Several international investors, including Sampension, have joined forces to put pressure on Hyundai to ensure basic labour and human rights.
The concerns were raised through a letter sent to Hyundai's chairman, in which the investors urged the company to correct several “critical” conditions.
For example, the group pointed out there have been a "significant" number of health and safety issues for employees working on the construction of a Hyundai plant in Georgia.
In addition to this, it also highlighted criticism suggesting that subcontractors to Hyundai have participated in a program in Alabama where prison inmates are used as labour, with concerns raised about forced labour and for the safety and health of the inmates.
Given these concerns, the letter called on Hyundai's board of directors to launch a number of initiatives, including improving its health and safety policies and practices to ensure better conditions for employees at its Georgia plant.
The investors, which represent a total of USD 815bn under management, also want the company to update its code of conduct for suppliers to include a comprehensive policy for the ethical use of prison inmates as labour.
This follows several cases that have shown serious challenges with labour and human rights at Hyundai in the United States and among subcontractors.
Sampension head of environmental, social and governance, Jacob Ehlerth Jørgensen, said: "Labour and human rights are key focus areas for us, and we view with great concern and seriousness the number of cases within these areas that have occurred in Hyundai.
“Therefore, we are now joining forces with the other investors to put pressure on the company, and we hope that this initiative can contribute to rectifying the critical conditions.”
Hyundai has been contacted by European Pensions for comment.
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