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Bipartisan Bill on Human Rights Risks in Supply Chains

August 16th, 2011

On August 1, 2011, Congresswoman Carolyn Maloney (D-NY) introduced the Business Transparency on Trafficking and Slavery Act (H.R. 2759). If enacted into law, the bill would require companies to disclose efforts to identify and address the risks of human trafficking, forced labor, slavery, and the worst forms of child labor in their supply chains. The bill is co-sponsored by Rep. Christopher Smith (R-NJ), the Chairman of the US House Subcommittee on Africa and Global Health.

H.R. 2759 would require companies to include such disclosures in their annual reports to the Securities and Exchange Commission (SEC). Disclosure would include policies to identify and eliminate risks of forced labor, slavery, human trafficking, and the worst forms of child labor within their supply chains. It would also require suppliers to certify that materials incorporated into the products comply with laws regarding the above issues in the country or countries in which they are doing business.

The disclosures would be available on the SEC and company websites. The bill has been referred to the House Committee on Financial Services for further legislative consideration. Stay tuned to the JPIC website for updates on this important legislation.

 

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