This paper reconsiders the argument of trade-based diffusion of labor standards and human rights by taking the example of the emergence and spread of HIV/AIDS programs among businesses in South Africa. The paper shows that, apart from external pressure factors (NGO pressure, consumer demands or government regulation), internal drivers are an important aspect of trade-based diffusion of social policies through global production networks. Internal drivers are asset specific investments in employee skills. Such investments motivate firms to care for the well being of their employees and, thus, to adopt high labor and human rights standards. The paper argues that global production networks of skills driven industries cause the spread of social business policies from highly regulating countries (such as the US or the EU) to weakly regulating ones (such as the emerging market country South Africa). The specific norms the diffusion of which this paper looks at are those that concern HIV/AIDS workplace programs, such as stipulated by the WHO, the Millennium Development Goals, The Global Health Initiative or the Global Compact.
