SE8: Stakeholder Grievance Process – Above Green

Intent

This indicator identifies the existence of a grievance mechanism at the reporting entity. An entity’s procurement decisions and activities can lead to significant negative sustainability impacts in the supply chain, including human rights violations, even when entities operate optimally. Grievance mechanisms play an important role to provide access to remedy and reflect an entity’s commitment to ESG management. An entity should establish a mechanism for stakeholders in the supply chain to bring this to the attention of the entity and seek redress.

Requirements

Select yes or no. If yes, select all applicable sub-options.

Is there a formal process for stakeholders to communicate grievances?

Yes
- Select all characteristics applicable to the process (multiple answers possible)
  - Accessible and easy to understand
  - Anonymous
  - Dialogue based
  - Equitable and rights compatible
  - Improvement based
  - Legitimate and safe
  - Predictable
  - Prohibitive against retaliation
  - Transparent
  - Other: _____________
- Which stakeholders does the process apply to? (multiple answers possible)
  - Contractors
  - Suppliers
  - Supply chain (beyond tier 1 suppliers and contractors)
  - Clients/Customers
  - Community/Public
  - Employees
  - Investors/Shareholders
  - Regulators/Government
  - Special Interest Groups (NGO’s, Trade Unions, etc)
  - Other: _____________
No

Validation

Other:

Other: State the other method used for the grievance process. It is possible to report multiple other answers.
Other: State the other stakeholder group. It is possible to report multiple other answers.

Scoring

0.5 points, S

Scoring is based on the number of selected options. It is not necessary to select all options to achieve the maximum score.

Other: The 'Other' answer is manually validated and points are contingent on the validation decision.

See the Scoring Document for additional information on scoring.

Terminology

Accessible and easy to understand: Known to all stakeholder groups and providing adequate assistance for those who may face particular barriers to access (e.g. 24/7 availability, simple language).

Anonymous: Made or done by someone whose name is not known or not made public.

Dialogue based: Looks for mutually agreed solutions through engagement between parties.

Equitable & rights compatible: Ensure that parties have reasonable access to sources of information, advice and expertise necessary to engage in a grievance process on fair, informed and respectful terms (e.g. independent review). In addition, ensure that outcomes accord with international norms of behavior.

Grievance mechanism: Formal, legal or non-legal (or ‘judicial/non-judicial’) complaint process that can be used by individuals, communities and/or civil society entities that are being negatively affected by certain business activities and operations. The process enables the complaining party to flag an issue, seek redress and remedy.

Improvement based: Drawing on relevant measures to identify lessons for improving the mechanism and preventing future harms.

Legitimate & safe: Enable trust from stakeholder groups and protect stakeholders from potential threats and retaliations through a secure, anonymous, independent and two-way communication system.

Predictable: Provide a clear procedure with an indicative time frame for each stage, and clarity on the types of process and outcome available.

Special interest groups: Organization with a shared interest or characteristic (e.g. trade unions, non-governmental organizations).

Stakeholder group(s) involved: State all the stakeholder group(s) addressed by this action. Examples of applicable stakeholder groups include: Employees, Contractors, Clients/Customers, Community/Public, Suppliers, Investors, Regulators/Government, Representative and Special Interest groups (e.g. NGOs, Trade Unions, etc), Industry and professional associations, etc.

Suppliers: Organizations or persons that provide a product or service used in the supply chain.

Transparent: Keep parties informed about the progress.

References

ISO 20400, 2017: Sustainable Procurement

UN Guiding Principles on Business and Human Rights

Human Rights and Grievance Mechanism

GRI Sustainability Reporting Standards, 2016: 103-2, The management approach and its components