AIM-Progress and Oxfam published the Executive Summary of the AIM-Progress Grievance Mechanism Roll-Out Project (July 2024). The report outlines key learnings from the project, which included 19 Tier 1 suppliers of three AIM-Progress members across 15 countries.
Human Level’s Take: Implementing worker-driven grievance mechanisms is a key strategy for companies and their suppliers to understand the risks and impacts that workers are facing in the workplace. They’re also a source of learning that can improve practices over time and, importantly, they can help increase trust and transparency between managers and workers that can lead to a happier, more productive staff. With the participation of suppliers across 15 different countries, Oxfam, AIM-Progress and several of its member companies identified some top learnings for other buying companies and their suppliers on creating effective worker grievance mechanisms. One that caught our attention is the need for a “mindset shift” among supplier management. Rather than feeling as though creating a grievance mechanism is a tick-box exercise to comply with a buyer’s demands, helping suppliers see the value of effective grievance mechanisms can mean better working environments, a stronger company culture and increased productivity from a more engaged workforce. That said, the report rightly pointed out that suppliers will need support from brands to implement effective mechanisms. This can take the form of financial resources, contribution to remedy, providing access to dedicated platforms with resources, and fostering cross-learning between suppliers within regions or sectors. The project successes reported by AIM-Progress and Oxfam shows the value for buyers of investing in ways to strengthen worker voice.
Key points from the report:
- Three main learnings: The project determined that there is a need for a “mindset” shift among suppliers to involve workers in developing grievance mechanisms. In the project, this came about when supplier management observed the positive impact of strengthening mechanisms. Second, once workers’ inputs were heard and implemented by supplier management, workers tended to get more involved in the operation and governance of grievance mechanisms, e.g., as elected grievance officers, spokespeople or members of worker committees. This involvement improved trust, communication, positivity and productivity. Third, suppliers need support from buying companies to create and sustain effective grievance mechanisms. Key areas where brands can support include providing support as their suppliers implement the mechanism; sharing tools and resources; monitoring and reporting on the effectiveness of grievance mechanisms and on trends and systemic issues; and developing shared forums for feedback and lessons sharing on implementing worker grievance mechanisms across regions.
- Implications for downstream buyers: The report identifies learnings that companies can apply to their own supply chains. For one, while suppliers often face the same types of issues with regard to workers’ rights, they need resources and support specific to their activities and regional differences. In the same vein, suppliers need tools that they can adapt for their context, such as the project’s grievance mechanisms toolkit. In addition, suppliers benefit from ongoing support to sustain grievance mechanisms, which could be achieved by creating joint initiatives for suppliers at the regional or sectoral level, or by providing access to resources through dedicated platforms. It’s also crucial to get supplier management onboard with the approach of integrating worker feedback. Finally, support from brands—like financial assistance, guidance, collaboration and providing remedies when necessary—can help drive progress.
- Implications for suppliers: The project found that suppliers who participated in the grievance mechanisms initiatives had several long-term positive impacts. First, they had increased visibility into the areas of concern for workers. Second, they showed reduced worker turnover and absenteeism. Relatedly, they also experienced improved productivity. Fourth, suppliers demonstrated a strong ability to remediate issues and implement changes to address worker concerns and systemic issues. This resulted in a more motivated workforce.