Definitions of impact categories

Impact category Definition
Community engagement To what extent companies in the value chain include community access to water, land, minerals and biological resources.
Contribution to economic development To what extent companies in the value chain contribute (through their production) to the economic development of the country.
Corruption To what extent the organization has implemented appropriate measures to prevent corruption or whether the organization has been engaged in corruption.
Cultural heritage To what extent companies in the value chain respect local cultural heritage and recognize that all comunity members have a right to pursue their cultural development.
Delocalization and migration To what extent organizations contribute to delocalization, migration, or "involuntary resttlement" within communities and whether they treat populations adequately.
Employment relationship To what extent companies in the value chain offer a formal contract protecting the workers and defining the level of protection afforded by the contract.
Equal opportunities/discrimination To what extent companies in the value chain realise equal opportunity practices and not allow for discrimination.
Ethical treatment of animals To what extent companies in the value chain manage the life, treatment, and death of animals.
Fair competition To what extent the organization's competitive activities are conducted in a fair way and in compliance with legislations preventing anti-competitive behavior, anti-trust, or monopoly practices.
Fair salary To what extent companies in the value chain pay wages in compliance with established standards.
Forced labor Whether forced or compulsory labor is not used in the organization.
Freedom of association and collective bargaining To what extent companies in the value chain allow workers to freely form and join associations and organize unions to engage in collective bargaining.
Health & safety (consumers) To what extent companies in the value chain make systemetic efforts to address consumer health and safety.
Health & safety (workers) To what extent companies in the value chain take measures to prevent incidents/health issues at work.
Local employment To what extent companies in the value chain directly or indirectly affect local employment.
Poverty alleviation To what extent proactive activities to reduce the poverty at different geographical level of the society are present, made by the organization itself or linked with the product life cycle (such as strategies, action plans and investments).
Promoting social responsibility To what extent companies in the value chain promote social responsibility of suppliers and through their own actions.
Public commitments to sustainability issues To what extent companies in the value chain engage in reducing sustainability impacts.
Respect of indigenous rights To what extent the rights of indigenous peoples are respected.
Safe and healthy living conditions To what extent companies in the value chain impact community safety and health (including the general safety conditions of operations and their public health impacts).
Smallholders including farmers To what extent companies in the value chain face peculiarities of smallholders including farmers. For example: the endowment of factors of production, the role played by the family, the relationships with the market, and the economic size of the smallholders.
Social benefits/social security To what extent companies in the value chain provide social benefits and social security to workers.
Supplier relationships To what extent companies in the value chain consider the potential impacts or unintended consequences of its procurement and purchasing decisions on other organizations, and take due care to avoid or minimize any negative impact.
Technology development To what extent companies in the value chain participate in joint research for the develoment of efficient and environmental sound technologies.
Transparency To what extent companies in the value chain communicate tranparently about product and social responsibility.
Wealth distribution To what extent the value is distributed in an equitable way to all the actors of the value chain.
Working hours To what extent companies in the value chain comply with ILO standards in number of hours workers work and paying compensation for over time hours.
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