Practices and Policies of Human Rights and Environmental Responsibility of Wesfarmers

This report identifies the practices and policies of human rights and environmental responsibility of Wesfarmers and provides recommendations to improve them. It also discusses the risks, challenges, and stakeholder impact of implementing these recommendations.

Running head: INTRODUCTION TO GLOBAL BUSINESS
INTRODUCTION TO GLOBAL BUSINESS
Student’s Name
University Name
Author note

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INTRODUCTION TO GLOBAL BUSINESS
Executive summary
The purpose of this report is to identify the practices and policies of human rights and
environmental responsibility of Wesfarmers adhering to the given principles that is forcibility
and compulsion of the labours and the report has provided several recommendations to
improve the practices and policies of human rights by the company and has encouraged the
company to take precautionary approach towards environmental impact. It has identified the
risk and challenges that can be faced by the company on implementing the given
recommendation based on analysis of the company. Further it has determined the stakeholder
impact of the company. Lastly, the report concludes with the significant insights into
managing human rights and improving sustainability of the company.

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Table of Contents
Introduction................................................................................................................................3
Discussion..................................................................................................................................3
Principle 4: The elimination of all forms of forced and compulsory labor................................3
Principle 9: Encourage the development and diffusion of environmentally friendly
technologies................................................................................................................................5
Conclusion..................................................................................................................................6
References..................................................................................................................................8

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INTRODUCTION TO GLOBAL BUSINESS
Introduction
Wesfarmers limited is an Australian company; the headquarters is located in Perth,
Western Australia. The interests of the company is chemicals, fertilizers, coal mining and
other safety and industrial products, predominantly in Australia, New Zealand retails.
Wesfarmers is a leading company by revenue with around, 220,000 employees. the report
focuses to encourage wesfarmers to take initiates to improve the CSR and improve the
business practises and abide by the principles of Global Compact(Wesfarmers.com 2019).
This report provides significant experience and insights into managing the human rights and
environmental impact of the business practices.
Discussion
Principle 4: The elimination of all forms of forced and compulsory labor
Present business practices of wesfarmers
Present Policies and practices
Wesfarmers are committed towards enforcing the human rights in the organization.
Wesfarmers respects the rights of the humans working as employees in the organization.
Human rights are growing importance in the company. They are towards providing safe
working conditions and environment to the employees (Antonini, Carla 2016). They give
outmost importance to the shareholders, customers the communities in which they operate.
They have departments to ensure that the rights of the humans are upheld throughout its
operations and in the supply chain. The policies and practices of the business are designed to
ensure the human rights which are safeguarded and observed. They are committed towards
making positive contributions to the employees, society and the community as a whole. They

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prohibits all forms of discrimination, forced labour, compulsory labour, trafficked and child
labour in the organization (Boersma 2013). However, the company has issues regarding
human rights risk and labour issues in their tier which has been reported. The issues found in
the organization are excessive overtime, unpaid wages, unauthorized subcontracting. These
needs to be identified and rectified by the company
Lessons learned
The lessons learned from the business practices and the policies were respecting the
human rights. It has been learned that the company effectively handles the rights of humans
and are managed by senior management. It takes initiatives to identify and rectify the issues
and eliminates all forms of forced and compulsory labours (Campbell, John 2017). The senior
management takes responsibility to eliminate modern slavery and human rights risks.
However, the company is required to focus on issues such as overtime and wage payment.
Recommendations
It is recommended that the company evaluate the working conditions; this will help to
eliminate the complicity in human rights issues. The company can create teams and
departments which will carry out inspections on the proper execution of human rights, gain
the trust and confidence of employees (Cang et al. 2015). This will eliminate human rights
issues.
Risks and challenges, stakeholder impact
If these recommendations are implemented, the company will income some amount of
financial cost. However, it is necessary to inspect the daily operations and human rights. It
would be required by the company to hire support staff on consulting issues. Improved
working conditions and increased timely wages will benefit the employees and community.

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INTRODUCTION TO GLOBAL BUSINESS
Customer will be satisfied that the products manufactured are made in safe working
conditions (Dlaney et al. 2013).
Principle 9: Encourage the development and diffusion of environmentally friendly
technologies
Present policies and practices
Wesfarmers are committed towards making significant commitments towards
environmental contributions. They acknowledge the effects of its operations on the climate
change and its customers, economy and community (Fereira 2018). Presently, the company
achieve compliance with the global compact by concentrating on various issues such as its
carbon emissions, waste of paper and generating e waste. They focus on incorporating the
environmental policies throughout its operations (Westfarmers.com 2017). .
Lessons learned
It has been learned from the company, the various ways by which sustainability can
be achieved. There environmental principles which focus on five areas, the people, sourcing,
community, environment and governance (Group, Diviv 2018). It has been learned there
effective ways of managing its sustainability issues at the divisional level. They regularly
report and oversee the issues by the boards of Wesfarmers. They presently prioritize issues
including ethical sourcing and climate change prevention principles (Fund, Manhattan Bond
2017).
Recommendations
It is highly recommended that the wesfarmers hire specialists and work with them to
enhance their operations in an environment friendly manner (Wesfarmers.com.au 2018 p.
371). These principles can be applied by the company in all the departments (Wesfarmers |

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Business & Human Rights Resource Centre 2019 p. 371). The company is recommended to
utilize sustainable construction materials, efficient design. It can enhance its manufacturing
processes in an environment friendly manner; this will help to reduce pollution and carbon
emission during the manufacturing process (Rae et al. 2015). Furthermore, the company can
utilize optimum and reduce its dependence on resources which harms the environment.
Impact on stakeholders
Implementing a manufacturing process which is environmental friendly will be highly
beneficial for the environment interest groups and reduced pollution will preserve the flora
and fauna. Lower environmental impact report will ensure customer satisfaction and increase
loyalty among the customers. Sourcing environmental friendly construction materials will
benefit the suppliers of the company ( Ji H 2013). Reducing dependence on the resources that
affects the environment will be beneficial for the environment as well as the local community
people. This will help the company to gain company image and reputation among the
stakeholders as a symbol of taking environmental initiatives (Kent et al. 2013).
Risk and challenges
However, there are certain risks and challenges in implementing the given
recommendation. It is increase significant cost on the research and development on using
environment friendly materials for construction (Rae et al. 2015). Researching and
developing the sustainable way of manufacturing is highly time consuming. Implementing
new methods of construction will require training of the employees (Csrhub.com 2019 p.
371).. .

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Conclusion
The report has recognized the human rights policies and practices of the company
wesfarmers. It has discussed on the lessons learned from the business practices. It have
provided significant recommendations will improve and enhance the compliance of the two
given principles. It has identified the risks and challenges that can be faced and the
stakeholder impact. It has encouraged the development and the diffusion of environmental
friendly technologies.

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References
Westfarmers.com(2017). Sustainability.Wesfarmers.Com.Au.
https://sustainability.wesfarmers.com.au/our-principles/environment/waste-and-water-
use/recycling-and-waste/.
"Wesfarmers | Business & Human Rights Resource Centre". 2019. Business-Humanrights.Org.
https://www.business-humanrights.org/en/wesfarmers-0.
“Wesfarmers.com.au” 2018 Wesfarmers Sustainability Report
Released". Wesfarmers.Com.Au.
https://www.wesfarmers.com.au/util/news-media/article/2018/09/16/2018-wesfarmers-
sustainability-report-released.
"Csrhub.com “ 2019. Csrhub - Sustainability And Corporate Social Responsiblity (CSR)
Ratings On Over 30,757 Of The World’S Largest Public And Private Companies..
https://www.csrhub.com/CSR_and_sustainability_information/WESFARMERS-LIMITED.
"Wesfarmers - Corporate Social Responsibility". 2019. The West Australian.
https://thewest.com.au/business/west-business-events/wefarmers-recognised-for-
corporate-social-responsibility-bc-5599658093001.
Antonini, Carla. "An empirical analysis of environmental externalities incidence on financial
performance." (2016).
Boersma, Martijn, Jo Schofield, and Tui Swinnen. "Building Sustainability: A Review of
Company Performance in the Commercial Real Estate and Property Sector." Catalyst
Australia, Sydney (2013).
Campbell, John. "Insights from the company monitor: Wesfarmers." Equity 31, no. 8 (2017):
16.

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Chang, Dong-Shang, Li-Ting Yeh, and Wenrong Liu. "Incorporating the carbon footprint to
measure industry context and energy consumption effect on environmental performance of
business operations." Clean Technologies and Environmental Policy 17, no. 2 (2015): 359-
371.
Delaney, Annie, Maria Montesano, and Rosaria Burchielli. "Regulatory challenges in the
Australian garment industry: human rights in a post-Ruggie environment." Labour &
Industry: a journal of the social and economic relations of work23, no. 1 (2013): 69-88.
Ferreira, Ana, Manuel Duarte Pinheiro, Jorge de Brito, and Ricardo Mateus. "Carbon (CI)
and energy intensity (EI) dataset for retail stores." Data in brief 21 (2018): 1329-1333.
Fund, Manhattan Bond. Annual Report to Shareholders. Manhattan Bond Fund, 2017.
Ji, H. "Corporate annual report disclosures of obligations pertaining to contaminated sites: an
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Kent, Pamela, and Tamara Zunker. "Attaining legitimacy by employee information in annual
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Rae, Kirsten, John Sands, and David Leslie Gadenne. "Associations between organisations’
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Rae, Kirsten. "A BALANCED SCORECARD STUDY OF THE EFFECTS OF EMPOWERMENT,
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PERFORMANCE."

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