Our view on drivers' working conditions
IKEA touches the lives of millions around the world and has long promised to stand by the side of the many people. The same promise stands true when it comes to the working conditions for all drivers transporting IKEA products. It may be so that the drivers transporting our goods are not employed by us, but their working situations are of utmost importance to IKEA.
All drivers transporting IKEA products must have good and fair working conditions. We continue to constantly improve our ways of working together with our service providers and strive to build long-term business relationships with them.
Increasing intermodal share
We are in the lead for shifting our transports from the road to intermodal, i.e., rail, short sea, and barge, which means that the longer distance is covered by rail/vessels. This method contributes positively to the driver's working conditions since they need to drive shorter distances, leading to a better work-life balance. It also contributes to less congested roads, and lower air pollution and CO2 emissions.
Our intermodal share in Europe in land tonnes km is now almost 56% (FY23) and globally 51% (FY23), making us a leader in the industry (tonnes km).
Improving processes
We allow only one layer of sub-contracting. Doing this increases transparency throughout our supply chain for land transportation and creates better visibility of the drivers’ working conditions for us and the service providers.
We are also continuously improving the way our transport network is designed. It helps us create better preconditions for the drivers to spend more nights "off the road." We have, for instance, significantly changed our network design in Germany and France. The change has shortened our transport distances and has also had a positive effect on the carbon footprint.
At IKEA, we are actively developing our IKEA Supplier Code of Conduct (IWAY) and auditing methodology to secure and verify compliance. Through the Supplier Code of Conduct, we put clear and strict demands on the transport service providers regarding salaries, working conditions, and following applicable legislation.
We perform regular audits (announced and unannounced) to ensure compliance, following a risk-based approach. Non-compliance with the demands leads to business consequences up until contract termination.
Driver first
IKEA offers truck drivers access to proper resting facilities at most of its premises. We provide comfortable seating areas where drivers can relax and have coffee or tea. There is also access to showers and restroom facilities between trips.
We also have limited loadings and un-loadings during weekends to improve the truck drivers’ working conditions. It means that less transport is handled in our distribution centres and stores during the weekends, and fewer drivers need to work.
Collaboration is key
IKEA believes every driver has the right to enjoy good and fair working conditions. At the same time, we also recognise that there are challenges in the transport industry. While IKEA cannot solve them on our own, we believe that we can positively influence the working conditions in the transportation industry by collaborating with different stakeholders across the value chain.
We see collaboration as a critical factor in improving working conditions for drivers in the industry. We engage in broader dialogues with stakeholders, including policymakers, experts, transport service providers, and trade unions, to create the much-needed changes.
That is why we are one of the founding members of the Responsible Trucking Initiative – a group of 12 companies who have agreed to implement a common strategy for the transformation towards a fairer transportation and logistics sector. In June 2021, the Social Guidelines were launched, they represent the common standards to comply with and the common expectations set towards suppliers and sub-contractors. In 2023 Responsible Trucking launched its first spot-check tool for truck drivers which aims to ensure compliance with the Social Guidelines.