Ikea Child Labor Scandal
As a result of these accusations, IKEA ultimately ended its contracts with Pakistani rug manufacturers, but the problem of child labor in its supply chain still persisted in other countries that were supplying IKEA. In the mid-1990s, IKEA was rocked by accusations of child labour. At the time the company was the worlds largest furniture retailer, with almost 100 stores in 17 countries, and production in 70.
As success for IKEA increased, so too did the medias scrutiny. Disclose alleges that at least ten of IKEAs subcontractors in Belarus had ties with penal colonies over the past 10 years, according to accounting records and witness interviews, including... Between 1994 and 1997, three documentaries screened by German and Swedish television accused IKEA the home furnishing multinational of using child labour under degrading conditions in Pakistan, India, Vietnam and the Philippines.
Explore IKEA's journey to combat child labor in its global supply chain. This case study from Santa Clara University examines ethical challenges, corporate responsibility, and sustainable sourcing strategies. IKEA has been facing accusations of child labor, formaldehyde in its BILLY bookcases, and unsafe working conditions for adults.
These allegations led to increased costs and a damaged reputation for the company. In the late 1990s, Ikea was accused of using child labor to make its furniturea claim it later investigated. It has overhauled its supply-chain practices since, including adopting a...
IKEA Canada about its business operation supply chain and forced labour & child labour risks and actions, including information from the Ingka Group Annual Summary and Sustainability Report. IKEA faced accusations of child labor in its supply chain in the 1990s after documentaries showed children working in rug factories that supplied IKEA. In response, IKEA ended contracts with Pakistani rug manufacturers but the issue persisted elsewhere.
IKEA has developed a comprehensive approach to preventing child labour in its supply chain. Suppliers are supported in implementing a corrective action plan if child labour is identified, which should take the childs best interests into consideration.
