Walmart now accepts certification from certain industries to avoid duplicate audits

Walmart now accepts certification from certain industries to avoid duplicate audits

According to an email from Walmart's Global Sourcing Ethics Certification Department to suppliers, the company indicated that they have begun to accept industry standards such as WRAP and ICTI certification. The email mentioned that Walmart is considering exempting factories that have passed ICTI and WRAP certification from ethical certification, but it is not currently available for all certified factories. Walmart said that the process is progressing step by step: the company will conduct pilots based on the performance of manufacturers. There are currently 100 factories that have been exempted from ES inspections. These factories have not only passed ICTI factory inspections but also have a good historical record, that is, good ES assessment record results (no orange light records, worker complaints, etc.). According to statistics, most of the factories that have been exempted from inspections are direct factories or authorized manufacturers of the toy brand Mattel.
As for fully accepting ICTI-certified factories, Walmart said it was too early to do so, as there were certain differences in their respective standards. For example, ICTI accepts comprehensive timekeeping and flexible compensatory rest systems, while Walmart's ES standard explicitly states that it does not accept comprehensive timekeeping and requires a rest day on the seventh day. In terms of fines, ICTI accepts fines of no more than 20% of the minimum wage, but Walmart does not accept fines. In addition, the two sides did not reach a consensus on the supervision of manufacturers. Nevertheless, the efforts of both sides are fruitful, as this can save the factory's social responsibility audit costs and avoid repeated audits.

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