Human rights abuses are being carried out at every stage of Brazil’s leather supply chain, according to a recent study by the Fair Labor Association and human rights consultancy firm Impactt.
The abuses — which include child labor, exposure to chemicals, compensation issues and discrimination — were uncovered during the six-month study in 2024. While the study primarily focuses on Brazil, researchers say its findings also extend to the global leather industry.
During the study, researchers analyzed more than 100 documents and interviewed 19 stakeholders. Among their findings:
- Slaughterhouses face persistent problems with worker harassment, abuse, mental health issues, gender discrimination, health and safety concerns, and more.
- Tanneries have known concerns, including exposure to dangerous chemicals, the presence of young workers, temporary jobs, and lack of unions or worker representation.
- Farms often use informal and inconsistent working arrangements; there are no decent accommodations; and there is a prevalence of low wages and the risk of modern slavery.
The study concludes with four recommendations to improve human rights within the industry:
- Companies invest in their own traceability and human rights environmental due diligence systems and are mostly top-down through their Tier One suppliers. This process is often based on self-declaration.
- Companies engage with third-party organizations on traceability and assessments which could use a multitude of techniques either top-down or bottom-up to remediate issues (for example, certification, blockchain, and digital passports).
- Companies come together as coalitions within the same sector, or combine several sectors, to focus on supply chain mapping, remediation, and advocacy.
- Companies adopt an exit strategy from high-risk countries where they are limited in influencing the sector mainly due to geopolitical reasons.
In 2021, The New York Times published a scathing exposé on how increasing global demand for automotive-grade leather is worsening Amazon deforestation. The Times examined Brazil’s massive tannery industry and found that hides from illegally deforested ranches are reaching the global marketplace, particularly US-based automakers.
The NYT article, along with other reports, raised such a stink that the U.S. Senate questioned Lear Corporation, the country’s largest car seat manufacturer, on how it oversees its leather supply chain in Brazil to prevent the illegal importation of products made by forced labor or through deforestation.
These controversies come at a time when the automotive leather industry is struggling to counter claims that hides are unsustainable, and automakers are increasingly turning to alternatives, including vinyls, bio-based materials and up-cycled textiles.
To the leather industry’s credit, strides have been made in recent years to address these issues. For instance, earlier this year the World Wildlife Fund introduced the Deforestation-Free Leather Fund, aiming to enhance the sustainability of leather supply chains by improving traceability and promoting responsible sourcing practices.
To read the full report, see “Toward promoting human rights and decent working conditions in the leather supply chain.”
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