Companies with refugees (Empresas con Personas Refugiadas) and the Inclusive Company Seal (Sello Empresa Inclusiva)

"Always leave the mark that Venezuelans can also be good people, we can adapt, we can be innovative, we can live together and make community in other places"

– Joel Barón, Supply Manager at Wellness Group (Chain of fitness centers in Ecuador)

The project in brief

The project is implemented by United Nations Global Compact Local Network Ecuador. The initiative was launched in July 2021 and has been ongoing since. As a product of the initiative the 1st Edition of the Inclusive Company Seal was launched in May 2022, the 2nd Edition of the Inclusive Company Seal was launched in May 2023 as well.

For the past two years, the initiative “Companies with Refugees” has promoted the role of the private sector in the socioeconomic inclusion of refugees, through a human rights approach in corporate and business practices. Currently the initiative integrates almost 120 companies from different sectors, sizes, and regions around Ecuador. In 2022, the “Inclusive Company Seal” was developed to recognize the best practices of companies that include refugees in their corporate actions. In 2023, 67 companies were awarded for their good practices.

The main goal is to share successful experiences of the private sector in the inclusion of refugees in Ecuador, to provide guidance and inspiration to other companies. It also aims to provide counselling and advice to companies on how to hire refugees and include them into value chains and build awareness and knowledge about refugees and international protection with all levels of collaborators in the companies, so discriminations and xenophobia can be prevented and mitigated.

Main activities of the Good Practice

Advocacy within the companies:

• Mainstreaming refuge and international protection concepts in corporate practices. Trained and sensitized staff, from CEO, directors, administrative and operative collaborators.

External visibility: 

• Social media engagement, kit developed and given to the companies so they can use in their communicational strategies and associations of their brand with the initiatives.
• Production of videos, photographs, written articles as part of the initiative’s communicational annual campaign.
• Companies’ participation as speakers in local and international webinars, forums and events.

Inclusion practices in existing corporate programs, focused on the five categories:

1. Employability: Formal employment opportunities, the company must have at least one refugee person on its payroll.
2. Supply chains: Linking refugee products or services in the value chains and supply processes of the company.
3. Training: Support the development of refugees' skills through courses, training, and mentoring.
4. Financial Inclusion: Promoting the financial inclusion of refugees, migrants, and host community members, both in terms of education and access to products and services.
5. Inclusive Corporate Environment: Promotion of an inclusive corporate and business environment, through internal and external communication campaigns. Other activities and actions in favor of the refugee and human mobility populations.

Elements which helped facilitate the implementation of the good practice

• Formation of the technical committee and executive committee of Companies with Refugees, and the regulatory framework of operation.
• Due diligence: reputational (UNHCR), tax and administrative (UNGC Local Network Ecuador).
• Sustaining the initiative: UNHCR 75% and UNGC LNEC 10 % and Sin Fronteras Program 15% dedicates human, technical, and operational resources.
• Linking allies for technical and specialized advice: Ministry of Labor, Ministry of Production, Local Governments, foundations, NGOs, international Cooperation Agencies
• Linking services under a single initiative: employment exchange platforms, catalogues of corporate products for refugee entrepreneurs, etc.
• Champion companies, leading the agendas of inclusion and compliance with SDGs.

“My father moved to the United States at a very young age, for the same reasons that these people come to Ecuador, so we feel a lot of empathy for that. The right to have a job should not be looked at by race, sexual preference or nationality. It should be looked at by the capacity of the people”

– Miguel Rivadeneira, CEO of Fashion Club (Aeropostale licensee and authorized maquila)

Partners involved

• United Nations High Commissioner for Refugees - UNHCR
• United Nation Global Compact Local Network Ecuador
• Sin Fronteras Programme
• 120 companies
• Line Ministries: Ministry of Labor, Ministry of Production

What challenges were encountered in delivering the project and how were they overcome?

Challenges

• Challenging labor market, high unemployment rates.
• Context of discrimination, labor exploitation and xenophobia towards refugees.
• Securing funds for the maintenance and production of the initiatives communicational and operative content.
• Establishing a strategy to better reach SMEs.
• Difficulty measuring overall impact on the private sector.
• Cultural barriers in some companies

How they were overcome

To overcome these challenges a three-way strategy has been developed and executed among the current community of companies that are part of this initiative.

1. Advocacy within the companies:
   • Mainstreaming refuge and international protection concepts in corporate practices. Trained and sensitized staff, from CEO, directors, administrative and operative collaborators.
2. External visibility:
   • Social media engagement kit developed and given to the companies so they can use in their communicational strategies and associations of their brand with the initiatives.
   • Production of videos, photographs, written articles as part of the initiative’s communicational annual campaign.
   • Companies’ participation as speakers in local and international webinars, forums and events.
3. Inclusion practices:
   • Inclusion practices in existing corporate programs, focused on the five categories: Employability, Supply Chains, Training, Financial Inclusion, and Inclusive Corporate Environments.

Results of the Good Practice

• More than 400 refugees have been formally employed by 67 companies around Ecuador.
• More than 320 refugees have been trained and mentored to strengthen their skills by companies in their core business area.
• More than 8400 refugees have been included in the financial system by opening saving bank accounts or by getting productive loans.
• More than 20 actions to promote inclusion and diversity had been held in the companies’ environments, such as communicational campaigns, social media engagement, events and actions plan with UNHCR and its partners.

In what way does the good practice meet one or more of the four objectives of the Global Compact on Refugees?

These initiatives in partnership with private sector meet the first and second GRF objectives, by creating employment opportunities, supporting skills training, and fostering inclusive business practices. Collaboration with NGOs and governments, financial aid, and in-kind donations can address immediate needs, but companies have a fundamental role in promoting social integration, raise awareness, and innovate with technology solutions. Advocacy for refugee-friendly policies further enhances the private sector's role in mitigating the impact, contributing to sustainable solutions and community well-being.

Next steps

Both initiatives, Companies with Refugees, and Inclusive Company Seal, were developed with the expectation of being permanent and a useful platform to support private sector inclusion efforts towards refugee population and host communities. Since these initiatives were launched, the annual goal was to engage 40 companies from diverse economic sector and from multinational companies to SMEs. In the 1st edition in 2022, 62 companies were recognized, in the 2nd edition in 2023, 67 companies were recognized as well. Currently the initiative counts with the active participation of almost 120 companies.

For the 3rd edition, in 2024, the goal is to reach at least 40 new companies and consolidate the training, accompaniment and visibility strategy to overcome the challenges mentioned above.

Are there areas in which support would be required to continue and/or scale up your good practice?

Funds are required to continue scaling up the initiative and to consolidate the largest number of companies in the country. These funds will also be used to consolidate the follow-up strategies for the companies and give even more value content to the actions carried out during the two years of the recognition.

External visibility is also required; many companies seek to project their good practices internationally and thus gain a better reputation and position their brand. As cooperation agencies, we can generate spaces at a regional level to exchange these good practices and offer visibility to the private sector.

Capacity building of the team is always an important factor, being UNHCR a humanitarian agency, it is very useful to understand more and more the private sector and gain a better perspective of how the corporate world works. Also be able to provide experienced advice regarding the management of integrity risks in specific operations with private sector entities.