Labour rights abuses in industries such as textiles and electronics manufacturing include poor working conditions and unfair wages. Ethically-minded investors typically exclude companies known for violating labour laws from their portfolios or engage with them to improve labour practices, aiming to support decent working conditions globally.

Fund managers employ a variety of methods to address labour rights violations. Some exclude companies that show a systemic disregard for employee rights, using assessments aligned with global labour standards, while others may use negative screening strategies to avoid investing in firms involved in harmful activities against people. Additionally, certain funds adhere strictly to international guidelines like the United Nations Global Compact Principles, excluding companies that fail to respect human rights, labour rights, environmental standards, and anti-corruption practices. These approaches aim to promote ethical investment by holding companies accountable for their labour practices.