Home – Regulations – Modern Slavery Act
Home – Regulations – Modern Slavery Act
Modern slavery is a global issue. According to the United Nations, 40.3 million people are subjected to modern slavery through forced labour each day. In the UK, there are estimates of as many as 138,000 people who are trapped in modern slavery. At COP 21, nearly 200 UN countries and territories aligned on this global concern and agreed to eradicate modern slavery and achieve UN Sustainable Development Goal 8.7 by 2030. This article reviews what changes have been made by governments and what businesses should do to maintain transparency within their supply chain.
In recent years, the media has repeatedly brought attention to human rights violations that have shocked the world, resulting in countries tightening their legislation in response. Countries with strong political will, high levels of resources, and a strong civil society that holds governments to account are taking the strongest action. For instance, governments in the UK, Australia, Canada and other jurisdictions require organisations to assess and report on modern slavery risks within their operations and supply chains. Expectations are also increasing across the Asia-Pacific region as investors, customers and regulators seek greater transparency on how businesses identify and manage human rights risks.
Forced labour and slavery in supply chains is a hidden threat. It has the potential to affect all businesses. Unless a business has complete transparency across their supply chains, they could unknowingly be supporting such activities. The following examples are well documented examples of forced labour, however no country is free from modern slavery.
Some recent examples of forced labour today, include:
In January 2021, the UK Government released additional measures, toughening the response towards modern slavery and preventing goods linked to forced labour from entering the UK supply chain. This builds on the 2015 Modern Slavery Act issued by the UK Government, where Section 54 requires businesses with a total annual turnover of £36m or more to prepare a slavery and human trafficking statement for each financial year. The slavery and human trafficking statement should set out what steps organisations have taken to ensure that slavery and human trafficking is not taking place in its organisation or supply chain.
Other countries have also taken action against modern slavery. Australia introduced its Modern Slavery Act 2018, requiring large entities to report on modern slavery risks in their operations and supply chains and the actions taken to address those risks. The Act has helped increase board-level visibility of modern slavery and human rights issues, while ongoing reform discussions continue to focus on reporting quality, accountability and effective due diligence. As recently as 2026 the government is implementing updates to strengthen the law.
The US and Canada, meanwhile, have introduced targeted bans on certain goods imported from regions that they suspect carry a higher risk of forced labour.
Organisations are facing increasing expectations to identify, assess and address human rights risks across their operations and supply chains. Governments in jurisdictions including Australia, the UK, Canada, the EU and the US have introduced legislation, reporting requirements and import controls designed to address forced labour and strengthen supply chain transparency. These developments are reinforcing the importance of effective laws and human rights due diligence, defined by the UN Guiding Principles on Business and Human Rights and the OECD Due Diligence Guidance for Responsible Supply Chains.
As regulatory and stakeholder expectations continue to increase globally, organisations need a clear understanding of human rights risks across their operations and value chains. This is particularly important for businesses reporting under Australia’s Modern Slavery Act and those responding to growing customer, investor and supply chain due diligence requests across APAC and international markets. The most critical actions businesses can take to ensure compliance are:
We support organisations globally, including across Australia and Asia-Pacific, to align modern slavery reporting, human rights due diligence and supply chain risk management with evolving regulatory and stakeholder expectations.
Anthesis can support your business with the creation of human rights impact assessments and in developing strategy and direction towards human rights due diligence, with a focus on transparency and traceability in supply chains. Using our in-house tools, we can identify and rank where the key human rights and salient risks are located within your business, both geographically and within Environmental, Social and Governance (ESG) parameters.
For more information on how to identify if your organisation needs to publish a modern slavery statement or needs to improve it, or guidance to ensure slavery and human trafficking are not taking place in your supply chains, please contact us, we’d love to help.
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