In the 1990s, more U.S. companies began manufacturing abroad, where labor was cheaper.
Journalists, consumers and human rights groups noticed that, away from the eyes of American unions and regulators, these multinationals sometimes used brutal cost-saving measures, such as sweat shops and child labor.
Companies would hire outside inspectors to scrutinize their supply chains.
These inspectors would visit their suppliers’ factories, investigate abuses and determine whether everyone was following the rules.
Major companies signed on, sending a message that they could clean up their own supply chains.
Persons:
—, Saumya Khandelwal
Organizations:
Journalists, Times
Locations:
India, Maharashtra