Sedex Consultation on SMETA Collaborative Action Required (CARs) and Issue Titles
Sedex launched SMETA 7 in September 2024 following extensive consultation with Affiliate Audit Companies (AACs), buyer and supplier customers and external stakeholders. Since launch, more than 71,000 SMETA 7 audits have been conducted. Overall feedback has been positive, particularly on clearer workplace requirements, the introduction of Collaborative Action Required (CARs), and the new Management Systems Assessment. However, stakeholders have highlighted specific implementation challenges that require further refinement.
In response, Sedex conducted a structured consultation throughout Q1 2026, alongside earlier engagement at the UK Xchange conference (November 2025). The consultation focused on two priority areas: Collaborative Action Required (CARs) and Issue Titles, both of which were identified as critical to improving consistency, usability and impact within SMETA 7. The consultation did not consider changes to the underlying Workplace Requirements.
Collaborative Action Required (CARs)
CARs were introduced as a new type of audit finding to address complex, long-term or systemic issues that require collaborative remediation beyond a single audit cycle. CARs have no criticality level, no remediation deadline and cannot be validated by auditors. There are 14 CARs covering areas including freely chosen employment, responsible recruitment, child labour, living wages and non-discrimination.
Feedback consistently highlighted three key challenges:
- Collaboration and taking action once CARs are identified
- Demonstrating and monitoring progress
- Prioritisation of CARs, particularly for buyers
Across all stakeholder groups, collaboration and actioning CARs was the highest priority improvement area. The most supported solutions were:
- topic specific guidance on how to collaborate and take action (89%)
- introducing defined incremental steps to support demonstration of progress (68%),
- reducing the scope of CARs (64%).
Issue Titles
Issue Titles classify non‑conformances and non‑compliances within SMETA audits and include preset criticality levels, remediation timelines and verification methods. Although minor updates were made at the launch of SMETA 7, Sedex committed to a full review to minimise disruption.
The consultation identified key challenges relating to:
- Verification practicality
- Appropriate criticality levels
- Accurate and consistent selection of Issue Titles
Stakeholders prioritised:
- clarifying the criteria for ‘follow-up’ issues (77%)
- allowing audited sites to challenge Issue Titles prior to publication (60%)
- reducing the overall number of Issue Titles (57%).
Engagement and Outcomes
The consultation reached a broad cross-section of over 1,000 global stakeholders, including buyers, suppliers, audit firms and other stakeholder organisations. Engagement included workshops, webinars, surveys, prioritisation sessions, direct meetings and an auditor survey, ensuring diverse perspectives across sectors and geographies.
Next Steps
Based on the consultation findings, Sedex is moving into a codevelopment phase using small, representative Working Groups to design, test and pilot high impact improvements to CARs and Issue Titles. This approach will enable Sedex to assess feasibility and impact prior to a decision on wider rollout.
All agreed changes will be communicated clearly in advance and will remain aligned with the ETI Base Code, ILO conventions, human rights due diligence expectations and applicable regulations.
Sedex would like to thank all stakeholders who participated in the consultation for their thoughtful input and practical insights. We look forward to continuing this collaborative work with members and our AACs to deliver the priority improvements identified through this process.
More news from Sedex
