Praxis and investor partners recently held a dialogue with Target to discuss the company’s human rights due diligence and its worker equity and benefits policies. This dialogue was a continuation of investor engagement with the company over the past five years.
Target has developed strong human rights policies and procedures, and has become a leader among retailers in this area. For example, Target requires all suppliers, vendors, and partners to comply with its Standards of Vendor Engagement and Human Rights Policy. These standards cover many issues including ethical business practices, health and safety, forced labor and human trafficking, and grievance mechanisms. All suppliers are required to sign and follow these policies.
Investors heard updates on Target’s partnership with Better Buying, which helps retailers understand the impact of purchasing practices on suppliers and to improve those practices. An increasing number of Target’s suppliers cooperate with Better Buying.
Child labor was another discussion point. Target has begun to participate and pilot initiatives to help address the systemic risks contributing to child labor in the U.S., particularly in the agricultural sector. Target is also working through industry associations to determine what interventions at industry and policy level might be appropriate to reduce child labor.
The conversation also touched on fair wages and benefits for employees, including:
- Target’s current wage structure and how it sets those parameters
- An outline of Target’s wage philosophy and its goal for team members to value working for them over other retailers
- Living wage calculations based on each store’s location
- Breakdown of benefits between part-time and full-time employees
Praxis will continue to engage with Target on human rights and forced labor issues, as well as worker equity policies. This reflects our core value of demonstrating concern for justice in a global society.
Target is held in the Praxis Value Index Fund.