Tag Archives: modern slavery

Revealed: Weak Remedy Under the Australian Modern Slavery Act

Effective remedy is a key element of human rights protection. The United Nations’ Guiding Principles on Business and Human Rights (UNGPs) stress the importance of both state and business entities providing access to effective remedies. Despite this, the effectiveness of remedial mechanisms varies, with remediation emerging as a shortfall in Australia’s efforts to meet international legal obligations and business standards. This research delves into the practical challenges and responses to remediation, leveraging insights from a detailed study on the effectiveness of the Modern Slavery Act 2018 (MSA) in Australia. It draws on insights from a comprehensive, multi-year collaborative study to explore how businesses interpret and respond to the remedial requirements outlined in the MSA.

It tackles three pivotal inquiries concerning the provision of remedies:

  1. Whether companies are actively facilitating remediation or merely reporting such actions;
  2. The types of remedies most commonly reported; and
  3. The extent to which key stakeholders are involved in developing these remedies.

The findings, published in a Special Issue of the Journal of Modern Slavery, on “Access to Remedy for Survivors of All Forms of Slavery, Trafficking and Forced Labour” suggest that the Modern Slavery Act falls short in promoting effective remediation processes. It highlights a lack of significant engagement by businesses in remediation efforts under the MSA, indicating that the Act may not be effectively facilitating remediation processes.

Why Australia Needs an Anti-Slavery Commissioner

Last week, a 47-year-old Queensland man was charged with 46 offences, including torturing and enslaving deckhands on his fishing boats.

The accused allegedly intimidated and attacked his employees, and withheld food and water. He will appear in court next month.

Australia is estimated to have 41,000 people trapped in modern slavery. People can be subjected to modern slavery through coercion, deception and violence. This includes acts such as grooming, wage theft and restriction of movement.

In Australian and international law slavery is defined as:

the condition of a person over whom any or all of the powers attaching to the right of ownership are exercised.

Modern slavery is distinct from historical slavery in that people are no longer legally owned but are instead subjected to illegal control.

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New Books Network Podcast on “Addressing Modern Slavery”

Before you left your house this morning, chances are that you used products and consumed goods that were produced by modern slavery. From the coffee you drink, to the clothes and shoes that you wear, to the phone that you use, modern slavery is a pervasive global problem that encroaches into the daily lives of all of us.

In Addressing Modern Slavery, Professor Justine Nolan and Associate Professor Martijn Boersma provide a comprehensive and accessible account of the role of businesses, governments and consumers in the proliferation of modern slavery. They address both the gaps in protection of workers in the global supply chain, and what more can be done to protect the dignity and human rights who are denied the chance to earn a decent living. In today’s conversation, we spoke about the emergence of corporate social conscience, the work that laws can do, the role that civil society can play, and a need for better enforcement mechanisms which will adequately address modern slavery. This is a really important book about a global phenomenon that is unsustainable. A must read for businesses, governments and consumers.

Professor Justine Nolan is the Director of the Australian Human Rights Institute and a Professor in the Faculty of Law and Justice at UNSW Sydney. Her research focuses on the intersection of business and human rights, in particular, supply chain responsibility for human rights and modern slavery.

Dr. Martijn Boersma is an Associate Professor at the University of Notre Dame Australia and an Adjunct Fellow at the University of Technology Business School. His research focuses on the intersection of business and society, and includes areas such as labour standards in supply chains; corporate governance and social responsibility; gender diversity in corporate leadership; modern slavery; and employment and industrial relations.

Review of the NSW Modern Slavery Act 2018

On Monday 30 October I gave evidence to the Modern Slavery Committee of the NSW Legislative Council, regarding the review of the NSW Modern Slavery Act 2018. I spoke about the need for continued attention and resolve to ensure both fiscal and ethical responsibility in public spending. A transcript of the evidence can be found below.

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Summarised: Review of the Modern Slavery Act 2018

Addressing modern slavery requires more than criminalising the illegal control of or mistreatment of individuals. It necessitates a comprehensive response to the various forms of modern slavery, including human trafficking, servitude, worker exploitation, child labour, forced marriage, debt bondage, and deceptive recruitment.

Australia has recognised this challenge  and has implemented a range of laws, programs, networks, and support services to tackle it head-on. One key component of Australia’s response is the Modern Slavery Act 2018, which focuses on transparency reporting. This legislation mandates large businesses and entities operating in Australia to submit an annual statement to the government, outlining the actions they are taking to address modern slavery risks within their domestic and global operations and supply chains.

To promote transparency and accountability, these statements are made available to the public through the Modern Slavery Statements Register. As of early 2023, the Register has published over 7,000 statements from nearly 8,000 entities headquartered in more than 50 countries. This government-run register is the first of its kind internationally and has already garnered significant attention.

In accordance with the Modern Slavery Act, a review was initiated three years after its commencement, starting on March 31, 2022. The review aimed to assess the effectiveness of the Act in combating modern slavery and explore potential improvements to its framework and administration. It also sought to evaluate whether the law was being taken seriously and effectively implemented. Below you can find a summary of the review and recommendations, as well as the full list of recommendations made.

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50 Million People in Modern Slavery Globally; 41,000 in Australia

The latest analysis reveals the disturbing reality that modern slavery continues to imprison millions globally, inclusive of upwards of 41,000 individuals in Australia. In its most recent publication, the Walk Free Global Slavery Index reports that 50 million individuals – with 12 million being children – are ensnared in contemporary forms of slavery, predominantly via forced labour and enforced marriages.

Our consumer-driven society is fuelling this disturbing trade in human suffering. Nations including the United States, England, Germany, and Australia are making substantial purchases of electronics, garments, and textiles, which are largely sustained through forced labour. Sweatshops exploit children by compelling them to toil for about 15 hours daily, remunerating them a mere AU$3, within confines akin to a jail cell.

Senior Lawyer at the Human Rights Law Centre, Freya Dinshaw, points out a shocking fact. She said, “What Australian consumers might not realise is that 80% of the cotton China produces that ends up in clothing that Australians buy, comes from forced labour camps in Xinjiang.” Despite Australia being recognised as one of the top three nations battling modern slavery, its system leaves much to be desired.

Dr Martijn Boersma, an expert on modern slavery, commented, “The Australian Modern Slavery Act asks companies…to address the risks in operations and supply chains and basically report on those actions and the progress they have made.” Nevertheless, experts are calling for Australia to implement even more stringent measures. As Dr Boersma suggests, “What we need is for the government to step in, for example by introducing financial penalties for non-compliance.”

New Research: Is the Australian Modern Slavery Act Fit For Purpose?

The Australian Modern Slavery Act 2018 (MSA) aims to combat modern slavery in the operations and supply chains of Australian businesses by requiring them to report on their efforts to address this issue. However, the question remains whether the Act is fit for purpose. This new report, based on data collected from a business survey and focus groups conducted in 2022 and 2023, offers new insights to inform policy change and business practices by examining the gaps between policy and practice in corporate modern slavery statements.

Effectiveness and barriers

Our investigation gathered input from respondents regarding the MSA’s effectiveness, best practices for implementing remediation measures, and potential reforms. The report presents evidence of corporate responses triggered by the MSA and stakeholders’ perceptions of its impact. Findings reveal a broad consensus that the current corporate responses to the Australian MSA are generally not benefiting victim-survivors of modern slavery. While the MSA raises awareness in the best case, it may also provide a superficial appearance of compliance for businesses that continue to depend on opaque supply chains and cheap labor without substantive commitment to addressing abuses.

Two critical issues highlighted by survey and focus group participants for improving policy and practices to address modern slavery are enhancing supplier relationships and stakeholder engagement. Respondents identified several barriers to effective remediation, including current procurement practices, low trust between suppliers and reporting entities, and inadequate resourcing by businesses for remediation efforts that would compensate and empower victim-survivors of modern slavery. Remediation is a crucial aspect of addressing modern slavery, and effective processes must prioritise risk to people over risk to business.

Remediation and potential reform

The findings also offer insights into practices that may contribute to more effective remediation of modern slavery, providing valuable lessons for government policy focus and businesses seeking to improve their approach to remedy. Survey data indicates that participants who engage key stakeholders in remediation, such as trade unions, report the most effective approaches. Other essential tools include risk management practices like supplier training and increased transparency from suppliers—practices currently utilised by Australian businesses.

Data from this report and previous research demonstrate a strong desire for MSA reform and the need to incentivise improved practices. A majority of survey respondents:

  • Endorse establishing an Anti-Slavery Commissioner;
  • Support harmonising the MSA with international standards, such as the UN Guiding Principles on Business and Human Rights (UNGPs), and emerging legislation in other countries;
  • Agree that mandating human rights due diligence requirements would lead to improved responses to addressing modern slavery;
  • Support a mix of policy measures, including sanctions and incentives (such as disqualification from government tenders, financial penalties, and director liability) to better tackle modern slavery.

There is a clear disconnect between policy and implementation when it comes to addressing modern slavery within the operations and supply chains of Australian businesses. This stems from a lack of transparency in corporate supply chains, which hinders both the detection and resolution of modern slavery issues. To effectively combat this, it is essential to prioritize enhancing supplier relationships and collaborating with key stakeholders such as trade unions. The problem can only be resolved if it is first acknowledged and understood. Gaining better insight into labor conditions in supply chains through engagement with frontline workers is a fundamental and indispensable initial measure in the battle against modern slavery.

All respondents advocated for reform of the MSA to drive company action that benefits victim-survivors of modern slavery, rather than merely promoting superficial compliance with the Act. This report, therefore, serves as a call to action for both policymakers and businesses to work together to enhance the effectiveness of the MSA and genuinely address the issue of modern slavery in corporate supply chains.

Research on Political Investorism and Market Lobbying

New research out today on political investorism and insider/outsider market lobbying, which analyses shareholder activism and lobbying of market actors. We argue that political investorism in Australia is shaped by our corporate governance rules and market power of superannuation (pension) funds. We identify a category of ‘unnatural insider’ to describe the tactic of traditional outsiders acquiring insider status for political aims. Case studies analysed include market lobbying and threatened boycotts of banks/insurers over the Adani Carmichael coal mine, shareholder targeting of Coles over modern slavery, and superfund divestment campaigns.

From Local to Global: Best Practice in Fighting Modern Slavery

If people are serious about ending modern-day slavery, consumers need to be prepared to pay more and companies must be prepared for a drop in profits, while governments must pass unpopular legislation, a professor of law at the Catholic University of America has warned.

Professor Mary Graw Leary is a founding director of the Bakhita Initiative for the study and disruption of modern-day slavery.

In her address to The Tablet webinar, “From local to global: best practice in fighting modern slavery and human trafficking”, sponsored by the University of Notre Dame Australia, she acknowledged that “great strides” have been made in fighting modern slavery and human trafficking in a fairly short period of time.

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Modern Slavery and Renewable Energy

Australia should approach its renewable energy transition with caution, experts say, amid concerns of labour exploitation in the production of solar panels.

Polysilicon is the most common material used to produce solar panels, and around 45 per cent of the world’s supply comes from Xinjiang, China.

The United Nations says China may be committing crimes against humanity in Xinjiang, with experts accusing the Chinese Communist Party (CCP) of exploiting its Uyghur Muslim minority into forced labour to make products including solar panels.

China strongly denies allegations of human rights abuses against its Uyghur Muslim population.

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