Investors in private equity seeking to mitigate adverse impacts on workers, financial risks, and reputational damage should adopt specific labor standards across their private equity portfolios. These standards should include fair wages, reasonable working hours, paid leave, non-discrimination, safe working conditions, and protections in the event of layoffs.
As more public pension funds and investors identify the need for labor standards within their private equity portfolios due to risks associated with these investments, this document gives some examples of model policy to help provide investors with frameworks to mitigate and address such risks by comparing existing policies adopted by investors as well as policy proposals and concepts from advocates.
