There’s an interesting link between share trading, modern slavery and being an ethical consumer.
The Gamestop share trading frenzy has created quite a bit of concern in financial circles recently. New and inexperienced traders bought up shares forcing dealers to rethink the ‘short selling’ strategy. Little people were fighting big business and they have the ammunition to win.
Such trading is big business. This recent share run has cost billions in lost profits. Small traders, with little or no experience, upset major investors by buying shares, and forcing prices up. Professional traders who were betting on the price dropping, lost out.
And now all those little people can see how much power they have to influence the status quo.
A recent blog on the Independent Anti Slavery Commissioner website talked about modern slavery in business supply chains. It suggested that companies need more persuasion to make a change.
“Companies that fail to comply with labour regulations or turn a blind eye to exploitation have lower labour costs, unfair competitive advantage and may therefore be able to access capital unfairly. Investors have unparalleled influence over global business and they should use it to stop the abuse of workers.”Dame Sara Thornton, UK Antislavery Commissioner & Matthew Taylor former Director of Labour Market Enforcement
They call for naming and shaming firms over slavery or forced labour in the supply chains. That kind of blow to reputations would alert buyers and investors whose actions could severely impact the profits of businesses.
What an opportunity for the ethical consumer to have the power and means to make a difference. Watch out local supermarkets, online retailers and banks. Small investors are thinking carefully about where their money goes. Their spending, pensions, savings and investments can do a lot of good in the world.
Although the Government plans to improve the transparency of company reporting, it’s more likely to be the actions of us little people that make the biggest difference.
Incentivising businesses to tackle labour abuses
Name and shame firms over supply chain labour, says Dame Sara Thornton
Government respose to transparency in supply chains consultation
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