Social Compliance Audit

A social compliance audit is the independent assessment of whether a facility's working conditions conform to the customer's code of conduct, national labour legislation, and the ILO fundamental conventions. It need not be tied to a specific scheme: it can also be carried out against a brand's own code of conduct. The output is a findings report and corrective action plan, not a certificate.

• Manufacturers supplying international brands
• Facilities audited against a brand's own code of conduct
• Brands and retailers wanting to audit their suppliers
• Groups mapping their chain under human-rights due-diligence obligations

The audit itself is not mandatory; it is requested under a customer contract. Complying with labour legislation, however, is mandatory, and the audit is the way this compliance is evidenced. In the EU, corporate sustainability due-diligence regulations also impose an obligation on large companies to manage human-rights risk in the supply chain.

• Determining the reference to apply: the customer's code of conduct, ILO conventions, national legislation
• Document and records review: personnel files, payroll, time records, social-security filings
• Child-labour and young-worker checks
• Assessing indicators of forced labour
• Analysis of working hours and overtime
• Comparing wages and benefits against legal requirements
• On-site observation of occupational health and safety
• Worker interviews (independent of management and confidential)
• Subcontractor, recruitment-agent and migrant-worker practices
• Reporting findings and the corrective action plan

1. 1Determining Scope and ProgrammeThe sites and processes to be audited, and the audit duration the scheme requires, are determined.
2. 2Pre-assessmentA gap analysis is optionally carried out; gaps become visible before the main audit.
3. 3On-site AuditRecords review, site observation and worker interviews are carried out against the scheme's checklist.
4. 4Reporting of FindingsFindings are reported according to the scheme's classification. The output of these schemes is an audit report, not a certificate.
5. 5Corrective Action and Follow-upA corrective action plan is submitted for the findings; it is closed with a follow-up audit under the scheme.

The validity period of audit reports is set by the scheme and is mostly between one and two years. The report is used for the period the buying brand accepts.

• Organisation and site details
• Headcount and shift pattern
• Legal permits and licences
• Relevant policies and procedures
• Payroll, time and personnel records

There is no fixed list price; the cost is calculated based on the following variables and provided in writing in the quote.

• The number of sites to be audited and the headcount
• The audit duration the scheme prescribes
• Whether a pre-assessment (gap analysis) is requested
• Whether a follow-up audit is required

Most of these schemes produce audit reports, not documents, and are subject to the scheme owner's (e.g. Sedex, amfori, RBA) own approval system; Accreditation in the classical sense is not found in every scheme. Auditor competence and report validity are determined by the scheme owner's rules.

The scope under which this scheme can be offered varies according to your product and activity; it is confirmed in writing at the quote stage.

• SMETASedex Ethical Trade Audit
• SedexSedex Membership and Ethical Data Sharing
• amfori BSCIamfori BSCI Social Compliance
• RBAResponsible Business Alliance
• Ethical Trade Audit
• Human Rights Due Diligence
• SA8000Social Accountability
• WRAPWorldwide Responsible Accredited Production