Due Diligence in Action: 1,000 Serious Supply Chain Issues Uncovered Weekly with SMETA

As trade shifts, extreme weather and more continue to reshape global sourcing, new data reveals due diligence efforts - how companies unearth and address violations in global supply chains.

New York, New York, March 02, 2026 (GLOBE NEWSWIRE) -- London/Chicago, March 2, 2026 - As disruptions prompt companies to revise sourcing strategies, Sedex, the global supply chain sustainability provider, shares that its SMETA audits uncover approximately 1,000 critical supply chain issues each week.

Their analysis also finds 16% of Sedex-registered worksites globally don’t have measures in place to ensure suppliers and subcontractors meet required labor standards. Meanwhile, 29% globally say they don’t know their end customers’ environmental requirements - despite research indicating the majority of a company’s emissions is likely in their supply chain (Scope 3). 

This data underscores the persistent challenges businesses face in ensuring ethical and sustainable practices across complex global supply chains, while highlighting the scale of current efforts to unearth concerns. 1,000 audits in a 12-month period* identified issues relating to forced labor, but the analysis also evidences improvement - with over 150,000 site-level issues resolved in the same timeframe.

Analysis of on-site SMETA assessments*, the world's most widely used social audit methodology, also reveals that nearly half of worksites audited (46%) exhibit wage-related issues. These range from minor discrepancies, such as incomplete wage slips, to severe violations like failure to pay minimum wages. Such findings emphasize the value of site-level visibility and in-person observation to complement purely digital, remote tools for supply chain risk management and due diligence. 

Evidencing improvement

Further analysis of SMETA data indicates that worksites respecting freedom of association have 30% fewer issues identified during audits, compared to those that do not. This reflects that enabling workers to advocate for themselves can significantly reduce ethical, labor-related and other on-site risks, supporting a more resilient supply chain workforce and operations. 

Additionally, the data reveals that worksites with at least 50% female representation in supervisory or managerial roles show fewer critical concerns. This finding points to the positive impact of gender-balanced leadership on workplace conditions and compliance more broadly.

Despite disrupted markets, policy uncertainty and the complexity inherent in global supply chains, many businesses continue their sustainability, responsible sourcing and due diligence efforts. Sedex's data illustrates that companies, from small suppliers to multinational enterprises, are actively identifying risks, implementing changes and driving improvement.

Jon Hancock, Sedex CEO, says "As awareness of practices and conditions in supply chains grows, companies are increasingly being held accountable for ethical, labour and environmental issues beyond Tier 1. Poor visibility is no longer an accepted excuse, as today’s expectations from consumers, investors and beyond demand evidence of attention and action. 

“With insights drawn from over 60,000 recent in-person assessments at supply chain worksites worldwide, our latest analysis highlights the power of on-the-ground, site-level visibility. Our insights also illustrate due diligence activities at scale - including progress made. Companies that face their supply chain challenges head-on with tools to conduct and demonstrate proactive risk management are more resilient, equipped with superior intelligence, and better-placed to meet stakeholders’ demands.”

Notes to editors

*Based on SMETA audits conducted in the 12 months to September 2025. More insights available on the Sedex website; visual assets available on Dropbox.

Sedex is a global technology company that specializes in data, insights and professional services to empower supply chain sustainability. Our Platform, tools and services enable businesses to better manage ethical, social and environmental risk and performance in their supply chains to meet their sustainability goals. 

Sedex has over 20 years of expertise and provides end-to-end supply chain solutions for all businesses, including SMETA, our world-leading site-level social audit, with over 450,000 site-level audits conducted to date. We’re proud to work with a community of 100,000 businesses and 120,000 supply chain sites across 35 sectors globally. This includes some of the world’s most recognizable brands such as Nestlé, Molson Coors, Yum! Brands, Mengniu, Walmart, Unilever, Shiseido, HelloFresh, Tesco, Asahi, Li & Fung and John Lewis Partnership (JLP). Visit our website for more information.

Olivia Thomson Sedex 332-272-1887 olivia.thomson@sedex.com