Suppliers
Potential
Equal treatment and opportunities for all
602
Support for diversity hiring by suppliers
Positive impact
Outreach and recruitment of underrepresented groups by suppliers
Upstream supply chain
Communities
Clients
Suppliers
Potential
Equal treatment and opportunities for all
603
Development of equal opportunity certifications for suppliers
Positive impact
Certification and marketing for inclusive practices among suppliers
Upstream supply chain
Investors
Clients
End Consumers
Potential
Equal treatment and opportunities for all
604
Training on unconscious bias for supplier management
Positive impact
Regular training and awareness campaigns for supplier staff
Upstream supply chain
Communities
Clients
Suppliers
Potential
Equal treatment and opportunities for all
605
Promotion of gender equality programs in the value chain
Positive impact
Support for women in leadership and training among suppliers
Upstream supply chain
Investors
Communities
Suppliers
Potential
Equal treatment and opportunities for all
606
Discriminatory hiring or promotion practices by suppliers
Negative impact
Bias in recruitment or advancement by suppliers
Upstream supply chain
Communities
Local authorities
Suppliers
Actual
Equal treatment and opportunities for all
607
Harassment or bullying by supplier management
Negative impact
Failure to address inappropriate behavior among supplier staff
Upstream supply chain
Investors
Communities
Suppliers
Actual
Equal treatment and opportunities for all
608
Unequal pay or benefits among supplier employees
Negative impact
Disparities in compensation or perks among supplier staff
Upstream supply chain
Communities
Local authorities
Suppliers
Actual
Equal treatment and opportunities for all
609
Barriers to advancement for minorities among suppliers
Negative impact
Limited career development support in supplier organizations
Upstream supply chain
Communities
Clients
Suppliers
Actual
Equal treatment and opportunities for all
610
Failure to accommodate disabilities among supplier staff
Negative impact
Inadequate facilities or support for disabled workers
Upstream supply chain
Clients
Local authorities
Suppliers
Actual
Equal treatment and opportunities for all
611
Risk of legal sanctions for discrimination by suppliers
Risk
Discovery of discriminatory practices by authorities among suppliers
Upstream supply chain
Investors
Communities
Local authorities
Potential
Equal treatment and opportunities for all
80 rows