If social justice risks sit anywhere in your value chain, they sit on your balance sheet.
That may sound dramatic. Many companies still see social justice as a values discussion, important, but separate from core business performance.
It is not.
“We are compliant, and competitiveness comes first”
We often hear the same concern. Human rights and social justice matter, but cost pressure, market dynamics, and competitiveness must come first.
Yet recent litigation involving migrant workers, increasing enforcement related to forced labour, and growing scrutiny of recruitment practices show something different. Social risks are moving from NGO reports into courtrooms, customs authorities, and boardrooms.
The shift is clear. Social justice risks are business risks.
From commitment to operational reality
Most companies today have policies aligned with the UN Guiding Principles, the OECD Due Diligence Guidance, and ILO conventions. On paper, responsibilities are defined.
In practice, the challenges are more familiar:
→ Limited visibility beyond tier-one suppliers
→ Recruitment fees embedded in labour migration systems
→ Fragmented responsibilities between sustainability, procurement, legal, and compliance
→ Internal controls that do not fully capture social risk indicators
After more than a decade advising companies across sectors, we see the same pattern. The issue is rarely a lack of intent. It is a lack of integration.
Due diligence fails not because companies do not care, but because it is not embedded where decisions are made.
What we know from practice
We have worked with global companies assessing recruitment practices in Asia, conducting human rights impact assessments in high-risk contexts, supporting state-owned enterprises, and strengthening internal control frameworks. Across industries, the lesson is consistent:
When social justice risks are treated as peripheral, they escalate. When they are integrated into governance and procurement decisions, they become manageable.
This is not about idealism. It is about resilience.
World Day of Social Justice, a practical reminder
Today is not about symbolic commitments. It is about asking practical questions:
→ Do we understand how labour is recruited in our supply chains?
→ Do internal controls capture social risk signals?
→ Do procurement teams know when to escalate?
→ Is accountability clear when issues arise?
Responsible business is not achieved through statements. It is achieved through structured due diligence, informed decision-making, and internal competence.
At Enact, this is the work we continue to do, helping organisations move from commitment to practice. Because in today’s operating environment, social justice is not separate from business strategy. It is part of it.
Want to explore how social justice risks can be identified, managed, and integrated into your due diligence processes? Get in touch: Connect – Enact