Why is this a risk?
Modern-day slavery refers to a range of actions, including bonded, forced migrant and child labour as well as human trafficking. Countries that have enacted regulations to protect the rights of individuals include the United Kingdom, with the Modern Day Slavery Act, and the United States, with the recent 2015 amendment to the Federal Acquisition Regulation on human trafficking and California’s Transparency in Supply Chains Act.
Examples of where this risk could affect you
- You are having a building constructed in a Middle Eastern or Asian country, using large amounts of local labour hired through a construction company
- You are securing raw materials for food, including seafood and other products where fishing and farming of food materials is involved
- A supplier has a large population of migrant workers
What sort of suppliers could be engaged in this risk area?
- The suppliers that are high risk for engaging in modern-day slavery are likely to be those suppliers that use a large labour force, or that are located in countries that are developing and where margins are typically low
- Suppliers of food, in particular seafood, can be involved in modern-day slavery with workers being restricted to long hours and forced labour, especially in South-East Asia
- Construction companies in China, India, Pakistan and the Middle East use employees that are often migrant workers where working conditions are poor and restrictions of movement are in place (e.g. removing passports from their owners)
- Garment industry manufacturers are often considered to be in the category of restricted labour and unsafe working conditions
- Electronics manufacturers
How are these risks managed?
The risks of modern-day slavery are normally managed through:
- checking the supplier against known companies and people involved in modern-day slavery using the IntegraWatch® | Compliance Screening database
- conducting detailed due diligence on the companies and their work practices with IntegraCheck® | Integrity Due Diligence
- conducting reviews of employment practices, human-resources practices, hiring practices, pay rates and working conditions through on-the-ground audits and reviews.
Which systems and tools do we provide as part of the Supplier Ecosystem™ Initiative to manage these risks?
IntegraWatch® | Compliance Screening
IntegraCheck® | Integrity Due Diligence
The completion of questionnaires and certifications through the ComplianceDesktop® | Compliance Technology Platform