Coca-Cola is planning to use blockchain to fight forced labor
Blockchain Trust Accelerator (BTA) will help the Coca Cola Company to combat the use of forced labor. Blockchain technology will be used for this new initiative. The main objective of the project is to eliminate the risk of using forced labor throughout the entire logistics and production chain of the Coca Cola Company.
Any large corporation, which has production operations in different countries and states of the third world, faces the problem of the illegal use of forced labor. The Coca Cola Company is no exception. With the support of the United States Department of State, the corporation decided to combat forced labor using blockchain technology.
The project was announced on March 19, 2018. The campaign will be implemented by Bitfury Group and Emercoin. Their task is the development of the blockchain and a chain of smart contracts that will ensure the implementation of the company's initiative. Blockchain Trust Accelerator (BTA) highlights the main objectives of the initiative: to exclude forced labor in the supply chain of Coca Cola products.
The project itself was first presented to the public at the South by Southwest conference, which takes place annually on the southern coast of the United States. The basis of the idea is the possibility of creating a single digitized register for storing important information about each employee of the company and the contract signed with him or her. All information is stored and transmitted through smart contracts and remains on the blockchain. In the future, one cannot change the data, which will verify the authenticity of any contract and its details.
Even though the creators of the project realize that the possibility of 100% verification of the authenticity of the contract is possible, this will not be a 100% guarantee that employers will fulfill their obligations to employees. But at the same time, if large companies like Coca Cola will oblige small contractors and subcontractors to use blockchain technology to maintain the register of employees and their employment contracts, this obliges unscrupulous market participants to accept the terms of the game and ensure the lawful payment of labor to employees.
The Coca Cola Company is launching this blockchain project in test mode in order to analyze the functionality and capabilities of its use in the real operations of the company. The corporation's task is to study the weaknesses and dangers of recruiting in partner companies and where Coca Cola itself has no direct influence.
The ethics of doing business can go beyond the organization itself. For example, the leader of the world poker industry applies the principles of ethical responsibility with partners who produce branded products. Thus, the standards of large international companies are more widely spread to a number of other companies. Such companies are encouraged to establish high standards of job security for cooperation with a large brand.
Currently, all suppliers working with the Coca Cola Company are required to comply with the company's policies and principles with respect to bona fide suppliers. But there was no prior opportunity to verify the implementation of these standards. Using partner technology will give the corporation 100% confidence in the legality of the work used in the supply chain and logistics operations.
The head of the Blockchain Trust Accelerator (BTA), Tomika Tilleman, argues that it would be an honor for the company to realize the project and bring it to life. Moreover, serious intentions and principles of work of the Coca Cola Company inspire confidence that the initiative will really find adequate attention and resources, and will be implemented. This will give impetus to the fight against illegal labor throughout the world. After all, nowadays we have all the required tools and techniques that allow organizations to fight unscrupulous employers.
The project's ideas fully embodies the principles of Bitfury; the creation of blockchain projects that will improve the quality of life of people around the world and will really be used for public benefit purposes.
It is not the first time that Bitfury helps in the implementation of useful in the community of detached projects. The corporation cooperates with governmental organizations and for profit companies, helping them to use the secure transmission and storage of information for practical purposes. Last year, the company created several platforms for the Ukrainian government.
Several state programs, processes and services were transferred to the blockchain for transparent and safe storage of information. The most famous project of the company is the auction platform for CETAM. In the summer of last year, the Ministry of Justice entered into a cooperation agreement with Bitfury, which resulted in the creation of a block-auction for the sale of confiscated property.
In the framework of cooperation with the Ukrainian government, the company is developing several progressive ideas for fair elections. The decentralized register of votes will ensure 100% fair and impartial elections. If the government is ready for this, this new technology can be implemented within one month. Also, a full-fledged transition to a blockchain of the land ownership cadastre is also planned in the coming years.