Andrew Forrest has called on the Australian government to consider legislation similar to the UK Modern Slavery Act to ensure Australian companies are held responsible for exploitation in their supply chains.
The billionaire businessman and philanthropist said Australia had the opportunity to lead the response to an issue deeply ingrained in the Australia Pacific region, which accounts for about two-thirds of the 45 million people in modern slavery globally.
“Critically, Australia’s supply chains are largely through Asia,” Mr Forrest said. “In this sense we are very exposed, and likely to suffer significant political and economic impact if slavery is found to be connected with our corporations or our government in any way.
“Australia could be the first country in the region to enact comprehensive legislation that ensures corporations are held to account for modern slavery in their supply chains, similar to the UK Modern Slavery Act 2015.”
Australian fashion companies lack transparency around their supply chain or do not have full knowledge of where their raw materials are being sourced from, leaving workers including children at risk of exploitation, an audit has found.
While the movement to eradicate child labour has gained significant pace, there is still a lot of ground to be covered and work to be done by companies and investors in conjunction with trade unions and NGOs, writes CSR researcher Martijn Boersma from Catalyst Australia.
In its latest report, Catalyst Australia examines the efforts and collaboration of global unions, NGOs, companies, and investors in dealing with child labour in global supply chains.
The fragmentation of global production has dramatically increased the length and complexity of supply chains. The Organisation for Economic Co-operation and Development (OECD) estimates that more than half of the world’s manufactured imports are intermediate goods. These are used as inputs in the production of other goods, sourced from different parts of the globe.
At first sight child labour may not appear to be a material issue for Australian companies and investors. However the fragmentation of global production and trade has dramatically increased the length and complexity of supply chains, which can lead to lack of oversight and worker exploitation. The global movement to eradicate child labour has gained significant pace over recent years. Increasingly, global unions and NGOs collaborate with companies and investors to find ways to deal with the risks of child labour in global supply chains. This report looks at those efforts.