160 million children globally are in child labour
which is equivalent to…
48% of the population of the United States
8x the population of London
1,777x the capacity of Wembley Stadium
48% of the population of the United States 8x the population of London 1,777x the capacity of Wembley Stadium
What is child labour?
Child labour defines work that is mentally, physically, socially or emotionally harmful to children and/or interferes with schooling. Child labour is an international definition and includes children aged between 5-17. Child labour is a violation to fundamental human rights.
What is the Child Labour Index?
The Child Labour Index is an AI-powered specialised ESG rating, scoring companies and portfolios in relation to three performance indicators in the specific area of child labour. The Child Labour Index scores are the only quantitative metric available on the market to report on child labour in real-time.
The Child Labour Index is designed for Asset Managers, Institutional Investors (Pension Funds, Sovereign Wealth Funds, Foundations, Endowments, Insurance Companies & Wealth Managers), Investment Consultants, Banks and other Professional Service Companies.
Publicly listed companies can also access and submit more data to the Child Labour Index via our Company Engagement Package.
Scoring in the Child Labour Index
HACE defines a company’s child labour performance in three ways: Company Disclosure, Public Perception and Supply Chain.
Company
Disclosure
A score on how well a company identifies, manages and mitigates the risk of child labour in their supply chain.
To generate this score we use publicly available data from company websites, both current and historical.
Public
Perception
A score on how negatively a company is, or is perceived to be, associated with child labour in the public domain.
For this we use in-depth news sources, both current and historical which include multiple languages. We have over 250,000 pieces of child-labour-specific news data in our database which is updated every 15 minutes.
Supply
Chain
A score on how susceptible a company's supply chain is to child labour, based on the sector and geography they operate in.
This score incorporates data from externally-assigned Sectors via stock ticker and combines it with data on commodities that have been proven to be produced with child labour.
The scores are equally weighted and aggregated into one central score. You have access to all 4 scores per company.
Features of the Child Labour Index
How many companies are in the Index?
We currently have data points for 55,000 publicly listed companies across multiple geographies and stock exchanges, with major global indices included such as FTSE and S&P. We do not yet score private companies. You can view all companies and their scores in the Index through your subscription.
Publicly listed companies can also access all companies in the Index and submit more data to inform their score via our Company Engagement Package.
How do I use the Index for my reporting requirements?
The Index offers an unprecedented opportunity to stay ahead of the legislative and regulatory changes in the ESG landscape.
You can use these scores for reporting purposes both internally or externally, for performing adequate and in-depth due diligence and to comply with existing and upcoming regulations such as SFDR, SDR, ISSB and CSDDD.
How will I access
the Index?
The Child Labour Index is accessible in two ways; via an API and via a web-based application to cover different usage needs inside firms. You have access to daily downloadable .csv data and PDF scorecards per company, including recommended next actions for users to take.
How do I use the Index to take action in my portfolio?
These scores enable you to monitor your portfolio for child labour risks to avoid share price vulnerabilities and to ensure long term sustainable financial returns for your customers.
Both the scores and the recommended actions enable you to have meaningful conversations with your portfolio companies on how they are addressing the risk of child labour in their supply chains.
HACE is proudly supported by
Why is child labour important to my investment decisions?
Download our Financial and Material Impacts Whitepaper to understand the generic risk to share price of child labour and further financially material risks of child labour on companies and investors.
You can also contact our Engagement Team to explore Child Labour Training for your organisation.
Meet the Team
Across the whole team, HACE has unique experience in the cross-section of child labour, data and AI, financial markets and ESG ratings.
Are you an asset manager or owner, professional service or financial institution looking for more information? Get in touch today to speak to one of our Engagement Team.
Are you a company with a global supply chain wondering how to submit private disclosure to the Index? Speak to one of our Engagement Team today about our Company Engagement Package.
HACE is an eight-time award winning, female-founded and female-led team
Together, we can eradicate child labour.
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