Pressing companies to develop public vendor standards compliance reports is a catalyst that will lead to progress on key labor rights issues such as humane treatment of workers, prompt payment of agreed upon wages and overtime, and freedom of association.

No company wants to publish a report that shows its compliance efforts are poor. A commitment to transparency taken seriously by corporate management should result in an increase in resources and internal efforts by companies to improve supply chain factory compliance problems so that a public report reflects significant progress in compliance efforts. Thus a commitment to transparency can help spark management to seriously address supply chain vendor compliance, which in turn should result in better treatment of workers.

Few companies have provided an adequate public accountability mechanism such as an annual report to shareholders on progress made in verifying levels of vendor compliance with their codes of conduct and challenges that remain.

Disclosure can protect valuable brand names from lawsuits and controversies that can erode shareholder value. Failure to act on allegations of labor abuses at supplier factories has damaged the reputations of marketing giants like Nike and Gap. As You Sow's leadership has helped to transform the quality of corporate reporting on vendor standards as reflected in the ground-breaking public reports on vendor compliance with their codes of conduct and challenges that remain.

Disclosure can protect valuable brand names from lawsuits and controversies that can erode shareholder value. Failure to act on allegations of labor abuses at supplier factories has damaged the reputations of marketing giants like Nike and Gap.

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