Ferrero’s human rights progress report underlines key work tackling child labour issues

Ferrero has underlined its core commitment to ethical sourcing in its latest progress on human rights report addressing support for supply chain communities and tackling child labour, writes Neill Barston.
As the company noted, since its inception in the 1940s, respect for the complete value chain of its global operations remains of critical importance, as has been examined at our World Confectionery Conference, with the company returning to play its part once again in our event in Brussels on 11 September at the Marriott Hote, Grand Place.
The Italian founded firm’s latest report affirms that “upholding human rights is essential for sustainable business operations and community value creation, and we are resolute in our mission to eradicate all forms ofmodern slavery, including human trafficking, forced, compulsory and prison labour, as well as child labour.”
As the business noted, its policies are informed by the United Nations Guiding Principles on Business and Human Rights, the International Bill of Human Rights, and the International Labour Organisation (ILO) Fundamental Labour Conventions.
In terms of implementation, the company notes that as human rights issues are often wider systemic issues, it encourages other stakeholders to adopt its position on using due diligence monitoring to assess conditions, in order to identify and remediate any matters that arise.
Notably, as reported by Confectionery Production, the company has, along with many other leading companies in the confectionery sector, welcomed the key roll-out of major legislation including the EUDR (on deforestation), as well as related corporate due diligence legislation making its way through the EU parliament – with the former having been subject to delays until the end of this year in bringing frameworks forward due to wider political and industrial lobbying from some sectors.
In terms of the key cocoa sector issue of child labour, which still impacts some 1.5 million young people in Ghana and Ivory Coast which accounts for two thirds of the cocoa trade, Ferrero has reported success in working with Save the Children and the Centre for Child Rights and Business to develop Guidelines on Child Labour Prevention and Remediation in the cocoa
supply chains of Ivory Coast and Ghana over the past three years to strengthen actions on the ground.
According to Ferrero, these guidelines align closely with its Human Rights Policy Statement, Supplier Code, Cocoa Charter and international standards like the UN Guiding Principles on Business and Human Rights and the Children’s Rights and Business Principles.
The Guidelines offer practical steps for supply chain partners to combat child labour, including: Child labour due diligence Child rights awareness campaigns, Responsible recruitment practices, Child protection systems, Safe working and living conditions for young workers, Fair wages, Responsible sustainable sourcing, Solutions addressing the root causes of child labour
As the company noted, since 2022, it has worked with Save the Children to support suppliers and cooperatives, and it is set to use insights from this work to approach and scale up its efforts this year.
Additional success
Moreover, according to the company, its existing work with Save the Children from 2020 has aimed to safeguard and enhance the lives of over 18,000 children, adolescents and young adults who are vulnerable to various forms of child labour and hazardous work.
This is now in its fourth year, the project has achieved significant milestones in reducing child labour and fostering community development. This success is attributed to the robust partnerships established with key stakeholders, including supply chain actors, local authorities and local organisations
Speaking in the report, Isabel Hochgesand, Chief Procurement Officer, asserted that a due diligence based system has been at the heart of its operations and would continue to do so.
She said: “In today’s world, marked by geopolitical instability, challenges in commodity supply chains and the pressing climate crisis, the importance of human rights has been put into the global spotlight. These complex and interconnected issues underscore the necessity of safeguarding human rights as a cornerstone of sustainable business practices.
Now more than ever, companies must demonstrate leadership in navigating these challenges to ensure that economic pursuits do not come at the expense of human dignity and welfare. At Ferrero, we are dedicated to ensuring that respect for human rights is at the forefront of our procurement practices. Our goal is to cultivate a people-centred, inclusive and sustainable value chain that prioritises the well-being of all individuals involved.
By implementing a due diligence-based approach, we aim to create positive impacts not just for our business, but for the communities we work with. Collaboration and partnership are essential, and we expect our value chain partners to uphold human rights together with us. We invite our stakeholders to read our Human Rights Progress Report to gain deeper insights into the strides we are making in this area. We welcome your engagement and collaboration as we continue to respect and promote human rights. Together, we can build a future where business success goes hand in hand with social responsibility, ensuring a positive legacy for generations to come.”