How Risk Scores Are Calculated
Risk scores are calculated based on country-level patterns derived from actual FLA (Fair Labor Association) audit reports. Each country is assigned a base risk score and variance range based on historical compliance findings across multiple audit cycles.
Scores range from 3.0 to 9.5, calculated using the formula:
Risk Score = Base Risk (by country) ± Variance
This approach reflects real-world compliance patterns observed in FLA assessments, ensuring risk levels align with actual audit findings.
Risk Level Definitions
Action Required: Urgent audit required. Immediate remediation needed for serious compliance violations. Facilities in this category typically show multiple zero-tolerance findings or systemic issues requiring immediate attention.
Action Required: Priority audit within 6 months. Significant compliance concerns identified. Facilities require focused monitoring and corrective action plans.
Action Required: Standard audit cycle. Moderate compliance issues present. Facilities should follow standard monitoring protocols and address findings through normal CAP (Corrective Action Plan) processes.
Action Required: Extended audit cycle acceptable. Minor or isolated compliance issues. Facilities demonstrate good compliance practices with minimal findings requiring attention.
Risk Categories
Risk scores consider findings across multiple compliance categories:
- Hours of Work — Overtime violations, excessive working hours, rest day compliance
- Health & Safety — Workplace safety, emergency procedures, protective equipment
- Compensation — Wage compliance, benefits, overtime pay calculations
- Freedom of Association — Worker rights, union representation, collective bargaining
- Child Labor — Age verification, minimum age compliance, youth worker protections
- Discrimination — Equal treatment, hiring practices, workplace harassment
- Forced Labor — Coercion, debt bondage, freedom of movement
Facilities with higher risk scores typically show issues across multiple categories, indicating systemic compliance challenges.
FLA Assessment Framework
This risk scoring methodology is aligned with the Fair Labor Association (FLA) Workplace Code of Conduct and assessment framework. Risk scores are derived from actual FLA audit findings and reflect:
- Compliance with FLA Workplace Code principles
- Severity and frequency of violations
- Country-level compliance patterns observed across multiple audit cycles
- Systemic vs. isolated findings
For more information on FLA assessment criteria, visit fairlabor.org.