A consultation is underway on plans to rework three key standards in the landmark Global Reporting Initiative (GRI), to put a greater emphasis on labour rights. 

Launched on 10 June, the call for comments seeks stakeholders’ input on new text for the standards, drafted by GRI in partnership with a special, technical committee featuring representatives from bodies including the International Labour Organization (ILO), the International Trade Union Confederation (ITUC) and the International Organisation of Employers (IOE).

GRI said that ILO’s recent 2024 trends report had reinforced a need for increased accountability for companies’ labour-linked impacts; it says around 435m people around the world are deprived of the ability to earn a living through employment. At the same time, many millions more face declining real wages, a lack of job security and deteriorating working conditions.

A human rights-based approach

With those concerns in mind, the proposed text aims to refresh GRI’s handling of three, critical disclosure areas:

Employment Covering non-standard forms of work, apprenticeships, internships, fair recruitment, performance management, personal data protection and privacy, termination and any metrics related to hiring and turnover.

Remuneration and working time Encompassing policies and metrics around cost-of-living estimates, plus basic gender pay-gap strategy and social protection coverage.

Significant changes for workers Comprising consultation with – and notice periods to – workers’ representatives, redeployment, upskilling, reskilling and termination.

The redraft applies to the following standards: GRI 202: Market Presence (2016); GRI 401; Employment (2016), and GRI 402: Labour/Management Relations (2016). In parallel, the revised text introduces a new ‘control of work’ Standard Interpretation, aligned with GRI 2: General Disclosures. 

Overall, the changes are designed to help GRI members achieve greater transparency in the field of employment practices and working conditions. This is just the first phase of GRI’s broader Topic Standards Project for Labour. Two further consultations are planned for the coming 12 months, with the first set to address working life and career development, and the second to cover workers’ rights and protections.

In total, GRI is looking to update 11 different standards, guided by due diligence and what it calls “a human rights-based approach”.

Under that banner, GRI will ensure that its Labour Standards are “fully aligned” with key, intergovernmental instruments for business and human rights – including those set and maintained by the ILO, the UN and the Organisation for Economic Co-operation and Development.

Better information and disclosure 

Carol Adams, Chair of GRI governing body the Global Sustainability Standards Board, says revising labour-related disclosures is a high priority, given widespread recognition of the need for organisations to do more to protect human and labour rights and ensure decent conditions and treatment of workers.

“Better information and disclosure are key to achieving the UN Sustainable Development Goals and improving decision-making,” she stresses. “I encourage all stakeholders to review the changes and provide feedback.”

ILO Senior Specialist Emily Sims welcomes GRI’s commitment to align its reporting requirements with principles contained in international labour standards.

She says: “This alignment contributes to business transparency concerning labour-related impacts, actions and performance, and helps companies to strengthen their contribution to Sustainable Development Goal 8 on decent work and inclusive economic growth.

“We also commend GRI for including IOE and ITUC in the periodic updating of the standards, to ensure that the updates reflect the interests of the key actors in the world of work. ILO looks forward to the finalisation of GRI’s Labor Standards, and we will continue to engage in their development.”

Although its standards are voluntary rather than regulatory, GRI is forging ever closer ties with the International Sustainability Standards Board (ISSB), the body whose own reporting standards are being increasingly adopted in national legal systems. In a joint statement on 24 May, GRI and ISSB announced plans to deepen their relationship, with the aim of delivering full interoperability.

The consultation closes on 4 October.