Toyota Responds to Report

Toyota has responded to allegations brought by the National Labor Committee in a report on the treatment of its employees and the workers in its supply chain (see post below). Their response can be viewed here.

Toyota’s response seems fairly typical in that it denies the allegations, while touting its guiding principles and auditing system. But it doesn’t refute any of the specific claims with evidence. Part of the problem is the enormous and scattered global supply chain that can obscure abuses. No multi-national company whose supply chain includes sourcing from Third World countries can claim 100% compliance with human rights standards. The challenge for Toyota and other companies is to improve their direct operations to a higher ethical standard, and to work harder to improve the working conditions in the companies and factories in their supply chain.

MMA has signed a letter with other investors that was sent to Toyota several weeks ago. My hope is that it will spur good dialog on working conditions and sourcing.

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