IKEA
Partly verifiedIKEA raises serious concerns: workers in the countries homewares, furniture & appliances usually comes from, such as China and Vietnam are very unlikely to earn a living wage, and unions and workers' rights are heavily restricted in the countries homewares, furniture & appliances usually comes from, such as China and Vietnam, with no independent audits. In 2021 a French court convicted IKEA France of illegally collecting personal data to spy on employees, union representatives and job applicants, fining it EUR 1 million.
Last researched 7 October 2026
Not doing enough. Workers in the supply chain are likely underpaid, unprotected or in danger, and in the worst cases face forced or child labour. Look for a better-graded alternative. What this grade means
Good: 1 of 5
- Pays a living wage
- Respects worker rights
- Full supply chain audit, or made only in countries with rigorous labour standards
- No child or forced labour findings
- Publishes where its products are made (supplier list, named farms or its own factories)
Great: 0 of 3
- Pays beyond a living wage
- Finds and fixes problems, or invests directly in workers' communities
- Actively empowers workers
Needs all Good requirements plus two of these.
Red flags: 2
- Does not pay a living wage
- Hidden or unaudited supply chain (no certification or documentation, or major production in countries with poor worker rights without independent audits)
Where it's made: not disclosed
Showing where homewares, furniture & appliances products are usually made instead.
| Country | Worker rights | Legal wages | Forced labour risk |
|---|---|---|---|
| China 50% | Systematic violations | Below a living wage | Moderate |
| Vietnam 15% | Systematic violations | Well below a living wage | Moderate |
| India 10% | Systematic violations | Well below a living wage | High |
| Poland 10% | Some protections | Slightly below a living wage | Low |
| Indonesia 8% | Systematic violations | Well below a living wage | Moderate |
| Malaysia 7% | Regular violations | Below a living wage | Moderate |
Country conditions from the ITUC Global Rights Index, Global Slavery Index and living wage benchmarks. Certifications and audits can raise a company above its countries' baseline.
Why this grade
- Timber, cotton textiles and ceramics carry moderate raw-material risk; illegal logging is linked to forced labour in some regions.
- Modern slavery statement
IKEA's suppliers must follow its own code of conduct, IWAY, which is checked mainly by IKEA's own auditors; in IKEA Australia's 2024 statement only about 10% of reviews were by external auditors and under 4% were unannounced. About 90% of the range comes from more than 800 external suppliers, with IKEA's own factories (IKEA Industry) making about 10%; it does not publish a supplier list, and its latest reports give no country-by-country breakdown of purchasing, though China and Poland are its largest supplier countries. Its Responsible Wage Practices approach includes living wage considerations but no public, time-bound living wage target.
What independent sources say
| Source | Result | Details |
|---|---|---|
| Australian Modern Slavery Register | Found | IKEA Pty Ltd lodged a modern slavery statement for the year to 31 August 2024. View ↗ |
| UK Modern Slavery Statement Registry | Found | IKEA Limited (UK) publishes a modern slavery statement. View ↗ |
| Business & Human Rights Resource Centre | Found | Lists allegations including Belarus prison labour links and records IKEA's responses, including on Uyghur forced labour risk. View ↗ |
| KnowTheChain | Unclear | IKEA, a privately held group, does not appear to be scored in KnowTheChain's published benchmarks. View ↗ |
| US forced-labour import bans (UFLPA Entity List, CBP Withhold Release Orders) | Unclear | No UFLPA Entity List or CBP Withhold Release Order naming IKEA was found. View ↗ |
Confirmed issues
Problems confirmed by a court, regulator, completed investigation or the company itself. Issues more than 15 years old, or 10–15 years old where the company made amends, are removed. Problems a company finds and publishes itself, and is fixing, are shown but don't count against it.
| When | What happened | Made amends? |
|---|---|---|
| 2012 | In 2021 a French court convicted IKEA France of illegally collecting personal data to spy on employees, union representatives and job applicants, fining it EUR 1 million. | Not known |
Unconfirmed reports
Credible reports that haven't been confirmed by a regulator, completed investigation or the company. They're shown for your information and don't affect the grade.
- A 2022 Disclose investigation reported that former IKEA suppliers in Belarus used subcontractors linked to prison colonies using forced labour; IKEA said it does not accept prison labour and had already left Belarus in 2022. Source ↗
Sources (11)
- IKEA Pty Ltd Modern Slavery Statement FY24 (Australian Modern Slavery Register) · archived copy · Modern slavery statement for 1 Sep 2023-31 Aug 2024; 10.5% of IWAY reviews by external auditors, 3.7% unannounced; sourcing from China, Vietnam, India, Indonesia, Turkey and others; Responsible Wage P
- Inter IKEA Group Financial Summary FY25 · archived copy · About 90% of products from 800+ external suppliers; IKEA Industry makes about 10% of the range in around 35 factories; about 222,000 co-workers
- Inter IKEA Holding B.V. Annual Report FY25 · archived copy · IWAY verification ranges from gap assessments to full or focused audits; no country breakdown of purchasing
- The Inter IKEA Group approach to human rights due diligence · archived copy · IWAY audits by IKEA auditors and third parties, announced and unannounced; Responsible Wage Practices created FY21
- Where Is IKEA Furniture Made? 2026 Update (All American Made) · archived copy · China (about 22%) and Poland (about 20%) are IKEA's largest supplier countries
- Ikea to pay EUR 6 million to East German forced labour victims (Fortune, 2024) · archived copy · Independent investigation found forced prison labour at IKEA-linked East German factories; IKEA admitted and pledged EUR 6 million in 2024
- Ikea regrets use of forced labor (Spokesman-Review, 2012) · archived copy · IKEA admitted in 2012 that political prisoners made parts for its products in East Germany
- Ikea fined over spying campaign in France (Guernsey Press, 2021) · archived copy · French court convicted IKEA France in 2021 for spying on staff and fined it EUR 1 million
- Ikea pushes back against Belarus prison labour allegations (The Local, 2022) · archived copy · Disclose 2022 report on Belarus prison labour among former suppliers' subcontractors; IKEA's response
- IKEA's response to UFLPA (BHRRC) · archived copy · BHRRC records IKEA's response on Uyghur forced labour risk
- IKEA Limited modern slavery statement snapshot (BHRRC) · archived copy · IKEA Limited (UK) publishes a modern slavery statement
Last researched 7 October 2026 · details still being verified. Grades are opinions based on the evidence listed here. Represent this company and think something is wrong? A right-of-reply form is coming soon.