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Worker power in supply chains: The ITF 'Economic Employer' strategy

26 May 2021
Road Transport
In focus
Supply Chains
ITF Global

Where is power in a supply chain? Deregulation, privatisation and subcontracting mean that power is increasingly at the top. 

In freight transport, corporate customers at the top of supply chains (economic employers) set the price of the subcontracted transport of their goods. Deregulation and poor enforcement of labour protections mean that subcontractors compete on price. Lower transport prices mean lower health, safety, conditions and wages for workers.