Revealed: Social Audits Undermine Labour Rights in Textile Sector
Brussel, donderdag, 3 juli 2025.
A shocking report by Partners for Dignity & Rights exposes serious misconduct in social audits within the textile industry. Auditors are no longer independent inspectors, but accomplices of manufacturers systematically concealing labour rights violations. In specific cases such as Hong Seng Knitting Company and V.K. Garment Co factories, workers have been victims of wage theft without auditor intervention. The report unmasks a corrupt system where auditors strategically collaborate with manufacturers, manipulate reports, and even leak confidential whistleblower information. The core of the problem: audits are financed by the companies being audited, creating a fundamental conflict of interest.
Systematic Deception in Social Audits
The report ‘Checking Boxes, Cheating Workers’ by the NGO Partners for Dignity & Rights reveals a profound problem in the textile sector, where social auditors actively assist in concealing labour rights [1]. In specific cases such as the Thai factories Hong Seng Knitting Company and V.K. Garment Co, workers became victims of wage theft without any auditor intervention [1].
Fundamental Conflict of Interest
The core problem lies in the audit financing structure: the inspections are paid for by the companies being audited, creating an inherent conflict of interest [1]. Auditors have every incentive to ‘pander’ to manufacturers, making independent verification virtually impossible [1].
Manipulation of Audit Reports
In extreme cases, auditors go as far as completely fabricating reports. In one factory, it was found that an auditor concealed illegal dismissals by claiming that employees voluntarily resigned and waived their severance pay [1]. Some auditors even create multiple versions of the same audit report to hide certain findings [1].
Risks for Whistleblowers
Particularly concerning is the practice of leaking confidential whistleblower information, directly threatening workers who want to report misconduct [1]. This system fundamentally undermines the possibility of transparent working conditions in the textile sector [1].