Modern Slavery Act amendments were applauded by International Justice Mission, Australian Unions
The federal government has announced its intent to add a new criminal offence to the Modern Slavery Act targeting high-earning companies that fail to prevent the use of modern slavery in international supply chains.
The offence will apply to companies with an annual consolidated revenue exceeding $100m. To defend themselves, organisations must demonstrate that they took reasonable preventive steps against modern slavery.
Companies that have adequately prevented the proliferation of modern slavery will be granted appropriate protections.
“Australians rightly expect that the products they buy are not made on the back of modern slavery, which is why the Albanese Government is delivering a legislative framework with teeth. The proposed changes will introduce greater accountability, leveling the playing field for the majority of Australian businesses already doing the right thing”, attorney-general Michelle Rowland said in a media release.
The government will consult with stakeholders to shape the details of the new offence as well as enforcement options ensuring the practicality, effectiveness and fit-for-purpose nature of the changes, such as a deferred prosecution agreement scheme and victim-centred remedies. The government will also introduce civil penalties and associated enforcement powers to handle noncompliance with current Modern Slavery Act obligations. Practical guidance and education initiatives will be rolled out to help companies flag, manage and remediate the risks of modern slavery in their supply chains.
International Justice Mission Australia applauded the reforms, as did Australian Unions.
“The International Labour Organisation estimates that half of those trapped in modern slavery are located the Asia Pacific and frighteningly, one in four of those people are children”, said David Braga, IJM Australia CEO, in a media release. “As a regional leader Australia must take a firm stance to stamp out this horrific practice. Adding a criminal offence is an important step to show how seriously the Albanese government takes modern slavery”.
Braga also welcomed the consultation, which he said would “lift up survivor voices and ensure that their experience is heard and understood alongside the experience of businesses in finalising this legislation”.
“In particular, we welcome consideration of remedies for victims as a key part of this process. We need to recognise the reality of modern slavery for real people and that the standard of living we enjoy in Australia, at times, comes at a horrific human cost”, he said. “What we cannot allow in the passage of this legislation is to see the intention dulled. This cannot be about profits at the cost of people”.
Australian Unions president Michele O’Neil added that holding large companies to their modern slavery obligations was “good for workers and good for the many Australian businesses that do the right thing”.
“A standalone criminal offense will have limitations if it is solely up to police to enforce it, given the extent of this global issue”, O’Neil said. “Workers and their unions also support a civil right for complaints against a company for failing to combat modern slavery in its supply chain”.